CHAPTER 5
SENATE BILL No. 15
(Amended by Chapters 152, 161, 165, 167, 188 and 191)
An Act concerning state moneys; relating to the remittance of moneys to the state treasurer;
amending K.S.A. 2-220, 2-427, 2-1425, 2-2128, 2-2212, 2-2440e, 2-2478, 2-2814, 2-3317,
8-267, 8-280, 8-1333, 8-2418, 8-2425, 9-1917, 9-1918, 12-2623, 17-1271, 17-2206a, 17-
2236, 17-2265, 17-5610, 17-5701, 17-7508, 17-7515, 20-156, 20-1a01, 20-1a02, 20-1a03,
20-213, 20-2801, 21-4610a, 22-4526, 25-4006, 25-4119a, 25-4119f, 25-4145, 25-4152,
25-4180, 25-4181, 25-4305, 28-172b, 31-133a, 31-134, 31-159, 32-854, 32-877, 32-984,
32-991, 32-993, 32-1047, 32-1173, 34-101, 36-512, 36-515b, 38-2009, 39-757, 39-784,
39-936, 39-1210, 40-112, 40-223, 40-1706, 40-2120, 40-2251, 40-2305, 40-2306, 40-
2809, 40-2906a, 40-3016, 40-3118, 40-3213, 40-3421, 41-317, 41-328, 41-347, 41-501,
41-2606, 41-2622, 41-2645, 41-2702, 44-324, 44-411, 44-532, 44-566a, 44-570, 44-575,
44-587, 44-712, 44-714, 44-806a, 44-812, 44-926, 44-1019, 44-1506, 44-1512, 45-107,
45-116, 46-237a, 46-265, 46-280, 46-288, 46-802, 46-1118, 46-1121, 46-1207a, 46-1503,
47-417a, 47-437, 47-504, 47-624, 47-672, 47-820, 47-842, 47-1008, 47-1011, 47-1011a,
47-1218, 47-1503, 47-1721, 47-1805, 47-1809, 47-1831, 47-2101, 48-272, 48-273, 48-
942, 48-1613, 48-1623, 48-3108, 48-3302, 49-420, 49-428, 50-1005, 53-104, 55-176, 55-
609, 55-711, 55-901, 55-1204, 55-1207, 58-3074, 58-4107, 59-901, 60-306, 65-102a, 65-
157, 65-171e, 65-171v, 65-1,109a, 65-245, 65-6a45, 65-6a56, 65-6b10, 65-770, 65-1718,
65-1817a, 65-1926, 65-2011, 65-2015, 65-2855, 65-2863a, 65-28,121, 65-2911, 65-3023,
65-4216, 65-4415, 65-4437, 65-4514, 65-5002, 65-5309, 65-5413, 65-5513, 65-5708, 66-
1,155, 68-173, 68-413, 68-423a, 68-1139, 72-1387, 72-2148, 72-4432, 72-4442, 72-4463,
72-6418, 72-6505, 72-7080, 72-7528, 72-9705, 74-504e, 74-617, 74-715, 74-1108, 74-
1109, 74-1110, 74-1405, 74-1503, 74-1609, 74-2117, 74-2445, 74-3267a, 74-3903, 74-
4551, 74-5055, 74-5619, 74-5805, 74-6708, 74-7010, 74-7039, 74-7317, 74-7506, 74-
8821, 74-8824, 74-8826, 74-8827, 74-8835, 75-420, 75-433, 75-436, 75-438, 75-441,
75-706, 75-750, 75-1119b, 75-1513, 75-1514, 75-2250, 75-2251, 75-2253, 75-2254, 75-
2562, 75-2701, 75-2705, 75-2728, 75-3320, 75-3345, 75-3728b, 75-3747, 75-3768, 75-
37,118, 75-4201, 75-4214, 75-4215, 75-4603, 75-4614, 75-46a05, 75-4704a, 75-5039, 75-
5049, 75-5132, 75-5289, 75-52,136, 75-5397a, 75-5533, 75-5662, 75-5733, 75-6210,
75-6513, 75-6605, 75-7033, 76-116e, 76-168, 76-326b, 76-376, 76-385, 76-466, 76-509,
76-518, 76-6a06, 76-762, 76-1201c, 76-12a08, 76-12a10, 76-12a15, 76-1302a, 76-1409a,
76-17a11, 76-17c01a, 76-1906, 76-1939, 76-1953, 76-2056, 76-2101a, 76-2201a, 76-
2614, 77-138, 77-165, 77-430, 77-431, 79-6a04, 79-6a10, 79-1112, 79-1124, 79-3095, 79-
32,105, 79-3303, 79-3311, 79-3387, 79-3454, 79-3495, 79-4108, 79-41a03, 79-4227, 79-
5117, 79-5211, 82a-212, 82a-731, 82a-952, 82a-954, 82a-1206, 82a-1216, 82a-1315a,
82a-1315c, 82a-1408, 82a-1413, 82a-1503, 83-214, 83-302, 83-402, 83-501 and 83-502
and K.S.A. 2000 Supp. 1-204, 2-205, 2-225, 2-1011, 2-1012, 2-1205, 2-1421a, 2-2464a,
2-2507, 2-2911, 2-3315, 8-116a, 8-132, 8-143g, 8-145, 8-146, 8-1,101, 8-1,112, 8-241, 8-
255, 8-1008, 8-1911, 8-2110, 9-1111b, 9-1135, 9-1703, 9-1803, 9-1804, 9-2107, 9-2108,
12-1694, 12-1698, 12-2539, 12-4116, 12-4117, 13-13a38, 16a-2-302, 17-7509, 19-4707,
20-166, 20-1a04, 20-1a11, 20-350, 20-362, 20-367, 21-3851, 22-4504, 22-4529, 23-108a,
48-3303, 49-622, 55-155, 55-164, 55-180, 55-427, 55-443, 58-2011, 58-3066, 58-4118,
65-163, 65-166a, 65-1,205, 65-505, 65-519, 65-526, 65-708a, 65-750, 65-1436, 65-1526,
65-1657, 65-1658, 65-1951, 65-1954, 65-2418, 65-3415a, 65-3415b, 65-3424b, 65-3424d,
65-3424k, 65-3431, 65-34,117, 65-34,145, 65-34,146, 65-34,150, 65-34,151, 65-3503, 65-
4610, 65-5913, 65-6128, 65-6129, 65-6129b, 65-6512, 65-6809, 65-6910, 66-1,139, 66-
1,139a, 66-1a01, 66-1503, 68-2096, 72-979, 72-4530, 72-4939, 72-6441, 73-1231, 74-
534, 74-1106, 74-2022, 74-2124, 74-2704, 74-3256, 74-3272a, 74-3298, 74-32,107,
74-32,119, 74-32,138, 74-5005, 74-5074, 74-5086a, 74-5091, 74-50,108, 74-50,156, 74-
5204, 74-7009, 74-7325, 74-7334, 74-8203, 74-8711, 74-8813, 74-8815, 74-8818, 74-
8822, 74-8823, 74-8836, 74-8927, 74-8929, 74-9808, 75-715, 75-7b23, 75-1308, 75-2256,
75-2265, 75-2534, 75-3352, 75-3365, 75-3683, 75-3765, 75-5048, 75-5282, 75-5542, 75-
5670, 75-7021, 79-15,112, 79-15,116, 79-3391, 79-3408c, 79-3425, 79-3491a, 79-34,104,
79-34,126, 79-3620, 79-3710, 79-4710, 79-4713, 79-5303 and 82a-1315b and repealing
the existing sections.

Be it enacted by the Legislature of the State of Kansas:

      Section  1. K.S.A. 75-4201 is hereby amended to read as follows: 75-
4201. As used in this act, unless the context otherwise requires:

      (a) ``Treasurer'' means state treasurer.

      (b) ``Controller'' means director of accounts and reports.

      (c) ``Board'' means the pooled money investment board.

      (d) ``Bank'' means a bank incorporated under the laws of this state,
or organized under the laws of the United States or another state and
which has a main or branch office in this state.

      (e) ``State moneys'' means all moneys in the treasury of the state or
coming lawfully into the possession of the treasurer.

      (f) ``State bank account'' means state moneys or fee agency account
moneys deposited in accordance with the provisions of this act.

      (g) ``Operating account'' means a state bank account which is payable
or withdrawable, in whole or in part, on demand.

      (h) ``Investment account'' means a state bank account which is not
payable on demand.

      (i) ``Fee agency account'' means a state bank account of any state
agency consisting of fees, tuition or charges moneys authorized by law
prior to remittance to the state treasurer.

      (j) ``Disbursement'' means a payment of any kind whatsoever made
from the state treasury or from any operating account, except transfer of
moneys between or among operating accounts and investment accounts
or either or both of them.

      (k) ``Securities'' means, for the purposes of this section and K.S.A.
75-4218, and amendments thereto, securities, security entitlements, fi-
nancial assets and securities account consisting of any one or more of the
following, and security entitlements thereto, which may be accepted or
rejected by the pooled money investment board:

      (1) Direct obligations of, or obligations that are insured as to principal
and interest by, the United States government or any agency thereof and
obligations, letters of credit and securities of United States sponsored
enterprises which under federal law may be accepted as security for pub-
lic funds.

      (2) Kansas municipal bonds which are general obligations of the mu-
nicipality issuing the same.

      (3) Revenue bonds of any agency or arm of the state of Kansas.

      (4) Revenue bonds of any municipality, as defined by K.S.A. 10-101,
and amendments thereto, within the state of Kansas or bonds issued by
a public building commission as authorized by K.S.A. 12-1761, and
amendments thereto, if approved by the state bank commissioner, except
(A) bonds issued under the provisions of K.S.A. 12-1740 et seq., and
amendments thereto, unless such bonds are rated at least MIG-1 or Aa
by Moody's Investors Service or AA by Standard & Poor's Corp. and (B)
bonds secured by revenues of a utility which has been in operation for
less than three years. Any expense incurred in connection with granting
approval of revenue bonds shall be paid by the applicant for approval.

      (5) Temporary notes of any municipal corporation or quasi-municipal
corporation within the state of Kansas which are general obligations of
the municipal corporation or quasi-municipal corporation issuing the
same.

      (6) Warrants of any municipal corporation or quasi-municipal cor-
poration within the state of Kansas the issuance of which is authorized
by the state board of tax appeals and which are payable from the proceeds
of a mandatory tax levy.

      (7) Bonds of any municipal or quasi-municipal corporation of the
state of Kansas which have been refunded in advance of their maturity
and are fully secured as to payment of principal and interest thereon by
deposit in trust, under escrow agreement with a bank, of direct obligations
of, or obligations the principal of and the interest on which are uncon-
ditionally guaranteed by, the United States of America. A copy of such
escrow agreement shall be furnished to the treasurer.

      (8) Securities listed in paragraph (14) of subsection (d) of K.S.A. 9-
1402, and amendments thereto, within limitations of K.S.A. 9-1402, and
amendments thereto.

      (9) A corporate surety bond guaranteeing deposits in a bank, savings
or savings and loan association in excess of federal deposit insurance cor-
poration insurance, underwritten by an insurance company authorized to
do business in the state of Kansas.

      (10) Commercial paper that does not exceed 270 days to maturity
and which has received one of the two highest commercial paper credit
ratings by a nationally recognized investment rating firm.

      (11) All of such securities shall be current as to interest according to
the terms thereof.

      (l) ``Savings bank'' means a savings bank organized under the laws of
the United States or another state insured by the federal deposit insur-
ance corporation or its successor and having a main or branch office in
the county in which a state agency making collection of any fees, tuition,
or charges is located.

      (m) ``Savings and loan association'' means a savings and loan associ-
ation incorporated under the laws of this state or organized under the
laws of the United States or another state, insured by the federal deposit
insurance corporation or its successor and having a main or branch office
in the county in which a state agency making collection of any fees, tuition
or charges is located.

      (n) ``Custodial bank'' means a bank holding on deposit collateral
which is security for state bank accounts.

      (o) ``Centralized securities depository'' means a clearing agency reg-
istered with the securities and exchange commission which provides safe-
keeping and book-entry settlement services to its participants.

      (p) ``Depository bank'' means a bank, savings bank or savings and loan
association authorized and eligible to receive state moneys.

      (q) ``Main office'' means the place of business specified in the articles
of association, certificate of authority or similar document, where the
business of the institution is carried on and which is not a branch;.

      (r) ``Branch'' means any office, agency or other place of business
within this state, other than the main office, at which deposits are re-
ceived, checks paid or money lent with approval of the appropriate reg-
ulatory authorities. Branch does not include an automated teller machine,
remote service unit or similar device;.

      (s) ``Securities,'' ``security entitlements,'' ``financial assets,'' ``securities
account,'' ``security agreement,'' ``security interest,'' ``perfection'' and
``control'' shall have the meanings given such terms under the Kansas
uniform commercial code.

      Sec.  2. K.S.A. 75-4214 is hereby amended to read as follows: 75-
4214. (a) The board shall designate one or more banks, savings banks or
savings and loan associations in each county in which a state agency mak-
ing collection of any fee, tuition, or charge is located to have a fee agency
account for the deposit of accounts of such agency having an average daily
balance of $10,000 or more.

      (b) (a) Any state agency making collection of fees, tuition or charges
any moneys, with the approval of the board, may select a bank, savings
bank or savings and loan association in the county in which the agency is
located to have a fee agency account for the deposit of accounts of such
agency having an average daily balance of less than $10,000 such moneys.

      (c) (b) To be eligible to hold a fee agency account as provided under
subsections (a) and (b) subsection (a), any designated bank, savings bank
or savings and loan association must meet the minimum capital require-
ments for a commercial bank as required by the federal deposit insurance
corporation.

      (d) (c) At the end of each month any bank, savings bank or savings
and loan association having a fee agency account shall forward to the
board a detailed statement of such account.

      Sec.  3. K.S.A. 75-4215 is hereby amended to read as follows: 75-
4215. (a) All fees, tuition and charges of any and whatsoever nature here-
after moneys collected by any state agency shall be remitted daily to the
state treasurer unless otherwise provided under authority specified in this
act authorized by the board to remit less frequently.

      (b) Agencies otherwise required to make daily remittances to the
treasurer may make such remittances less frequently if so authorized by
the board, but not less often than monthly.

      (c) (b) If a state agency is authorized by the board, fees, tuition and
charges shall be deposited in a to maintain a fee agency account pursuant
to K.S.A. 75-4214, and amendments thereto, any moneys collected by the
state agency shall be deposited daily in the fee agency account designated
by the board. The same. Fee agency account balances shall be remitted
monthly, or more daily or less often if required authorized by the board,
to the state treasurer by such agency drawing on such fee agency account
all moneys therein except such balance as is specified by the board and
except for any balances required for direct refunds of tuition, fees or
charges from such fee agency account authorized under K.S.A. 76-738,
and amendments thereto. When requested, such agency shall file with
the board a detailed and verified report with each deposit showing the
sources from which such fees, tuition and charges moneys were received.
The board shall have the authority to limit specific types of moneys that
can be deposited in a fee agency account.

      (d) (c) Fee agency accounts and moneys to be deposited therein shall
be subject to post audit under article 11 of chapter 46 of Kansas Statutes
Annotated.

      Sec.  4. K.S.A. 2000 Supp. 1-204 is hereby amended to read as fol-
lows: 1-204. There is hereby created the board of accountancy fee fund.
The board of accountancy shall remit all moneys received by or for it
from fees, charges or penalties to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount thereof in the state treasury. Twenty percent
of each such deposit shall be credited to the state general fund and the
balance shall be credited to the board of accountancy fee fund. All ex-
penditures from the board of accountancy fee fund shall be made in
accordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the chair-
person of the board of accountancy or by a person or persons designated
by the chairperson.

      Sec.  5. K.S.A. 2000 Supp. 2-205 is hereby amended to read as fol-
lows: 2-205. (a) (1) All moneys received by the state fair board through
the operation of the state fair and from any and all other sources directly
related to the operation of the state fair shall be remitted to the state
treasurer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury to the credit of the state fair fee fund, which is hereby created.

      (2) During each fiscal year, moneys in the state fair fee fund, and
appropriations for the operation of the state fair from the state general
fund made for the state fair, or the state fair board, may be transferred
from the state treasury to a bank in Reno county, Kansas, to the account
of the state fair board, upon vouchers of the state fair board, to establish
the state fair board local bank account. The moneys in the state fair board
local bank account may be used by the state fair board:

      (A) In operating and conducting a state fair, including but not by way
of limitation, the payment of labor, salaries of part-time employees, prizes
and awards and as provided by this section,; and

      (B) in operating and promoting nonfair days events. The state trea-
surer and the director of accounts and reports are authorized and directed
to honor all such vouchers and orders of the state fair board, and to make
such transfers as directed.

      (3)  (A) During each fiscal year, the state fair board may expend mon-
eys on deposit to its credit in the state fair board local bank account, for
the operation and promotion of the state fair and nonfair days events, by
approved vouchers directed to the treasurer of the state fair board and
by the issuance of checks by the treasurer of the board to the persons
entitled thereto as shown upon such vouchers. All such expenditures may
be made without compliance with any of the provisions of any act con-
tained in article 37 of chapter 75 of the Kansas Statutes Annotated, or
acts amendatory of the provisions thereof or supplemental and amend-
ments thereto.

      (B) During the period beginning May 1 and extending to October 31
of each year, the state fair board may employ labor and personnel in
conjunction with the current operation of the state fair, without compli-
ance with the provisions of any act contained in article 29 of chapter 75
of the Kansas Statutes Annotated, or acts amendatory of the provisions
thereof or supplemental and amendments thereto. This authority to em-
ploy shall not be construed as authorizing the board to employ its normal
classified service employees on a different basis for all or any part of that
six-month period.

      (4) On or before each June 30, all unencumbered moneys on deposit
to the credit of the state fair board in the state fair board local bank
account shall be transferred back to the state treasury to the credit of the
state fair fee fund or appropriation from the state general fund according
as each may be entitled. All moneys in the state fair fee fund may be used
for the payment of checks drawn against the state fair board local bank
account upon vouchers drawn by the state fair board. Upon the close of
accounts for each fiscal year, the state fair board shall submit a full and
complete object classification report for such fiscal year on all moneys
collected by and expended by the state fair board to the director of ac-
counts and reports.

      (b) All moneys received by the state fair board through the operation
and promotion of nonfair days events shall be deposited in the state fair
board local bank account for use for nonfair days events by the state fair
board and as provided by this section. All expenses incurred in the op-
eration and promotion of nonfair days events shall be paid from the state
fair board local bank account by issuance of checks by the treasurer of
the state fair board or a person designated by such treasurer.

      (c) The state fair board local bank account required for use in oper-
ating and promoting the state fair or nonfair days events under this section
shall be awarded to a bank in Reno county, Kansas, by the pooled money
investment board under a written agreement in accordance with proce-
dures for state bank accounts under K.S.A. 75-4217, and amendments
thereto, and shall be secured by pledge of securities in the manner pre-
scribed for state bank accounts under K.S.A. 75-4218, and amendments
thereto, and in the amount prescribed for fee agency accounts under that
statute.

      (d)  (1) Upon request of the state fair board, the director of accounts
and reports shall authorize the state fair board to establish a change fund
for the purposes of the state fair for use on those days not designated as
official state fair days in an amount of not to exceed $15,000 to be main-
tained in the form of cash. For the purposes of establishing such change
fund, moneys may be withdrawn from moneys available therefor in the
state fair board local bank account in accordance with the need therefor.

      (2) The moneys in a change fund established under this subsection
(d) shall be used exclusively for the making of change in receiving
amounts for the purposes of the state fair on those days not designated
as official state fair days. No advance or expenditure shall be made from
such change fund.

      (e)  (1) Upon request of the state fair board, the director of accounts
and reports shall authorize the state fair board to establish a change fund
for nonfair days events in an amount of not to exceed $15,000 to be
maintained in the form of cash. For the purposes of establishing a nonfair
days events change fund, moneys may be withdrawn from moneys avail-
able therefor in the state fair board local bank account in accordance with
the need therefor.

      (2) The moneys in the nonfair days events change fund shall be used
exclusively for the making of change in receiving amounts in operating
and conducting the nonfair days events during the nonfair days period.
No advance or expenditure shall be made from such change fund.

      (f)  (1) Except as otherwise provided in this section, each change fund
established under subsection (d) or (e) shall be administered in the same
manner as change funds authorized in accordance with K.S.A. 75-3078,
and amendments thereto, and shall be subject to the procedures and
reimbursement and reporting provisions of that statute or such proce-
dures and reporting requirements as may be prescribed by the director
of accounts and reports under that statute. The director of accounts and
reports may authorize a reconciling entry in any reconciliation statement
for any such change fund in an amount of not to exceed the maximum
authorized by K.S.A. 75-3078, and amendments thereto, for change funds
authorized in accordance with that statute.

      (2) All officers and employees of the state fair board having custody
of moneys of a change fund established under subsection (d) or (e) shall
be covered by a blanket surety contract purchased by the committee on
surety bonds and insurance in such amount or amounts and upon such
terms and conditions as the committee on surety bonds and insurance
deems necessary and proper in accordance with the provisions of K.S.A.
75-4103, 75-4104 and 75-4105, and amendments thereto.

      (g) As used in this section:

      (1) ``Nonfair days event'' means an event held on the state fairgrounds
on those days which have not been designated as official state fair days;
and

      (2) ``state fair board local bank account'' means the account estab-
lished and maintained for the state fair board in a bank located in Reno
county, Kansas, as authorized by this section.

      (h) On the effective date of this act, the director of accounts and
reports shall transfer all moneys in the nonfair days activities fee fund to
the state fair fee fund. On the effective date of this act, all obligations of
the nonfair days activities fee fund are hereby transferred to and imposed
on the state fair fee fund. On the effective date of this act, the nonfair
days activities fee fund is hereby abolished.

      Sec.  6. K.S.A. 2-220 is hereby amended to read as follows: 2-220. (a)
The state fair special cash fund is hereby created in the state treasury.
The state fair board may apply annually to the director of accounts and
reports to establish a change fund for use during the period of the state
fair which shall be maintained in the form of cash from the moneys of
the state fair special cash fund which shall be transferred from the state
treasury to a separate account of the state fair board in a bank in Reno
county, Kansas, in accordance with subsection (c). The director of ac-
counts and reports shall authorize the establishment of such change fund
and shall establish a maximum amount for such change fund of not to
exceed $200,000 in accordance with the need therefor.

      (b) After establishing the maximum amount for a change fund under
subsection (a) and not less than 10 days prior to the date fixed for the
commencement of the state fair, the director of accounts and reports shall
transfer an amount of money equal to such maximum amount from the
state general fund to the state fair special cash fund. No such transfer
from the state general fund shall exceed $200,000.

      (c) For the purposes of a change fund authorized under this section,
the moneys in the state fair special cash fund may be transferred by
warrant, upon vouchers of the state fair board, from the state treasury to
a separate account of such board in a bank in Reno county, Kansas. This
bank account shall be awarded to a bank in Reno county, Kansas, by the
pooled money investment board under a written agreement in accordance
with procedures for state bank accounts under K.S.A. 75-4217, and
amendments thereto, and shall be secured by pledge of securities in the
manner prescribed for state bank accounts under K.S.A. 75-4218, and
amendments thereto, and in the amount prescribed for fee agency ac-
counts under that statute. The state treasurer and the director of accounts
and reports shall honor all such vouchers and make such transfers as
directed in accordance with this subsection, except that no such transfer
shall be made more than 10 days prior to the date fixed for the com-
mencement of the state fair.

      (d) The change fund authorized under this section may be established
by the state fair board not more than five days preceding the date fixed
for the commencement of the state fair. Such change fund shall be main-
tained in the daily amounts necessary for the operation of the state fair
as directed by the state fair board except that no such amount shall exceed
the maximum amount established by the director of accounts and reports
under subsection (a). Prior to the sixth day after the conclusion of the
state fair each year, such change fund shall be finally reconciled and all
the moneys in such change fund shall be deposited in the bank account
of the state fair board from which the change fund was established. Upon
such deposit, all such moneys shall be remitted to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount thereof in the state treasury and the same shall
be credited to the credit of the state fair special cash fund. Each year
upon the crediting of such moneys to the state fair special cash fund and
after the conclusion of the state fair, the director of accounts and reports
shall transfer all moneys in the state fair special cash fund to the state
general fund.

      (e) The moneys in the change fund authorized under this section shall
be used exclusively for the making of change in operating and conducting
the state fair during the period of the state fair. No advance or expendi-
ture shall be made from such change fund.

      (f) Except as otherwise provided in this section, the change fund au-
thorized by this section shall be administered in the same manner as
change funds authorized in accordance with K.S.A. 75-3078, and amend-
ments thereto, and shall be subject to such procedures and reporting
requirements as may be prescribed by the director of accounts and re-
ports under that statute. The director of accounts and reports may au-
thorize a reconciling entry in any reconciliation statement for the change
fund authorized by this section in an amount of not to exceed the maxi-
mum authorized by K.S.A. 75-3078, and amendments thereto, for change
funds authorized in accordance with that statute.

      (g) All officers and employees of the state fair board having custody
of moneys of the change fund authorized by this section shall be covered
by a blanket surety contract purchased by the committee on surety bonds
and insurance in such amount or amounts and upon such terms and con-
ditions as the committee on surety bonds and insurance deems necessary
and proper in accordance with the provisions of K.S.A. 75-4103, 75-4104
and 75-4105, and amendments thereto.

      Sec.  7. K.S.A. 2000 Supp. 2-225 is hereby amended to read as fol-
lows: 2-225. (a) The state fair board is hereby authorized to negotiate and
enter into an agreement with the Hutchinson community foundation, a
not-for-profit corporation, for the Hutchinson community foundation to
receive, administer and invest any moneys donated, bequeathed, granted,
awarded or contributed from any private or public source outside the
state treasury for the general benefit of the state fair or for specific capital
improvements, projects, programs, activities or events for the benefit of
the state fair. All moneys received for such purposes by the Hutchinson
community foundation, and all interest earned thereon, shall be depos-
ited, administered and disbursed by the Hutchinson community foun-
dation to the state fair board in accordance with the agreement, after
payment of any applicable fees or expenses authorized by the agreement.
The state fair board shall not enter into any agreement with the Hutch-
inson community foundation under this section until the agreement has
been reviewed and approved by the attorney general.

      (b) Upon receipt of any such moneys by the state fair board, the state
fair board shall remit the entire amount of the remittance to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount in the state treasury to the credit
of the state fair fee fund or the state fair capital improvements fund, or
in designated amounts of such remittance to each of such funds as spec-
ified by the state fair board.

      Sec.  8. K.S.A. 2-427 is hereby amended to read as follows: 2-427.
The secretary shall remit all moneys received by or for the secretary under
article 4 of chapter 2 of Kansas Statutes Annotated, and amendments
thereto, to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury and the same shall be credited to
the credit of the entomology fee fund. All expenditures from such fund
shall be made in accordance with appropriation acts upon warrants of the
director of accounts and reports issued pursuant to vouchers approved
by the secretary of the state board of agriculture or by a person or persons
designated by the secretary.

      Sec.  9. K.S.A. 2000 Supp. 2-1011 is hereby amended to read as fol-
lows: 2-1011. (1) It shall be deemed a violation of this act for any man-
ufacturer, importer, jobber, firm, association, corporation or person to
sell, offer or expose for sale, or distribute in this state any commercial
feeding stuffs:

      (A) Unless the manufacturer, importer, jobber, firm, association, cor-
poration or person has been issued a license for each manufacturing or
distribution facility pursuant to K.S.A. 2000 Supp. 2-1014, and amend-
ments thereto; (B) which is not labeled as required by law; (C) which
bears a false or misleading statement on the label or the advertising ac-
companying the commercial feeding stuffs; (D) which is adulterated or
contains any substance or substances which may render the commercial
feeding stuffs injurious to the health of livestock, poultry and pets.

      (2) It shall be deemed a violation of this act for any manufacturer,
importer, jobber, firm, association, corporation or person to: (A) Mutilate,
destroy, obliterate or remove the label or any part thereof, or do any act
which may result in the misbranding or false labeling of such commercial
feeding stuffs; (B) fail or neglect to file the tonnage report and pay the
inspection fee due thereon as required; (C) file a false report of the ton-
nage of feeding stuffs sold for any period; (D) impede, obstruct, hinder
or otherwise prevent or attempt to prevent said secretary or the secre-
tary's authorized agents in the performance of any duty in connection
with the enforcement of the provisions of article 10 of chapter 2 of the
Kansas Statutes Annotated, and amendments thereto.

      (3) Any manufacturer, importer, jobber, firm, association, corpora-
tion or person who shall violate any of the provisions of article 10 of
chapter 2 of the Kansas Statutes Annotated, and amendments thereto, or
the rules and regulations adopted, in a willful or wanton manner shall be
guilty of a misdemeanor, and upon conviction thereof shall be fined not
more than $100 for the first violation and not less than $100 nor more
than $500 for each subsequent violation.

      (4) Any commercial feeding stuffs misbranded or adulterated or con-
taining any substance or substances injurious to the health of livestock,
poultry or pets or which is offered or exposed for sale in violation of any
of the provisions of article 10 of chapter 2 of the Kansas Statutes Anno-
tated, and amendments thereto, shall be subject to seizure and may be
condemned, disposed of or sold as the court may direct. The proceeds
from any such sale, and all penalties recovered shall be deposited with
remitted to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury to
the credit of the commercial feeding stuffs fee fund. The court may in its
discretion release the feeding stuffs so seized when the requirements of
the law have been complied with, and upon payment of all costs and
expenses incurred by the state in any proceedings connected with such
seizure. The seizure proceedings as provided in K.S.A. 41-805, and
amendments thereto, shall be followed. The district courts of the state of
Kansas shall have jurisdiction to restrain violations of this act by injunc-
tion.

      Sec.  10. K.S.A. 2000 Supp. 2-1012 is hereby amended to read as
follows: 2-1012. The secretary shall remit all moneys received by or for
the secretary under article 10 of chapter 2 of Kansas Statutes Annotated,
and amendments thereto, to the state treasurer at least monthly in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of any each such remittance, the state treasurer shall deposit
the entire amount thereof in the state treasury and the same shall be
credited to the credit of the feeding stuffs fee fund. On and after July 1,
2000, through June 30, 2002, an amount not to exceed $35,000 per year
may be used to fund plant pest activities. All expenditures from the feed-
ing stuffs fee fund shall be made in accordance with appropriation acts
upon warrants of the director of accounts and reports issued pursuant to
vouchers approved by the secretary of the department of agriculture or
by a person or persons designated by the secretary.

      Sec.  11. K.S.A. 2000 Supp. 2-1205 is hereby amended to read as
follows: 2-1205. An inspection fee shall be collected upon all commercial
fertilizers sold, offered or exposed for sale, or distributed in Kansas, which
shall be at a rate per ton of 2,000 pounds fixed by rules and regulations
adopted by the secretary of agriculture, except that such rate shall not
exceed $1.67 per ton of 2,000 pounds. The secretary of agriculture may
adopt rules and regulations establishing the inspection fee rate under this
section. Each person registering any commercial fertilizer shall pay the
inspection fee on such commercial fertilizer sold, offered or exposed for
sale, or distributed in Kansas, and shall keep adequate records showing
the tonnage of each commercial fertilizer shipped to or sold, offered or
exposed for sale, or distributed in Kansas, and the secretary, and duly
authorized representatives of the secretary, shall have authority to ex-
amine such records and other pertinent records necessary to verify the
statement of tonnage.

      Each person registering any commercial fertilizer shall file an affidavit
semiannually, with the secretary, within 30 days after each January 1 and
each July 1, showing the tonnage of commercial fertilizer sold or distrib-
uted in Kansas for the preceding six-month period, and shall pay to the
secretary the inspection fee due thereon for such six-month period, except
that the registrant shall not be required to pay the inspection fee or report
the tonnage of commercial fertilizers or fertilizer materials sold and
shipped directly to fertilizer manufacturers or mixers, but the fertilizer
manufacturers or mixers shall keep adequate records of the commercial
fertilizers sold or distributed in this state, and report to the secretary the
tonnage thereof and pay the inspection fee due thereon. If the affidavit
is not filed and the inspection fee is not paid within the thirty-day period,
or if the report of tonnage is false, the secretary may revoke the registra-
tions filed by such person; and if the affidavit is not filed and the inspec-
tion fee is not paid within the thirty-day period, or any extension thereof
granted by the secretary, a penalty of $5 per day shall be assessed against
the registrant and the inspection fee and penalty shall constitute a debt
and become the basis for a judgment against such person. The secretary
may grant a reasonable extension of time.

      The secretary of the department of agriculture is hereby authorized
and empowered to reduce the inspection fee by adopting rules and reg-
ulations under this section whenever it shall determine that the inspection
fee is yielding more than is necessary for the purpose of administering
the provisions of this act as listed below and the plant pest act, and the
secretary is hereby authorized and empowered to increase the inspection
fee by adopting rules and regulations under this section when it finds that
such is necessary to produce sufficient revenues for the purposes of ad-
ministering the provisions of this act, but not in excess of the maximum
fee prescribed by this section. The secretary shall remit all moneys re-
ceived by or for the secretary under article 12 of chapter 2 of Kansas
Statutes Annotated, and amendments thereto, to the state treasurer at
least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of any each such remittance, the state
treasurer shall deposit the entire amount in the state treasury and shall
credit the such remittance as follows: (1) An amount equal to $1.40 per
ton shall be credited to the state water plan fund created by K.S.A. 82a-
951, and amendments thereto; (2) an amount equal to $.04 per ton shall
be credited to the fertilizer research fund; and (3) the remainder shall be
credited to the fertilizer fee fund. On and after July 1, 2000, through June
30, 2002, an amount not to exceed $35,000 per year may be used to fund
plant pest activities. All expenditures from the fertilizer fee fund shall be
made in accordance with appropriation acts upon warrants of the director
of accounts and reports issued pursuant to vouchers approved by the
secretary of the department of agriculture or by a person or persons
designated by the secretary.

      Sec.  12. K.S.A. 2000 Supp. 2-1421a is hereby amended to read as
follows: 2-1421a. (a) (1) Each wholesaler shall register with the secretary
and shall pay a registration fee not to exceed $300. The current wholesale
registration fee is hereby set at $175 and shall remain at that amount until
changed by rules and regulations of the secretary.

      (2) Each retailer shall register with the secretary and shall pay a reg-
istration fee not to exceed $30. The current retailer registration fee is
hereby set at $10 and shall remain at that amount until changed by rules
and regulations of the secretary.

      (3) Registration shall be required for each place of business at which
agricultural seed is sold, offered or exposed for sale by the wholesaler or
retailer.

      (4) An individual who conducts a wholesaler and retailer business at
the same location shall be required to register as both a wholesaler and
retailer.

      (b) Application for registration shall be made on a form provided by
the secretary. Each registration for a wholesaler or retailer shall expire
on August 31 following the date of issuance unless such registration is
renewed annually.

      (c) Each seed conditioner shall register with the secretary. Such seed
conditioner registration shall require no registration fee and shall be a
biennial registration. Any seed conditioner who is ceasing to do business
as a seed conditioner shall notify the department of agriculture within 30
days of ceasing to do business.

      (d) As used in this section, ``agricultural seed'' shall include grain
when sold as such, or when sold according to grain standards and the
seller knows, or has reason to know, that the grain is to be used for seeding
or planting purposes.

      (e) The secretary shall remit all moneys received under this section
to the state treasurer at least monthly in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of any each
such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury to the credit of the agricultural seed fee fund
which is hereby created. All expenditures from such 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 sec-
retary or a person or persons designated by the secretary.

      (f) All moneys credited to the agricultural seed fee fund shall be ex-
pended for any purpose consistent with the Kansas seed law.

      (g) The secretary may adopt rules and regulations necessary to ad-
minister the provisions of this act.

      (h) This section shall be part of and supplemental to the Kansas seed
law, K.S.A. 2-1415 et seq., and amendments thereto.

      Sec.  13. K.S.A. 2-1425 is hereby amended to read as follows: 2-1425.
(a) Any person may submit to the state seed laboratory samples of agri-
cultural seed for germination or purity tests, or both, or other examination
and receive the test upon paying to the secretary a fee per sample, test
or examination as the state board of agriculture may decide. The state
board of agriculture shall establish by rule and regulation a schedule of
fees for seed testing and examination to be used as the basis of charges.
Such fees shall not be less than $5 or more than $45 per test or exami-
nation. The secretary may extend credit for work done, and the sender
of the sample may be invoiced for such charges from time to time. Testing
shall be discontinued for any person who fails to pay such charges within
30 days after invoice is issued. The limitation on free tests shall not apply
to the state boards, commissions or educational, penal or eleemosynary
institutions. The state seed laboratory shall not be obligated to analyze
any uncleaned, unprocessed, and other time-consuming sample or any
sample which obviously does not meet state seed law requirements.

      (b) The secretary shall remit all moneys received by or for the sec-
retary under article 14 of chapter 2 of Kansas Statutes Annotated, and
amendments thereto, to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of any each such remittance, the state treasurer shall deposit the
entire amount thereof in the state treasury and the same shall be credited
to the credit of the seed examination fee fund. All expenditures from such
fund shall be made in accordance with appropriation acts upon warrants
of the director of accounts and reports issued pursuant to vouchers ap-
proved by the secretary of the state board of agriculture or by a person
or persons designated by the secretary.

      Sec.  14. K.S.A. 2-2128 is hereby amended to read as follows: 2-2128.
The secretary shall remit all moneys received by or for the secretary under
article 21 of chapter 2 of Kansas Statutes Annotated, and amendments
thereto, to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury and the same shall be credited to
the credit of the entomology fee fund. All expenditures from such fund
shall be made in accordance with appropriation acts upon warrants of the
director of accounts and reports issued pursuant to vouchers approved
by the secretary of the state board of agriculture or by a person or persons
designated by the secretary.

      Sec.  15. K.S.A. 2-2212 is hereby amended to read as follows: 2-2212.
The secretary shall remit all moneys received by or for the secretary under
article 22 of chapter 2 of the Kansas Statutes Annotated, and amendments
thereto, to the state treasurer at least monthly in accordance with K.S.A.
75-4215, and amendments thereto. Upon receipt of any each such remit-
tance, the state treasurer shall deposit the entire amount thereof in the
state treasury and the same shall be credited to the credit of the agricul-
tural chemical fee fund. All expenditures from such 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 sec-
retary of the state board of agriculture or by a person or persons desig-
nated by the secretary.

      Sec.  16. K.S.A. 2-2440e is hereby amended to read as follows: 2-
2440e. (a) Any pesticide business licensee who violates any of the provi-
sions of K.S.A. 2-2453 or 2-2454, and amendments thereto, in addition
to any other penalty provided by law, may incur a civil penalty imposed
under subsection (b) in the amount fixed by rules and regulations of the
secretary in an amount not less than $100 nor more than $5,000 for each
violation and, in the case of a continuing violation, every day such violation
continues shall be deemed a separate violation.

      (b) A duly authorized agent of the secretary, upon a finding that a
pesticide business licensee or any employee or agent thereof or any per-
son or entity required to be licensed as a pesticide business licensee who
violates any of the provisions of K.S.A. 2-2453 and 2-2454, and amend-
ments thereto, may impose a civil penalty as provided in this section upon
such licensee.

      (c) No civil penalty shall be imposed pursuant to this section except
upon the written order of the duly authorized agent of the secretary to
the pesticide business licensee who committed the violation. Such order
shall state the violation, the penalty to be imposed and the right of such
pesticide business licensee to appeal to the secretary. Any such licensee,
within 20 days after notification, may make written request to the sec-
retary for a hearing or informal conference hearing in accordance with
the provisions of the Kansas administrative procedure act. The secretary
shall affirm, reverse or modify the order and shall specify the reasons
therefor.

      (d) Any person aggrieved by an order of the secretary made under
this section may appeal such order to the district court in the manner
provided by the act for judicial review and civil enforcement of agency
actions.

      (e) Any civil penalty recovered pursuant to the provisions of this sec-
tion shall be remitted to the state treasurer, deposited. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credited to the credit of the state general fund.

      (f) This section shall be a part of and supplemental to the Kansas
pesticide law.

      Sec.  17. K.S.A. 2000 Supp. 2-2464a is hereby amended to read as
follows: 2-2464a. The secretary shall remit all moneys received by or for
the secretary under this act and amendments thereto, to the state trea-
surer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. On and after the effective date of this act
through June 30, 1999, upon receipt of any such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury and
amount equal to $12 per category of pesticide business license shall be
credited to the laboratory equipment fund created by K.S.A. 2000 Supp.
74-554, and amendments thereto, and the remainder shall be credited to
the pesticide use fee fund. On and after July 1, 1999, Upon receipt of
any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury and the same shall be credited to
the credit of the pesticide use fee fund. All expenditures from the pesti-
cide use fee fund shall be made in accordance with appropriation acts
upon warrants of the director of accounts and reports issued pursuant to
vouchers approved by the secretary of the state board of agriculture or
by a person or persons designated by such secretary.

      Sec.  18. K.S.A. 2-2478 is hereby amended to read as follows: 2-2478.
(a) Following the establishment of any pesticide management area, all
persons shall use pesticides consistently with the provisions of the pesti-
cide management plan for the pesticide management area. Any person
who applies pesticides in violation of a plan of an established pesticide
management area may incur a civil penalty in the amount fixed by rules
and regulations of the secretary in an amount not less than $100 nor more
than $5,000 for each violation.

      (b) No civil penalty shall be imposed pursuant to this section except
upon the written order of the secretary or the secretary's duly authorized
agent to the person who committed the violation. Such order shall state
the violation, the penalty to be imposed and the right of such person to
appeal to the secretary. Any such person, within 20 days after notification,
may make written request to the secretary for a hearing or informal con-
ference hearing in accordance with the provisions of the Kansas admin-
istrative procedure act. The secretary shall affirm, reverse or modify the
order and shall specify the reasons therefor.

      (c) Any person aggrieved by an order of the secretary made under
this section may appeal such order to the district court in the manner
provided by the act for judicial review and civil enforcement of agency
actions.

      (d) Any civil penalty recovered pursuant to the provisions of this sec-
tion shall be remitted to the state treasurer, deposited. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credited to the credit of the state general fund.

      Sec.  19. K.S.A. 2000 Supp. 2-2507 is hereby amended to read as
follows: 2-2507. (a) For the purpose of financing the administration and
enforcement of this act, there is hereby levied an inspection fee on all
eggs sold, offered or exposed for sale to food purveyors or consumers at
the rate of 3.5 mills for each dozen eggs. Such fees shall be paid quarterly,
but in no event shall the remittance for any quarter be less than $15. If
the department finds that the above fees are providing more funds than
necessary for the administration of this act, the department may reduce
the above-mentioned fee by rules and regulations, and in like manner
may increase such fee when necessary, but not to exceed the rate specified
above. The secretary shall provide inspection fee stamps for sale to per-
sons desiring them. The price of such stamps shall include the printing
and mailing costs thereof. Such inspection fee stamps shall also serve as
a label indicating size and quality in boldface type letters not less than 3/8
inch in height. Persons desiring to report and pay the inspection fee quar-
terly, in lieu of using inspection fee stamps, may make application to the
secretary for a permit to pay the inspection fee quarterly.

      (b) The secretary may grant the permit if the applicant agrees to keep
such records as may be necessary to indicate accurately the quantity of
eggs sold on which the inspection fee is due, and if the applicant agrees
to grant the secretary or a duly authorized representative of the secretary
permission to verify the statement of quantity of eggs sold. The report
shall be filed in the office of the secretary, and shall be due and payable
on the first day of October, January, April, and July for the previous three
months. If the report is not filed and the inspection fee paid within 30
days after the due date, or if the report of quantity is false, the secretary
may revoke the permit. In addition to the inspection fee there may be
assessed against the permit holder a penalty of $5 per day for each day
the inspection fee remains unpaid after the thirty-day period. Such re-
cords of quantity sold shall be held for a period of three years. The sec-
retary shall remit all moneys received by or for the secretary under article
25 of chapter 2 of Kansas Statutes Annotated, and amendments thereto,
to the state treasurer at least monthly in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of any each
such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury and the same shall be credited to the credit
of the egg fee fund. All expenditures from such fund shall be made in
accordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the secretary
of agriculture or by a person or persons designated by the secretary.

      Sec.  20. K.S.A. 2-2814 is hereby amended to read as follows: 2-2814.
The secretary shall remit all moneys received by or for him or her the
secretary under this act to the state treasurer at least monthly in accord-
ance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of any each such remittance, the state treasurer shall deposit
the entire amount thereof in the state treasury and the same shall be
credited to the credit of the soil amendment fee fund. All expenditures
from such fund shall be made in accordance with appropriation acts upon
warrants of the director of accounts and reports issued pursuant to vouch-
ers approved by the secretary of the state board of agriculture or by a
person or persons designated by him or her the secretary.

      Sec.  21. K.S.A. 2000 Supp. 2-2911 is hereby amended to read as
follows: 2-2911. The secretary shall remit all moneys received by or for
the secretary under this act to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of any each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury and the same
shall be credited to the credit of the agricultural liming materials fee fund,
which fund is hereby created. On and after July 1, 2000, through June
30, 2002, an amount not to exceed $5,000 per year may be used to fund
plant pest activities. All expenditures from such fund shall be made in
accordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the secretary
of the department of agriculture or by a person or persons designated by
the secretary.

      Sec.  22. K.S.A. 2000 Supp. 2-3315 is hereby amended to read as
follows: 2-3315. The secretary shall remit all moneys received under this
act to the state treasurer at least monthly in accordance with the provi-
sions of K.S.A. 75-4215, and amendments thereto. On and after the ef-
fective date of this act through June 30, 1999, upon receipt of any such
remittance, the state treasurer shall deposit the entire amount thereof in
the state treasury and an amount equal to $5 for each chemigation user's
permit shall be credited to the laboratory equipment fund created by
K.S.A. 2000 Supp. 74-554, and amendments thereto, and the remainder
shall be credited to the chemigation fee fund. On and after July 1, 1999,
Upon receipt of any each such remittance, the state treasurer shall deposit
the entire amount thereof in the state treasury and the same shall be
credited to the credit of the chemigation fee fund. All expenditures from
the chemigation fee fund shall be made in accordance with appropriation
acts upon warrants of the director of accounts and reports issued pursuant
to vouchers approved by the secretary of the state board of agriculture
or by a person or persons designated by the secretary.

      Sec.  23. K.S.A. 2-3317 is hereby amended to read as follows: 2-3317.
(a) Any person who violates any of the provisions of the Kansas chemi-
gation safety law, in addition to any other penalty provided by law, may
incur a civil penalty imposed under subsection (b) in the amount fixed by
rules and regulations of the secretary in an amount not less than $100
nor more than $5,000 for each violation and, in the case of a continuing
violation, every day such violation continues shall be deemed a separate
violation.

      (b) A duly authorized agent of the secretary, upon a finding that a
person or any employee or agent has violated the Kansas chemigation
safety law, may impose a civil penalty as provided in this section upon
such person.

      (c) No civil penalty shall be imposed pursuant to this section except
upon the written order of the duly authorized agent of the secretary to
the person who committed the violation. Such order shall state the vio-
lation, the penalty to be imposed and the right of such person to appeal
to the secretary. Any such person, within 20 days after notification, may
make written request to the secretary for a hearing or informal conference
hearing in accordance with the provisions of the Kansas administrative
procedure act. The secretary shall affirm, reverse or modify the order and
shall specify the reasons therefor.

      (d) Any person aggrieved by an order of the secretary made under
this section may appeal such order to the district court in the manner
provided by the act for judicial review and civil enforcement of agency
actions.

      (e) Any civil penalty recovered pursuant to the provisions of this sec-
tion shall be remitted to the state treasurer, deposited. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credited to the credit of the state general fund.

      (f) This section shall be a part of and supplemental to the Kansas
chemigation safety law.

      Sec.  24. K.S.A. 2000 Supp. 8-116a is hereby amended to read as
follows: 8-116a. (a) When an application is made for a vehicle which has
been assembled, reconstructed, reconstituted or restored from one or
more vehicles, or the proper identification number of a vehicle is in doubt,
the procedure in this section shall be followed. The owner of the vehicle
shall request the Kansas highway patrol to check the vehicle. At the time
of such check the owner shall supply the highway patrol with information
concerning the history of the various parts of the vehicle. Such informa-
tion shall be supplied by affidavit of the owner, if so requested by the
highway patrol. If the highway patrol is satisfied that the vehicle contains
no stolen parts, it shall assign an existing or new identification number to
the vehicle and direct the places and manner in which the identification
number is to be located and affixed or implanted. A charge of $10 per
hour or part thereof, with a minimum charge of $10, shall be made to
the owner of a vehicle requesting check under this subsection, and such
charge shall be paid prior to the check under this section. When a check
has been made under subsection (b), not more than 60 days prior to a
check of the same vehicle identification number, requested by the owner
of the vehicle to obtain a regular certificate of title in lieu of a nonhighway
certificate of title or obtain a rebuilt salvage title in lieu of a salvage title,
no charge shall be made for such second check.

      (b) Any person making application for any original Kansas title for a
used vehicle which, at the time of making application, is titled in another
jurisdiction, as a condition precedent to obtaining any Kansas title, shall
have such vehicle checked by the Kansas highway patrol for verification
that the vehicle identification number shown on the foreign title is gen-
uine and agrees with the identification number on the vehicle. Checks
under this section may include inspection for possible violation of K.S.A.
21-3757, and amendments thereto, or other evidence of possible fraud.
The verification shall be made upon forms prescribed by the division of
vehicles which shall contain such information as the secretary of revenue
shall require by rules and regulations. A charge of $10 per hour or part
thereof, with a minimum charge of $10, shall be made for checks under
this subsection. When a vehicle is registered in another state, but is fi-
nanced by a Kansas financial institution and is repossessed in another
state and such vehicle will not be returned to Kansas, the check required
by this subsection (b) shall not be required to obtain a valid Kansas title
or registration.

      (c) As used in this act, ``identification number'' or ``vehicle identifi-
cation number'' means an identifying number, serial number, engine
number, transmission number or other distinguishing number or mark,
placed on a vehicle, engine, transmission or other essential part by its
manufacturer or by authority of the division of vehicles or the Kansas
highway patrol or in accordance with the laws of another state or country.

      (d) The checks made under subsection (b) may be made by:

      (1) A designee of the superintendent of the Kansas highway patrol;
or

      (2) an employee of a new vehicle dealer, as defined in subsection (b)
of K.S.A. 8-2401, and amendments thereto, for the purposes provided for
in subsection (f). For checks made by a designee, $1 of each charge shall
be remitted to the Kansas highway patrol and the balance of such charges
shall be retained by such designee. When a check is made under either
subsection (a) or (b) by personnel of the Kansas highway patrol or when
a check is made under subsection (b) by an employee of a new vehicle
dealer, the entire amount of the charge therefor shall be paid to the
highway patrol.

      (e) There is hereby created the vehicle identification number fee
fund. The Kansas highway patrol shall remit all moneys received by the
Kansas highway patrol from fees collected under subsection (d) to the
state treasurer at least monthly in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury
to the credit of the vehicle identification number fee fund. All expendi-
tures from the vehicle identification number fee fund shall be made in
accordance with appropriations acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the super-
intendent of the Kansas highway patrol or by a person or persons desig-
nated by the superintendent.

      (f) An employee of a new vehicle dealer, who has received initial
training and certification from the highway patrol, and has met continuing
certification requirements, in accordance with rules and regulations
adopted by the superintendent of the highway patrol, may provide the
checks under subsection (b), in accordance with rules and regulations
adopted by the superintendent of the highway patrol, on motor vehicles
repurchased or reacquired by a manufacturer, distributor or financing
subsidiary of such manufacturer and which are purchased by the new
vehicle dealer. At any time, after a hearing in accordance with the pro-
visions of the Kansas administrative procedure act, the superintendent of
the highway patrol may revoke, suspend, decline to renew or decline to
issue certification for failure to comply with the provisions of this sub-
section, including any rules and regulations.

      Sec.  25. K.S.A. 2000 Supp. 8-132 is hereby amended to read as fol-
lows: 8-132. (a) Subject to the provisions of this section and K.S.A. 8-
1,125, and amendments thereto, the division of vehicles shall furnish to
every owner whose vehicle shall be registered one license plate for such
vehicle. Such license plate shall have displayed on it the registration num-
ber assigned to the vehicle and to the owner thereof, the name of the
state, which may be abbreviated, and the year or years for which it is
issued. The same type of license plates shall be issued for passenger motor
vehicles, rented without a driver, as are issued for private passenger ve-
hicles.

      (b) During calendar year 1975 commencing on the effective date of
this act, and during every fifth calendar year thereafter, the division of
vehicles, shall furnish one license plate for any type of vehicle an owner
registers or has the registration thereof renewed, but during the suc-
ceeding four-year period following calendar year 1975 and during the
succeeding four-year period following every fifth calendar year subse-
quent to 1975, the division of vehicles shall not furnish any license plate
for the renewal of a vehicle's registration. During calendar year 1976 and
during each calendar year thereafter in which a license plate is not issued
for the renewal of registration of a vehicle, the division of vehicles shall
furnish one decal for the license plate issued for a vehicle as provided in
K.S.A. 8-134, and amendments thereto, for each registration and renewal
of registration of such vehicle. Notwithstanding the foregoing provisions
of this subsection, whenever, in the discretion of the director of vehicles,
it is determined that the license plates currently being issued and dis-
played are not deteriorating to the extent that their replacement is war-
ranted, the director may adopt rules and regulations to extend the five-
year issuance cycle provided for in this subsection by one year at a time,
and in the same manner the director may further extend such cycle by
one year at a time, successively as the director determines appropriate.
If the cycle is extended, at the expiration of the extended term, new
license plates shall again be issued in the manner and for the term pro-
vided in such rules and regulations.

      (c) Two personalized license plates may be issued to any owner or
lessee of a passenger vehicle or a truck licensed for a gross weight of not
more than 20,000 pounds, who makes proper application to the division
of vehicles not less than 60 days prior to such owner's or lessee's renewal
of registration date. Such application shall be on a form prescribed by
the division and accompanied by a fee of $40, which shall be in addition
to any other fee required to renew the registration of such passenger
vehicle under the laws of this state. One such personalized license plate
shall be displayed on the rear of the vehicle and the other shall be dis-
played on the front of the vehicle. One personalized license plate may be
issued to any owner of a motorcycle upon proper application in the same
manner provided in this subsection (c) for passenger vehicles and trucks.
Such personalized license plate shall be displayed on the rear of the mo-
torcycle. Such fee shall be paid only once during the registration period
for which such license plates were issued, and any subsequent renewals
during the registration period shall be subject only to the registration fee
prescribed by K.S.A. 8-143, and amendments thereto. The division shall
design distinctive, personalized license plates to be issued which shall
contain not more than seven letters or numbers on truck or passenger
vehicle license plates and not more than five letters or numbers on mo-
torcycle license plates, or a combination thereof, to be designated by the
applicant in lieu of the letters and numbers required by K.S.A. 8-147, and
amendments thereto, other than the letters required to designate the
county in which such vehicle is registered. Unless the letters or numbers
designated by the applicant have been assigned to another vehicle of the
same type registered in the same county, or unless the letters or numbers
designated by the applicant have a profane, vulgar, lewd or indecent
meaning or connotation, as determined by the director of vehicles, the
division shall assign such letters or numbers to the applicant's vehicle,
and the letters or numbers, or combination thereof, so assigned shall be
deemed the registration number of such vehicle. Subject to the foregoing
provisions, all license plates issued under this section shall be manufac-
tured in accordance with K.S.A. 8-147, and amendments thereto. Such
license plates shall be issued for a registration period of five years com-
mencing in 1985 and each five years thereafter.

      The secretary of revenue shall adopt rules and regulations necessary to
carry out the provisions of this act, including, without limitation, rules
and regulations concerning (1) the procedure for insuring that duplicate
license plates are not issued in the same county, (2) the procedure for
reserving distinctive license plates for the purpose of obtaining the same
on each annual renewal of registration, (3) the procedure for allowing the
transfer of personalized license plates from one vehicle to another for
which such license plates were originally issued, when the title to the
original vehicle has not been transferred and the name or names of the
owner or owners listed on the titles to both vehicles are identical, and (4)
procedures necessary to coordinate this act with other laws of this state
governing registration of vehicles. The director of vehicles shall remit all
moneys received by the division of vehicles under this section to the state
treasurer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury to the credit of the state highway fund.

      Sec.  26. K.S.A. 2000 Supp. 8-143g is hereby amended to read as
follows: 8-143g. A motor vehicle dealer licensed in this state or in a state
contiguous to this state, who is the owner of a truck or truck tractor which
the owner desires to demonstrate under actual working conditions by
having it operated by the prospective purchaser in interstate or intrastate
commerce on the highways of this state, in lieu of obtaining a regular
registration for such vehicle, may obtain from the division, or an agent
designated by director of vehicles, a trip permit authorizing such dem-
onstration and operation for a period of: (a) Seventy-two hours upon
making proper application and the payment of a fee of $26; or (b) fifteen
days upon making proper application and the payment of a fee of $100.
A dealer may purchase such demonstration permits in multiples of three
upon making proper application and the payment of required fees. The
application shall be to the division on a form prescribed and furnished by
the director of vehicles. The name of the prospective purchaser must be
shown on the application. A dealer purchasing permits in multiples, shall
complete the application and permit as required by the division and mail
a copy of such application to the division within 24 hours from the date
of issuance of such permit. Only one such permit may be used by the
same prospective purchaser on the same truck or truck tractor. Whenever
a truck or truck tractor is operated under the authority of a trip permit
issued hereunder it also shall have displayed thereon a dealer's registra-
tion plate which has been issued by this state or a state contiguous to this
state to the dealer who is the owner of such truck or truck tractor. The
provision of K.S.A. 8-136, and amendments thereto, prohibiting the haul-
ing of commodities in excess of two tons by a vehicle displaying a dealer
plate shall not apply to a truck or truck tractor being operated under a
trip permit as authorized by this section. This section shall be construed
as a part of and supplementary to the motor vehicle registration law of
this state. The division shall remit all fees collected under this section
shall be paid into the state treasury by the division and to the state trea-
surer in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury shall credit the same
to the credit of the state highway fund.

      Sec.  27. K.S.A. 2000 Supp. 8-145 is hereby amended to read as fol-
lows: 8-145. (a) All registration and certificates of title fees shall be paid
to the county treasurer of the county in which the applicant for registra-
tion resides or has an office or principal place of business within this state,
and the county treasurer shall issue a receipt in triplicate, on blanks fur-
nished by the division of vehicles, one copy of which shall be filed in the
county treasurer's office, one copy shall be delivered to the applicant and
the original copy shall be forwarded to the director of vehicles.

      (b) The county treasurer shall deposit $.75 of each license applica-
tion, $.75 out of each application for transfer of license plate and $2 out
of each application for a certificate of title, collected by such treasurer
under this act, in a special fund, which fund is hereby appropriated for
the use of the county treasurer in paying for necessary help and expenses
incidental to the administration of duties in accordance with the provi-
sions of this law and extra compensation to the county treasurer for the
services performed in administering the provisions of this act, which com-
pensation shall be in addition to any other compensation provided by any
other law, except that the county treasurer shall receive as additional
compensation for administering the motor vehicle title and registration
laws and fees, a sum computed as follows: The county treasurer, during
the month of December, shall determine the amount to be retained for
extra compensation not to exceed the following amounts each year for
calendar year 1990 or any calendar year thereafter: The sum of $60 per
hundred registrations for the first 5,000 registrations; the sum of $45 per
hundred registrations for the next 5,000 registrations; and the sum of $2
per hundred registrations for all registrations thereafter. In no event,
however, shall any county treasurer be entitled to receive more than
$9,800 additional annual compensation.

      If more than one person shall hold the office of county treasurer during
any one calendar year, such compensation shall be prorated among such
persons in proportion to the number of weeks served. The total amount
of compensation paid the treasurer together with the amounts expended
in paying for other necessary help and expenses incidental to the admin-
istration of the duties of the county treasurer in accordance with the
provisions of this act, shall not exceed the amount deposited in such spe-
cial fund. Any balance remaining in such fund at the close of any calendar
year shall be withdrawn and credited to the general fund of the county
prior to June 1 of the following calendar year.

      (c) The county treasurer shall remit the remainder of all such fees
collected, together with the original copy of all applications, to the sec-
retary of revenue. Except as provided in subsection (d), The secretary of
revenue shall remit all such fees remitted to the secretary of revenue shall
be deposited with the state treasurer and credited in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury to the credit of the state highway fund, except as
provided in subsection (d).

      (d)  (1) On July 1, 1997, through June 30, 2004, $2.50 of each certif-
icate of title fee collected and remitted to the secretary of revenue, shall
be deposited with remitted to the state treasurer and credited who shall
credit such $2.50 to the Kansas highway patrol motor vehicle fund. On
July 1, 1999, through June 30, 2002, $1 of each certificate of title fee
collected and remitted to the secretary of revenue, shall be deposited
with remitted to the state treasurer and credited who shall credit such $1
to the VIPS/CAMA technology hardware fund.

      (2) For repossessed vehicles, $3 of each certificate of title fee col-
lected and remitted to the secretary of revenue, shall be deposited with
remitted to the state treasurer and credited who shall credit such $3 to
the repossessed certificates of title fee fund.

      Sec.  28. K.S.A. 2000 Supp. 8-146 is hereby amended to read as fol-
lows: 8-146. The division of vehicles shall, at least monthly, deposit all
fees remitted to remit all fees received by the division under this act with
to the state treasurer and credited in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury and credit such fees in accordance with K.S.A. 8-145, and
amendments thereto.

      Sec.  29. K.S.A. 2000 Supp. 8-1,101 is hereby amended to read as
follows: 8-1,101. (a) An owner engaged in operating a fleet in this state
in interstate commerce may, in lieu of registration of such fleet under
the provisions of K.S.A. 8-126 to 8-149, inclusive, and amendments
thereto, register such fleet for operation in this state upon payment of
fees prescribed by this act and the filing of an application with the division
of vehicles in a manner and upon a form prescribed by the division, or in
accordance with the provisions of any apportioned fleet registration
agreement made by this state. The application shall be signed by the
owner, if an individual, or an officer or proper representative of an entity
other than an individual, and such application shall contain the following
and any other information pertinent to the registration of a fleet as the
division of vehicles may require: (1) Name and base address of the owner
of the fleet; (2) total fleet miles; and (3) a description of each fleet vehicle
by year of manufacture, name of manufacturer, the identification or serial
number, the declared gross weight of each motor vehicle, and the number
of axles under each listed fleet vehicle.

      (b) Fleet vehicles so registered shall be determined to be fully li-
censed and registered in this state, and shall be exempt from further
registration and license fees under the provisions of K.S.A. 8-126 to 8-
149, inclusive, and amendments thereto, but nothing in this act shall be
deemed to relieve any owner of fleet vehicles operated in intrastate com-
merce in this state, from any duty to register and operate in conformity
with requirements of the state corporation commission.

      (c) If so authorized by any bilateral or multijurisdictional agreement
lawfully entered into by the director of vehicles, the director may collect
and forward applicable registration fees and applications to other juris-
dictions and may take such other action on behalf of the applicant or
another jurisdiction as will facilitate the administration of such agree-
ments, including deposits for the state of Kansas and disbursal of refunds.
Amounts collected under such agreements shall be remitted by the di-
rector to the state treasurer daily in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury and credit such amount to the credit of the international regis-
tration plan clearing fund. Payments due and owing to member jurisdic-
tions under any bilateral or multijurisdictional agreement and refunds for
overpayment of fees shall be made from such fund. The director shall
reconcile such clearing fund balances monthly and transfer the balance
to the state highway fund. The funds shall be invested in the same manner
as provided in K.S.A. 68-2324, and amendments thereto, and all earnings
shall be deposited in the state treasury and credited to the state highway
fund.

      Sec.  30. K.S.A. 2000 Supp. 8-1,112 is hereby amended to read as
follows: 8-1,112. Whenever the director of vehicles shall make an agree-
ment, consent, arrangement, contract or declaration with the proper au-
thority of another jurisdiction for the apportioned registration of fleet
vehicles, each commercial truck and truck tractor which is based or reg-
istered in such other jurisdiction, and which truck or truck tractor would
otherwise be subject to apportioned fleet registration, if such fleet is op-
erated in Kansas by the owner thereof, the operator of such truck or truck
tractor shall be required to carry a Kansas interstate reciprocity permit in
the cab in order to be entitled to operate in interstate commerce on the
highways of this state without being registered in this state. Such Kansas
interstate reciprocity permits shall be issued by the division of vehicles
upon application and payment of a fee of $5. Such permits shall be issued
for a calendar or registration year. The application for such permit shall
be made on a form prescribed and furnished by the director of vehicles.
The permit issued shall be in cab card form, and shall contain such in-
formation as shall be sufficient to identify the vehicle for which it is issued,
and such other information as the director of vehicles shall deem nec-
essary. All moneys received for such permits shall be paid into the state
treasury, and remitted to the state treasurer in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount in the
state treasury shall credit the same to the credit of the state highway fund.
This section shall be supplemental to and part of the motor vehicle reg-
istration act of this state.

      The interstate reciprocity permit or the fee or both such fee and permit
may be waived in accordance with any agreement, consent, declaration
or arrangement between this state and any other state, province or coun-
try entered into as provided by K.S.A. 74-4302, and amendments thereto.

      Sec.  31. K.S.A. 2000 Supp. 8-241 is hereby amended to read as fol-
lows: 8-241. (a) Except as provided in K.S.A. 8-2,125 through 8-2,142,
and amendments thereto, any person licensed to operate a motor vehicle
in this state shall submit to an examination whenever: (1) The division of
vehicles has good cause to believe that such person is incompetent or
otherwise not qualified to be licensed; or (2) the division of vehicles has
suspended such person's license pursuant to K.S.A. 8-1014, and amend-
ments thereto, as the result of a test refusal, test failure or conviction for
a violation of K.S.A. 8-1567, and amendments thereto, or a violation of
city ordinance or county resolution prohibiting the acts prohibited by
K.S.A. 8-1567, and amendments thereto, except that no person shall have
to submit to and successfully complete an examination more than once
as the result of separate suspensions arising out of the same occurrence.

      (b) When a person is required to submit to an examination pursuant
to subsection (a)(1), the fee for such examination shall be in the amount
provided by K.S.A 8-240, and amendments thereto. When a person is
required to submit to an examination pursuant to subsection (a)(2), the
fee for such examination shall be $5. In addition, any person required to
submit to an examination pursuant to subsection (a)(2) shall be required,
at the time of examination, to pay a reinstatement fee of $50. All exami-
nation fees collected pursuant to this section shall be disposed of as pro-
vided in K.S.A. 8-267, and amendments thereto. All reinstatement fees
collected pursuant to this section shall be remitted to the state treasurer,
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto, who shall deposit the entire amount in the state treasury and
credit 50% to the community alcoholism and intoxication programs fund
created pursuant to K.S.A. 41-1126, and amendments thereto, 20% to
the juvenile detention facilities fund created by K.S.A. 79-4803, and
amendments thereto, 20% to the forensic laboratory and materials fee
fund cited in K.S.A. 28-176, and amendments thereto, and 10% to the
driving under the influence equipment fund created by K.S.A. 75-5660,
and amendments thereto. Moneys credited to the forensic laboratory and
materials fee fund as provided herein shall be used to supplement existing
appropriations and shall not be used to supplant general fund appropri-
ations to the Kansas bureau of investigation.

      (c) When an examination is required pursuant to subsection (a), at
least five days' written notice of the examination shall be given to the
licensee. The examination administered hereunder shall be at least equiv-
alent to the examination required by subsection (e) of K.S.A. 8-247, and
amendments thereto, with such additional tests as the division deems
necessary. Upon the conclusion of such examination, the division shall
take action as may be appropriate and may suspend or revoke the license
of such person or permit the licensee to retain such license, or may issue
a license subject to restrictions as permitted under K.S.A. 8-245, and
amendments thereto.

      (d) Refusal or neglect of the licensee to submit to an examination as
required by this section shall be grounds for suspension or revocation of
the license.

      Sec.  32. K.S.A. 2000 Supp. 8-255 is hereby amended to read as fol-
lows: 8-255. (a) The division is authorized to suspend or revoke a person's
driving privileges upon a showing by its records or other sufficient evi-
dence the person:

      (1) Has been convicted with such frequency of serious offenses
against traffic regulations governing the movement of vehicles as to in-
dicate a disrespect for traffic laws and a disregard for the safety of other
persons on the highways;

      (2) has been convicted of three or more moving traffic violations com-
mitted on separate occasions within a 12-month period;

      (3) is incompetent to drive a motor vehicle;

      (4) has been convicted of a moving traffic violation, committed at a
time when the person's driving privileges were suspended or revoked; or

      (5) is a member of the armed forces of the United States stationed
at a military installation located in the state of Kansas, and the authorities
of the military establishment certify that such person's on-base driving
privileges have been suspended, by action of the proper military author-
ities, for violating the rules and regulations of the military installation
governing the movement of vehicular traffic or for any other reason re-
lating to the person's inability to exercise ordinary and reasonable control
in the operation of a motor vehicle.

      (b) The division shall suspend a person's driving privileges when re-
quired by K.S.A. 8-262 or 8-1014, and amendments thereto, and K.S.A.
2000 Supp. 21-3765, and amendments thereto, and shall disqualify a per-
son's privilege to drive commercial motor vehicles when required by
K.S.A. 8-2,142, and amendments thereto.

      (c) When the action by the division suspending, revoking or disqual-
ifying a person's driving privileges is based upon a report of a conviction
or convictions from a convicting court, the person may not request a
hearing but, within 30 days after notice of suspension, revocation or dis-
qualification is mailed, may submit a written request for administrative
review and provide evidence to the division to show the person whose
driving privileges have been suspended, revoked or disqualified by the
division was not convicted of the offense upon which the suspension,
revocation or disqualification is based. Within 30 days of its receipt of the
request for administrative review, the division shall notify the person
whether the suspension, revocation or disqualification has been affirmed
or set aside. The request for administrative review shall not stay any action
taken by the division.

      (d) Upon suspending, revoking or disqualifying the driving privileges
of any person as authorized by this act, the division shall immediately
notify the person in writing. Except as provided by K.S.A. 8-1002 and 8-
2,145, and amendments thereto, and subsection (c) of this section, if the
person makes a written request for hearing within 30 days after such
notice of suspension or revocation is mailed, the division shall afford the
person an opportunity for a hearing as early as practical not sooner than
five days nor more than 30 days after such request is mailed. If the division
has not revoked or suspended the person's driving privileges or vehicle
registration prior to the hearing, the hearing may be held within not to
exceed 45 days. Except as provided by K.S.A. 8-1002 and 8-2,145, and
amendments thereto, the hearing shall be held in the person's county of
residence or a county adjacent thereto, unless the division and the person
agree that the hearing may be held in some other county. Upon the
hearing, the director or the director's duly authorized agent may admin-
ister oaths and may issue subpoenas for the attendance of witnesses and
the production of relevant books and papers and may require an exami-
nation or reexamination of the person. When the action proposed or taken
by the division is authorized but not required, the division, upon the
hearing, shall either rescind or affirm its order of suspension or revocation
or, good cause appearing therefor, extend the suspension of the person's
driving privileges, modify the terms of the suspension or revoke the per-
son's driving privileges. When the action proposed or taken by the division
is required, the division, upon the hearing, shall either affirm its order of
suspension, revocation or disqualification, or, good cause appearing there-
for, dismiss the administrative action. If the person fails to request a
hearing within the time prescribed or if, after a hearing, the order of
suspension, revocation or disqualification is upheld, the person shall sur-
render to the division, upon proper demand, any driver's license in the
person's possession.

      (e) In case of failure on the part of any person to comply with any
subpoena issued in behalf of the division or the refusal of any witness to
testify to any matters regarding which the witness may be lawfully inter-
rogated, the district court of any county, on application of the division,
may compel obedience by proceedings for contempt, as in the case of
disobedience of the requirements of a subpoena issued from the court or
a refusal to testify in the court. Each witness who appears before the
director or the director's duly authorized agent by order or subpoena,
other than an officer or employee of the state or of a political subdivision
of the state, shall receive for the witness' attendance the fees and mileage
provided for witnesses in civil cases in courts of record, which shall be
audited and paid upon the presentation of proper vouchers sworn to by
the witness.

      (f) The division, in the interest of traffic and safety, may establish
driver improvement clinics throughout the state and, upon reviewing the
driving record of a person whose driving privileges are subject to suspen-
sion under subsection (a)(2), may permit the person to retain such per-
son's driving privileges by attending a driver improvement clinic. A person
who is required to attend a driver improvement clinic shall pay a fee of
$15. Amounts received under this subsection shall be remitted at least
monthly to the state treasurer who in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the same in the state treasury
and shall be credited to the credit of the division of vehicles operating
fund.

      Sec.  33. K.S.A. 8-267 is hereby amended to read as follows: 8-267.
All moneys received under this act shall be paid over remitted by the
secretary of revenue to the state treasurer who in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and shall:

      (a) Credit 37.5% of all moneys so received from class C driver's li-
censes and 20% of all moneys so received from class M driver's licenses
and 20% of all moneys so received from class A or B driver's licenses and
20% of all moneys so received from all commercial driver licensee classes
remaining after the $2 credit provided in subsection (c) to a special fund,
which is hereby created and shall be known as the ``state safety fund'';

      (b) credit 20% of all moneys so received from class M driver's licenses
to a special fund which is hereby created and shall be known as the
``motorcycle safety fund''; and

      (c) credit $2 from each commercial driver's license fee to a special
fund which is hereby created and shall be known as the ``truck driver
training fund.''

      Moneys in the state safety fund and in the motorcycle safety fund shall
be distributed to provide funds for driver training courses in the schools
in Kansas and for the administration of this act, as the legislature shall
provide. In addition, moneys in the motorcycle safety fund shall be dis-
tributed to provide funds for courses in motorcycle safety in community
colleges in Kansas. Moneys in the truck driver training fund shall be
distributed to provide funds for courses in truck driver training in com-
munity colleges, area vocational schools and area vocational-technical
schools in Kansas. Except as otherwise provided by K.S.A. 8-241, and
amendments thereto, the state treasurer shall credit the balance of all
moneys received under this act, including all moneys received from com-
mercial driver's license endorsements to the state highway fund.

      Sec.  34. K.S.A. 8-280 is hereby amended to read as follows: 8-280.
All moneys received under this act shall be deposited with remitted to
the state treasurer and credited in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury to the credit of the state safety fund created by K.S.A. 8-267,
and amendments thereto.

      Sec.  35. K.S.A. 2000 Supp. 8-1008 is hereby amended to read as
follows: 8-1008. (a) Community-based alcohol and drug safety action pro-
grams certified in accordance with subsection (b) shall provide:

      (1) Presentence alcohol and drug evaluations of any person who is
convicted of a violation of K.S.A. 8-1567, and amendments thereto, or
the ordinance of a city in this state which prohibits the acts prohibited by
that statute;

      (2) supervision and monitoring of all persons who are convicted of a
violation of K.S.A. 8-1567, and amendments thereto, or the ordinance of
a city in this state which prohibits the acts prohibited by that statute, and
whose sentences or terms of probation require completion of an alcohol
and drug safety action program, as provided in this section, or an alcohol
and drug abuse treatment program, as provided in this section;

      (3) alcohol and drug evaluations of persons whom the prosecutor con-
siders for eligibility or finds eligible to enter a diversion agreement in lieu
of further criminal proceedings on a complaint alleging a violation of
K.S.A. 8-1567, and amendments thereto, or the ordinance of a city in this
state which prohibits the acts prohibited by that statute;

      (4) supervision and monitoring of persons required, under a diversion
agreement in lieu of further criminal proceedings on a complaint alleging
a violation of K.S.A. 8-1567, and amendments thereto, or the ordinance
of a city in this state which prohibits the acts prohibited by that statute,
to complete an alcohol and drug safety action program, as provided in
this section, or an alcohol and drug abuse treatment program, as provided
in this section; or

      (5) any combination of (1), (2), (3) and (4).

      (b) The presentence alcohol and drug evaluation shall be conducted
by a community-based alcohol and drug safety action program certified
in accordance with the provisions of this subsection to provide evaluation
and supervision services as described in subsections (c) and (d). A com-
munity-based alcohol and drug safety action program shall be certified
either by the chief judge of the judicial district to be served by the pro-
gram or by the secretary of social and rehabilitation services for judicial
districts in which the chief judge declines to certify a program. In addition
to any qualifications established by the secretary, the chief judge may
establish qualifications for the certification of programs, which qualifi-
cations may include requirements for training, education and certification
of personnel; supervision and monitoring of clients; fee reimbursement
procedures; handling of conflicts of interest; delivery of services to clients
unable to pay; and other matters relating to quality and delivery of services
by the program. In establishing the qualifications for programs, the chief
judge or the secretary shall give preference to those programs which have
had practical experience prior to July 1, 1982, in diagnosis and referral in
alcohol and drug abuse. Certification of a program by the chief judge
shall be done with consultation and approval of a majority of the judges
of the district court of the district and municipal judges of cities lying in
whole or in part within the district. If within 60 days after the effective
date of this act the chief judge declines to certify any program for the
judicial district, the judge shall notify the secretary of social and rehabil-
itation services, and the secretary of social and rehabilitation services shall
certify a community-based alcohol and drug safety action program for
that judicial district. The certification shall be for a four-year period. Re-
certification of a program or certification of a different program shall be
by the chief judge, with consultation and approval of a majority of the
judges of the district court of the district and municipal judges of cities
lying in whole or in part within the district. If upon expiration of certifi-
cation of a program there will be no certified program for the district and
the chief judge declines to recertify or certify any program in the district,
the judge shall notify the secretary of social and rehabilitation services, at
least six months prior to the expiration of certification, that the judge
declines to recertify or certify a program under this subsection. Upon
receipt of the notice and prior to the expiration of certification, the sec-
retary shall recertify or certify a community-based alcohol and drug safety
action program for the judicial district for the next four-year period. To
be eligible for certification under this subsection, the chief judge or the
secretary of social and rehabilitation services shall determine that a com-
munity-based alcohol and drug safety action program meets the qualifi-
cations established by the judge or secretary and is capable of providing,
within the judicial district: (1) The evaluations, supervision and monitor-
ing required under subsection (a); (2) the alcohol and drug evaluation
report required under subsection (c) or (d); (3) the follow-up duties spec-
ified under subsection (c) or (d) for persons who prepare the alcohol and
drug evaluation report; and (4) any other functions and duties specified
by law. Community-based alcohol and drug safety action programs per-
forming services in any judicial district under this section prior to the
effective date of this act may continue to perform those services until a
community-based alcohol and drug safety action program is certified for
that judicial district.

      (c) A presentence alcohol and drug evaluation shall be conducted on
any person who is convicted of a violation of K.S.A. 8-1567, and amend-
ments thereto, or the ordinance of a city in this state which prohibits the
acts prohibited by that statute. The presentence alcohol and drug evalu-
ation report shall be made available to and shall be considered by the
court prior to sentencing. The presentence alcohol and drug evaluation
report shall contain a history of the defendant's prior traffic record, char-
acteristics and alcohol or drug problems, or both, and a recommendation
concerning the amenability of the defendant to education and rehabili-
tation. The presentence alcohol and drug evaluation report shall include
a recommendation concerning the alcohol and drug driving safety edu-
cation and treatment for the defendant. The presentence alcohol and
drug evaluation report shall be prepared by a program which has dem-
onstrated practical experience in the diagnosis of alcohol and drug abuse.
The duties of persons who prepare the presentence alcohol and drug
evaluation report may also include appearing at sentencing and probation
hearings in accordance with the orders of the court, monitoring defen-
dants in the treatment programs, notifying the probation department and
the court of any defendant failing to meet the conditions of probation or
referrals to treatment, appearing at revocation hearings as may be re-
quired and providing assistance and data reporting and program evalua-
tion. The cost of any alcohol and drug education, rehabilitation and treat-
ment programs for any person shall be paid by such person, and such
costs shall include, but not be limited to, the assessments required by
subsection (e). If financial obligations are not met or cannot be met, the
sentencing court shall be notified for the purpose of collection or review
and further action on the defendant's sentence.

      (d) An alcohol and drug evaluation shall be conducted on any person
whom the prosecutor considers for eligibility or finds eligible to enter a
diversion agreement in lieu of further criminal proceedings on a com-
plaint alleging a violation of K.S.A. 8-1567, and amendments thereto, or
the ordinance of a city in this state which prohibits the acts prohibited by
that statute. The alcohol and drug evaluation report shall be made avail-
able to the prosecuting attorney and shall be considered by the prose-
cuting attorney. The alcohol and drug evaluation report shall contain a
history of the person's prior traffic record, characteristics and alcohol or
drug problems, or both, and a recommendation concerning the amena-
bility of the person to education and rehabilitation. The alcohol and drug
evaluation report shall include a recommendation concerning the alcohol
and drug driving safety education and treatment for the person. The al-
cohol and drug evaluation report shall be prepared by a program which
has demonstrated practical experience in the diagnosis of alcohol and
drug abuse. The duties of persons who prepare the alcohol and drug
evaluation report may also include monitoring persons in the treatment
programs, notifying the prosecutor and the court of any person failing to
meet the conditions of diversion or referrals to treatment, and providing
assistance and data reporting and program evaluation. The cost of any
alcohol and drug education, rehabilitation and treatment programs for
any person shall be paid by such person, and such costs shall include, but
not be limited to, the assessments required by subsection (e).

      (e) In addition to any fines, fees, penalties or costs levied against a
person who is convicted of a violation of K.S.A. 8-1567, and amendments
thereto, or the ordinance of a city in this state which prohibits the acts
prohibited by that statute, or who enters a diversion agreement in lieu of
further criminal proceedings on a complaint alleging a violation of that
statute or such an ordinance, $125 shall be assessed against the person
by the sentencing court or under the diversion agreement. The $125
assessment may be waived by the court or, in the case of diversion of
criminal proceedings, by the prosecuting attorney, if the court or prose-
cuting attorney finds that the defendant is an indigent person. Except as
otherwise provided in this subsection, the clerk of the court shall deposit
all assessments received under this section in the alcohol and drug safety
action fund of the court, which fund shall be subject to the administration
of the judge having administrative authority over that court. If the sec-
retary of social and rehabilitation services certifies the community-based
alcohol and drug safety action program for the judicial district in which
the court is located, the clerk of the court shall remit, during the four-
year period for which the program is certified, 15% of all assessments
received under this section to the secretary of social and rehabilitation
services. Moneys credited to the alcohol and drug safety action fund shall
be expended by the court, pursuant to vouchers signed by the judge
having administrative authority over that court, only for costs of the serv-
ices specified by subsection (a) or otherwise required or authorized by
law and provided by community-based alcohol and drug safety action
programs, except that not more than 10% of the money credited to the
fund may be expended to cover the expenses of the court involved in
administering the provisions of this section. In the provision of these
services the court shall contract as may be necessary to carry out the
provisions of this section. The district or municipal judge having admin-
istrative authority over that court shall compile a report and send such
report to the office of the state judicial administrator on or before January
20 of each year, beginning January 20, 1991. Such report shall include,
but not be limited to:

      (1) The balance of the alcohol and drug safety action fund of the court
on December 31 of each year;

      (2) the assessments deposited into the fund during the 12-month pe-
riod ending the preceding December 31; and

      (3) the dollar amounts expended from the fund during the 12-month
period ending the preceding December 31.

      The office of the state judicial administrator shall compile such reports
into a statewide report and submit such statewide report to the legislature
on or before March 1 of each year.

      (f) The secretary of social and rehabilitation services shall remit all
moneys received by the secretary under this section to the state treasurer
at least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of the each such remittance, the state
treasurer shall deposit the entire amount in the state treasury and credit
it to the credit of the certification of community-based alcohol and drug
safety action programs fee fund, which is hereby created. All expenditures
from such fund shall be made in accordance with appropriation acts upon
warrants issued pursuant to vouchers approved by the secretary of social
and rehabilitation services or a person designated by the secretary.

      Sec.  36. K.S.A. 8-1333 is hereby amended to read as follows: 8-1333.
All moneys received pursuant to K.S.A. 8-1324 to 8-1332, inclusive, and
amendments thereto, shall be paid over remitted by the director of the
division of vehicles to the state treasurer who shall credit all moneys
received under this act in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance, the
state treasurer shall deposit the entire amount in the state treasury to the
credit of the state highway fund.

      Sec.  37. K.S.A. 2000 Supp. 8-1911 is hereby amended to read as
follows: 8-1911. (a) The secretary of transportation with respect to high-
ways under the secretary's jurisdiction and local authorities with respect
to highways under their jurisdiction, in their discretion, upon application,
may issue a special permit, which term shall include an authorization
number, to the owner or operator of an oversize or overweight vehicle.
The special permit shall authorize the special permit holder to operate
or move a vehicle or combination of vehicles which exceed the limitations
of this act, on a route, or routes, designated in the special permit and in
accordance with the terms and conditions of the special permit.

      (b) The application for the permit shall describe the vehicle, or com-
bination of vehicles and all loads or cargo for which the special permit is
requested, the route or routes on which operation is sought and whether
a single trip or annual operation is requested. One special permit may be
issued for a vehicle or combination of vehicles, that are both oversize and
overweight. A special permit under this section may be for a single trip
or for annual operation. The special permit shall designate the route or
routes that may be used and any other terms, conditions or restrictions
deemed necessary. The secretary of transportation shall charge a fee for
each permit or authorization number issued as provided for in subsection
(f). No permit shall be required to authorize the moving or operating
upon any highway of farm tractors, combines, fertilizer dispensing equip-
ment or other farm machinery, or machinery being transported to be used
for terracing or soil or water conservation work upon farms, or vehicles
owned by counties, cities and other political subdivisions of the state,
except that this sentence shall not: (1) Exempt trucks owned by counties,
cities and other political subdivisions specifically designed and equipped
and used exclusively for garbage, refuse or solid waste disposal operations
from the maximum gross weight limitations contained in the table in
K.S.A. 8-1909, and amendments thereto; or (2) authorize travel on inter-
state highways.

      (c) A permit shall be valid only when the registration on the power
unit is equal to or exceeds the total gross weight of the vehicle. When the
gross weight of the vehicle exceeds the upper limit of the available reg-
istration, the maximum amount of registration must be purchased.

      (d) The secretary or local authority may issue or withhold the permit
at the secretary's or local authority's discretion or may limit the number
of trips, or establish seasonal or other time limitations within which the
vehicles described may be operated on the highways, or may otherwise
limit or prescribe conditions of operations of such vehicle or combination
of vehicles, when necessary to assure against undue damage to the road.
The secretary or local authority may require such undertaking or other
security as may be deemed necessary to compensate for any injury to any
roadway or road structure.

      (e) Every permit shall be carried in the vehicle or combination of
vehicles to which it refers and shall be open to inspection by any police
officer or authorized agent of any authority granting the permit. It shall
be unlawful for any person to violate any of the terms or conditions of
special permit.

      (f) The secretary of transportation shall charge and collect fees as
follows:

      (1) Five dollars for each single-trip permit;

      (2) twenty-five dollars for a five-year permit for vehicles authorized
to move bales of hay under subsection (j) on noninterstate highways;

      (3) one hundred and twenty-five dollars for each annual permit; or

      (4) two thousand dollars per year for each qualified carrier company
for special vehicle combination permits authorized under K.S.A. 8-1915,
and amendments thereto, plus $50 per year for each power unit operating
under such annual permit.

      No fees shall be charged for permits issued for vehicles owned by
counties, cities and other political subdivisions of the state. All permit
fees received under this section shall be remitted to the state treasurer
who in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the same entire amount in the state treasury and shall be
credited to the credit of the state highway fund. The secretary may adopt
rules and regulations for payment and collection of all fees. The secretary
may adopt rules and regulations implementing the provisions of this sec-
tion to prescribe standards for any permit program to enhance highway
safety.

      (g) If any local authority does not desire to exercise the powers con-
ferred on it by this section to issue or deny permits then such a permit
from the local authority shall not be required to operate any such vehicle
or combination of vehicles on highways under the jurisdiction of such
local authority, but in no event shall the jurisdiction of the local authority
be construed as extending to any portion of any state highway, any city
street designated by the secretary as a connecting link in the state highway
system or any highway within the national system of interstate and de-
fense highways, which highways and streets, for the purpose of this sec-
tion, shall be under the jurisdiction of the secretary.

      (h) A house trailer, manufactured home or mobile home which ex-
ceeds the width as provided in subsection (a) of K.S.A. 8-1902, and
amendments thereto, may be moved on the highways of this state by
obtaining a permit as provided in this section, if:

      (1) The width of such house trailer, manufactured home or mobile
home does not exceed 16 1/2 feet;

      (2) the driver of the vehicle pulling the house trailer, manufactured
home or mobile home has a valid driver's license; and

      (3) the driver carries evidence that the housetrailer, manufactured
home or mobile home, and the vehicle pulling it, are covered by motor
vehicle liability insurance with limits of not less than $100,000 for injury
to any one person, and $300,000 for injury to persons in any one accident,
and $25,000 for injury to property.

      For the purposes of this subsection, the terms ``manufactured home''
and ``mobile home'' shall have the meanings ascribed to them by K.S.A.
58-4202, and amendments thereto.

      (i) Upon proper application stating the description and registration
of each power unit, the secretary of transportation shall issue permits for
a period, from May 1 to November 15, for custom combine operators to
tow custom-combine equipment on a trailer within legal dimensions or a
trailer especially designed for the transportation of combines or combine
equipment at the rate of $10 per power unit. Each application shall be
accompanied by information as required by the secretary. The permit
shall allow custom combine operators to haul two combine headers on
designated interstate highways provided:

      (1) The vehicle plus the load do not exceed 14 feet in width;

      (2) the move is completed during the period beginning 30 minutes
before sunrise and ending 30 minutes after sunset; and

      (3) the vehicle plus the load are not overweight.

      (j) Except as provided in paragraph (2) of subsection (d) of K.S.A. 8-
1902, and amendments thereto, a vehicle loaded with bales of hay which
exceeds the width as provided in subsection (a) of K.S.A. 8-1902, and
amendments thereto, may be moved on any highway designated as a part
of the national network of highways by obtaining a permit as provided by
this section, if:

      (A) The vehicle plus the bales of hay do not exceed 12 feet in width;

      (B) the vehicle plus the bales of hay do not exceed the height au-
thorized under K.S.A. 8-1904, and amendments thereto;

      (C) the move is completed during the period beginning 30 minutes
before sunrise and ending 30 minutes after sunset;

      (D) the vehicle plus the load are not overweight; and

      (E) the vehicle plus the load comply with the signing and marking
requirements of paragraph (3) of subsection (d) of K.S.A. 8-1902, and
amendments thereto.

      (k) If it is determined by the secretary of transportation that a person
has been granted a permit and has not complied with the applicable pro-
visions of this section and the rules and regulations of the secretary of
transportation relating thereto, the secretary may cancel the permit and
may refuse to grant future permits to the individual.

      Sec.  38. K.S.A. 2000 Supp. 8-2110 is hereby amended to read as
follows: 8-2110. (a) Failure to comply with a traffic citation means failure
either to (1) appear before any district or municipal court in response to
a traffic citation and pay in full any fine and court costs imposed or (2)
otherwise comply with a traffic citation as provided in K.S.A. 8-2118, and
amendments thereto. Failure to comply with a traffic citation is a mis-
demeanor, regardless of the disposition of the charge for which such
citation was originally issued.

      (b) In addition to penalties of law applicable under subsection (a),
when a person fails to comply with a traffic citation, except for illegal
parking, standing or stopping, the district or municipal court in which the
person should have complied with the citation shall mail notice to the
person that if the person does not appear in district or municipal court
or pay all fines, court costs and any penalties within 30 days from the date
of mailing, the division of vehicles will be notified to suspend the person's
driving privileges. Upon the person's failure to comply within such 30
days, the district or municipal court shall notify the division of vehicles.
Upon receipt of a report of a failure to comply with a traffic citation under
this subsection, pursuant to K.S.A. 8-255, and amendments thereto, the
division of vehicles shall notify the violator and suspend the license of the
violator until satisfactory evidence of compliance with the terms of the
traffic citation has been furnished the informing court. Upon such com-
pliance the informing court shall notify the division of vehicles and the
suspension or suspension action shall be terminated.

      (c) Except as provided in subsection (d), when the district or munic-
ipal court notifies the division of vehicles of a failure to comply with a
traffic citation pursuant to subsection (b), the court shall assess a rein-
statement fee of $50 for each charge on which the person failed to make
satisfaction regardless of the disposition of the charge for which such
citation was originally issued. Such reinstatement fee shall be in addition
to any fine, district or municipal court costs and other penalties. The court
shall, at least monthly, remit all reinstatement fees to the state treasurer
who in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury and shall credit 50%
of such moneys to the division of vehicles operating fund, 37.5% to the
community alcoholism and intoxication programs fund created by K.S.A.
41-1126, and amendments thereto, and 12.5% to the juvenile detention
facilities fund created by K.S.A. 79-4803, and amendments thereto.

      (d) The district court or municipal court shall waive the reinstatement
fee provided for in subsection (c), if the failure to comply with a traffic
citation was the result of such person enlisting in or being drafted into
the armed services of the United States, being called into service as a
member of a reserve component of the military service of the United
States, or volunteering for such active duty, or being called into service
as a member of the state of Kansas national guard, or volunteering for
such active duty, and being absent from Kansas because of such military
service. In any case of a failure to comply with a traffic citation which
occurred on or after August 1, 1990, and prior to the effective date of
this act, in which a person was assessed and paid a reinstatement fee and
the person failed to comply with a traffic citation because the person was
absent from Kansas because of any such military service, the reinstate-
ment fee shall be reimbursed to such person upon application therefor.
The state treasurer and the director of accounts and reports shall pre-
scribe procedures for all such reimbursement payments and shall create
appropriate accounts, make appropriate accounting entries and issue such
appropriate vouchers and warrants as may be required to make such re-
imbursement payments.

      Sec.  39. K.S.A. 8-2418 is hereby amended to read as follows: 8-2418.
The director shall remit all moneys received by or for the director from
fees, charges or penalties under the provisions of this act to the state
treasurer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury to the credit of the state highway fund.

      Sec.  40. K.S.A. 8-2425 is hereby amended to read as follows: 8-2425.
(a) When a first dealer license plate has been issued under K.S.A. 8-2406,
and amendments thereto, the secretary of revenue may issue full-privilege
license plates to a licensed manufacturer of or licensed dealer in vehicles.
In no calendar year shall the secretary issue in excess of 10 such license
plates to any licensed manufacturer or dealer.

      (b) The annual fee for each full-privilege license plate shall be $350.

      (c) The secretary shall, upon application provided by the secretary
and payment of the fee required in subsection (b), issue to the applicant
appropriate passenger car or truck license plates. Each license plate so
issued shall be a full-privilege license plate which shall expire on the
January 31 next following its issuance.

      (d) Subject to subsection (e), a full-privilege license plate may be used
in lieu of regular vehicle registration and license plate. A full-privilege
license plate may be transferred from one vehicle to another owned or
in inventory of such manufacturer or dealer and may be assigned for use
by any person, at the discretion of the manufacturer or dealer to whom
it is issued. The person to whom a full-privilege license plate is assigned
for use shall be only a person who is: (1) A member of the immediate
family of the licensed manufacturer of or licensed dealer in vehicles; (2)
a corporate officer of the licensed manufacturer of or licensed dealer in
vehicles; or (3) an employee of the licensed manufacturer of or licensed
dealer in vehicles.

      (e) A full-privilege license plate shall not be used on a lease or rental
vehicle. A full-privilege license plate shall not permit any vehicle to be
operated or moved upon a highway to haul commodities weighing in
excess of two tons. A full-privilege license plate shall not be used on a
wrecker or tow truck when providing wrecker or towing service as defined
by K.S.A. 66-1329, and amendments thereto.

      (f) Fees received under this section shall be divided equally between
the county treasurer in which the licensed manufacturer or dealer has its
established place of business and the secretary of revenue. Amounts al-
lotted to the secretary of revenue shall be deposited remitted to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury and credited to
the credit of the vehicle dealers and manufacturers fee fund which fund
is hereby created in the state treasury. Expenditures from the vehicle
dealers and manufacturers fee fund shall be made on vouchers approved
by the secretary of revenue, or a person designated by the secretary, for
enforcement of the vehicle dealers and manufacturers licensing act in
accordance with appropriations therefor. Amounts allotted to the county
treasurers shall be credited to the county treasurers' vehicle licensing fee
fund which fund is hereby created in the state treasury. Amounts due
each county treasurer shall be paid quarterly from such fund upon vouch-
ers approved by the secretary of revenue or a person designated by the
secretary. Amounts received by each county treasurer shall be deposited,
appropriated and used as provided by K.S.A. 8-145, and amendments
thereto.

      (g) The provisions of K.S.A. 8-136 and 8-2406, and amendments
thereto, shall not apply to full-privilege license plates or the use thereof.

      (h) This section shall take effect and be in force from and after Jan-
uary 1, 1986.

      Sec.  41. K.S.A. 2000 Supp. 9-1111b is hereby amended to read as
follows: 9-1111b. A bank making application to the state banking board
for approval of a branch bank shall pay to the state bank commissioner a
fee, in an amount established by rules and regulations adopted by the
commissioner, to defray the expenses of the board, commissioner or other
designees in the examination and investigation of the application. The
commissioner shall remit all amounts received under this section to the
state treasurer who shall deposit the same in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount in the
state treasury to the credit of a separate special account in the state treas-
ury for each application. The moneys in each such account shall be used
only to pay the expenses of the board, commissioner or other designees
in the examination and investigation of the application to which it relates
and any unused balance shall be transferred to the bank commissioner
fee fund.

      Sec.  42. K.S.A. 2000 Supp. 9-1135 is hereby amended to read as
follows: 9-1135. (a) Notwithstanding the requirements contained in
K.S.A. 9-1111, and amendments thereto, a bank incorporated under the
laws of this state may establish or operate a trust branch bank anywhere
in this state.

      (b) As used in this section, the term ``trust branch bank'' means any
office, agency or other place of business located within this state, other
than the place of business specified in the bank's certificate of authority,
the sole purpose of which is to exercise those trust powers granted to the
bank by the commissioner pursuant to K.S.A. 9-1602, and amendments
thereto. No trust branch bank established or operated pursuant to this
section shall be authorized to receive deposits, pay checks or lend money
without first applying for and obtaining approval as provided in K.S.A. 9-
1111, and amendments thereto.

      (c) No bank shall establish or operate a trust branch bank or relocate
an existing trust branch bank until the bank has applied for and obtained
approval from the commissioner as provided by this section.

      (d) An application to establish a trust branch bank as provided in this
section shall be in such form and contain such information as is required
by the commissioner and shall include certified copies of the following
documents:

      (1) The written action taken by the board of directors of the bank
approving the proposed trust branch bank or the relocation of an existing
trust branch bank;

      (2) all other required regulatory approvals; and

      (3) an affidavit of publication of notice of intent to file an application
to establish or operate a trust branch bank or relocate an existing trust
branch bank. The publication of the notice shall be on the same day for
two consecutive weeks in the official newspaper of the city or county
where the proposed trust branch bank is to be located. The notice shall
be in the form prescribed by the commissioner and shall contain the name
of the applicant, the location of the proposed trust branch bank, the pro-
posed date of filing of the application with the commissioner, a solicitation
for written comments concerning the application and a notice of the pub-
lic's right to file a written request for a public hearing for the purpose of
presenting oral or written evidence regarding the proposed trust branch
bank. All comments and requests for public hearing shall be filed with
the commissioner on or before the 30th day after the date the application
is filed.

      (e) A bank making application to the commissioner for approval of a
trust branch bank pursuant to this section shall pay to the commissioner
a fee, in an amount established by rules and regulations of the commis-
sioner, adopted pursuant to K.S.A. 9-1713, and amendments thereto, to
defray the expenses of the commissioner or designee in the examination
and investigation of the application. The commissioner shall remit all
amounts received under this section to the state treasurer who shall de-
posit the same in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury to the credit of
a separate account in the state treasury for each application. The moneys
in each such account shall be used to pay the expenses of the commis-
sioner or designee in the examination and investigation of the application
to which it relates and any unused balance shall be transferred to the
bank commissioner fee fund.

      (f) Upon the filing of any such application with the commissioner,
the commissioner shall make or cause to be made, a careful examination
and investigation concerning:

      (1) The reasonable probability of usefulness and success of the pro-
posed trust branch bank;

      (2) the applicant bank's financial history and condition including the
character, qualifications and experience of the officers employed by the
bank; and

      (3) whether the proposed trust branch bank can be established with-
out undue injury to properly conducted existing banks, national banking
associations and trust companies.

      If the commissioner determines any of such matters unfavorably to the
applicants, the application shall be disapproved, but if not, the application
shall be approved.

      (g) If no written request for public hearing is filed, the commissioner
shall render approval or disapproval of the application within 60 days after
the date upon which the application was filed.

      (h) If a written request for public hearing is filed, the commissioner
shall hold a public hearing in a location determined by the commissioner
within 30 days of the close of the comment period. Notice of the time,
date and place of such hearing shall be published, by the applicant, in a
newspaper of general circulation in the county where the proposed trust
branch bank is to be located, not less than 10 or more than 30 days prior
to the date of the hearing, and an affidavit of publication shall be filed
with the commissioner. At any such hearing, all interested persons shall
be allowed to present written and oral evidence to the commissioner in
support of or in opposition to the application. Upon completion of a tran-
script of the testimony given at such hearing, the transcript shall be filed
in the office of the commissioner. Within 14 days after the public hearing,
the commissioner shall approve or disapprove the application after con-
sideration of the application and evidence gathered during the commis-
sioner's investigation.

      (i) The commissioner may extend the period for approval or disap-
proval if the commissioner determines that any information required by
this section has not been furnished, any material information submitted
is inaccurate or additional investigation is required. The commissioner,
prior to expiration of the application period provided in this section, shall
give written notice to the applicant of the commissioner's intent to extend
the period. Such notice shall include a specific date for expiration of the
extension period. If any information remains incomplete or inaccurate
upon the expiration of the extension period the application shall be dis-
approved.

      (j) Within 15 days after the date of the commissioner's approval or
disapproval of the application, the applicant or any individual or corpo-
ration who filed a request for and presented evidence at the public hear-
ing shall have the right to appeal in writing to the state banking board
the commissioner's determination by filing a notice of appeal with the
commissioner. The board shall fix a date for a hearing, which hearing
shall be held within 45 days from the date the notice of appeal is filed.
The board shall conduct the hearing in accordance with the provisions of
the Kansas administrative procedure act and render its decision affirming
or rescinding the determination of the commissioner. Any action of the
board pursuant to this section is subject to review in accordance with the
act for judicial review and civil enforcement of agency actions. Any party
which files an appeal of the commissioner's determination to the board
shall pay to the commissioner a fee in an amount established by rules and
regulations of the commissioner, adopted pursuant to K.S.A. 9-1713, and
amendments thereto, to defray the board's expenses associated with the
conduct of the appeal.

      (k) When the commissioner determines that any bank domiciled in
this state has established or is operating a trust branch bank in violation
of the laws governing the operation of such bank, the commissioner shall
give written notice to the bank of such determination. Within 15 days
after receipt of such notification, the bank shall have the right to appeal
in writing to the board the commissioner's determination. The board shall
fix a date for hearing, which hearing shall be held within 45 days after
the date of such appeal and shall be conducted in accordance with the
provisions of the Kansas administrative procedure act. At such hearing
the board shall hear all matters relevant to the commissioner's determi-
nation and shall approve or disapprove the commissioner's determination,
and the decision of the board shall be final and conclusive. If the bank
does not appeal to the board from the commissioner's determination or
if an appeal is made and the commissioner's determination is upheld by
the board, the commissioner may proceed as provided in K.S.A. 9-1714,
and amendments thereto, until such time as the commissioner determines
the bank is in full compliance with the laws governing the operation of a
trust branch bank.

      Sec.  43. K.S.A. 2000 Supp. 9-1703 is hereby amended to read as
follows: 9-1703. (a) The expense of every regular examination, together
with the expense of administering the banking and savings and loan laws,
including salaries, travel expenses, supplies and equipment, shall be paid
by the banks and savings and loan associations of the state, and for this
purpose the bank commissioner shall, prior to the beginning of each fiscal
year, make an estimate of the expenses to be incurred by the department
during such fiscal year. From this total amount the commissioner shall
deduct the estimated amount of the anticipated annual income to the
fund from all sources other than bank and savings and loan association
assessments. The commissioner shall allocate and assess the remainder
to the banks and savings and loan associations in the state on the basis of
their total assets, as reflected in the last March 31 report called for by
the federal deposit insurance corporation under the provisions of section
7 of the federal deposit insurance act, 12 USC 1817, and amendments
thereto, or K.S.A. 17-5610, and amendments thereto, except that the
annual assessment will not be less than $1,000 for any bank or savings
and loan association.

      (b) The expense of every regular trust examination, together with the
expense of administering trust laws, including salaries, travel expenses,
supplies and equipment, shall be paid by the trust companies and trust
departments of banks of this state, and for this purpose, the bank com-
missioner, prior to the beginning of each fiscal year, shall make an esti-
mate of the trust expenses to be incurred by the department during such
fiscal year. The commissioner shall allocate and assess the trust depart-
ments and trust companies in the state on the basis of their total fiduciary
assets, as reflected in the last December 31 report filed with the com-
missioner pursuant to K.S.A. 9-1704, and amendments thereto, except
that the annual assessment will not be less than $1,000 for any active trust
department or trust company. A trust department or a trust company
which has no fiduciary assets, as reflected in the last preceding year-end
report filed with the commissioner, may be granted inactive status by the
commissioner and the annual assessment shall not be more than $100 for
an inactive trust department or trust company. No inactive trust depart-
ment or trust company shall accept any fiduciary assets or exercise any
part of or all of its trust authority until such time as it has applied for and
received prior written approval of the commissioner to reactivate its trust
authority.

      (c) A statement of each assessment made under the provisions of
subsection (a) or (b) shall be sent by the commissioner to each bank,
savings and loan association, trust department and trust company on July
1 or the next business day thereafter. If a bank, savings and loan associ-
ation or trust company exists as a corporate entity with the secretary of
state's office as of the close of business on June 30, and is authorized by
the office of the state bank commissioner to conduct banking, savings and
loan or trust business, one-half of the amount so assessed shall be due
and payable on or before July 15. If a bank savings and loan association
or trust company exists as a corporate entity with the secretary of state's
office as of close of business on December 31, and is authorized to con-
duct banking, savings and loan or trust business, the remaining one-half
of the amount assessed shall be due and payable on or before January 15.
Any expenses incurred or services performed on account of any bank,
trust department or trust company or other corporation which are outside
of the normal expense of an examination required under the provisions
of K.S.A. 9-1701, and amendments thereto, or K.S.A. 17-5612, and
amendments thereto, shall be charged to and paid by the corporation for
whom they were incurred or performed. The commissioner may impose
a penalty upon any bank, savings and loan association, trust department
or trust company which fails to pay its annual assessment. The penalty
shall be assessed in the amount of $50 for each day the assessment is not
paid. The counting period for such penalty will begin February 1 or Au-
gust 1.

      The bank commissioner shall remit all moneys received by or for such
commissioner from such examination fees to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury. Twenty percent of
each deposit shall be credited to the state general fund and the balance
shall be credited to the bank commissioner fee fund. All expenditures
from the bank commissioner fee 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 bank commissioner or by a
person or persons designated by the commissioner.

      (d) As used in this section, ``savings and loan association'' means a
Kansas state-chartered savings and loan association.

      (e)  (1) In the event a bank, savings and loan association or trust com-
pany is merged into, consolidated with, or the assets and liabilities of
which are purchased and assumed by another bank, savings and loan
association or trust company, between the preceding March 31 and June
30, for banks and savings and loan associations, or the preceding Decem-
ber 31 and June 30, for trust companies, the surviving or acquiring bank,
savings and loan association or trust company is obligated to pay the as-
sessment of the institution being merged, consolidated or assumed for
the fiscal year commencing July 1.

      (2) In the event a bank, savings and loan association, or trust company
is merged into, consolidated with, or the assets and liabilities of which
are purchased and assumed by another bank, savings and loan association
or trust company between July 1 and December 31, the surviving entity
shall be obligated to pay the unpaid portion of the assessment for the
fiscal year commencing July 1 which would have been due on or before
January 15 of the institution being merged, consolidated or assumed.

      Sec.  44. K.S.A. 2000 Supp. 9-1803 is hereby amended to read as
follows: 9-1803. All expenses incurred in making any examination and
investigation under K.S.A. 9-1802, and amendments thereto, shall be paid
by the applicants, who shall pay to the commissioner a fee in an amount
established by rules and regulations adopted by the commissioner to de-
fray all such expenses. The commissioner shall remit all amounts received
under this section to the state treasurer who shall deposit the same in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury to the credit of a separate
special account in the state treasury for each application. The moneys in
each such account shall be used only to pay the expenses of the exami-
nation and investigation to which it relates and any unused balance shall
be transferred to the bank commissioner fee fund. Any members of the
board who make such an examination or investigation shall be paid the
sum of $35 per diem for the time they actually are engaged in performing
their duties as members of such board, and in addition thereto, shall be
paid all their actual and necessary expenses incurred in the performance
of such duties from such funds.

      Sec.  45. K.S.A. 2000 Supp. 9-1804 is hereby amended to read as
follows: 9-1804. No bank or trust company incorporated under the laws
of this state shall change its place of business, from one city or town to
another or from one location to another within the same city or town,
without the prior approval of the state banking board. Any such bank or
trust company desiring to change its place of business shall file written
application with the board in such form and containing such information
as the board shall require. The board shall examine and investigate the
application, and shall inquire into the public necessity for such bank or
trust company in the community wherein it is proposed to locate the
same, and shall approve or disapprove the application. The expenses of
such examination and investigation shall be paid by the bank or trust
company which shall deposit with the commissioner a fee in an amount
established by rules and regulations adopted by the commissioner. Any
members of the board who make such an examination or investigation
shall be paid the sum of $35 per diem for the time they actually are
engaged in performing their duties as members of such board, and in
addition shall be paid all their actual and necessary expenses incurred in
the performance of such duties from such funds. The commissioner shall
remit all amounts received under this section to the state treasurer who
shall deposit the same in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance, the
state treasurer shall deposit the entire amount in the state treasury to the
credit of a separate special account in the state treasury for each appli-
cation. The moneys in each such account shall be used only to pay the
expenses of the examination and investigation to which it relates, and any
unused portion of such deposit shall be transferred to the bank commis-
sioner fee fund.

      Sec.  46. K.S.A. 9-1917 is hereby amended to read as follows: 9-1917.
On and after July 1, 1972, and in every case occurring heretofore and
hereafter, in which funds due to creditors, depositors and shareholders
on liquidation of institutions under the jurisdiction of the state bank com-
missioner under K.S.A. 9-1901 et seq., and amendments thereto, are un-
delivered, they shall, together with accrued interest, if any, be paid to the
state bank commissioner, who shall deposit such payments with remit all
such payments to the state treasurer, in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto, and credit such individual
creditors, depositors or shareholders account in the undistributed assets
of defunct institution fund ledger. Upon receipt of each such remittance,
the state treasurer shall credit all such deposits deposit the entire amount
in the state treasury to the credit of the undistributed assets of defunct
institutions fund which is hereby created. Said Such fund shall be used
only for refunds and payments of amounts due creditors, depositors and
shareholders on claims filed with and approved by the state bank com-
missioner. Any balance remaining in said the fund from any single defunct
institution five (5) years, during which time no person entitled thereto
shall have appeared to claim such funds, shall be transferred by the state
bank commissioner to the state general fund and appropriate entries
made in the individual creditors, depositors or shareholders record, show-
ing the date and disposition of the funds and shall further recite that they
were transferred by reason of this statute of limitation.

      Sec.  47. K.S.A. 9-1918 is hereby amended to read as follows: 9-1918.
Whenever the state bank commissioner shall determine that property or
assets held in his or her the commissioner's custody and received as a
result of the liquidation of any institution under the jurisdiction of the
commissioner has remained in his or her the commissioner's custody for
a period of more than ten (10) 10 years, and no claim has been filed
during such period by any creditor, depositor or shareholder of such in-
stitution, said such property shall escheat to the state. The commissioner
shall notify the director of purchases of the property or assets so held and
the director of purchases shall authorize and provide for the sales of such
property or assets in the manner provided by law for the sale of obsolete
or unused property of the state. All proceeds from the sale of any such
property or assets shall be deposited remitted to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury to the credit of the state
general fund and appropriate entries made in the records of the state
bank commissioner showing the disposition of the property or assets, the
amount received therefor and the disposition thereof.

      Sec.  48. K.S.A. 2000 Supp. 9-2107 is hereby amended to read as
follows: 9-2107. (a) As used in this section:

      (1) ``Contracting trustee'' means any trust company, as defined in
K.S.A. 9-701, and amendments thereto, any bank that has been granted
trust authority by the state bank commissioner under K.S.A. 9-1602, and
amendments thereto, or any national bank chartered to do business in
Kansas that has been granted trust authority by the comptroller of the
currency under 12 USC 92a, or any bank that has been granted trust
authority or any trust company, regardless of where such bank or trust
company is located, and which is controlled, as defined in K.S.A. 9-1612,
and amendments thereto, by the same bank holding company as any trust
company, state bank or national bank chartered to do business in Kansas,
which accepts or succeeds to any fiduciary responsibility as provided in
this section;

      (2) ``originating trustee'' means any trust company, bank, national
banking association, savings and loan association or savings bank which
has trust powers and its principal place of business is in this state and
which places or transfers any fiduciary responsibility to a contracting trus-
tee as provided in this section;

      (3) ``financial institution'' means any bank, national banking associa-
tion, savings and loan association or savings bank which has its principal
place of business in this state but which does not have trust powers.

      (b) Any contracting trustee and any originating trustee may enter into
an agreement by which the contracting trustee, without any further au-
thorization of any kind, succeeds to and is substituted for the originating
trustee as to all fiduciary powers, rights, duties, privileges and liabilities
with respect to all accounts for which the originating trustee serves in any
fiduciary capacity, except as may be provided otherwise in the agreement.
Notwithstanding the provisions of this section, no contracting trustee as
defined in K.S.A. 9-2107(a)(1), and amendments thereto, having its home
office outside the state of Kansas shall enter into an agreement except
with an originating trustee which is commonly controlled as defined in
K.S.A. 9-1612, and amendments thereto, by the same bank holding com-
pany.

      (c) Unless the agreement expressly provides otherwise, upon the ef-
fective date of the substitution:

      (1) The contracting trustee shall be deemed to be named as the fi-
duciary in all writings, including, without limitation, trust agreements,
wills and court orders, which pertain to the affected fiduciary accounts;

      (2) the originating trustee is absolved from all fiduciary duties and
obligations arising under such writings and shall discontinue the exercise
of any fiduciary duties with respect to such writings, except that the orig-
inating trustee is not absolved or discharged from any duty to account
required by K.S.A. 59-1709, and amendments thereto, or any other ap-
plicable statute, rule of law, rules and regulations or court order, nor shall
the originating trustee be absolved from any breach of fiduciary duty or
obligation occurring prior to the effective date of the agreement.

      (d) The agreement may authorize the contracting trustee:

      (1) To establish a trust service desk at any office of the originating
trustee at which the contracting trustee may conduct any trust business
and any business incidental thereto and which the contracting trustee may
otherwise conduct at its principal place of business; and

      (2) to engage the originating trustee as the agent of the contracting
trustee, on a disclosed basis to customers, for the purposes of providing
administrative, advertising and safekeeping services incident to the fidu-
ciary services provided by the contracting trustee.

      (e) Any contracting trustee may enter into an agreement with a fi-
nancial institution providing that the contracting trustee may establish a
trust service desk as authorized by subsection (d) in the offices of such
financial institution and which provides such financial institution, on a
disclosed basis to customers, may act as the agent of contracting trustee
for purposes of providing administrative services and advertising incident
to the fiduciary services to be performed by the contracting trustee.

      (f) No activity authorized by subsections (b) through (e) shall be con-
ducted by any contracting trustee, originating trustee or financial insti-
tution until an application for such authority has been submitted to and
approved by the commissioner. The application shall be in the form and
contain the information required by the commissioner, which shall at a
minimum include certified copies of the following documents:

      (1) The agreement;

      (2) the written action taken by the board of directors of the originat-
ing trustee or financial institution approving the agreement;

      (3) all other required regulatory approvals;

      (4) an affidavit of publication of notice of intent to file the application
with the commissioner. Publication of the notice shall be on the same day
for two consecutive weeks in the official newspaper of the city or county
where the principal office of the originating trustee or financial institution
is located. The notice shall be in the form prescribed by the commissioner
and shall contain the name of the applicant contracting trustee, the orig-
inating trustee or financial institution, the proposed date of filing of the
application with the commissioner, a solicitation for written comments
concerning the application, and a notice of the public's right to file a
written request for a public hearing for the purpose of presenting oral or
written evidence regarding the proposed agreement. All comments and
requests for public hearing shall be filed with the commissioner on or
before the 30th day after the date the application is filed; and

      (5) a certification by the parties to the agreement that written notice
of the proposed substitution was sent by first-class mail to each cofidu-
ciary, each surviving settlor of a trust, each ward of a guardianship, each
person who has sole or shared power to remove the originating trustee
as fiduciary and each adult beneficiary currently receiving or entitled to
receive a distribution of principle or income from a fiduciary account
affected by the agreement, and that such notice was sent to each such
person's address as shown in the originating trustee's records. An unin-
tentional failure to give such notice shall not impair the validity or effect
of any such agreement, except an intentional failure to give such notice
shall render the agreement null and void as to the party not receiving the
notice of substitution.

      (g) A contracting trustee making application to the commissioner for
approval of any agreement pursuant to this section shall pay to the com-
missioner a fee, in an amount established by rules and regulations of the
commissioner adopted pursuant to K.S.A. 9-1713, and amendments
thereto, to defray the expenses of the commissioner or designee in the
examination and investigation of the application. The commissioner shall
remit all amounts received under this section to the state treasurer who
shall deposit the same in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance, the
state treasurer shall deposit the entire amount in the state treasury to the
credit of a separate account in the state treasury for each application. The
money in each such account shall be used to pay the expenses of the
commissioner, or designee in the examination and investigation of the
application to which it relates and any unused balance shall be transferred
to the bank commissioner fee fund.

      (h) Upon the filing of any such application with the commissioner,
the commissioner shall make or cause to be made, a careful examination
and investigation concerning:

      (1) The reasonable probability of usefulness and success of the con-
tracting trustee;

      (2) the financial history and condition of the contracting trustee in-
cluding the character, qualifications and experience of the officers em-
ployed by the contracting trustee; and

      (3) whether the contracting agreement will result in any undue injury
to properly conducted existing banks, national banks and trust companies.

      If the commissioner shall determine any of such matters unfavorably
to the applicants, the application shall be disapproved, but if not, then
the application shall be approved.

      (i) If no written request for public hearing is filed, the commissioner
shall render approval or disapproval of the application within 60 days of
the date upon which the application was filed.

      (j) If a written request for public hearing is filed, the commissioner
shall hold within 30 days of the close of the comment period, a public
hearing in a location determined by the commissioner. Notice of the time,
date and place of such hearing shall be published by the applicant in a
newspaper of general circulation in the county where the originating trus-
tee or financial institution is located, not less than 10 nor more than 30
days prior to the date of the hearing, and an affidavit of publication shall
be filed with the commissioner. At any such hearing, all interested persons
may present written and oral evidence to the commissioner in support of
or in opposition to the application. Upon completion of a transcript of
the testimony given at any such hearing, the transcript shall be filed in
the office of the commissioner. Within 14 days after the public hearing,
the commissioner shall approve or disapprove the application after con-
sideration of the application and evidence gathered during the commis-
sioner's investigation.

      (k) The commissioner may extend the period for approval or disap-
proval if the commissioner determines that any information required by
this section has not been furnished, any material information submitted
is inaccurate or additional investigation is required. The commissioner,
prior to expiration of the application period provided for by this section,
shall give written notice to each party to the agreement of the commis-
sioner's intent to extend the period which shall include a specific date for
expiration of the extension period. If any information remains incomplete
or inaccurate upon the expiration of the extension period the application
shall be disapproved.

      (l) Within 15 days of the date of the commissioner's approval or de-
nial, the applicant or any individual or corporation who filed a request for
and presented evidence at the public hearing shall have the right to appeal
in writing to the state banking board the commissioner's determination
by filing a notice of appeal with the commissioner. The state banking
board shall fix a date for hearing, which hearing shall be held within 45
days after such notice of appeal is filed. The board shall conduct the
hearing in accordance with the provisions of the Kansas administrative
procedure act and render its decision affirming or rescinding the deter-
mination of the commissioner. Any action of the board pursuant to this
section is subject to review in accordance with the act for judicial review
and civil enforcement of agency actions. Any party which files an appeal
to the state banking board of the commissioner's determination shall pay
to the commissioner a fee in an amount established by rules and regu-
lations of the commissioner, adopted pursuant to K.S.A. 9-1713, and
amendments thereto, to defray the board's expenses associated with the
conduct of the appeal.

      (m) When the commissioner determines that any contracting trustee
domiciled in this state has entered into a contracting agreement in vio-
lation of the laws governing the operation of such contracting trustee, the
commissioner shall give written notice to the contracting trustee and the
originating trustee or financial institution of such determination. Within
15 days after receipt of such notification, the contracting trustee and
originating trustee or financial institution shall have the right to appeal in
writing to the state banking board the commissioner's determination. The
board shall fix a date for hearing, which shall be held within 45 days after
the date of the appeal and shall be conducted in accordance with the
Kansas administrative procedure act. At such hearing the board shall hear
all matters relevant to the commissioner's determination and shall ap-
prove or disapprove the commissioner's determination. The decision of
the board shall be final and conclusive. If the contracting trustee does
not appeal to the board from the commissioner's determination or if an
appeal is made and the commissioner's determination is upheld by the
board, the commissioner may proceed as provided in K.S.A. 9-1714, and
amendments thereto, until such time as the commissioner determines the
contracting trustee, originating trustee and financial institution are in full
compliance with the laws governing the operation of a contracting trustee
and originating trustee or financial institution.

      (n) Any party entitled to receive a notice under subsection (f)(5) may
file a petition in the court having jurisdiction over the fiduciary relation-
ship, or if none, in the district court in the county where the originating
trustee has its principal office, seeking to remove any contracting trustee
substituted or about to be substituted as fiduciary pursuant to this section.
Unless the contracting trustee files a written consent to its removal or a
written declination to act subsequent to the filing of the petition, the
court, upon notice and hearing, shall determine the best interest of the
petitioner and all other parties concerned and shall fashion such relief as
it deems appropriate in the circumstances, including the awarding of rea-
sonable attorney fees. The right to file a petition under this subsection
shall be in addition to any other rights to remove fiduciary provided by
any other statute or regulation or by the writing creating the fiduciary
relationship. If the removal of the fiduciary is prompted solely as a result
of the contracting agreement, any reasonable cost associated with such
removal and transfer, not to exceed $200 per account, shall be paid by
the originating trustee or financial institution entering into the agreement.

      Sec.  49. K.S.A. 2000 Supp. 9-2108 is hereby amended to read as
follows: 9-2108. It is unlawful for any trust company to establish or op-
erate a trust service office or relocate an existing trust service office except
as provided in this act:.

      (a) As used in this section: ``Trust service office'' means any office,
agency or other place of business located within this state other than the
place of business specified in the trust company's certificate of authority,
at which the powers granted to trust companies under K.S.A. 9-2103, and
amendments thereto, are exercised. For the purposes of this section, any
activity in compliance with K.S.A. 9-2107, and amendments thereto, does
not constitute a trust service office;.

      (b) After first applying for and obtaining the approval of the com-
missioner under this section, one or more trust service offices may be
established or operated in any city within this state by a trust company
incorporated under the laws of this state;.

      (c) An application to establish or operate a trust service office or to
relocate an existing trust service office shall be in such form and contain
such information as required by the commissioner and shall include cer-
tified copies of the following documents:

      (1) The written action taken by the board of directors of the trust
company approving the establishment or operation of the proposed trust
service office or the proposed relocation of the trust service office;

      (2) all other required regulatory approvals; and

      (3) an affidavit of publication of notice of intent to file an application
to establish or operate a trust service office or relocate an existing trust
service office. Publication of the notice shall be on the same day for two
consecutive weeks in the official newspaper of the city where the pro-
posed trust service office is to be located. The notice shall be in the form
prescribed by the commissioner and shall contain the name of the appli-
cant, the location of the proposed trust service office, the proposed date
of filing of the application with the commissioner, a solicitation for written
comments concerning the application and a notice of the public's right
to file a written request for a public hearing for the purpose of presenting
oral or written evidence regarding the proposed trust service office. All
comments and requests for public hearing shall be filed with the com-
missioner on or before the 30th day after the date the application is filed.

      (d) A trust company making application to the commissioner for ap-
proval of a trust service office under this section shall pay to the com-
missioner a fee, in an amount established by rules and regulations of the
commissioner, adopted pursuant to K.S.A. 9-1713, and amendments
thereto, to defray the expenses of the commissioner or designee in the
examination and investigation of the application. The commissioner shall
remit all amounts received under this section to the state treasurer who
shall deposit the same in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance, the
state treasurer shall deposit the entire amount in the state treasury to the
credit of a separate account in the state treasury for each application. The
moneys in each such account shall be used to pay the expenses of the
commissioner or designee in the examination and investigation of the
application to which it relates and any unused balance shall be transferred
to the bank commissioner fee fund;.

      (e) Upon filing of any such application with the commissioner, the
commissioner shall make or cause to be made, a careful examination and
investigation concerning:

      (1) The reasonable probability of usefulness and success of the pro-
posed trust service office;

      (2) the applicant trust company's financial history and condition in-
cluding the character, qualifications and experience of the officers em-
ployed by the trust company; and

      (3) whether the proposed trust service office can be established with-
out undue injury to properly conducted existing banks, national banking
associations and trust companies. If the commissioner determines any of
such matters unfavorably to the applicants, the application shall be dis-
approved, but if not, the application shall be approved.

      (f) If no written request for public hearing is filed, the commissioner
shall render approval or disapproval of the application within 60 days of
the date upon which the application was filed.

      (g) If a written request for public hearing is filed, the commissioner
shall hold a public hearing in a location determined by the commissioner
within 30 days of the close of the comment period. Notice of the time,
date and place of the hearing shall be published by the applicant in a
newspaper of general circulation in the county where the proposed trust
service office is to be located, not less than 10 or more than 30 days prior
to the date of the hearing, and an affidavit of publication shall be filed
with the commissioner. At any such hearing, all interested persons shall
be allowed to present written and oral evidence to the commissioner in
support of or in opposition to the application. Upon completion of a tran-
script of the testimony given at any such hearing, the transcript shall be
filed in the office of the commissioner. Within 14 days after the public
hearing, the commissioner shall approve or disapprove the application
after consideration of the application and evidence gathered during the
commissioner's investigation.

      (h) The commissioner may extend the period for approval or disap-
proval if the commissioner determines that any information required by
this section has not been furnished, any material information submitted
is inaccurate or additional investigation is required. The commissioner,
prior to expiration of the application period as provided in this section,
shall give written notice to the applicant of the commissioner's intent to
extend the period and such notice shall include a specific date for expi-
ration of the extension period. If any information remains incomplete or
inaccurate upon the expiration of the extension period the application
shall be disapproved.

      (i) Within 15 days of the date after the commissioner's approval or
disapproval of the application, the applicant or any individual or corpo-
ration who filed a request for and presented evidence at the public hear-
ing shall have the right to appeal in writing to the state banking board
the commissioner's determination, by filing a notice of appeal with the
commissioner. The state banking board shall fix a date for a hearing,
which hearing shall be held within 45 days from the date such notice of
appeal is filed. The board shall conduct the hearing in accordance with
the provisions of the Kansas administrative procedure act and render its
decision affirming or rescinding the determination of the commissioner.
Action of the board pursuant to this section is subject to review in ac-
cordance with the act for judicial review and civil enforcement of agency
actions. Any party which files an appeal to the state banking board of the
commissioner's determination shall pay to the commissioner a fee in an
amount established by rules and regulations of the commissioner, adopted
pursuant to K.S.A. 9-1713, and amendments thereto, to defray the board's
expenses associated with the conduct of the appeal.

      (j) When the commissioner determines that a trust company domi-
ciled in this state has established or is operating a trust service office in
violation of the laws governing the operation of such trust company, the
commissioner shall give written notice to the trust company of such de-
termination. Within 15 days after receipt of such notification, the trust
company may appeal in writing to the state banking board the commis-
sioner's determination. The board shall fix a date for hearing, which hear-
ing shall be held within 45 days from the date of such appeal and shall
be conducted in accordance with the provisions of the Kansas adminis-
trative procedure act. At such hearing the board shall hear all matters
relevant to the commissioner's determination and shall approve or dis-
approve the commissioner's determination, and the decision of the board
shall be final and conclusive. If the trust company does not appeal to the
state banking board from the commissioner's determination or if an ap-
peal is made and the commissioner's determination is upheld by the
board, the commissioner may proceed as provided in K.S.A. 9-1714, and
amendments thereto, until such time as the commissioner determines the
trust company is in full compliance with the laws governing the operation
of a trust service office.

      Sec.  50. K.S.A. 2000 Supp. 12-1694 is hereby amended to read as
follows: 12-1694. (a) Any tax levied and collected pursuant to K.S.A. 12-
1693, and amendments thereto, shall become due and payable by the
business monthly, on or before the 25th day of the month immediately
succeeding the month in which it is collected, with the first payment due
and payable on or before the 25th day of the month specified in the
resolution of the governing body which levies the tax, but any person
filing an annual or quarterly return under the Kansas retailers' sales tax
act, as prescribed in K.S.A. 79-3607, and amendments thereto, may, with
the approval of the secretary of revenue and upon such conditions as the
secretary of revenue may prescribe, pay the tax required by this act on
the same basis and at the same time such person pays the retailer's sales
tax. Each business shall make a true report to the department of revenue,
on a form prescribed by the secretary of revenue, providing such infor-
mation as may be necessary to determine the amounts to which any such
tax shall apply for all gross rental receipts for the applicable month or
months, which report shall be accompanied by the tax disclosed thereby.
Records of gross rental receipts shall be kept separate and apart from the
records of other retail sales made by a business in order to facilitate the
examination of books and records as provided herein.

      (b) The secretary of revenue or the secretary's authorized represen-
tative shall have the right at all reasonable times during business hours
to make such examination and inspection of the books and records of a
business as may be necessary to determine the accuracy of such reports.

      (c) The secretary of revenue is hereby authorized to administer and
collect any transient guest tax levied pursuant to this act and to adopt
such rules and regulations as may be necessary for the efficient and ef-
fective administration and enforcement of the collection thereof. When-
ever any business liable to pay any transient guest tax refuses or neglects
to pay the same, the amount, including any penalty, shall be collected in
the manner prescribed for the collection of the retailers' sales tax by
K.S.A. 79-3617, and amendments thereto. All of the taxes collected under
the provisions of this act shall be paid into the state treasury daily remitted
by the secretary of revenue to the state treasurer in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury, and the state treasurer shall place credit 2% of all
taxes so collected in to the state general fund to defray the expenses of
the department in administration and enforcement of the collection
thereof. The remainder of such taxes shall be credited to the county and
city transient guest tax fund, which fund is hereby established. All moneys
in the county and city transient guest tax fund shall be remitted at least
quarterly by the state treasurer, on instruction from the secretary of rev-
enue, to the treasurers of those cities which, by virtue of their partici-
pation in the election provided for in K.S.A. 12-1693, and amendments
thereto, are qualified to receive disbursements from such transient guest
tax fund for the amount collected within such city, and to the treasurer
of such county for the amount collected in the unincorporated areas of
such county.

      (d) The director of taxation shall provide, upon request by a city or
county clerk or treasurer of any city or county levying a transient guest
tax, monthly reports identifying each person doing business in such city
or county to which such tax is applicable setting forth the tax liability and
the amount of such tax remitted by such business during the preceding
month, and identifying each business location maintained by the person
within such city or county. Such report shall be made available to the
clerk or treasurer of such city or county within a reasonable time after it
has been requested from the director of taxation. The director of taxation
shall be allowed to assess a reasonable fee for the issuance of such report.
Information received by any city or county pursuant to this section shall
be kept confidential, and it shall be unlawful for any officer or employee
of such city or county to divulge any such information in any manner. Any
violation of this paragraph by a city or county officer or employee is a
class B misdemeanor, and such officer or employee shall be dismissed
from office.

      (e) All such moneys received by the county treasurer or city treasurer
from disbursements from the county and city transient guest tax fund
shall be credited to the tourism and convention promotion fund of such
county or city and shall only be expended for convention and tourism
promotion, except that not more than 20% of the moneys credited to
such fund shall be expended for tourism promotion.

      Sec.  51. K.S.A. 2000 Supp. 12-1698 is hereby amended to read as
follows: 12-1698. (a) Any tax levied and collected pursuant to K.S.A. 12-
1697, and amendments thereto, shall become due and payable by the
business monthly, on or before the 25th day of the month immediately
succeeding the month in which it is collected, with the first payment due
and payable on or before the 25th day of the month specified in the
resolution of the governing body which levies the tax, but any person
filing an annual or quarterly return under the Kansas retailers' sales tax
act, as prescribed in K.S.A. 79-3607, and amendments thereto, shall, upon
such conditions as the secretary of revenue may prescribe, pay the tax
required by this act on the same basis and at the same time such person
pays the retailers' sales tax. Each business shall make a true report to the
department of revenue, on a form prescribed by the secretary of revenue,
providing such information as may be necessary to determine the amounts
to which any such tax shall apply for all gross rental receipts for the
applicable month or months, which report shall be accompanied by the
tax disclosed thereby. Records of gross rental receipts shall be kept sep-
arate and apart from the records of other retail sales made by a business
in order to facilitate the examination of books and records as provided
herein.

      (b) The secretary of revenue or the secretary's authorized represen-
tative shall have the right at all reasonable times during business hours
to make such examination and inspection of the books and records of a
business as may be necessary to determine the accuracy of such reports.

      (c) The secretary of revenue is hereby authorized to administer and
collect any transient guest tax levied pursuant to this act and to adopt
such rules and regulations as may be necessary for the efficient and ef-
fective administration and enforcement of the collection thereof. When-
ever any business liable to pay any transient guest tax refuses or neglects
to pay the same, the amount, including any penalty, shall be collected in
the manner prescribed for the collection of the retailers' sales tax by
K.S.A. 79-3617, and amendments thereto. All of the taxes collected under
the provisions of this act shall be paid into the state treasury daily remitted
by the secretary of revenue to the state treasurer in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury, and the state treasurer shall place credit 2% of all
taxes so collected in to the state general fund to defray the expenses of
the department in administration and enforcement of the collection
thereof. The remainder of such taxes shall be credited to the county or
city transient guest tax fund, which fund is hereby established. All moneys
in the county or city transient guest tax fund shall be remitted at least
quarterly by the state treasurer to the county or city treasurer of each
county or city levying a transient guest tax under the provisions of this
act in the proportion, as certified by the director of taxation, that the
amount collected from such tax in each such county or city bears to the
total amount collected from such taxes in all counties or cities for the
period covered by the distribution.

      (d) The director of taxation shall provide, upon request by a city or
county clerk or treasurer of any city or county levying a transient guest
tax, monthly reports identifying each person doing business in such city
or county to which such tax is applicable setting forth the tax liability and
the amount of such tax remitted by such business during the preceding
month, and identifying each business location maintained by the person
within such city or county. Such report shall be made available to the
clerk or treasurer of such city or county within a reasonable time after it
has been requested from the director of taxation. The director of taxation
shall be allowed to assess a reasonable fee for the issuance of such report.
Information received by any city or county pursuant to this section shall
be kept confidential, and it shall be unlawful for any officer or employee
of such city or county to divulge any such information in any manner. Any
violation of this paragraph by a city or county officer or employee is a
class B misdemeanor, and such officer or employee shall be dismissed
from office.

      (e) Except as otherwise provided in K.S.A. 12-1774, and amendments
thereto, all such moneys received by the county or city treasurer from
disbursements from the county or city transient guest tax fund shall be
credited to the tourism and convention promotion fund of such county
or city and shall only be expended for convention and tourism promotion.

      Sec.  52. K.S.A. 2000 Supp. 12-2539 is hereby amended to read as
follows: 12-2539. (a) The board of county commissioners of any county
which has been authorized by a majority of the electors of the county to
create or to become a part of the metropolitan culture district and to levy
and collect a tax for the purpose of contributing to the financial support
of the district shall adopt a resolution imposing a countywide retailers'
sales tax and pledging the revenues received therefrom for such purpose.
The rate of such tax shall be fixed in an amount of not more than .25%.
Any county levying a retailers' sales tax under authority of this section is
hereby prohibited from administering or collecting such tax locally, but
shall utilize the services of the state department of revenue to administer,
enforce and collect such tax. The sales tax shall be administered, enforced
and collected in the same manner and by the same procedure as other
countywide retailers' sales taxes are levied and collected and shall be in
addition to any other sales tax authorized by law. Upon receipt of a cer-
tified copy of a resolution authorizing the levy of a countywide retailers'
sales tax pursuant to this section, the state director of taxation shall cause
such tax to be collected within and outside the boundaries of such county
at the same time and in the same manner provided for the collection of
the state retailers' sales tax. All moneys collected by the director of tax-
ation under the provisions of this section shall be credited remitted to the
state treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury to the credit of
the metropolitan culture district retailers' sales tax fund which fund is
hereby established in the state treasury. Any refund due on any county-
wide retailers' sales tax collected pursuant to this section shall be paid out
of the sales tax refund fund and reimbursed by the director of taxation
from retailers' sales tax revenue collected pursuant to this section. All
countywide retailers' sales tax revenue collected within any county pur-
suant to this section shall be remitted at least quarterly by the state trea-
surer, on instruction from the director of taxation, to the treasurer of such
county.

      (b) All revenue received by any county treasurer from a countywide
retailers' sales tax imposed pursuant to this section shall be appropriated
by the county to the metropolitan culture district commission within 60
days of receipt of the funds by the county for expenditure by the com-
mission pursuant to and in accordance with the provisions of the Kansas
and Missouri metropolitan culture district compact. If any such revenue
remains upon nullification and voidance of the Kansas and Missouri met-
ropolitan culture district compact, the county treasurer shall deposit such
revenue to the credit of the general fund of the county.

      (c) Any countywide retailers' sales tax imposed pursuant to this sec-
tion shall expire upon the date of actual withdrawal of the county from
the metropolitan culture district or at any time the Kansas and Missouri
metropolitan culture district compact becomes null and void and of no
further force or effect. If any moneys remain in the metropolitan culture
district retailers' sales tax fund upon nullification and voidance of the
Kansas and Missouri metropolitan culture district compact, the state trea-
surer shall transfer such moneys to the county and city retailers' sales tax
fund to be apportioned and remitted at the same time and in the same
manner as other countywide retailers' sales tax revenues are apportioned
and remitted.

      Sec.  53. K.S.A. 12-2623 is hereby amended to read as follows: 12-
2623. The expense of state supervision of the group-funded pools shall
be financed in the following manner:

      (a) There is hereby created in the state treasury a fund to be called
the group-funded pools fee fund. All amounts which are required to be
paid from the group-funded pools fee fund for the operating expenditures
incident to the supervision of the group-funded pools shall be paid from
the group-funded pools fee fund. The commissioner of insurance shall
be responsible for administering the group-funded pools fee fund and all
payments from the fund shall be upon warrants of the director of accounts
and reports issued pursuant to vouchers approved by the commissioner
of insurance or a person or persons designated by the commissioner.

      (b) The commissioner of insurance shall estimate as soon as practical
after January 1 of each year the expenses necessary for the supervision of
the group-funded pools for the fiscal year beginning on July 1 thereafter.
Not later than June 1 of each year, the commissioner of insurance shall
notify all such group-funded pools of the amount of each assessment
imposed under this subsection on such group-funded pools and the same
shall be due and payable to the commissioner on the July 1 following.

      (c) The commissioner of insurance shall remit all moneys received by
or for such remittance to the state treasurer in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of any
each such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury to the credit of the group-funded pools fee
fund.

      Sec.  54. K.S.A. 2000 Supp. 12-4116 is hereby amended to read as
follows: 12-4116. In each case filed in municipal court where there is a
finding of guilty or a plea of guilty, a plea of no contest, forfeiture of bond,
or a diversion, a sum in an amount not to exceed $1 shall be assessed for
the training, testing and continuing judicial education of municipal judges
as provided in K.S.A. 12-4114, and amendments thereto. Except as pro-
vided herein, the judge or clerk of the municipal court shall remit at least
monthly all assessments received pursuant to this section to the state
treasurer for deposit in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount in the state treasury to the credit
of the judicial branch education fund. If the amount of assessments col-
lected in a month are less than $250, the municipal court may delay
remitting its assessments until a month in which the cumulative amount
of assessments collected equals or exceeds $250. If the cumulative
amount of assessments collected never equals or exceeds $250 for the
year, the amount of assessments collected and on hand on December 31
of the year shall be remitted to the state treasurer. The specific amount
of the assessment shall be fixed by order of the supreme court and shall
apply uniformly to all cities. For the purpose of determining the amount
to be assessed according to this section, if more than one complaint is
filed against one individual arising out of the same incident, all such com-
plaints shall be considered as one case. For the purpose of this section,
parking violations shall not be considered as cases.

      Sec.  55. K.S.A. 2000 Supp. 12-4117 is hereby amended to read as
follows: 12-4117. (a) On and after July 1, 1996, in each case filed in
municipal court charging a crime other than a nonmoving traffic violation,
where there is a finding of guilty or a plea of guilty, a plea of no contest,
forfeiture of bond or a diversion, a sum in an amount of $7 shall be
assessed and such assessment shall be credited as follows:

      (1) During the period commencing July 1, 1996, and ending June 30,
1997, $1 to the local law enforcement training reimbursement fund es-
tablished pursuant to K.S.A. 74-5620, and amendments thereto, $4 to the
law enforcement training center fund established pursuant to K.S.A. 74-
5619, and amendments thereto, $.50 to the protection from abuse fund
established pursuant to K.S.A. 74-7325, and amendments thereto, and
$.50 to the crime victims assistance fund established pursuant to K.S.A.
74-7334, and amendments thereto;

      (2) on and after July 1, 1997, $1 One dollar to the local law enforce-
ment training reimbursement fund established pursuant to K.S.A. 74-
5620, and amendments thereto, $2 to the law enforcement training center
fund established pursuant to K.S.A. 74-5619, and amendments thereto,
$2 to the juvenile detention facilities fund established pursuant to K.S.A.
79-4803, and amendments thereto, to be expended for operational costs
of facilities for the detention of juveniles, $.50 to the protection from
abuse fund established pursuant to K.S.A. 74-7325, and amendments
thereto and, $.50 to the crime victims assistance fund established pur-
suant to K.S.A. 74-7334, and amendments thereto; and

      (3) on and after July 1, 1999, $1 to the trauma fund established pur-
suant to K.S.A. 2000 Supp. 75-5670, and amendments thereto.

      (b) The judge or clerk of the municipal court shall remit at least
monthly the appropriate assessments received pursuant to this section to
the state treasurer for deposit in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury to
the credit of the local law enforcement training reimbursement fund, the
law enforcement training center fund, the juvenile detention facilities
fund, the crime victims assistance fund and the trauma fund as provided
in this section.

      (c) For the purpose of determining the amount to be assessed ac-
cording to this section, if more than one complaint is filed in the municipal
court against one individual arising out of the same incident, all such
complaints shall be considered as one case.

      Sec.  56. K.S.A. 2000 Supp. 13-13a38 is hereby amended to read as
follows: 13-13a38. (a) The board of regents of Washburn University of
Topeka may adopt a resolution imposing a countywide retailers' sales tax
within Shawnee county. Such resolution shall be published once each
week for two consecutive weeks in the Shawnee county official newspa-
per. The rate of any such tax shall not exceed .65%. Such university is
prohibited from administering or collecting such tax locally, but shall util-
ize the services of the state department of revenue to administer, enforce
and collect such tax. Except as otherwise provided by K.S.A. 2000 Supp.
13-13a39, and amendments thereto, such tax shall be identical in its ap-
plication and exemptions therefrom to the Kansas retailers' sales tax act,
and all laws and rules and regulations of the state department of revenue
relating to the Kansas retailers' sales tax act shall apply to such tax insofar
as the same may be made applicable.

      (b) The secretary of revenue is authorized to administer, enforce and
collect the university's retailers' sales tax and to adopt such rules and
regulations necessary for the efficient and effective administration, en-
forcement and collection thereof. The state director of taxation shall cause
such taxes to be collected within the boundaries of Shawnee county at
the same time and in the same manner provided for the collection of the
state retailers' sales tax. All moneys collected by the director of taxation
pursuant to the provisions of this section shall be credited remitted to the
state treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury to the credit of
the Washburn University of Topeka retailers' sales tax fund, which fund
is hereby established in the state treasury. Any refund due on any tax
collected pursuant to this section shall be paid out of the sales tax refund
fund and reimbursement to such fund shall be made by the director of
taxation from collections of the university's sales tax revenue. All moneys
collected pursuant to this section for such university shall be remitted at
least quarterly by the state treasurer to the treasurer of such university.

      (c) All revenue received by Washburn University of Topeka from its
retailers' sales tax shall be used solely for the purpose of financing its
operations regarding all support activities described by K.S.A. 13-13a18,
and amendments thereto.

      (d) If within 30 days of the final publication of a resolution adopted
pursuant to subsection (a), a petition signed by a number of electors of
the county equal to not less than 5% of the number of qualified electors
of the county shall be filed in the office of the county election officer
demanding that such resolution be submitted to a vote of the electors, it
shall not take effect until submitted to a referendum and approved by
the electors. An election if called, shall be called within 30 days and held
within 45 days after the filing of the petition. The board, by resolution,
shall call the election and fix the date. Such resolution shall be published
once each week for two consecutive weeks in the official county news-
paper, and the election shall be conducted in the same manner as are
elections for officers of such county. Such election may be conducted in
accordance with the provisions of the mail ballot election act. The prop-
osition shall be: ``Shall Washburn University of Topeka be authorized to
impose a countywide sales tax not to exceed .65% in Shawnee county for
purposes of eliminating 15 mills of ad valorem property taxes now levied
by the university and eliminating the payment of out-district tuition by
the townships within Shawnee county to the university?''

      (e) The provisions of K.S.A. 12-191 and 12-191a, and amendments
thereto, insofar as may be made applicable, shall apply to sales subject to
the tax imposed pursuant to this section.

      Sec.  57. K.S.A. 2000 Supp. 16a-2-302 is hereby amended to read as
follows: 16a-2-302. (1) (a) The administrator shall receive and act on all
applications for licenses to make supervised loans under this act. Appli-
cations shall be filed in the manner prescribed by the administrator and
shall contain the information the administrator may require by rule and
regulation to make an evaluation of the financial responsibility, character
and fitness of the applicant.

      (b) Submitted with each application shall be a nonrefundable appli-
cation fee. Application and license fees shall be in such amounts as are
established pursuant to subsection (5) of K.S.A. 16a-6-104, and amend-
ments thereto. The license year shall be the calendar year. Each license
shall be nonrefundable and nonassignable, and shall remain in force until
surrendered, suspended or revoked.

      (c) The administrator shall remit all moneys received under K.S.A.
16a-1-101 to 16a-6-414, inclusive, and amendments thereto, to the state
treasurer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of any each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury. Of each deposit 20% shall be credited to the state general fund
and the balance shall be credited to the bank commissioner fee fund. All
expenditures from such fund shall be made in accordance with appro-
priation acts upon warrants of the director of accounts and reports issued
pursuant to vouchers approved by the administrator or by a person or
persons designated by the administrator.

      The 20% credit to the state general fund required by this subsection
(c) is to reimburse the state general fund for accounting, auditing, budg-
eting, legal, payroll, personnel and purchasing services, and any and all
other state governmental services, which are performed on behalf of the
administrator by other state agencies which receive appropriations from
the state general fund to provide such services. Nothing in this subsection
(c) shall be deemed to authorize remittances to be made less frequently
than is authorized under K.S.A. 75-4215, and amendments thereto.

      (d) Every licensee shall, on or before the first day of January, pay to
the administrator the license fee prescribed under this subsection (1) for
each license held for the succeeding license year. Failure to pay the li-
cense fee within the time prescribed shall automatically revoke the li-
cense.

      (2) No license shall be issued unless the administrator, upon inves-
tigation, finds that the financial responsibility, character and fitness of the
applicant, and of the members thereof if the applicant is a copartnership
or association and of the officers and directors thereof, if the applicant is
a corporation, are such as to warrant belief that the business will be op-
erated honestly and fairly within the purposes of this act. An applicant
meets the minimum standard of financial responsibility for engaging in
the business of making supervised loans, under subsection (1) of K.S.A.
16a-2-301, and amendments thereto, only if the applicant has filed with
the administrator a proper surety bond of at least $100,000 which has
been approved by the administrator. The required surety bond may not
be canceled by the licensee without providing the administrator at least
30 days' prior written notice and must provide within its terms that the
bond shall not expire for two years after the date of the surrender, rev-
ocation or expiration of the subject license, whichever shall first occur.

      (3) The administrator may deny any application or renewal for a su-
pervised loan license if the administrator finds:

      (a) There is a refusal to furnish information required by the admin-
istrator within a reasonable time as fixed by the administrator; or

      (b) any of the factors stated in K.S.A. 16a-2-303, and amendments
thereto, as grounds for denial, revocation or suspension of a license.

      (4) Upon written request the applicant is entitled to a hearing on the
question of license qualifications if: (a) The administrator has notified the
applicant in writing that the application has been denied; or (b) the ad-
ministrator has not issued a license within 60 days after the application
for the license was filed. A request for a hearing may not be made more
than 15 days after the administrator has mailed a writing to the applicant
notifying the applicant that the application has been denied and stating
in substance the administrator's findings supporting denial of the appli-
cation.

      (5) The administrator shall adopt rules and regulations regarding
whether a licensee shall be required to obtain a single license for each
place of business or whether a licensee may obtain a master license for
all of its places of business, and in so doing the administrator may differ-
entiate between licensees located in this state and licensees located else-
where. Each license shall remain in full force and effect until surrendered,
suspended or revoked.

      (6) No licensee shall change the location of any place of business
without giving the administrator at least 15 days prior written notice.

      (7) A licensee may conduct the business of making supervised loans
only at or from any place of business for which the licensee holds a license
and not under any other name than that in the license. Loans made pur-
suant to a lender credit card do not violate this subsection.

      Sec.  58. K.S.A. 17-1271 is hereby amended to read as follows: 17-
1271. (a) The securities commissioner shall remit all moneys received
from all fees, charges, deposits or penalties which have been collected
under the Kansas securities act or other laws of this state regulating the
issuance, sale or disposal of securities or regulating dealers in this state
or under the uniform land sales practices act, to the state treasurer at
least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of any each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury.
Twenty percent of each such deposit shall be credited to the state general
fund and the balance shall be credited to the securities act fee fund.

      (b) On the last day of each fiscal year, the director of accounts and
reports shall transfer from the securities act fee fund to the state general
fund any remaining unencumbered amount in the securities act fee fund
exceeding $50,000 so that the beginning unencumbered balance in the
securities act fee fund on the first day of each fiscal year is $50,000. All
expenditures from the securities act fee 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 securities commis-
sioner or by a person or persons designated by the securities commis-
sioner.

      (c) All amounts transferred from the securities act fee fund to the
state general fund under subsection (b) are to reimburse the state general
fund for accounting, auditing, budgeting, legal, payroll, personnel and
purchasing services and any other governmental services which are per-
formed on behalf of the state agency involved by other state agencies
which receive appropriations from the state general fund to provide such
services. Such reimbursements are in addition to those authorized by
K.S.A. 75-3170a, and amendments thereto.

      Sec.  59. K.S.A. 17-2206a is hereby amended to read as follows: 17-
2206a. On and after July 1, 1972, and in every case occurring heretofore
and hereafter, in which funds due to creditors, depositors and sharehold-
ers on liquidation of institutions under the jurisdiction of the credit union
administrator under K.S.A. 17-2206 and 17-2230, and amendments
thereto, are undelivered, they shall, together with accrued interest, if any,
be paid to the credit union administrator, who shall deposit remit such
payments with to the state treasurer, in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto, and credit such individual
creditors, depositors or shareholders account in the undistributed assets
of defunct credit union fund ledger. The state treasurer shall credit all
such deposits deposit the entire amount in the state treasury to the credit
of the undistributed assets of defunct credit unions fund which is hereby
created. Said Such fund shall be used only for refunds and payments of
amounts due creditors, depositors and shareholders on claims filed with
and approved by the credit union administrator. Any balance remaining
in said the fund from any single defunct credit union five (5) years, during
which time no person entitled thereto shall have appeared to claim such
funds, shall be transferred by the credit union administrator to the state
general fund and appropriate entries made in the individual creditors,
depositors or shareholders record, showing the date and disposition of
the funds and shall further recite that they were transferred by reason of
this statute of limitation.

      Sec.  60. K.S.A. 17-2236 is hereby amended to read as follows: 17-
2236. Before entering their respective duties, the administrator, each
credit union examiner, and any other employee within the credit union
department as determined in accordance with the provisions of K.S.A.
75-4104, and amendments thereto, shall give a bond set at a minimum
of $25,000 per individual conditioned upon the faithful and impartial
discharge of their respective duties and the proper accounting for all
funds which may come into their hands. Such bonds shall be executed by
a surety company authorized to do business in this state. Such bonds shall
be approved by the committee on surety bonds and insurance and filed,
with the approval of such committee endorsed thereon together with the
oaths of office of such officers and employees, with the secretary of state.
Premium on such bonds shall be paid from the credit union fee fund.
Suits may be maintained on such bonds in the name of the state for the
use of the party or parties injured by a breach thereof.

      The administrator shall remit all moneys received by or for the admin-
istrator from fees, charges or penalties to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of any each such remittance, the state trea-
surer shall deposit the entire amount thereof in the state treasury. Twenty
percent of each such deposit shall be credited to the state general fund
and the balance shall be credited to the credit union fee fund. All ex-
penditures from such fund shall be made in accordance with appropria-
tion acts upon warrants of the director of accounts and reports issued
pursuant to vouchers approved by the administrator or by a person or
persons designated by the administrator. The compensation of members
and employees, office costs and other actual and necessary expenses of
the department and expenses incurred in the administration and enforce-
ment of this act shall be paid from the credit union fee fund.

      Sec.  61. K.S.A. 17-2265 is hereby amended to read as follows: 17-
2265. In addition to other fees authorized by law, the credit union ad-
ministrator shall fix and collect appropriate fees among all state-chartered
credit unions which are insured by guarantee corporations regulated by
the administrator for the administration of the provisions of K.S.A. 17-
2250 to 17-2261, inclusive, and amendments thereto. The credit union
administrator shall remit all fees collected under this section to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt thereof of each such remittance, the
state treasurer shall deposit the entire amount thereof in the state treasury
and shall credit the entire amount of such deposit to the credit of the
credit union fee fund.

      Sec.  62. K.S.A. 17-5610 is hereby amended to read as follows: 17-
5610. Every association shall at least four times annually file in the office
of the commissioner a statement in such form as the commissioner pre-
scribes. Such report shall show in detail the resources and liabilities of
the association at the close of business upon the date determined by the
commissioner and shall be verified by the president, treasurer or secretary
and shall be filed with the commissioner within 30 days. An association
may comply with this section by filing with the commissioner a completed
thrift financial report within 30 days of the final day of a reporting period
as required by the office of thrift supervision pursuant to 12 C.F.R. sec-
tion 563.180, and amendments thereto. A late penalty fee of $5 per day
shall be charged for each day the report is not received after the due
date, but shall not exceed a maximum of $150. The commissioner shall
remit all moneys received by or for the commissioner from fees, charges
or penalties to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury. Twenty percent of each such deposit
shall be credited to the state general fund and the balance thereof shall
be credited to the bank commissioner fee fund.

      Sec.  63. K.S.A. 17-5701 is hereby amended to read as follows: 17-
5701. Associations shall pay to the commissioner fees due under the pro-
visions of this section and K.S.A. 17-5702 to 17-5707, inclusive, and
amendments thereto. The commissioner shall remit all moneys received
by or for the commissioner from fees, charges or penalties to the state
treasurer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of any each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury. Twenty percent of each such deposit shall be credited to the
state general fund and the balance shall be credited to the bank com-
missioner fee fund.

      Upon the filing with the commissioner of a certificate of incorporation
the incorporators shall simultaneously pay an incorporation fee of $200.
Any savings and loan association incorporated under this act, or any prior
act, may extend the duration of time for which such association was or-
ganized by a vote of 51% of its shareholders present in person or by proxy
at any association annual or special meeting called for that purpose, and
such action of the shareholders shall be certified to the state bank com-
missioner accompanied by a fee of $12.50.

      Sec.  64. K.S.A. 17-7508 is hereby amended to read as follows: 17-
7508. All taxes paid pursuant to the provisions of this act shall be rounded
off to the nearest $1, and unless other disposition is specifically provided
by law, the taxes collected under the provisions of this act and all over-
payments which may not be refunded under this section shall be depos-
ited remitted to the state treasurer in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury, and the state treasurer shall credit the entire amount thereof to
the credit of the state general fund. The secretary of state shall not refund
any overpayment of franchise taxes which is equal to $1 or less, shall not
credit any domestic corporation or foreign corporation with any amount
which may not be refunded under this section, and shall not require
reimbursement for any underpayment of franchise taxes which is less than
$1. No refund shall be allowed by the secretary of state after three years
from the date prescribed by law for filing the report, provided it was filed
before the due date, unless before the expiration of such period a claim
therefor is filed by the taxpayer. If the report was filed after the due date,
a refund claim must be filed not later than three years from the time the
report was actually filed.

      Sec.  65. K.S.A. 2000 Supp. 17-7509 is hereby amended to read as
follows: 17-7509. (a) In case any corporation organized for profit which
is required to file an annual report and pay the annual franchise tax pre-
scribed by this act shall fail or neglect to make such report at the time
prescribed, such corporation shall be subject to a penalty of $75. Such
penalty and the annual tax or taxes required to be paid by this act may
be recovered by an action in the name of the state, and all moneys re-
covered shall be paid into remitted to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount in the state treasury to the credit of the state general fund.

      (b) On complaint of the secretary of state that any corporation has
failed to pay the annual taxes prescribed by this act, it shall be the duty
of the county or district attorney, or the attorney general, to institute such
action in the district court of Shawnee county, Kansas, or of any county
in which such corporation has an office or place of business.

      (c) The penalties provided for in subsection (a) also may be assessed
against any corporation for the reason that such corporation has been
canceled or its existence forfeited pursuant to the Kansas general cor-
poration code. No penalty shall be charged pursuant to this subsection,
if a corporation is assessed penalties pursuant to grounds specified in
subsection (a).

      Sec.  66. K.S.A. 17-7515 is hereby amended to read as follows: 17-
7515. (a) The secretary of state shall have authority to place and maintain,
in a confidential file, that portion of an annual report of a corporation or
limited partnership, including the amount of any fee based thereon, con-
taining the financial information required by subsection (a)(6) of K.S.A.
17-7503, subsection (a)(8) of K.S.A. 17-7505, subsection (a) of K.S.A. 17-
2718, subsection (b)(3) of K.S.A. 56-1a606 or subsection (b)(3) of K.S.A.
56-1a607, and amendments thereto, upon application verifying to the
secretary of state, that such corporation or limited partnership:

      (1) Has a net worth of at least $5,000 that is equal to at least 5% of
its total assets, determined in accordance with generally accepted ac-
counting principles;

      (2) has never been the subject of a proceeding under chapter 7, 11
or 13 of the federal bankruptcy laws or any similar provision of any state
law, any amendment to the federal bankruptcy laws or any predecessor
to the federal bankruptcy laws;

      (3) is not subject to the reporting requirements of the securities
exchange act of 1934;

      (4) has 35 or fewer holders of its voting shares, if a corporation; or
partners, if a limited partnership;

      (5) is not an applicant for or holder of a license under the Kansas
parimutuel racing act; and

      (6) is not a vendor under the Kansas lottery act.

      (b) Any such application by a corporation or limited partnership shall
be accompanied by payment of a fee set by rules and regulations from
the secretary of state. The secretary of state shall remit all moneys re-
ceived from fees pursuant to this section to the state treasurer for deposit
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury to the credit of the infor-
mation and copy service fee fund. Such application and any accompanying
material shall also be maintained in a confidential file by the secretary of
state.

      (c) All material maintained in a confidential file pursuant to this sec-
tion shall not be disclosed except: (1) In accordance with a proper judicial
order; (2) in accordance with the provisions of subsection (c) of K.S.A.
17-7514, and amendments thereto; (3) upon a proper written request of
a law enforcement officer or agency of this state or of any political sub-
division thereof; (4) upon a determination by the secretary of state that
such corporation or limited partnership no longer meets one or more of
the requirements set forth in subsection (a); or (5) when 10 years have
elapsed since such material was filed with the secretary of state.

      (d) The secretary of state shall adopt such rules and regulations as
may be necessary to carry out the provisions of this act.

      Sec.  67. K.S.A. 2000 Supp. 19-4707 is hereby amended to read as
follows: 19-4707. (a) Except as provided in subsection (b), no person shall
be assessed costs for enforcement and prosecution of violations of county
codes and resolutions pursuant to this code, except for witness fees and
mileage as set forth in K.S.A. 19-4726, and amendments thereto.

      (b) The court shall assess as a cost in each case filed for violations of
county codes and resolutions, a $1 assessment. The judge or clerk of the
court shall remit at least monthly to the state treasurer all such assess-
ments received to the state treasurer in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of each such
remittance, the state treasurer shall deposit the entire amount of the re-
mittance in the state treasury and credit 50% to the protection from abuse
fund established pursuant to K.S.A. 74-7325, and amendments thereto,
and 50% to the crime victims assistance fund established pursuant to
K.S.A. 74-7334, and amendments thereto.

      Sec.  68. K.S.A. 20-156 is hereby amended to read as follows: 20-156.
The state law librarian shall be responsible for the operation and man-
agement of the supreme court law library and shall have custody of all
books, pamphlets and documents belonging thereto. He shall cause each
book, pamphlet or document received by such library to be stamped with
the words ``Kansas supreme court law library'' and to be classified and
catalogued in accordance with approved library methods. The state law
librarian shall provide for the procurement of the acts, journals and other
publications of a legal nature of the congress and the legislatures of the
several states and territories, together with the judicial decisions of the
courts of the United States and of the several states and territories. For
such purpose, the state law librarian may exchange the laws, judicial de-
cisions and books, documents and publications of a legal nature of the
state of Kansas and agencies thereof. The law librarian may exchange, sell
or loan indefinitely, duplicate books, sets of works or other duplicate or
temporary material, and the proceeds from any such sales shall be re-
mitted at least monthly by the state law librarian to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount thereof in the state treasury to the credit of
the ``duplicate law book fund,'' which fund is hereby created. All expend-
itures from such fund shall be for miscellaneous law library purposes and
shall be made in accordance with appropriation acts upon warrants of the
director of accounts and reports issued pursuant to vouchers approved
by the state law librarian or by a person or persons designated by him.
Any exchange, sale or loan made hereunder shall be exempt from the
provisions of K.S.A. 75-3739 to 75-3744, both sections inclusive, and any
acts amendatory thereof and amendments thereto.

      Sec.  69. K.S.A. 2000 Supp. 20-166 is hereby amended to read as
follows: 20-166. (a)  There is hereby created in the state treasury the
access to justice fund. Money credited to the fund pursuant to K.S.A. 20-
362, and amendments thereto, shall be used solely for the purpose of
making grants for operating expenses to programs, including dispute res-
olution programs, which provide access to the Kansas civil justice system
for persons who would otherwise be unable to gain access to civil justice.
Such programs may provide legal assistance to pro se litigants, legal coun-
sel for civil and domestic matters or other legal or dispute resolution
services provided the recipient of the assistance or counsel meets financial
qualifications under guidelines established by the program in accordance
with grant guidelines promulgated by the supreme court of Kansas.

      (b) All expenditures from the access to justice fund shall be made in
accordance with appropriations acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the chief
justice of the Kansas supreme court or by a person or persons designated
by the chief justice.

      (c) The chief justice may apply for, receive and accept money from
any source for the purposes for which money in the access to justice fund
may be expended. Upon receipt of any such money each such remittance,
the chief justice shall remit the entire amount at least monthly to the state
treasurer, who in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit it the entire amount in the state treasury and credit it
to the credit of the access to justice fund.

      (d) Grants made to programs pursuant to this section shall be based
on the number of persons to be served and such other requirements as
may be established by the Kansas supreme court in guidelines established
and promulgated to regulate grants made under authority of this section.
The guidelines may include requirements for grant applications, organi-
zational characteristics, reporting and auditing criteria and such other
standards for eligibility and accountability as are deemed advisable by the
supreme court.

      Sec.  70. K.S.A. 20-1a01 is hereby amended to read as follows: 20-
1a01. The clerk of the supreme court shall remit to the state treasurer at
least monthly all moneys received by or for him such clerk from fees,
costs, other charges or penalties of the state board of law examiners from
bar discipline program administration and activities to the state treasurer
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount thereof in the state treasury a special fund to
be known as to the credit of the bar discipline fee fund, which shall not
be a part of the state treasury. All expenditures from such fund shall be
made upon warrants of the director of accounts and reports issued pur-
suant to vouchers approved by the chief justice of the supreme court or
by a person or persons designated by him the chief justice. Amounts de-
posited under this section shall not be subject to any limitation imposed
by any appropriation act by the legislature. All receipts, accounts, ex-
penditures and other disbursements from the fee fund established by this
section shall be subject to post audit in accordance with article 11 of
chapter 46 of Kansas Statutes Annotated, and any amendments thereto.

      Sec.  71. K.S.A. 20-1a02 is hereby amended to read as follows: 20-
1a02. The clerk of the supreme court shall remit to the state treasurer at
least monthly all moneys received by or for him such clerk from applicants
for examination for certified shorthand reporter to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of any each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury. Twenty per-
cent (20%) of each such deposit shall be credited to the state general
fund, and the balance shall be credited to the court reporters fee fund.
All expenditures from such fund shall be made in accordance with ap-
propriation acts upon warrants of the director of accounts and reports
issued pursuant to vouchers approved by the chief justice of the supreme
court or by a person or persons designated by him the chief justice. Com-
pensation of members and other actual and necessary expenses of the
state board of examiners of court reporters shall be paid from such fund
as authorized by the rules of the supreme court.

      Sec.  72. K.S.A. 20-1a03 is hereby amended to read as follows: 20-
1a03. The clerk of the supreme court shall remit to the state treasurer at
least monthly all moneys received by or for him such clerk from applicants
for admission to the practice of law in Kansas, except amounts received
for immediate remittance to carry out contractual investigation and report
of bar applicants to the state treasurer in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of any each
such remittance to the state treasurer, the state treasurer shall deposit
the entire amount thereof in the state treasury. Twenty percent (20%) of
each such deposit shall be credited to the state general fund and the
balance shall be credited to the bar admission fee fund. All expenditures
from such fund shall be made in accordance with appropriation acts upon
warrants of the director of accounts and reports issued pursuant to vouch-
ers approved by the chief justice of the supreme court or by a person or
persons designated by him the chief justice. Compensation of members
and other actual and necessary expenses of the state board of law exam-
iners may be paid from such fund.

      Sec.  73. K.S.A. 2000 Supp. 20-1a04 is hereby amended to read as
follows: 20-1a04. The clerk of the supreme court shall remit to the state
treasurer at least monthly all moneys received by or for such clerk for
docket fees, and all amounts received for other purposes than those spec-
ified in K.S.A. 20-1a01, 20-1a02 or 20-1a03, and amendments thereto,
unless by order of the supreme court such clerk is directed to make other
disposition thereof to the state treasurer in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of any each
such remittance, the state treasurer shall deposit and credit the entire
amount in the state treasury to the credit of the judicial branch nonjudicial
salary initiative fund, a sum equal to 56% of the remittances of docket
fees and to the state general fund, a sum equal to 44% of the remittance
of docket fees.

      Sec.  74. K.S.A. 2000 Supp. 20-1a11 is hereby amended to read as
follows: 20-1a11. (a) There is hereby created in the state treasury a judicial
branch education fund.

      (b) All money credited to the fund shall be used for the purpose of
educating and training judicial branch officers and employees; for admin-
istering the training, testing and education of municipal judges as pro-
vided in K.S.A. 12-4114, and amendments thereto; for educating and
training municipal judges and municipal court support staff; and for the
planning and implementation of a family court system as provided by law.
Expenditures from the judicial branch education fund shall be made in
accordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the chief
justice of the supreme court or by a person or persons designated by the
chief justice.

      (c) The chief justice may apply for, receive and accept money from
any source for the purposes for which money in the judicial branch ed-
ucation fund may be expended. Upon receiving any such money, the chief
justice shall remit the entire amount at least monthly to the state treasurer
who in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit such money the entire amount in the state treasury and credit
such money to the credit of the judicial branch education fund.

      (d) Upon the effective date of this act, the director of accounts and
reports is directed to transfer all moneys in the municipal judge training
fund to the judicial branch education fund. Upon the effective date of
this act, all liabilities of the municipal judge training fund existing prior
to such date are hereby imposed on the judicial branch education fund.
Whenever the municipal judge training fund, or words of like effect, is
referred to or designated by any statute, contract, or other document,
such reference or designation shall be deemed to apply to the judicial
branch education fund. The municipal judge training fund is hereby abol-
ished.

      Sec.  75. K.S.A. 20-213 is hereby amended to read as follows: 20-213.
The state law librarian shall remit all moneys received by or for him such
librarian from the sale of reports of the supreme court and from the sale
of court of appeals reports to the state treasurer at least monthly in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of any each such remittance, the state treasurer shall deposit
the entire amount thereof in the state treasury and the same shall be
credited to the credit of the library report fee fund. All expenditures from
such fund shall be made in accordance with appropriation acts upon war-
rants of the director of accounts and reports issued pursuant to vouchers
approved by the state law librarian or by a person or persons designated
by him such state librarian. The state law librarian may make expendi-
tures from such fund for the purpose of paying the cost of transportation,
handling and storage charges incurred by him the state librarian in the
sale, delivery and storage of said such reports, including the cost of pro-
viding shelving for their storage, and for the purchase of library materials
related to the subject of law and the rebinding of same, and for the
purpose of reprinting volumes of said such reports.

      Sec.  76. K.S.A. 2000 Supp. 20-350 is hereby amended to read as
follows: 20-350. (a) Except for fines and penalties authorized to be paid
to counties pursuant to K.S.A. 19-101e, and amendments thereto, and
subsection (b), and amendments thereto, all moneys received by the clerk
of the district court from the payment of fines, penalties and forfeitures
shall be remitted to the state treasurer, in the manner provided by K.S.A.
20-2801 accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto, and. Upon receipt of each such remittance, the state trea-
surer shall deposit the same entire amount in the state treasury to the
credit of the state general fund, except as provided in K.S.A. 74-7336,
and amendments thereto.

      (b) Except as provided by K.S.A. 2000 Supp. 20-368, and amend-
ments thereto, all moneys received by the clerk of the district court from
the payment of bail forfeitures shall be remitted to the state treasurer at
least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the same entire amount in the state treasury and shall
credit equal portions of such remittance to the indigents' defense services
fund and the state general fund.

      (c) The chief judge may invest any moneys on deposit in the district
court account if the moneys are not immediately required for the pur-
poses for which they were collected or received. Such moneys may be
invested in: (1) Time deposits, open account or certificates of deposit, for
periods not to exceed six months, or savings deposits, in commercial banks
located in the county, except that amounts invested which are not insured
by the United States government shall be secured in the manner and
amounts provided by K.S.A. 9-1402, and amendments thereto; (2) United
States treasury bills or notes with maturities not to exceed six months; or
(3) savings and loan associations located in the county. No investment of
more than the amount insured by the federal deposit insurance corpo-
ration shall be made in any one savings and loan association. Interest
received from the investment of moneys pursuant to this subsection shall
be paid remitted to the state treasurer in the manner provided by K.S.A.
20-2801 accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto, and. Upon receipt of each such remittance, the state trea-
surer shall deposit the same entire amount in the state treasury to the
credit of the state general fund.

      (d) Upon application of a party to an action in which such party claims
ownership of moneys held by the district court, the chief judge may invest
such moneys in the same manner as provided by subsection (c). Interest
received from the investment of moneys pursuant to this subsection shall
become the property of the person found to be the owner of the moneys.

      Sec.  77. K.S.A. 2000 Supp. 20-362 is hereby amended to read as
follows: 20-362. The clerk of the district court shall remit at least monthly
all revenues received from docket fees as follows:

      (a) At least monthly to the county treasurer, for deposit in the county
treasury and credit to the county general fund:

      (1) A sum equal to $10 for each docket fee paid pursuant to K.S.A.
60-2001 and 60-3005, and amendments thereto, during the preceding
calendar month;

      (2) a sum equal to $10 for each $36.50 or $61.50 docket fee paid
pursuant to K.S.A. 2000 Supp. 61-4001, or K.S.A. 61-2704 or 61-2709,
and amendments thereto; and

      (3) a sum equal to $5 for each $19.50 docket fee paid pursuant to
K.S.A. 2000 Supp. 61-4001 or K.S.A. 61-2704, and amendments thereto,
during the preceding calendar month.

      (b) At least monthly to the board of trustees of the county law library
fund, for deposit in the fund, a sum equal to the library fees paid during
the preceding calendar month for cases filed in the county.

      (c) At least monthly to the county treasurer, for deposit in the county
treasury and credit to the prosecuting attorneys' training fund, a sum
equal to $1 for each docket fee paid pursuant to K.S.A. 28-172a, and
amendments thereto, during the preceding calendar month for cases filed
in the county and for each fee paid pursuant to subsection (c) of K.S.A.
28-170, and amendments thereto, during the preceding calendar month
for cases filed in the county.

      (d) To the state treasurer, in accordance with the provisions of K.S.A.
75-4215, and amendments thereto, for deposit in the state treasury and
credit to the indigents' defense services fund, a sum equal to $.50 for
each docket fee paid pursuant to K.S.A. 28-172a and subsection (d) of
K.S.A. 28-170, and amendments thereto, during the preceding calendar
month.

      (e) To the state treasurer, in accordance with the provisions of K.S.A.
75-4215, and amendments thereto, for deposit in the state treasury and
credit to the law enforcement training center fund, during the period
commencing July 1, 1998, and ending June 30, 2002, a sum equal to $9,
and on and after July 1, 2002, a sum equal to $8 for each docket fee paid
pursuant to K.S.A. 28-172a, and amendments thereto, during the pre-
ceding calendar month.

      (f) To the state treasurer, in accordance with the provisions of K.S.A.
75-4215, and amendments thereto, for deposit in the state treasury and
distribution according to K.S.A. 20-367, and amendments thereto, a sum
equal to the balance which remains from all docket fees paid during the
preceding calendar month after deduction of the amounts specified in
subsections (a), (b), (c), (d) and (e).

      Sec.  78. K.S.A. 2000 Supp. 20-367 is hereby amended to read as
follows: 20-367. Of the remittance of the balance of docket fees received
monthly by the state treasurer from clerks of the district court pursuant
to subsection (f) of K.S.A. 20-362, and amendments thereto, the state
treasurer shall deposit and credit to the access to justice fund, a sum
equal to 6.05% of the remittances of docket fees; to the juvenile detention
facilities fund, a sum equal to 3.36% of the remittances of docket fees;
to the judicial branch education fund, the state treasurer shall deposit
and credit a sum equal to 2.58% of the remittances of docket fees; to the
crime victims assistance fund, the state treasurer shall deposit and credit
a sum equal to .69% of the remittances of the docket fees; to the protec-
tion from abuse fund, the state treasurer shall deposit and credit a sum
equal to 2.07% of the remittances of the docket fees; to the judiciary
technology fund, the state treasurer shall deposit and credit a sum equal
to 5.23% of the remittances of docket fees; to the dispute resolution fund,
the state treasurer shall deposit and credit a sum equal to .43% of the
remittances of docket fees; to the Kansas juvenile delinquency prevention
trust fund, the state treasurer shall deposit and credit a sum equal to
1.53% of the remittances of docket fees; to the permanent families ac-
count in the family and children investment fund, the state treasurer shall
deposit and credit a sum equal to .25% of the remittances of docket fees;
to the trauma fund, a sum equal to 1.81% of the remittance of docket
fees; and to the judicial branch nonjudicial salary initiative fund, the state
treasurer shall deposit and credit a sum equal to 21.97% of the remittance
of docket fees. The balance remaining of the remittances of docket fees
shall be deposited and credited to the state general fund.

      Sec.  79. K.S.A. 20-2801 is hereby amended to read as follows: 20-
2801. (a) At least monthly The clerk of the district court shall remit all
moneys payable to the state treasurer from fines, penalties and forfeitures
to the state treasurer, and in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance, the
state treasurer shall deposit the same entire amount in the state treasury
to the credit of the state general fund, except as provided in K.S.A. 74-
7336, and amendments thereto.

      (b) In order to determine the amount of moneys available pursuant
to this section, the director of accounts and reports or the state treasurer,
whenever it is deemed necessary by either of such officers, may request
the clerk of the district court to provide such information as provided in
this section. Within 10 days of the receipt of any such request, such clerk
shall certify the amount of moneys collected pursuant to this section to
the director of accounts and reports and the state treasurer.

      (c) This section shall not apply to municipal courts.

      Sec.  80. K.S.A. 2000 Supp. 21-3851 is hereby amended to read as
follows: 21-3851. (a)  Any person convicted of a violation of this act, may
be liable, in addition to any other criminal penalties provided by law, for
all of the following:

      (1) Payment of full restitution of the amount of the excess payments;

      (2) payment of interest on the amount of any excess payments at the
maximum legal rate in effect on the date the payment was made to the
person for the period from the date upon which payment was made, to
the date upon which repayment is made;

      (3) payment of all reasonable expenses that have been necessarily
incurred in the enforcement of this act, including, but not limited to, the
costs of the investigation, litigation and attorney fees.

      (b) All moneys recovered pursuant to subsection (a)(1) and (2), shall
be paid and deposited remitted to the state treasurer in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credited to the credit of the medicaid fraud
reimbursement fund, which is hereby established in the state treasury.
Moneys in the medicaid fraud reimbursement fund shall be divided and
payments made from such fund to the federal government and affected
state agencies for the refund of moneys falsely obtained from the federal
and state governments.

      (c) All moneys recovered pursuant to subsection (a)(3) shall be de-
posited remitted to the state treasurer in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of each such
remittance, the state treasurer shall deposit the entire amount in the state
treasury and credited to the credit of the medicaid fraud prosecution
revolving fund, which is hereby established in the state treasury. Moneys
in the medicaid fraud prosecution revolving fund may be appropriated to
the attorney general, or to any county or district attorney who has suc-
cessfully prosecuted an action for a violation of this act and been awarded
such costs of prosecution, in order to defray the costs of the attorney
general and any such county or district attorney in connection with their
duties provided by this act. No moneys shall be paid into the medicaid
fraud prosecution revolving fund pursuant to this section unless the at-
torney general or appropriate county or district attorney has commenced
a prosecution pursuant to this section, and the court finds in its discretion
that payment of attorney fees and investigative costs is appropriate under
all the circumstances, and the attorney general, or county or district at-
torney has proven to the court that the expenses were reasonable and
necessary to the investigation and prosecution of such case, and the court
approves such expenses as being reasonable and necessary.

      Sec.  81. K.S.A. 21-4610a is hereby amended to read as follows: 21-
4610a. (a) Each person placed under the probation supervision of a court
services officer or other officer or employee of the judicial branch by a
judge of the district court under K.S.A. 21-4610, and amendments
thereto, and each person assigned to a community correctional services
program shall pay a probation or community correctional services fee. If
the person was convicted of a misdemeanor, the amount of the probation
services fee is $25 and if the person was convicted of a felony, the amount
of the probation or community correctional services fee is $50, except
that in any case the amount of the probation or community correctional
services fee specified by this section may be reduced or waived by the
judge if the person is unable to pay that amount.

      (b) The probation or community correctional services fee imposed
by this section shall be charged and collected by the district court. The
clerk of the district court shall remit at least monthly all revenues received
under this section from probation or community correctional services fees
to the state treasurer in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury to
the credit of the state general fund.

      (c) This section shall not apply to persons placed on probation or
released on parole to reside in Kansas under the uniform act for out-of-
state parolee supervision.

      Sec.  82. K.S.A. 2000 Supp. 22-4504 is hereby amended to read as
follows: 22-4504. (a) When any defendant who is entitled to have the
assistance of counsel, under the provisions of K.S.A. 22-4503, and amend-
ments thereto, claims to be financially unable to employ counsel, the
court shall require that the defendant file an affidavit containing such
information and in the form as prescribed by rules and regulations
adopted by the state board of indigents' defense services. The affidavit
filed by the defendant shall become a part of the permanent file of the
case. The court may interrogate the defendant under oath concerning the
contents of the affidavit and may direct the county or district attorney,
sheriff, marshal or other officer of the county to investigate and report
upon the financial condition of the defendant and may also require the
production of evidence upon the issue of the defendant's financial ina-
bility to employ counsel.

      (b) Upon the basis of the defendant's affidavit, the defendant's state-
ments under oath, and such other competent evidence as may be brought
to the attention of the court, which shall be made part of the record in
the case, the court shall determine whether the defendant is financially
unable to employ counsel. In making such determination the court shall
consider the defendant's assets and income; the amount needed for the
payment of reasonable and necessary expenses incurred, or which must
be incurred to support the defendant and the defendant's immediate
family; the anticipated cost of effective representation by employed coun-
sel; and any property which may have been transferred or conveyed by
the defendant to any person without adequate monetary consideration
after the commission of the alleged crime. If the defendant's assets and
income are not sufficient to cover the anticipated cost of effective rep-
resentation by employed counsel when the length and complexity of the
anticipated proceedings are taken fully into account, the defendant shall
be determined indigent in full or in part and the court shall appoint an
attorney as provided in K.S.A. 22-4503, and amendments thereto. If the
court determines that the defendant is financially able to employ counsel,
the court shall so advise the defendant and shall give the defendant a
reasonable opportunity to employ an attorney of the defendant's own
choosing. All determinations by a court as to whether a defendant is
financially unable to employ counsel shall be subject to and in accordance
with rules and regulations adopted by the state board of indigents' defense
services under this act.

      (c) The court shall inform the defendant for whom counsel is ap-
pointed that the amount expended by the state in providing counsel and
other defense services may be entered as a judgment against the defend-
ant if the defendant is convicted and found to be financially able to pay
the amount, and that an action to recover such amount may be brought
against any person to whom the defendant may have transferred or con-
veyed any of the defendant's property without adequate monetary con-
sideration after the date of the commission of the alleged crime. A de-
termination by the court that the defendant is financially unable to employ
counsel or pay other costs of the defendant's defense may preclude a
recovery from the defendant but may not preclude recovery from any
person to whom the defendant may have transferred or conveyed any
property without adequate monetary consideration after the date of the
commission of the alleged crime.

      (d) If found to be indigent in part, the defendant shall be promptly
informed of the terms under which the defendant may be expected to
pay for counsel. Any payments pursuant to such terms shall apply upon
any judgment entered pursuant to K.S.A. 22-4513, and amendments
thereto. Payments made for services of appointed counsel provided under
K.S.A. 22-4503, and amendments thereto, shall be paid to the clerk of
the district court. The clerk of the district court shall remit all moneys
received as payment for services of appointed counsel under this section
to the state board of indigents' defense services at least monthly and the
board shall remit all moneys received under this section to the state trea-
surer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury to the credit of the state general fund.

      (e) The determination that a defendant is indigent or partially indi-
gent shall be subject to review at any time by any court before whom the
cause is then pending.

      (f) The state board of indigents' defense services shall adopt rules
and regulations in accordance with K.S.A. 77-415 et seq., and amend-
ments thereto, relating to the income, assets and anticipated costs of
representation for the purpose of determining whether a defendant is
financially able to employ counsel and the ability of a defendant to con-
tribute to the cost of the defendant's legal defense services.

      Sec.  83. K.S.A. 22-4526 is hereby amended to read as follows: 22-
4526. All moneys received by the state board of indigents' defense serv-
ices under contracts entered into with one or more cities or counties
under subsection (f) of K.S.A. 22-4523, and amendments thereto, shall
be remitted by the board to the state treasurer at least monthly in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of each such remittance, the state treasurer shall deposit
the entire amount thereof in the state treasury to the credit of the indi-
gents defense services fund.

      Sec.  84. K.S.A. 2000 Supp. 22-4529 is hereby amended to read as
follows: 22-4529. The court may impose an administrative fee in the
amount of $35 against any defendant entitled to counsel pursuant to
K.S.A. 22-4503, and amendments thereto. If it appears to the satisfaction
of the court that payment of the administrative fee will impose manifest
hardship on the defendant, the court may waive payment of all or part of
the administrative fee. All moneys received pursuant to this section shall
be remitted to the state treasurer at least monthly, and in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the same
entire amount in the state treasury to the credit of the indigents' defense
services fund. If the defendant is acquitted or the case is dismissed, any
administrative fee paid pursuant to this section shall be remitted to the
defendant. The provisions of this section shall take effect on and after
July 1, 1997.

      Sec.  85. K.S.A. 2000 Supp. 23-108a is hereby amended to read as
follows: 23-108a. (a) The judge or clerk of the district court shall collect
from the applicant for a marriage license a fee of $50.

      (b) The clerk of the court shall remit to the state treasurer at least
monthly all fees prescribed by this section to the state treasurer in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of each such remittance, the state treasurer shall deposit the
entire amount in the state treasury. Of each remittance, the state trea-
surer shall credit 46% to the protection from abuse fund, 17.92% to the
family and children trust account of the family and children investment
fund created by K.S.A. 38-1808, and amendments thereto, 20% to the
crime victims assistance fund created by K.S.A. 74-7334, and amend-
ments thereto, and the remainder to the state general fund.

      Sec.  86. K.S.A. 25-4006 is hereby amended to read as follows: 25-
4006. The provisions of K.S.A. 25-206, and amendments thereto, shall
not apply to the offices of governor and lieutenant governor. When can-
didates for governor and lieutenant governor in lieu of nomination peti-
tions shall file a joint declaration of intention to become candidates for
such offices the accompanying fee shall be a sum equal to the total of one
percent (1%) 1% of one year's salary for governor and one percent (1%)
1% of one year's salary for lieutenant governor, as determined by the
secretary of state. Amounts received under this section shall be deposited
remitted to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury
and credited to the credit of the state general fund.

      Such declaration shall be prescribed by the secretary of state, and shall
be attested before the secretary of state or a deputy secretary of state.

      Sec.  87. K.S.A. 25-4119a is hereby amended to read as follows: 25-
4119a. (a) There is hereby created the Kansas commission on govern-
mental standards and conduct.

      (b) On July 1, 1998, the Kansas commission on governmental stan-
dards and conduct is hereby redesignated as the governmental ethics
commission. On and after July 1, 1998, whenever the Kansas commission
on governmental standards and conduct, or words of like effect, is re-
ferred to or designated by a statute, contract or other document, such
reference or designation shall be deemed to apply to the governmental
ethics commission. Nothing in this act shall be construed as abolishing
and reestablishing the Kansas commission on governmental standards and
conduct. The commission shall consist of nine members of whom two
shall be appointed by the governor, one by the president of the senate,
one by the speaker of the house of representatives, one by the minority
leader of the house of representatives, one by the minority leader of the
senate, one by the chief justice of the supreme court, one by the attorney
general and one by the secretary of state. Nothing in this act shall be
construed as affecting the terms of members serving on July 1, 1998. Not
more than five members of the commission shall be members of the same
political party and the two members appointed by the governor shall not
be members of the same political party.

      (c) The terms of all subsequently appointed members shall be two
years commencing on February 1 of the appropriate years. Vacancies
occurring on the commission shall be filled for the unexpired term by the
same appointing officer as made the original appointment. Members shall
serve until their successors are appointed and qualified. The governor
shall designate one of the members appointed by the governor to be the
chairperson of the commission. A majority vote of five members of the
commission shall be required for any action of the commission. The com-
mission may adopt rules to govern its proceedings and may provide for
such officers other than the chairperson as it may determine. The com-
mission shall meet at least once each quarter, and also shall meet on call
of its chairperson or any four members of the commission. Members of
the commission attending meetings of such commission, or attending a
subcommittee meeting thereof authorized by such commission, shall be
paid compensation, subsistence allowances, mileage and other expenses
as provided in subsections (a) to (d), inclusive, of K.S.A. 75-3223, and
amendments thereto. The commission shall appoint an executive director
who shall be in the unclassified service and receive compensation fixed
by the commission, in accordance with appropriation acts of the legisla-
ture, subject to approval by the governor. The commission may employ
such other staff and attorneys as it determines, within amounts appro-
priated to the commission, all of whom shall be in the unclassified service
and shall receive compensation fixed by the commission and not subject
to approval by the governor.

      (d) The commission may adopt rules and regulations for the admin-
istration of the campaign finance act. Subject to K.S.A. 25-4178, and
amendments thereto, rules and regulations adopted by the commission
created prior to this act shall continue in force and effect and shall be
deemed to be the rules and regulations of the commission created by this
section of this enactment, until revised, amended, repealed or nullified
pursuant to law. All rules and regulations of the commission shall be
subject to the provisions of article 4 of chapter 77 of Kansas Statutes
Annotated. The commission shall continue to administer all of the acts
administered by the commission to which it is successor.

      (e) The commission may provide copies of opinions, informational
materials compiled and published by the commission and public records
filed in the office of the commission to persons requesting the same and
may adopt rules and regulations fixing reasonable fees therefor. All fees
collected by the commission under the provisions of this subsection shall
be paid remitted to the state treasurer who in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the same entire amount
in the state treasury to the credit of the governmental ethics commission
fee fund.

      (f) The commission shall submit an annual report and recommen-
dations in relation to all acts administered by the commission to the gov-
ernor and to the legislative coordinating council on or before December
1 of each year. The legislative coordinating council shall transmit such
report and recommendations to the legislature.

      (g) Whenever the Kansas commission on governmental standards and
conduct, or words of like effect, is referred to or designated by a statute,
contract or other document, such reference or designation shall be
deemed to apply to the governmental ethics commission.

      Sec.  88. K.S.A. 25-4119f is hereby amended to read as follows: 25-
4119f. (a) In addition to any other fee required by law, every person
becoming a candidate for the following offices shall pay a fee at the time
of filing for such office in the amount prescribed by this section:

(1) Governor and lieutenant governor $480;
(2) state offices elected by statewide election, other than the governor and lieutenant governor $480;
(3) state senator, state representative, state board of education, district attorney, board of public utilities of the city of Kansas City and elected county offices $35;
      and
(4) members of boards of education of unified school districts having 35,000 or more pupils regularly enrolled in the preceding school year, members of governing bodies of cities of the first class and judges of the district court in judicial districts in which judges are elected $35.
      (b) The secretary of state shall remit all fees received by that office
to the state treasurer in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. County election officers receiving fees in ac-
cordance with this section shall remit such fees to the county treasurer
of the county who shall quarterly remit the same to the state treasurer.
Upon receipt of each such remittance, the state treasurer shall deposit
the entire amount in the state treasury to the credit of the governmental
ethics commission fee fund.

      Sec.  89. K.S.A. 25-4145 is hereby amended to read as follows: 25-
4145. (a) Each party committee and each political committee which an-
ticipates receiving contributions or making expenditures shall appoint a
chairperson and a treasurer. The chairperson of each party committee
and each political committee which anticipates receiving contributions or
making expenditures for a candidate for state office shall make a state-
ment of organization and file it with the secretary of state not later than
10 days after establishment of such committee. The chairperson of each
political committee which anticipates receiving contributions or making
expenditures for any candidate for local office, shall make a statement of
organization and file it with the county election officer not later than 10
days after establishment of such committee.

      (b) Every statement of organization shall include:

      (1) The name and address of the committee. The name of the com-
mittee shall reflect the full name of the organization with which the com-
mittee is connected or affiliated or sufficiently describe such affiliation.
If the political committee is not connected or affiliated with any one
organization, the name shall reflect the trade, profession or primary in-
terest of the committee as reflected by the statement of purpose of such
organization;

      (2) the names and addresses of the chairperson and treasurer of the
committee;

      (3) the names and addresses of affiliated or connected organizations;
and

      (4) in the case of a political committee, the full name of the organi-
zation with which the committee is connected or affiliated or, name or
description sufficiently describing the affiliation or, if the committee is
not connected or affiliated with any one organization, the trade, profes-
sion or primary interest of the political committee as reflected by the
statement of purpose of such organization.

      (c) Any change in information previously reported in a statement of
organization shall be reported on a supplemental statement of organiza-
tion and filed not later than 10 days following the change.

      (d)  (1) Each political committee which anticipates receiving contri-
butions shall register annually with the commission on or before July 1
of each year. Each political committee registration shall be in the form
and contain such information as may be required by the commission.

      (2) Each registration by a political committee anticipating the receipt
of $2,501 or more in any calendar year shall be accompanied by an annual
registration fee of $240.

      (3) Each registration by a political committee anticipating the receipt
of more than $500 but less than $2,501 in any calendar year shall be
accompanied by an annual registration fee of $35.

      (4) Each registration by a political committee anticipating the receipt
of $500 or less in any calendar year shall be accompanied by an annual
registration fee of $20.

      (5) Any political committee which is currently registered under sub-
section (d)(3) or (d)(4) and which receives contributions in excess of
$2,500 for a calendar year, shall file, within three days of the date when
contributions exceed such amount, an amended registration form which
shall be accompanied by an additional fee for such year equal to the
difference between $240 and the amount of the fee that accompanied
the current registration.

      (6) Any political committee which is currently registered under sub-
section (d)(4) and which receives contributions in excess of $500 but
which are less than $2,501, shall file, within three days of the date when
contributions exceed $500, an amended registration form which shall be
accompanied by an additional fee of $20 for such year.

      (e) All such fees received by or for the commission shall be remitted
to the state treasurer at least monthly in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of each such
remittance, the state treasurer shall deposit the entire amount in the state
treasury to the credit of the governmental ethics commission fee fund.

      Sec.  90. K.S.A. 25-4152 is hereby amended to read as follows: 25-
4152. (a) The commission shall send a notice by registered or certified
mail to any person failing to file any report or statement required by
K.S.A. 25-4144, 25-4145 or 25-4148, and amendments thereto, and to the
candidate appointing any treasurer failing to file any such report, within
the time period prescribed therefor. The notice shall state that the re-
quired report or statement has not been filed with either the office of
secretary of state or county election officer or both. The person failing to
file any report or statement, and the candidate appointing any such per-
son, shall be responsible for the filing of such report or statement. The
notice also shall state that such person shall have 15 days from the date
such notice is deposited in the mail to comply with the registration and
reporting requirements before a civil penalty shall be imposed for each
day that the required documents remain unfiled. If such person fails to
comply within the prescribed period, such person shall pay to the state a
civil penalty of $10 per day for each day that such report or statement
remains unfiled, except that no such civil penalty shall exceed $300. The
commission may waive, for good cause, payment of any civil penalty im-
posed by this section.

      (b) Civil penalties provided for by this section shall be paid remitted
to the state treasurer, who in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the same entire amount in the state treas-
ury to the credit of the governmental ethics commission fee fund.

      (c) If a person fails to pay a civil penalty provided for by this section,
it shall be the duty of the commission to bring an action to recover such
civil penalty in the district court of the county in which such person re-
sides.

      Sec.  91. K.S.A. 25-4180 is hereby amended to read as follows: 25-
4180. (a) Every person who engages in any activity promoting or opposing
the adoption or repeal of any provision of the Kansas constitution and
who accepts moneys or property for the purpose of engaging in such
activity shall make an annual report to the secretary of state of individual
contributions or contributions in kind in an aggregate amount or value in
excess of $50 received during the preceding calendar year for such pur-
poses. The report shall show the name and address of each contributor
for the activity and the amount or value of the individual contribution
made, together with a total value of all contributions received, and also
shall account for expenditures in an aggregate amount or value in excess
of $50 from such contributions by showing the amount or value expended
to each payee and the purpose of each such expenditure, together with a
total value of all expenditures made. The annual report shall be filed on
or before February 15 of each year for the preceding calendar year.

      In addition to the annual report, a person engaging in an activity pro-
moting the adoption or repeal of a provision of the Kansas constitution
who accepts any contributed moneys for such activity shall make a pre-
liminary report to the secretary of state 15 days prior to each election at
which a proposed constitutional amendment is submitted. Such report
shall show the name and address of each individual contributor, together
with the amount contributed or contributed in kind in an aggregate
amount or value in excess of $50, and the expenditures in an aggregate
amount or value in excess of $50 from such contributions by showing the
amount paid to each payee and the purpose of the expenditure. A sup-
plemental report in the same format as the preliminary report shall be
filed with the secretary of state within 15 days after any election on a
constitutional proposition where contributed funds are received and ex-
pended in opposing or promoting such proposition.

      Any person who engages in any activity promoting or opposing the
adoption or repeal of any provision of the Kansas constitution shall be
considered engaged in such activity upon the date the concurrent reso-
lution passes the Kansas house of representatives and senate in its final
form. Upon such date, if the person has funds in the constitutional
amendment campaign treasury, such person shall be required to report
such funds as provided by this section.

      (b)  (1) The commission shall send a notice by registered or certified
mail to any person failing to file any report required by subsection (a)
within the time period prescribed therefor. The notice shall state that the
required report has not been filed with the office of the secretary of state.
The notice also shall state that such person shall have 15 days from the
date such notice is deposited in the mail to comply with the reporting
requirements before a civil penalty shall be imposed for each day that
the required documents remain unfiled. If such person fails to comply
within the prescribed period, such person shall pay to the state a civil
penalty of $10 per day for each day that such report remains unfiled,
except that no such civil penalty shall exceed $300. The commission may
waive, for good cause, payment of any civil penalty imposed by this sec-
tion.

      (2) Civil penalties provided for by this section shall be paid remitted
to the state treasurer, who in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the same entire amount in the state treas-
ury to the credit of the governmental ethics commission fee fund.

      (3) If a person fails to pay a civil penalty provided for by this section,
it shall be the duty of the commission to bring an action to recover such
civil penalty in the district court of the county in which such person re-
sides.

      (c) The intentional failure to file any report required by subsection
(a) is a class A misdemeanor.

      (d) This section shall be part of and supplemental to the campaign
finance act.

      Sec.  92. K.S.A. 25-4181 is hereby amended to read as follows: 25-
4181. (a) The commission, in addition to any other penalty prescribed
under the campaign finance act, may assess a civil fine, after proper notice
and an opportunity to be heard, against any person for a violation of the
campaign finance act in an amount not to exceed $5,000 for the first
violation, $10,000 for the second violation and $15,000 for the third vio-
lation and for each subsequent violation. Whenever any civil fine or pen-
alty is proposed to be assessed against the treasurer of any candidate who
is not also the candidate, such notice shall be given to both the treasurer
and the candidate prior to the assessment of such fine or penalty. All fines
assessed and collected under this section shall be remitted promptly to
the state treasurer in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon receipt thereof of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury
and credit it to the credit of the governmental ethics commission fee fund.

      (b) No individual who has failed to pay any civil penalty or civil fine
assessed, or failed to file any report required to be filed under the cam-
paign finance act, unless such penalty or fine has been waived or is under
appeal, shall be eligible to become a candidate for state office or local
office until such penalty or fine has been paid or such report has been
filed or both such penalty or fine has been paid and such report filed.

      Sec.  93. K.S.A. 25-4305 is hereby amended to read as follows: 25-
4305. The recall of a state officer, except the secretary of state, is proposed
by filing an application with the secretary of state. The recall of the sec-
retary of state is proposed by filing an application with the lieutenant
governor, who shall perform the duties imposed on the secretary of state
in the recall of other state officers. A deposit of one hundred dollars
($100) $100 must accompany the application. This deposit will be depos-
ited remitted to the state treasurer, in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury to the credit of the state general fund if a petition is not properly
filed. If a petition is properly filed the deposit shall be refunded. No
application for the recall of a state officer may be filed during the first
one hundred and twenty (120) 120 days or the last two hundred (200)
200 days of the term of office of such officer.

      Sec.  94. K.S.A. 28-172b is hereby amended to read as follows: 28-
172b. (a) There is hereby established in the state treasury an indigents'
defense services fund.

      (b) The clerk of the district court shall charge a fee of $.50 in each
criminal case, to be deducted from the docket fee as provided in K.S.A.
28-172a, and amendments thereto, and shall charge a fee of $.50 in each
case pursuant to the Kansas code for care of children or the Kansas ju-
venile justice code and each mental illness, drug abuse or alcoholism
treatment action as provided by subsection (d) of K.S.A. 28-170, and
amendments thereto. The clerk of the district court, at least monthly shall
pay remit all such fees received to the state treasurer, who in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount in the state treasury and credit it to the credit of the indigents'
defense services fund.

      (c) Moneys in the indigents' defense services fund shall be used ex-
clusively to provide counsel and related services for indigent defendants.
Expenditures from such fund shall be made in accordance with appro-
priation acts upon warrants of the director of accounts and reports issued
pursuant to vouchers approved by the chairperson of the state board of
indigents' defense services or a person designated by the chairperson.

      Sec.  95. K.S.A. 31-133a is hereby amended to read as follows: 31-
133a. (a) No business shall inspect, install or service portable fire extin-
guishers or automatic fire extinguishers for commercial cooking equip-
ment without first being certified by the state fire marshal.

      (b)  (1) The state fire marshal shall adopt rules and regulations as
provided in K.S.A. 31-134, and amendments thereto, establishing stan-
dards for inspection, installation, servicing and testing procedures and
minimum insurance requirements of businesses inspecting, installing or
servicing portable fire extinguishers or automatic fire extinguishers for
commercial cooking equipment. The rules and regulations shall also pro-
vide for qualifications and training of any person or persons designated
by such business as the person or persons upon whose qualifications and
training the certification of the business is based and, on and after January
1, 1991, shall require submission of proof, satisfactory to the state fire
marshal, that such qualifications and training have been met.

      (2) The rules and regulations shall further provide for annual certi-
fication of such businesses for a fee of not less than $25 or more than
$200 for each certification, but no fee shall be charged for any person
who is an officer or employee of the state or political or taxing subdivision
thereof when that person is acting on behalf of the state or political or
taxing subdivision. If the person or persons upon whose qualifications and
training the certification of the business is based leave such business, the
certification of that business is void.

      (3) The state fire marshal shall remit all moneys received for fees
under this section to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury. The state treasurer shall credit 20%
of each such deposit to the state general fund and shall credit the re-
mainder of each such deposit to the fire marshal fee fund.

      (c) Inspection or service of any portable fire extinguisher or automatic
fire extinguisher for commercial cooking equipment by any business who
is not certified by the state fire marshal as required by this section shall
constitute a deceptive act or practice under the Kansas consumer pro-
tection act and shall be subject to the remedies and penalties provided
by such act.

      (d) As used in this section:

      (1) ``Automatic fire extinguisher for commercial cooking equipment''
means any automatic fire extinguisher mounted directly above or in the
ventilation canopy of commercial cooking equipment.

      (2) ``Business'' means any person who inspects, services or installs
portable fire extinguishers or automatic fire extinguishers for commercial
cooking equipment but does not include (A) any person or authorized
agent of the person who installs a portable fire extinguisher for protection
of the person's own property or business or (B) any individual acting as
a representative or employee of a certified business.

      Sec.  96. K.S.A. 31-134 is hereby amended to read as follows: 31-134.
(a) Any rules and regulations adopted by the state fire marshal under this
act shall comply with the provisions of K.S.A. 77-415 et seq., and amend-
ments thereto, except that:

      (1) In addition to the method of providing notice of the public hear-
ing prescribed by K.S.A. 77-421, and amendments thereto, such notice
shall be published three times in at least two newspapers of general cir-
culation, with the last published notice to appear not less than 15 days
prior to the public hearing.

      (2) The state fire marshal shall make available for general distribution
upon request copies of any nationally recognized code adopted by ref-
erence, marked so as to indicate the provisions thereof which have been
so adopted. The state fire marshal may charge a fee for the copies in an
amount equal to the cost of the copies and their distribution. Upon col-
lection of any such fees, the state fire marshal shall remit them at least
monthly to the state treasurer such fees in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. The state treasurer shall
deposit the entire amount in the state treasury. The state treasurer shall
credit 20% of each such deposit to the state general fund and shall credit
the remainder of each such deposit to the fire marshal fee fund.

      (3) In addition to the filing requirements of K.S.A. 77-416, and
amendments thereto, the state fire marshal shall publish all such rules
and regulations and make the same available for distribution to the gen-
eral public upon request, but the fire marshal shall not be required to
republish the provisions of any nationally recognized code adopted by
reference if such provisions are made available for general distribution
upon request to the fire marshal's office.

      (b) The rules and regulations adopted by the state fire marshal under
authority of this act shall be known and may be cited as the Kansas fire
prevention code. Such rules and regulations shall have uniform force and
effect throughout the state. No municipality shall enact or enforce any
ordinance, resolution or rule or regulation inconsistent therewith, except
that nothing in this act shall be construed to impair the power of any
municipality to regulate the use of land by zoning or fire district regula-
tions or to prohibit or regulate the sale, handling, use or storage of
fireworks within its boundaries. Whenever a question shall arise as to
whether another state statute or an enactment of a municipality is incon-
sistent with the provisions of the fire prevention code, it shall be the duty
of the state fire marshal to make such determination after a hearing
thereon with all interested parties conducted in accordance with the pro-
visions of the Kansas administrative procedure act. Any action of the state
fire marshal pursuant to this section is subject to review in accordance
with the act for judicial review and civil enforcement of agency actions.

      Sec.  97. K.S.A. 31-159 is hereby amended to read as follows: 31-159.
(a) In addition to any other penalty provided by law, the state fire marshal,
upon finding that any person has violated the provisions of the Kansas
fire prevention code, may impose a penalty not to exceed $1,000, which
shall constitute an actual and substantial economic deterrent to the vio-
lation for which the penalty is assessed.

      (b) No penalty shall be imposed pursuant to this section except upon
the written order of the state fire marshal to the person who committed
the violation. The order shall state the violation, the penalty imposed and
the right to appeal to the state fire marshal. Any such person, within 30
days after service of such order, may make written request to the fire
marshal for a hearing thereon. The fire marshal shall conduct a hearing
in accordance with the provisions of the Kansas administrative procedure
act within 30 days after receipt of such request.

      (c) Any person aggrieved by any order issued pursuant to this section
may appeal such order in accordance with the provisions of the act for
judicial review and civil enforcement of agency actions.

      (d) All moneys received from penalties imposed pursuant to this sec-
tion shall be remitted to the state treasurer who in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury to the credit of the state general fund.

      (e) If a fire safety inspection is required to meet licensing require-
ments of a state agency, the state fire marshal, before imposing a penalty
pursuant to this section, shall make written request to the state licensing
agency to take appropriate action to require compliance with the Kansas
fire prevention code. If the state licensing agency fails to take such action
within 60 days after receipt of the state fire marshal's notice, the state
fire marshal may impose a penalty as provided by this section.

      Sec.  98. K.S.A. 32-854 is hereby amended to read as follows: 32-854.
The rentals, delay rentals, bonuses, royalties and all proceeds from min-
eral leases and production shall be paid into remitted to the state treasurer
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and shall be credited by
the state treasurer to the credit of the wildlife fee fund or the park fee
fund, as directed by the secretary.

      Sec.  99. K.S.A. 32-877 is hereby amended to read as follows: 32-877.
(a) For the purposes of paying the principal of and interest on revenue
bonds issued and sold pursuant to K.S.A. 32-876 through 32-885, and
amendments thereto, the secretary shall issue and sell hatchery stamps
which shall be affixed to all fishing licenses issued by the secretary. The
fee for each stamp issued shall be fixed by rules and regulations adopted
by the secretary in accordance with K.S.A. 32-805, and amendments
thereto.

      (b) If hatchery stamps have been issued by the secretary, no person
required to purchase a fishing license shall fish within this state without
first procuring a hatchery stamp and having it in possession while fishing.

      (c) All moneys collected from the issuance and sale of hatchery
stamps in excess of the amount required to pay the principal of and in-
terest and premium, if any, on the revenue bonds shall be remitted to
the state treasurer in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount of the remittance in the state
treasury and credit it to the credit of the wildlife fee fund.

      Sec.  100. K.S.A. 32-984 is hereby amended to read as follows: 32-
984. (a) The county clerk of each county or the clerk's designated em-
ployees may issue, at the county clerk's office, any license, permit, stamp
or other issue of the department which the county clerk is authorized to
issue pursuant to law or rules and regulations of the secretary. The county
clerk shall issue such license, permit, stamp or other issue under seal.

      (b) The county clerk shall pay daily to the county treasurer of the
county all moneys collected by the clerk from fees for issues of the de-
partment. The county treasurer shall pay quarterly remit all such moneys
paid to the county treasurer to the state treasurer all such moneys paid
to the county treasurer in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. All such moneys paid to Upon receipt of
each such remittance, the state treasurer shall be deposited deposit the
entire amount in the state treasury and shall be credited as provided by
K.S.A. 32-990, 32-991 and 32-993, and amendments thereto.

      (c) The county clerk may collect and retain a service charge fee, as
provided by K.S.A. 32-989, and amendments thereto, for each issue of
the department issued or sold by the clerk.

      Sec.  101. K.S.A. 32-991 is hereby amended to read as follows: 32-
991. (a) Unless otherwise directed by law and except for revenues pledged
to payment of revenue bonds issued in connection with specific projects,
all moneys received from state park permit fees, tolls, rentals and charges
derived from the use, lease or operation of state parks, or any portion
thereof or facility therein, including receipts from the park and recreation
motor vehicle permit and from fees for duplicate permits and other issues
of the department, all moneys derived from the sale of bonds and all
moneys from sources related thereto or allied recreational pursuits shall
be remitted at least quarterly to the state treasurer in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire
amount in the state treasury and credit it to the credit of the parks fee
fund, which is hereby created.

      (b) All costs and expenses incurred by the department for the follow-
ing purposes shall be paid from the parks fee fund:

      (1) Administering, implementing and enforcing the laws of this state
relating to state parks and state park facilities and their management and
use; and

      (2) acquiring title to lands and rights therein or thereon, waters or
water rights, and keeping, improving and maintaining the same for the
purposes described in subsection (b)(1).

      (c) No moneys derived from sources described in subsection (a) shall
be used for any purpose other than the administration of matters which
relate to state parks and which are under the control, authorities and
duties of the secretary and the department as provided by law.

      (d) All expenditures from the parks fee fund shall be made in ac-
cordance with appropriations acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the secretary.

      Sec.  102. K.S.A. 32-993 is hereby amended to read as follows: 32-
993. (a) All moneys received pursuant to the issuance of the migratory
waterfowl habitat stamp shall be remitted at least quarterly to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of any each such remittance, the state
treasurer shall deposit the entire amount in the state treasury and credit
it to the credit of the migratory waterfowl propagation and protection
fund, which is hereby created. All expenditures from such fund shall be
in accordance with appropriations acts upon warrants of the director of
accounts and reports issued pursuant to vouchers approved by the sec-
retary.

      (b) No expenditure shall be made from the migratory waterfowl prop-
agation and protection fund except for projects approved by the secretary
for the purpose of protecting and propagating migratory waterfowl, in-
cluding the acquisition, by purchase or lease, of migratory waterfowl hab-
itats in this state, and for the purpose of development, restoration, main-
tenance or preservation of waterfowl habitats.

      Sec.  103. K.S.A. 32-1047 is hereby amended to read as follows: 32-
1047. The department is hereby empowered and directed to seize and
possess any wildlife which is taken, possessed, sold or transported unlaw-
fully, and any steel trap, snare or other device or equipment used in taking
or transporting wildlife unlawfully or during closed season. The depart-
ment is authorized to:

      (a) Sell the seized item and remit the proceeds to the state treasurer
for in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and credit to the credit of
the fee fund designated by the secretary,; or

      (b) retain the seized item for educational, scientific or department
operational purposes.

      Sec.  104. K.S.A. 32-1173 is hereby amended to read as follows: 32-
1173. All moneys received pursuant to K.S.A. 32-1101 through 32-1104,
32-1110 through 32-1113, 32-1119, 32-1125 through 32-1128, 32-1130
through 32-1137, 32-1148 through 32-1155, 32-1166, 32-1172, 32-1173
and 32-1177 through 32-1180, and amendments thereto, shall be paid
into the state treasury on or before the 10th day of each month and the
state treasurer shall credit the entire amount remitted to the state trea-
surer in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury to the credit of the
boating fee fund, which is hereby created, to be dedicated and used to
administer and enforce the provisions of K.S.A. 32-1101 through 32-1104,
32-1110 through 32-1113, 32-1119, 32-1125 through 32-1128, 32-1130
through 32-1137, 32-1148 through 32-1155, 32-1166, 32-1172, 32-1173
and 32-1177 through 32-1180, and amendments thereto. When sufficient
moneys are available from the fees so collected, the secretary may use
the same to construct or repair boating facilities, ramps and docks at
public waters within this state.

      Sec.  105. K.S.A. 34-101 is hereby amended to read as follows: 34-
101. (a) The department of agriculture shall have supervision and regu-
lation of all warehouses operated under the Kansas public warehouse laws
relating to storage of grain.

      (b) The department of agriculture shall have the authority to coop-
erate with any private entity or organization or local, state or national
organization or agency, whether voluntary or created by the law of any
state, or by national law, engaged in work or activities similar to the work
and activities of the department, and to enter into contracts and agree-
ments with such entities, organizations or agencies for carrying on a joint
campaign of development, education and publicity.

      (c) No provision of this section shall be construed to prohibit or pre-
vent the secretary of agriculture or any authorized representatives from
inspecting any weighing or measuring device or otherwise performing any
of the secretary's duties pursuant to any provision of chapter 83 of Kansas
Statutes Annotated, and amendments thereto.

      (d)  (1) There is hereby created the warehouse fee fund in the state
treasury. The secretary shall remit all moneys received by or for the sec-
retary from fees, charges or penalties to the state treasurer at least
monthly in accordance with the provisions of K.S.A 75-4215, and amend-
ments thereto. Upon receipt of any each such remittance, the state trea-
surer shall deposit the entire amount thereof in the state treasury and
credited to the credit of the warehouse fee fund. All expenditures from
such fund shall be made in accordance with appropriation acts upon war-
rants 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.

      (2) On or before the 10th of each month, the director of accounts
and reports shall transfer from the state general fund to the warehouse
fee fund interest earnings based on:

      (A) The average daily balance of moneys in the warehouse fee fund
for the preceding month; and

      (B) the net earnings rate of the pooled money investment portfolio
for the preceding month.

      Sec.  106. K.S.A. 36-512 is hereby amended to read as follows: 36-
512. (a) The secretary shall remit all moneys received by the secretary
under the provisions of this act to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Except for moneys remitted under subsection (b), upon receipt
of any each such remittance the state treasurer shall deposit the entire
amount thereof in the state treasury and the same shall be credited to
the credit of the state general fund.

      (b) The secretary shall remit all moneys received by the secretary
from fees from food service establishments located in a municipality
where food service inspection services are provided by a local agency
under contract with the secretary to the state treasurer at least monthly
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon the receipt of each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury and the same
shall be credited to the credit of the food service inspection reimburse-
ment fund which is hereby created. On July 1, 1988, and on the first day
of each month thereafter, the director of accounts and reports shall trans-
fer from the food service inspection reimbursement fund to the state
general fund an amount equal to 20% of all money credited to such fund
during the preceding month. Expenditures from the food service inspec-
tion reimbursement fund shall be made to reimburse each local agency
under contract with the secretary for food service inspection services in
an amount equal to 80% of the money received from food service estab-
lishments in the municipality served by the local agency. All expenditures
from the food service inspection reimbursement fund shall be made in
accordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the secretary
or a person designated by the secretary.

      Sec.  107. K.S.A. 36-515b is hereby amended to read as follows: 36-
515b. (a) Any person who violates any provision of the food service and
lodging act or any rule and regulation adopted pursuant thereto, in ad-
dition to any other penalty provided by law, may incur a civil penalty
imposed under subsection (b) in an amount not to exceed $500 for each
violation and, in the case of a continuing violation, every day such violation
continues shall be deemed a separate violation.

      (b) The director of the division of health, upon a finding that a person
has violated any provision of the food service and lodging act or any rule
and regulation adopted pursuant thereto, may impose a civil penalty
within the limits provided in this section upon such person, which civil
penalty shall be in an amount to constitute an actual and substantial ec-
onomic deterrent to the violation for which the civil penalty is assessed.

      (c) No civil penalty shall be imposed pursuant to this section except
upon the written order of the director of the division of health to the
person who committed the violation. Such order shall state the violation,
the penalty to be imposed and the right of such person to appeal to the
secretary. Any such person, within 20 days after notification, may make
written request to the secretary for a hearing in accordance with the
provisions of the Kansas administrative procedure act. The secretary shall
affirm, reverse or modify the order of the director and shall specify the
reasons therefor.

      (d) Any person aggrieved by an order of the secretary made under
this section may appeal such order to the district court in the manner
provided by the act for judicial review and civil enforcement of agency
actions.

      (e) Any penalty recovered pursuant to the provisions of this section
shall be remitted to the state treasurer, deposited in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credited to the credit of the state general fund.

      (f) This section shall be a part of and supplemental to the food service
and lodging act.

      Sec.  108. K.S.A. 38-2009 is hereby amended to read as follows: 38-
2009. (a) There is hereby established in the state treasury the Kansas
insurance coverage for children fund.

      (b) The secretary is authorized to apply for and receive grants, gifts
and donations from nonfederal sources for the purposes set out under
this act.

      (c) The secretary shall remit all moneys received under subsection
(b) to the state treasurer who shall in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit such moneys the entire amount
in the state treasury to the credit of the Kansas insurance coverage for
children fund.

      (d) On or before the 10th day of each month, the director of accounts
and reports shall transfer from the state general fund to the Kansas in-
surance coverage for children fund interest earnings based on: (1) The
average daily balance of moneys in such fund for the preceding month;
and (2) the net earnings rate for the pooled money investment portfolio
for the preceding month.

      (e) All expenditures from the Kansas insurance coverage for children
fund shall be made in accordance with appropriation acts upon warrants
of the director of accounts and reports issued pursuant to vouchers ap-
proved by the secretary or the secretary's designee for the purposes of
this act.

      Sec.  109. K.S.A. 39-757 is hereby amended to read as follows: 39-
757. (a) The secretary of social and rehabilitation services shall remit all
moneys received by or for the secretary from the enforcement of rights
assigned to the secretary under subsection (b) of K.S.A. 39-709, and
amendments thereto, to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury as follows: (1) Amounts to be dis-
tributed pursuant to part D of title IV of the federal social security act
(42 U.S.C. § 651 et seq.), or acts amendatory thereof or supplemental
thereto, to the state shall be credited to the title IV D aid to families with
dependent children fee fund, and all expenditures from such fund shall
be made in accordance with appropriation acts upon warrants of the di-
rector of accounts and reports issued pursuant to vouchers approved by
the secretary or by a person or persons designated by the secretary; and
(2) amounts to be distributed pursuant to part D of title IV of the federal
social security act (42 U.S.C. § 651 et seq.), or acts amendatory thereof
or supplemental thereto, to applicants for or recipients of aid under sub-
section (b) of K.S.A. 39-709, and amendments thereto, shall be credited
to the title IV D aid to families with dependent children claims fund, and
all expenditures from such fund shall be made upon warrants of the di-
rector of accounts and reports issued pursuant to vouchers approved by
the secretary or by a person or persons designated by the secretary.

      (b) The secretary of social and rehabilitation services shall remit all
moneys received by or for the secretary under K.S.A. 39-756, and amend-
ments thereto, to the state treasurer at least monthly in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury as follows: (1) Amounts to be dis-
tributed pursuant to part D of title IV of the federal social security act
(42 U.S.C. § 651 et seq.), or acts amendatory thereof or supplemental
thereto, to the state shall be credited to the title IV D fee fund, and all
expenditures from such fund shall be made in accordance with appro-
priate 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; and (2) amounts to be distributed pursuant
to part D of title IV of the federal social security act (42 U.S.C. § 651 et
seq.), or acts amendatory thereof or supplemental thereto, to persons who
under K.S.A. 39-756, and amendments thereto, are eligible for services
specified in such section shall be credited to the title IV D claims fund,
and all expenditures from such fund shall be made 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.

      (c) Money shall be deposited in the funds established by subsections
(a) and (b) of this section and shall be distributed from such funds in
accordance with the provisions of part D of title IV of the federal social
security act (42 U.S.C. § 651 et seq.), or acts amendatory thereof or sup-
plemental thereto.

      Sec.  110. K.S.A. 39-784 is hereby amended to read as follows: 39-
784. (a) The secretary of social and rehabilitation services is hereby au-
thorized to fix, charge and collect reasonable fees for providing home
care services to recipients served under the medicaid home and com-
munity based services program.

      (b) All moneys received for fees collected pursuant to subsection (a)
shall be remitted to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury and credit such amount to the credit
of the SRS temporary deposit fund.

      Sec.  111. K.S.A. 39-936 is hereby amended to read as follows: 39-
936. (a) The presence of each resident in an adult care home shall be
covered by a statement provided at the time of admission, or prior
thereto, setting forth the general responsibilities and services and daily
or monthly charges for such responsibilities and services. Each resident
shall be provided with a copy of such statement, with a copy going to any
individual responsible for payment of such services and the adult care
home shall keep a copy of such statement in the resident's file. No such
statement shall be construed to relieve any adult care home of any re-
quirement or obligation imposed upon it by law or by any requirement,
standard or rule and regulation adopted pursuant thereto.

      (b) A qualified person or persons shall be in attendance at all times
upon residents receiving accommodation, board, care, training or treat-
ment in adult care homes. The licensing agency may establish necessary
standards and rules and regulations prescribing the number, qualifica-
tions, training, standards of conduct and integrity for such qualified per-
son or persons attendant upon the residents.

      (c)  (1) The licensing agency shall require unlicensed employees of
an adult care home, except an adult care home licensed for the provision
of services to the mentally retarded which has been granted an exception
by the licensing agency upon a finding by the licensing agency that an
appropriate training program for unlicensed employees is in place for
such adult care home, employed on and after the effective date of this
act who provide direct, individual care to residents and who do not ad-
minister medications to residents and who have not completed a course
of education and training relating to resident care and treatment approved
by the licensing agency or are not participating in such a course on the
effective date of this act to complete successfully 40 hours of training in
basic resident care skills. Any unlicensed person who has not completed
40 hours of training relating to resident care and treatment approved by
the licensing agency shall not provide direct, individual care to residents.
The 40 hours of training shall be supervised by a registered professional
nurse and the content and administration thereof shall comply with rules
and regulations adopted by the licensing agency. The 40 hours of training
may be prepared and administered by an adult care home or by any other
qualified person and may be conducted on the premises of the adult care
home. The 40 hours of training required in this section shall be a part of
any course of education and training required by the licensing agency
under subsection (c)(2).

      (2) The licensing agency may require unlicensed employees of an
adult care home, except an adult care home licensed for the provision of
services to the mentally retarded which has been granted an exception
by the licensing agency upon a finding by the licensing agency that an
appropriate training program for unlicensed employees is in place for
such adult care home, who provide direct, individual care to residents
and who do not administer medications to residents after 90 days of em-
ployment to successfully complete an approved course of instruction and
an examination relating to resident care and treatment as a condition to
continued employment by an adult care home. A course of instruction
may be prepared and administered by any adult care home or by any
other qualified person. A course of instruction prepared and administered
by an adult care home may be conducted on the premises of the adult
care home which prepared and which will administer the course of in-
struction. The licensing agency shall not require unlicensed employees of
an adult care home who provide direct, individual care to residents and
who do not administer medications to residents to enroll in any particular
approved course of instruction as a condition to the taking of an exami-
nation, but the licensing agency shall prepare guidelines for the prepa-
ration and administration of courses of instruction and shall approve or
disapprove courses of instruction. Unlicensed employees of adult care
homes who provide direct, individual care to residents and who do not
administer medications to residents may enroll in any approved course of
instruction and upon completion of the approved course of instruction
shall be eligible to take an examination. The examination shall be pre-
scribed by the licensing agency, shall be reasonably related to the duties
performed by unlicensed employees of adult care homes who provide
direct, individual care to residents and who do not administer medications
to residents and shall be the same examination given by the licensing
agency to all unlicensed employees of adult care homes who provide
direct, individual care to residents and who do not administer medica-
tions.

      (3) The licensing agency shall fix, charge and collect a fee to cover
all or any part of the costs of the licensing agency under this subsection
(c). The fee shall be fixed by rules and regulations of the licensing agency.
The fee shall be deposited remitted to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount in the state treasury and credited to the credit of the state general
fund.

      (4) The licensing agency shall establish a state registry containing in-
formation about unlicensed employees of adult care homes who provide
direct, individual care to residents and who do not administer medications
in compliance with the requirements pursuant to PL 100-203, Subtitle
C, as amended November 5, 1990.

      (5) No adult care home shall use an individual as an unlicensed em-
ployee of the adult care home who provides direct, individual care to
residents and who does not administer medications unless the facility has
inquired of the state registry as to information contained in the registry
concerning the individual.

      (6) Beginning July 1, 1993, the adult care home must require any
unlicensed employee of the adult care home who provides direct, indi-
vidual care to residents and who does not administer medications and
who since passing the examination required under paragraph (2) of this
subsection has had a continuous period of 24 consecutive months during
none of which the unlicensed employee provided direct, individual care
to residents to complete an approved refresher course. The licensing
agency shall prepare guidelines for the preparation and administration of
refresher courses and shall approve or disapprove courses.

      (d) Any person who has been employed as an unlicensed employee
of an adult care home in another state may be so employed in this state
without an examination if the secretary of health and environment deter-
mines that such other state requires training or examination, or both, for
such employees at least equal to that required by this state.

      (e) All medical care and treatment shall be given under the direction
of a physician authorized to practice under the laws of this state and shall
be provided promptly as needed.

      (f) No adult care home shall require as a condition of admission to
or as a condition to continued residence in the adult care home that a
person change from a supplier of medication needs of their choice to a
supplier of medication selected by the adult care home. Nothing in this
subsection (f) shall be construed to abrogate or affect any agreements
entered into prior to the effective date of this act between the adult care
home and any person seeking admission to or resident of the adult care
home.

      (g) Except in emergencies as defined by rules and regulations of the
licensing agency and except as otherwise authorized under federal law,
no resident may be transferred from or discharged from an adult care
home involuntarily unless the resident or legal guardian of the resident
has been notified in writing at least 30 days in advance of a transfer or
discharge of the resident.

      (h) No resident who relies in good faith upon spiritual means or
prayer for healing shall, if such resident objects thereto, be required to
undergo medical care or treatment.

      Sec.  112. K.S.A. 39-1210 is hereby amended to read as follows: 39-
1210. (a) In the event that any organization or institution designated in
K.S.A. 39-1208, and amendments thereto, is a party to any contract au-
thorized by K.S.A. 8-147, and amendments thereto, for the manufacture
and distribution of motor-vehicle number plates, registration decals, pro-
rate license plates and prorate backing plates, the secretary of corrections
shall transfer all surplus equipment, supplies and materials used in the
manufacture or distribution of said plates or decals to the secretary of
revenue who may furnish such equipment pursuant to long-term lease
agreements to any such organization or institution and may sell such sup-
plies and materials to any such organization or institution if such contract
provides therefor. Any sale of such supplies and materials shall be at a
price agreed upon by the secretary of revenue and such institution or
organization in the contract for sale, and such contract shall not be subject
to the provisions of K.S.A. 75-3739, and amendments thereto.

      (b) All moneys received by the secretary of revenue pursuant to this
section shall be remitted to the state treasurer, who shall in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the same
entire amount in the state treasury to the credit of the correctional in-
dustries account.

      Sec.  113. K.S.A. 40-112 is hereby amended to read as follows: 40-
112. (a) For the purpose of maintaining the insurance department and
the payment of expenses incident thereto, there is hereby established the
insurance department service regulation fund in the state treasury which
shall be administered by the commissioner of insurance. All expenditures
from the insurance department service regulation fund shall be made in
accordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the com-
missioner of insurance or by a person or persons designated by the com-
missioner.

      (b) On and after the effective date of this act, all fees received by the
commissioner of insurance pursuant to any statute and 1% of taxes re-
ceived pursuant to K.S.A. 40-252, and amendments thereto, shall be re-
mitted to the state treasurer for deposit in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of each such
remittance, the state treasurer shall deposit the entire amount in the state
treasury and credited to the credit of the insurance department service
regulation fund.

      (c) Except as otherwise provided by this section, the commissioner
of insurance shall make an annual assessment on each group of affiliated
insurers whose certificates of authority to do business in this state are in
good standing at the time of the assessment. The total amount of all such
assessments for a fiscal year shall be equal to the amount sufficient which,
when combined with the total amount to be credited to the insurance
department service regulation fund pursuant to subsection (b) is equal to
the amount approved by the legislature to fund the insurance company
regulation program. With respect to each group of affiliated insurers, such
assessment shall be in proportion to the amount of total assets of the
group of affiliated insurers as reported to the commissioner of insurance
pursuant to K.S.A. 40-225, and amendments thereto, for the immediately
preceding calendar year, shall not be less than $500 and shall not be more
than the amount equal to .0000015 of the amount of total assets of the
group of affiliated insurers or $25,000, whichever is less. The total as-
sessment for any fiscal year shall not increase by any amount greater than
15% of the total budget approved by the legislature to fund the insurance
company regulation program for the fiscal year immediately preceding
the fiscal year for which the assessment is made. In the event the total
amount of the assessment would be less than the aggregate amount re-
sulting by assessing the $500 minimum on each insurer, the commissioner
may establish a lower minimum to be assessed equally on each insurer.

      (d) If, by the laws of any state other than Kansas or by the retaliatory
laws of any state other than Kansas, any insurer domiciled in Kansas shall
be required to pay any fee or tax in such other state of licensure, and the
fee or tax is due and payable either because the insurance department
service regulation fee imposed by this section on insurers licensed in
Kansas and organized or domiciled in such other state is greater than the
comparable fee or tax assessed in such other state, or such other state has
no comparable fee or tax but requires payment on a retaliatory basis, then
to the extent such fee or tax amounts are legally due and are paid in such
other state, any insurer domiciled in Kansas may claim a dollar-for-dollar
credit for such fees paid against insurer's annual premium taxes due the
state of Kansas under K.S.A. 40-252, and amendments thereto, or privi-
lege fee due the state of Kansas under K.S.A. 40-3213, and amendments
thereto, but such credit shall only be calculated on the amount which
would not have been required to be paid in such other state of licensure
in the absence of the existence of the insurance department service reg-
ulation fee imposed by this section, and in no event shall the credit per-
mitted by this section exceed 90% of the insurer's annual premium tax
or privilege fee due the state of Kansas. The insurance commissioner shall
prescribe the forms for reporting such credits.

      (e) Assessments payable under this section shall be past due if not
paid to the insurance department within 45 days of the billing date of
such assessment. A penalty equal to 10% of the amount assessed shall be
imposed upon any past due payment and the total amount of the assess-
ment and penalty shall bear interest at the rate of 1.5% per month or any
portion thereof.

      (f) When there exists in the insurance department service regulation
fund a deficiency which would render such fund temporarily insufficient
during any fiscal year to meet the insurance department's funding
requirements, the commissioner of insurance shall certify the amount of
the insufficiency. Upon receipt of any such certification, the director of
accounts and reports shall transfer an amount of moneys equal to the
amount so certified from the state general fund to the insurance depart-
ment service regulation fund. On June 30 of any fiscal year during which
an amount or amounts are certified and transferred under this subsection,
the director of accounts and reports shall provide for the repayment of
the amounts so transferred and shall transfer the amount equal to the
total of all such amounts transferred during the fiscal year from the in-
surance department service regulation fund to the state general fund.

      (g) Any unexpended balance in the insurance department service reg-
ulation fund at the close of a fiscal year shall remain credited to the
insurance department service regulation fund for use in the succeeding
fiscal year and shall be used to reduce future assessments or to accom-
modate cash flow demands on the fund.

      (h) The commissioner of insurance shall exempt the assessment of
any insurer which, as of December 31 of the calendar year preceding the
assessment, has a surplus of less than two times the minimum amount of
surplus required for a certificate of authority on and after May 1, 1994,
and which is subject to the premium tax or privilege fee liability imposed
on insurers organized under the laws of this state. The commissioner of
insurance may also exempt or defer, in whole or in part, the assessment
of any other insurer if, in the opinion of the commissioner of insurance,
immediate payment of the total assessment would be detrimental to the
solvency of the insurer.

      (i) As used in this section:

      (1) ``Affiliates'' or ``affiliated'' has the meaning ascribed by K.S.A. 40-
3302, and amendments thereto;

      (2) ``group'' or ``group of affiliated insurers'' means the affiliated in-
surers of a group and also includes an individual, unaffiliated insurer; and

      (3) ``insurer'' means any insurance company, as defined by K.S.A. 40-
201, and amendments thereto, any fraternal benefit society, as defined
by K.S.A. 40-738, and amendments thereto, any reciprocal or interinsur-
ance exchange under K.S.A. 40-1601 through 40-1614, and amendments
thereto, any mutual insurance company organized to provide health care
provider liability insurance under K.S.A. 40-12a01 through 40-12a09, and
amendments thereto, any nonprofit dental service corporation under
K.S.A. 40-19a01 through 40-19a14, and amendments thereto, any non-
profit medical and hospital service corporation under K.S.A. 40-19c01
through 40-19c11, and amendments thereto, any health maintenance or-
ganization, as defined by K.S.A. 40-3202, and amendments thereto, or
any captive insurance company, as defined by K.S.A. 40-4301, and
amendments thereto, which is authorized to do business in Kansas.

      Sec.  114. K.S.A. 40-223 is hereby amended to read as follows: 40-
223. Any person who makes any examination under the provisions of this
act, except as provided in K.S.A. 40-110 and 40-253, and amendments
thereto, may receive, as full compensation for such person's services, on
a per diem basis an amount fixed by the commissioner, which shall not
exceed the amount recommended by the national association of insurance
commissioners, for such time necessarily and actually occupied in going
to and returning from the place of such examination and for such time
the examiner is necessarily and actually engaged in making such exami-
nation including any day within the regular workweek when the examiner
would have been so engaged had the company or society been open for
business, together with such necessary and actual expenses for traveling
and subsistence as the examiner shall incur because of the performance
of such services. For the purposes of this act, ``necessary and actual ex-
penses'' shall be limited, whether for travel within the state or travel
outside the state, to those limitations expressed in K.S.A. 75-3207, and
amendments thereto, which pertain to official travel outside the state.
The daily charge shall be calculated by dividing the amount the examiner
is authorized by the commissioner of insurance to charge per week by
the number of days in the regular workweek of the company or society
being examined.

      All of such compensation, expenses, the employer's share of the federal
insurance contributions act taxes, the employer's contribution to the Kan-
sas public employees retirement system as provided in K.S.A. 74-4920,
and amendments thereto, the self-insurance assessment for the work-
men's compensation act as provided in K.S.A. 44-576, and amendments
thereto, the employer's cost of the state health care benefits program
under K.S.A. 75-6507, and amendments thereto, a pro rata amount de-
termined by the commissioner to provide vacation and sick leave for the
examiner not to exceed the number of days allowed state officers and
employees in the classified service pursuant to regulations promulgated
in accordance with the Kansas civil service act, all outside consulting and
data processing fees necessary to perform any examination, and a pro rata
amount determined by the commissioner not to exceed an annual aggre-
gate of $18,000 to fund the purchase, maintenance and enhancement of
examination equipment and computer software shall be paid to the com-
missioner of insurance by the insurance company or society so examined,
on demand of the commissioner. The amount paid for all outside con-
sulting and data processing fees necessary to perform any examination,
and the pro rata amount to fund the purchase of examination equipment
and computer software shall not collectively total more than $25,000 at
any one company examination including examination of its subsidiaries or
combination thereof. Such demand shall be accompanied by the sworn
statement of the person making such examination, setting forth in sepa-
rate items the number of days necessarily and actually occupied in going
to and returning from the place of such examination, the number of days
the examiners were necessarily and actually engaged in making such ex-
amination including those days within the regular workweek while the
examination was in progress and the company or society had closed for
business, and the necessary and actual expenses for traveling and subsis-
tence, incurred in and on account of such services. A duplicate of every
such sworn statement shall be kept on file in the office of the commis-
sioner of insurance. All moneys so paid to the commissioner of insurance
shall be remitted to the state treasurer and in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount in the
state treasury to the credit of the insurance company examination fund.
The state treasurer shall issue duplicate receipts therefor, one to be de-
livered to the commissioner of insurance and the other to be filed with
the director of accounts and reports.

      Sec.  115. K.S.A. 40-1706 is hereby amended to read as follows: 40-
1706. (a) On or before April 1 of each year, every firefighters relief as-
sociation which holds funds received under the firefighters relief act shall
submit to the commissioner of insurance a verified account showing in
full the receipts and disbursements and general condition of such funds
for the year ending on the preceding December 31. If such account or
other information shows such funds are not being expended for the pur-
poses authorized by the firefighters relief act, the commissioner of insur-
ance shall notify the county attorney of the county in which any such
firefighters relief association is located and the county attorney shall in-
stitute proceedings to recover for the use of the firefighters relief asso-
ciation all moneys expended for purposes not in accordance with the
provisions of the firefighters relief act. The commissioner of insurance
shall hold any funds of such firefighters relief association until the com-
missioner is notified by the district or county attorney that such condition
has been corrected.

      (b)  (1) All moneys received by the commissioner of insurance from
the tax imposed by K.S.A. 40-1703, and amendments thereto, shall be
remitted to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury and shall be credited to the credit of the state firefighters relief
fund which is hereby created in the state treasury.

      (2) The state firefighters relief fund shall be administered by the com-
missioner of insurance. An amount equal to not more than the amount
authorized for expenditure during the current fiscal year by appropria-
tions enacted by the legislature may be set aside in the state firefighters
relief fund and expended by the commissioner of insurance for the ad-
ministrative expenses of the department of insurance under the firefight-
ers relief act, subject to the provisions of appropriations acts.

      (c) Prior to August 1, 1987, and each August 1 thereafter, except as
provided in subsections (b) and (d), of the total amount of moneys cred-
ited to the state firefighters relief fund as of July 1 of the same year the
amounts determined as prescribed in subsections (c)(1) through (c)(6)
shall be paid as provided therein.

      (1) An amount equal to 3% of such total amount shall be paid by the
commissioner of insurance to the treasurer of the Kansas state firefighters
association, inc. for fire prevention and fire extinguishment education and
study.

      (2) An amount equal to 5% of such total amount shall be paid by the
commissioner of insurance to the Kansas state firefighters association, inc.
which shall be set aside as a death benefit fund to provide such benefits
as determined by the association in accordance with the constitution and
bylaws thereof, except the amount paid under this subsection (c)(2) shall
not be more than the lesser of $100,000 or the result obtained by sub-
tracting the balance in the death benefit fund of the association on July
1 from $100,000.

      (3) The amount of $1,000 shall be paid by the commissioner of in-
surance to each firefighters relief association.

      (4) The remaining amount of the moneys credited to the state fire-
fighters relief fund, after the amounts are reserved or paid for the pur-
poses authorized by subsections (b)(2), (c)(1), (c)(2) and (c)(3), shall be
paid by the commissioner of insurance to firefighters relief associations
so that the amount received by each firefighters relief association bears
the same proportion to the total amount to be paid as the amount such
firefighters relief association received from the amounts collected from
the tax imposed by K.S.A. 40-1703, and amendments thereto, for all of
calendar year 1983, bears to the total amount paid to all firefighters relief
associations from the taxes collected for all of calendar year 1983, subject
to adjustments made to correct for errors in the payments distributed and
as otherwise provided pursuant to this subsection (c)(4), adjustments
made pursuant to subsection (c)(5) for firefighters relief associations that
did not receive a payment from taxes paid for all of calendar year 1983
and adjustments pursuant to subsection (c)(6) for redeterminations based
upon changed circumstances. The commissioner of insurance may make
adjustments in the amounts of payments for the current year made under
this subsection (c)(4) for errors in the payments distributed for the prior
year, except that adjustments may be made in the payments to be dis-
tributed by August 1, 1987, for any errors in the payments distributed
during the period from July 1, 1984, through June 30, 1987, and an ad-
justment shall be made in the payment to be distributed by August 1,
1987, for each firefighters relief association which was in existence for
only part of calendar year 1983 and which received a payment for calendar
year 1983 based on the taxes received for only part of calendar year 1983,
to reflect the total of the payments that would most probably have been
received by such firefighters relief association during the period from
August 1, 1984, through June 30, 1987, if such firefighters relief associ-
ation had been in existence for all of calendar year 1983, reduced by the
payments actually received by such firefighters relief association during
the period from August 1, 1984, through June 30, 1987. For purposes of
all payments under subsection (c)(4) after the adjusted payment distrib-
uted by August 1, 1987, such firefighters relief association shall be con-
sidered to have received for calendar year 1983, the amount it most prob-
ably would have received if it had been in existence for all of calendar
year 1983, which shall be the amount having the same proportional re-
lationship to 365 days as the amount actually received for calendar year
1983 has to the number of days that such firefighters relief association
was in existence during calendar year 1983, subject to adjustments pur-
suant to subsection (c)(6) for redeterminations based upon changed cir-
cumstances.

      (5) Whenever a firefighters relief association is to receive a payment
under subsection (c)(4) but did not receive a payment from any of the
taxes collected for calendar year 1983, the commissioner of insurance
shall determine for the nonreceiving association, from such information
as is made available to the commissioner by the nonreceiving association,
the amount the nonreceiving association would most probably have re-
ceived if it had actually received such a payment from the taxes collected
for all of calendar year 1983, with appropriate adjustments based on pay-
ments to firefighters relief associations of fire departments providing fire
protection services within geographic areas having similar populations and
assessed tangible property valuation as the geographic area provided fire
protection services by the fire department of each such nonreceiving as-
sociation. The commissioner shall make such determination as follows:

      (A) One-half of the amount due shall be determined based upon the
population figure provided by the association pursuant to administrative
rules and regulations adopted by the commissioner. The determination
of this 1/2 of the amount due shall be made in accordance with the fol-
lowing formula:

      (i) An association which received a payment from the taxes collected
for all of calendar year 1983 and which has a population similar to that
of the nonreceiving association shall be ascertained;

      (ii) the payment the comparable association received from taxes col-
lected for all of calendar year 1983 shall be divided by two;

      (iii) the population of the area served by the nonreceiving association
shall be divided by the population of the area served by the association
to which the nonreceiving association is being compared, to produce an
adjustment factor reflecting the variance in population size; and

      (iv) the amount received from taxes collected for all of calendar year
1983 by the association with the comparable population shall be multi-
plied by the population adjustment factor obtained in paragraph (iii) of
this subsection (c)(5)(A).

      (B) The remaining 1/2 of the amount due shall be determined based
upon the assessed tangible property valuation figure provided by the non-
receiving association pursuant to administrative rules and regulations
adopted by the commissioner. The determination of the remaining 1/2 of
the amount due shall be made in accordance with the following formula:

      (i) An association which received a payment from the taxes collected
for all of calendar year 1983 and which has an assessed tangible property
valuation as of November 1, 1989, similar to that of the nonreceiving
association shall be ascertained;

      (ii) the payment the comparable association received from taxes col-
lected for all of calendar year 1983 shall be divided by two;

      (iii) the assessed tangible property valuation of the area served by the
nonreceiving association shall be divided by the assessed tangible property
valuation of the area served by the association to which the nonreceiving
association is being compared, to produce an adjustment factor reflecting
the variance in assessed tangible property valuation; and

      (iv) the amount received from taxes collected for all of calendar year
1983 by the association with the comparable assessed tangible property
valuation shall be multiplied by the valuation adjustment factor obtained
in paragraph (iii) of this subsection (c)(5)(B).

      (C) The amount obtained in paragraph (iv) of subsection (c)(5)(A)
shall be added to the amount obtained in paragraph (iv) of subsection
(c)(5)(B) to determine the total amount the nonreceiving association most
probably would have received if it had actually received a payment from
the taxes collected for all of calendar year 1983. The amount a nonre-
ceiving association most probably would have received if it had actually
received a payment from taxes collected for all of calendar year 1983 shall
be divided by the total amount paid to all firefighters relief associations
from the taxes collected for all of calendar year 1983 to determine the
proportionate amount due the nonreceiving association for the current
and succeeding years and thereafter such association shall not be consid-
ered to be a nonreceiving association. The commissioner of insurance
shall include the amount so determined within the computations pre-
scribed by subsection (c)(4) for payments thereunder.

      (6) One or more firefighters relief associations may apply, prior to
October 1 of any year, to the commissioner of insurance for a redeter-
mination of the proportionate amounts payable to all firefighters relief
associations under subsection (c)(4) and, upon receipt of such application,
the commissioner of insurance shall hold one joint hearing in accordance
with the provisions of the Kansas administrative procedure act prior to
December 1 of such year, at which all applicants shall be heard and may
present information. The commissioner of insurance may redetermine
such proportionate amounts based upon such information as is presented
to or otherwise made available by the applicants to the commissioner and
may make a finding of changed circumstances. However, increases in the
assessed tangible property valuation resulting from a statewide reappraisal
conducted pursuant to K.S.A. 79-1476 et seq., and amendments thereto,
shall not constitute a changed circumstance. Upon making such finding,
the commissioner of insurance may include such redetermination within
the computations prescribed by subsection (c)(4) for payments in sub-
sequent years. Any increase or reduction in the amounts to be distributed
as a result of a finding of changed circumstances by the commissioner
shall be proportionately distributed among all firefighters relief associa-
tions. An application for redetermination shall not be made by any fire-
fighters relief association more often than once every three years, but this
restriction shall not apply with respect to applications for redetermination
submitted in calendar year 1989 that were based in whole or in part on
an increase in the assessed tangible property valuation resulting from
statewide reappraisal.

      (d) Except as otherwise provided in this section, whenever any fire-
fighters relief association fails to qualify for funds, as provided in the
firefighters relief act, for a period of two consecutive years, the funds on
deposit with such association shall be returned by the district or county
attorney to the commissioner of insurance. The commissioner of insur-
ance shall remit all such funds to the state treasurer in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury to the credit of the state firefighters
relief fund. The commissioner of insurance shall pay such amount of
funds to the Kansas state firefighters association, inc. for fire prevention
and fire extinguishment education and study.

      (e) When a firefighters relief association fails to qualify for payments
under the firefighters relief act as a result of the territory which it serves
being consolidated, merged or annexed with another governmental unit
having a qualified firefighters relief association, the funds and obligations
of such disqualified association shall be transferred to the surviving fire-
fighters relief association and the disqualified association shall dissolve
forthwith under the existing laws of this state.

      (f) When any firefighter, the spouse of such firefighter or those de-
pendent upon any member of a disqualified association is receiving rea-
sonable benefits from such association at the time of disqualification, the
benefits shall be continued in accordance with the resolution of such
disqualified association and shall be paid by the surviving association if
the disqualification resulted from consolidation, merger or annexation
and shall be paid by the district or county attorney if disqualification
resulted from reasons other than consolidation, merger or annexation.
Nothing in the firefighters relief act shall be construed as a bar to the
lawful receipt of such benefits.

      (g) The treasurer of a firefighters relief association shall give bond
for the safekeeping of funds received under the firefighters relief act and
for faithful performance in such sum with such sureties as may be ap-
proved by the governing body of such city, township, county or fire dis-
trict. All the moneys so received shall be set apart and used by the fire-
fighters relief association of such cities, townships, counties or fire
districts solely and entirely for the objects and purposes of the firefighters
relief act and shall be paid to and distributed by the firefighters relief
associations of such cities, townships, counties or fire districts under such
provisions as shall be made by the governing body thereof. All such ex-
penditures or payments shall be subject to the continued availability of
moneys distributed to the association from the tax imposed by K.S.A. 40-
1703, and amendments thereto, in amounts sufficient for such expendi-
tures. In all cases involving expenditures or payments in an amount of
$1,500 or more prior certification shall be obtained from an attorney
designated by the governing body of the city, township, county or fire
district that such expenditure or payment complies with the requirements
of the firefighters relief act.

      (h) The officers of a firefighters relief association may invest any
amount, not to exceed 90% of all such moneys, in investments authorized
by K.S.A. 12-1675, and amendments thereto, in the manner prescribed
therein or in purchasing bonds of the city, township, county or fire district
in which such firefighters relief association is located. When such invest-
ments are not obtainable, United States government bonds may be pur-
chased or municipal bonds or other obligations issued by any municipality
of the state of Kansas as defined in K.S.A. 10-1101, and amendments
thereto, which are general obligations of the municipality issuing the
same. Such investment shall be approved by the governing body of such
city, township, county or fire district.

      Sec.  116. K.S.A. 40-2120 is hereby amended to read as follows: 40-
2120. (a) The board shall select an insurer or third-party administrator to
administer the plan. The board shall evaluate bids submitted by interested
parties based on criteria established by the board which shall include:

      (1) The bidder's proven ability to handle individual accident and
health insurance;

      (2) the efficiency of the bidder's claim paying procedure;

      (3) an estimate of total charges for administering the plan; and

      (4) the bidder's ability to administer the plan in a cost efficient man-
ner.

      (b) The administering carrier so selected shall serve for a period of
three years subject to removal for cause. At least one year prior to the
expiration of each three-year period of service, the board shall invite all
interested parties, including the current administering carrier, to submit
bids to serve as the administering carrier for the succeeding three-year
period. Selection of the administering carrier for the succeeding period
shall be made at least six months prior to the end of the current three-
year period. The administering carrier shall be paid as provided in the
plan of operation.

      (c) The administering carrier shall perform all administrative, eligi-
bility and administrative claims payment functions relating to the plan,
including:

      (1) Establishing a billing procedure for collection of premiums from
insured persons. Billings shall be made on a periodic basis as determined
by the board, which shall not be more frequent than a monthly billing;

      (2) performing all necessary functions to assure timely payment of
benefits to covered persons under the plan including making available
information relating to the proper manner of submitting a claim for ben-
efits to the plan, distributing forms upon which submission shall be made
and evaluating the eligibility of each claim for payment under the plan;

      (3) accepting payments of premiums from insured persons and trans-
mitting remitting such payments to the state treasurer for in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount in the state treasury to the credit to of the uninsurable health
insurance plan fund established in K.S.A. 40-2126, and amendments
thereto;

      (4) submitting regular reports to the board regarding the operation
of the plan. The frequency, content and form of the reports shall be as
determined by the board;

      (5) determining net written and earned premiums, the expense of
administration, and the paid and incurred losses for each year and re-
porting such information to the board and the commissioner in a form
and manner prescribed by the commissioner.

      Sec.  117. K.S.A. 40-2251 is hereby amended to read as follows: 40-
2251. (a) The commissioner of insurance shall develop or approve statis-
tical plans which shall be used by each insurer in the recording and re-
porting of its premium, accident and sickness insurance loss and expense
experience, in order that the experience of all insurers may be made
available at least annually in such form and detail as may be necessary to
aid the commissioner and other interested parties in determining whether
rates and rating systems utilized by insurance companies, mutual non-
profit hospital and medical service corporations, health maintenance or-
ganizations and other entities designated by the commissioner produce
premiums and subscriber charges for accident and sickness insurance
coverage on Kansas residents, employers and employees that are reason-
able in relation to the benefits provided and to identify any accident and
sickness insurance benefits or provisions that may be unduly influencing
the cost. Such plans may also provide for the recording and reporting of
expense experience items which are specifically applicable to the state.
In promulgating such plans, the commissioner shall give due considera-
tion to the rating systems, classification criteria and insurance and sub-
scriber plans on file with the commissioner and, in order that such plans
may be as uniform as is practicable among the several states, to the form
of the plans and rating systems in other states.

      (b) The secretary of health and environment, as administrator of the
health care database, pursuant to K.S.A. 2000 Supp. 65-6804, and amend-
ments thereto, shall serve as the statistical agent for the purpose of gath-
ering, receiving and compiling the data required by the statistical plan or
plans developed or approved under this section. The commissioner of
insurance shall make an assessment upon the reporting insurance com-
panies, health maintenance organizations, group self-funded pools, and
other reporting entities sufficient to cover the anticipated expenses to be
incurred by the secretary in gathering, receiving and compiling such data.
Such assessment shall be in the form of an annual fee established by the
secretary and charged to each reporting entity in proportion to such en-
tity's respective shares of total health insurance premiums, subscriber
charges and member fees received during the preceding calendar year.
Such assessments shall be paid to the secretary and the secretary shall
remit such fees to the state treasurer in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the same entire amount in the
state treasury and it shall be credited to the credit of the insurance sta-
tistical plan fund. Compilations of aggregate data gathered under the
statistical plan or plans required by this act shall be made available to
insurers, trade associations and other interested parties.

      (c) The secretary, in writing, shall report to the commissioner of in-
surance any insurance company, health maintenance organization, group
self-funded pool, nonprofit hospital and medical service corporation and
any other reporting entity which fails to report the information required
in the form, manner or time prescribed by the secretary. Upon receipt
of such report, the commissioner of insurance shall impose an appropriate
penalty in accordance with K.S.A. 40-2,125, and amendments thereto.

      Sec.  118. K.S.A. 40-2305 is hereby amended to read as follows: 40-
2305. (a) Each political subdivision of the state is hereby authorized to
submit for approval by the state agency a plan for extending or modifying
the benefits of title II of the social security act, in conformity with the
applicable provisions of such act, to employees, including any holding the
office or position of policeman or fireman, of such political subdivisions.
Whenever the governor certifies to the secretary of health and human
services that, as a result of a referendum held pursuant to subsection (b)
of K.S.A. 40-2305a, and amendments thereto, school employees who are
covered by the state system for retirement and payment of annuities to
school employees as provided for in article 55 of chapter 72 of the Kansas
Statutes Annotated, and amendments thereto, the conditions specified in
section 218(d)(3) of the social security act have been met with respect to
such employees under such separate retirement system, the state agency
shall adopt a plan or amend a plan for extending such benefits to school
employees, as defined in subsection (d) of K.S.A. 72-5501, and amend-
ments thereto, of every political subdivision and such political subdivision,
and its employees shall be liable under such plan or amended plan to the
same extent as if the political subdivision had submitted the plan and the
same had been approved by the state agency. Each such plan and any
amendment thereof shall be approved by the state agency if it finds that
such plan, or such plan as amended, is in conformity with such require-
ments as are provided in regulations of the state agency, except that no
such plan shall be approved unless: (1) It is in conformity with the require-
ments of the federal social security act and with the agreement entered
into pursuant to K.S.A. 40-2303, and amendments thereto; (2) it provides
that all services which constitute employment as defined in subsection
(b) of K.S.A. 40-2302, and amendments thereto, and are performed in
the employ of the political subdivision by employees thereof, including
any holding the office or position of policeman or fireman, shall be cov-
ered by the plan, except that it may exclude services performed by other
individuals to whom section 218(c)(3)(C) of the federal social security act
is applicable; (3) it specifies the source or sources from which the funds
necessary to make the payments required by paragraph (1) of subsection
(c) of this section and by subsection (d) of this section are expected to be
derived and contains reasonable assurance that such sources will be ad-
equate for such purpose; (4) it provides for such methods of administra-
tion of the plan by the political subdivision as are found by the state
agency to be necessary for the proper and efficient administration of the
plan; (5) it provides that the political subdivision will make such reports,
in such form and containing such information, as the state agency may
from time to time require, and comply with such provisions as the state
agency or the secretary of health and human services may from time to
time find necessary to assure the correctness and verification of such
reports; and (6) it authorizes the state agency to terminate the plan in its
entirety, in the discretion of the state agency, if it finds there has been a
failure to comply substantially with any provision contained in such plan,
such termination to take effect at the expiration of such notice and on
such conditions as may be provided by regulations of the state agency and
may be consistent with the provisions of the social security act.

      (b) The state agency shall not finally refuse to approve a plan sub-
mitted by a political subdivision under subsection (a) of this section, and
shall not terminate an approved plan, without reasonable notice and op-
portunity for hearing to the political subdivision affected thereby. Hear-
ings under this subsection shall be conducted in accordance with the
provisions of the Kansas administrative procedure act.

      (c)  (1) Each political subdivision as to which a plan has been ap-
proved under this section shall pay into the contribution fund, with re-
spect to wages, as defined in subsection (a) of K.S.A. 40-2302, and amend-
ments thereto, at such time or times as the state agency may by regulation
prescribe, contributions in the amounts and at the rates specified in the
applicable agreement entered into by the state agency under K.S.A. 40-
2303, and amendments thereto. Delinquent contributions shall be subject
to a late penalty to defray the costs of the collection efforts in the amount
of $10 for each contribution period. All moneys received for the late
penalty imposed by this paragraph (1) of subsection (c) shall be deposited
remitted to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury
and credited to the credit of the municipal accounting services recovery
fund.

      (2) Each political subdivision required to make payments under par-
agraph (1) of this subsection (c) is authorized, in consideration of the
employee's retention in, or entry upon, employment after enactment of
this act, to impose upon each of its employees, as to services which are
covered by an approved plan, a contribution with respect to such em-
ployee's wages, as defined in subsection (a) of K.S.A. 40-2302, and
amendments thereto, not exceeding the amount of the employee tax
which would be imposed by the federal insurance contributions act if
such services constituted employment within the meaning of that act, and
to deduct the amount of such contribution from such employee's wages
as and when paid. Contributions so collected shall be paid into the con-
tribution fund in partial discharge of the liability of such political subdi-
vision or instrumentality under paragraph (1) of this subsection (c). Fail-
ure to deduct such contribution shall not relieve the employee or
employer of liability therefor.

      (d) Delinquent payments due under paragraph (1) of subsection (c)
of this section may, with interest at the rate prescribed by federal statute
or regulation for delinquent social security remittances, be recovered by
the state agency by action in a court of competent jurisdiction against the
political subdivision liable therefor or may, at the request of the state
agency, be deducted from any other moneys payable to such subdivision
by any department or agency of the state or may be offset against any
funds of the subdivision held by the county treasurer upon certification
by the state agency of such liability to the officials of the subdivision and
to the county treasurer. Upon receipt of the state agency's certification,
the county treasurer shall remit from the funds of such political subdi-
vision the amount certified. The county treasurer shall notify the subdi-
vision of the amount remitted to the state agency.

      (e) Each political subdivision, other than an instrumentality of the
state, shall pay its contributions required under the provisions of subsec-
tion (c) of this section from the same fund that the wages for which such
contribution is made are paid or from any other funds available to it for
such purpose. Each political subdivision, except an instrumentality of the
state or a school district, which is by law authorized to levy taxes for other
purposes, annually at the time of its levy of taxes for other purposes, may
levy a tax, which may be in addition to all other taxes authorized by law,
for the purpose of making its contributions under subsection (c) of this
section and, in the case of cities and counties, to pay a portion of the
principal and interest on bonds issued under the authority of K.S.A. 12-
1774, and amendments thereto, by cities located in the county, which tax
together with any other funds available to such political subdivision for
such purpose shall be sufficient to enable it to make such contributions.
Any taxing subdivision authorized to levy a tax under this subsection, in
lieu of levying such tax, may pay the required employer contribution from
any employee benefits contribution fund established pursuant to K.S.A.
12-16,102, and amendments thereto. All contributions of such political
subdivisions shall be transmitted to the state agency in the manner as the
state agency shall by rules and regulations provide, and, upon receipt of
the same, the state agency shall remit such contributions to the state
treasurer, in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the same entire amount in the state treasury and the
state treasurer shall credit the same to the credit of the contribution fund
created by K.S.A. 40-2307, and amendments thereto.

      Sec.  119. K.S.A. 40-2306 is hereby amended to read as follows: 40-
2306. (a) Each department, commission, board, institution, bureau, of-
fice, officer or other employing unit or instrumentality of the state shall
pay to the state agency contributions with respect to wages, as defined in
subsection (a) of K.S.A. 40-2302, and amendments thereto, of its em-
ployees which are paid from fees or other income except from direct
appropriations from the state general fund, equal to the taxes which would
be imposed by the federal insurance contributions act if the services for
which such wages were paid constituted employment within the meaning
of that act. Such contributions shall be transmitted to the state agency in
the manner as the state agency shall, by rules and regulations, provide,
and upon receipt of the same, the state agency shall remit such contri-
butions to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the same entire amount in the state treas-
ury and the state treasurer shall credit the same to the credit of the con-
tribution fund created by K.S.A. 40-2307, and amendments thereto.

      (b) Contributions with respect to wages, as defined in subsection (a)
of K.S.A. 40-2302, and amendments thereto, of employees of the state or
an instrumentality of the state which wages are paid from direct appro-
priations from the state general fund, equal to the taxes which would be
imposed by the federal insurance contributions act if the services for
which such wages were paid constituted employment within the meaning
of that act shall be paid or transferred by the state agency to the contri-
bution fund created by K.S.A. 40-2307, and amendments thereto, from
the ``old-age insurance fund'' in the state treasury, which fund is hereby
created for use by the state agency for such purposes and such transfer
of funds shall be made by the state treasurer upon order of the state
agency transmitted to the state treasurer and the director of accounts and
reports and upon receipt of such order said the state treasurer and direc-
tor of accounts and reports shall make the proper changes in the records
of their respective offices.

      (c) If any employing unit or instrumentality of this state, due to a
shortage of funds; is unable to make the contributions required by sub-
section (a) of this section, the state agency may advance funds to such
employing unit or instrumentality for such purpose from the old-age in-
surance fund created by subsection (b) of this section upon such terms
and conditions as shall be agreed upon by the state agency and said the
employing unit or instrumentality.

      (d) If the amount of funds in the contribution fund or the old-age
insurance fund are insufficient to make payments required to be made
by the state to the secretary of the treasury, any department, commission,
board or other agency of the state, which is supported in whole or in part
from fees, may advance money from its fee funds to the state agency
upon such terms and conditions as shall be agreed upon by such depart-
ment, commission, board or other agency of the state with the state
agency for the purpose of making such payments to the secretary of the
treasury.

      Sec.  120. K.S.A. 40-2809 is hereby amended to read as follows: 40-
2809. The commissioner of insurance shall pay remit all tax moneys col-
lected under the provisions of this act into to the state treasurer in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of each such remittance, the state treasurer shall deposit the
entire amount in the state treasury on or before the first day of each
month, and the state treasurer shall credit the same to the credit of the
state general fund.

      Sec.  121. K.S.A. 40-2906a is hereby amended to read as follows: 40-
2906a. (a) Unless a longer period has been allowed by the commissioner,
a member insurer shall at its option have the right to show a certificate
of contribution as an asset in the form approved by the commissioner
pursuant to subsection (c) of K.S.A. 40-2906, and amendments thereto,
at percentages of the original face amount approved by the commissioner,
for calendar years as follows:

      (1) One hundred percent (100%) for the calendar year of issuance;

      (2) eighty percent (80%) for the first calendar year after the year of
issuance;

      (3) sixty percent (60%) for the second calendar year after the year of
issuance;

      (4) forty percent (40%) for the third calendar year after the year of
issuance; and

      (5) twenty percent (20%) for the fourth calendar year after the year
of issuance.

      (b) The insurer may offset the amount written off by it in a calendar
year under subsection (a) against its premium tax liability to this state
accrued with respect to business transacted in such year.

      (c) Any sums acquired by refund pursuant to subsection (b) of K.S.A.
40-2906, and amendments thereto, from the association which have there-
tofore been written off by contributing insurers and offset against pre-
mium taxes as provided in subsection (b) of this section, and is not then
needed for purposes of this act, shall be paid by the association to the
commissioner to be deposited remitted by the commissioner with to the
state treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury for credit to
the credit of the state general fund.

      (d) The provisions of K.S.A. 40-2914, and amendments thereto, shall
not apply to amounts written off under subsection (a) of this section.

      Sec.  122. K.S.A. 40-3016 is hereby amended to read as follows: 40-
3016. (a) Unless a longer period has been allowed by the commissioner,
a member insurer shall at its option have the right to show a certificate
of contribution as an asset in the form approved by the commissioner
pursuant to subsection (h) of K.S.A. 40-3009, subsection (g) and amend-
ments thereto, at percentages of the original face amount approved by
the commissioner, for calendar years as follows:

      (1) One hundred percent (100%) for the calendar year of issuance;

      (2) eighty percent (80%) for the first calendar year after the year of
issuance;

      (3) sixty percent (60%) for the second calendar year after the year of
issuance;

      (4) forty percent (40%) for the third calendar year after the year of
issuance;

      (5) twenty percent (20%) for the fourth calendar year after the year
of issuance.

      (b) The insurer may offset the amount written off by it in a calendar
year under subsection (a) above, against its premium tax liability to this
state accrued with respect to business transacted in such year.

      (c) Any sums acquired by refund, pursuant to subsection (f) of K.S.A.
40-3009, subsection (f) and amendments thereto, from the association
which have theretofore been written off by contributing insurers and
offset against premium taxes as provided in subsection (b) above, and is
not then needed for purposes of this act, shall be paid by the association
to the commissioner and by him deposited with the commissioner shall
remit such moneys to the state treasurer for in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount in the
state treasury to the credit to of the state general fund of this state.

      Sec.  123. K.S.A. 40-3118 is hereby amended to read as follows: 40-
3118. (a) No motor vehicle shall be registered or reregistered in this state
unless the owner, at the time of registration, has in effect a policy of
motor vehicle liability insurance covering such motor vehicle, as provided
in this act, or is a self-insurer thereof, or the motor vehicle is used as a
driver training motor vehicle, as defined in K.S.A. 72-5015, and amend-
ments thereto, in an approved driver training course by a school district
or an accredited nonpublic school under an agreement with a motor ve-
hicle dealer, and such policy of motor vehicle liability insurance is pro-
vided by the school district or accredited nonpublic school. As used in
this section, the term ``financial security'' means such policy or self-in-
surance. The director shall require that the owner certify and provide
verification of financial security, in the manner prescribed by K.S.A. 8-
173, and amendments thereto, that the owner has such financial security,
and the owner of each motor vehicle registered in this state shall maintain
financial security continuously throughout the period of registration. In
addition, when an owner certifies that such financial security is a motor
vehicle liability insurance policy meeting the requirements of this act, the
director may require that the owner or owner's insurance company pro-
duce records to prove the fact that such insurance was in effect at the
time the vehicle was registered and has been maintained continuously
from that date. Failure to produce such records shall be prima facie ev-
idence that no financial security exists with regard to the vehicle con-
cerned. It shall be the duty of insurance companies, upon the request of
the director, to notify the director within 30 calendar days of the date of
the receipt of such request by the director of any insurance that was not
in effect on the date of registration and maintained continuously from
that date.

      (b) Except as otherwise provided in K.S.A. 40-276, 40-276a and 40-
277, and amendments thereto, and except for termination of insurance
resulting from nonpayment of premium or upon the request for cancel-
lation by the insured, no motor vehicle liability insurance policy, or any
renewal thereof, shall be terminated by cancellation or failure to renew
by the insurer until at least 30 days after mailing a notice of termination,
by certified or registered mail or United States post office certificate of
mailing, to the named insured at the latest address filed with the insurer
by or on behalf of the insured. Time of the effective date and hour of
termination stated in the notice shall become the end of the policy period.
Every such notice of termination sent to the insured for any cause what-
soever shall include on the face of the notice a statement that financial
security for every motor vehicle covered by the policy is required to be
maintained continuously throughout the registration period, that the op-
eration of any such motor vehicle without maintaining continuous finan-
cial security therefor is a class B misdemeanor and shall be subject to a
fine of not less than $300 and not more than $1,000 and that the regis-
tration for any such motor vehicle for which continuous financial security
is not provided is subject to suspension and the driver's license of the
owner thereof is subject to suspension.

      (c) The director of vehicles shall verify a sufficient number of insur-
ance certifications each calendar year as the director deems necessary to
insure compliance with the provisions of this act. The owner or owner's
insurance company shall verify the accuracy of any owner's certification
upon request, as provided in subsection (a).

      (d) In addition to any other requirements of this act, the director shall
require a person to acquire insurance and for such person's insurance
company to maintain on file with the division evidence of such insurance
for a period of one year when a person has been convicted in this or
another state of any of the violations enumerated in K.S.A. 8-285, and
amendments thereto.

      The director shall also require any driver whose driving privileges have
been suspended pursuant to this section to maintain such evidence of
insurance as required above.

      The company of the insured shall immediately mail notice to the di-
rector whenever any policy required by this subsection to be on file with
the division is terminated by the insured or the insurer for any reason.
The receipt by the director of such termination shall be prima facie evi-
dence that no financial security exists with regard to the person con-
cerned.

      No cancellation notice shall be sent to the director if the insured adds
or deletes a vehicle, adds or deletes a driver, renews a policy or is issued
a new policy by the same company. No cancellation notice shall be sent
to the director prior to the date the policy is terminated if the company
allows a grace period for payment until such grace period has expired and
the policy is actually terminated.

      For the purposes of this act, the term ``conviction'' includes pleading
guilty or nolo contendere, being convicted or being found guilty of any
violation enumerated in this subsection without regard to whether sen-
tence was suspended or probation granted. A forfeiture of bail, bond or
collateral deposited to secure a defendant's appearance in court, which
forfeiture has not been vacated, shall be equivalent to a conviction.

      The requirements of this subsection shall apply whether or not such
person owns a motor vehicle.

      (e) Whenever the director shall receive prima facie evidence, as pre-
scribed by this section, that continuous financial security covering any
motor vehicle registered in this state is not in effect, the director shall
notify the owner by registered or certified mail or United States post
office certificate of mailing that, at the end of 30 days after the notice is
mailed, the registration for such motor vehicle and the driving privileges
of the owner of the vehicle shall be suspended or revoked, pursuant to
such rules and regulations as the secretary of revenue shall adopt, unless
within 10 days after the notice is mailed: (1) Such owner shall demonstrate
proof of continuous financial security covering such vehicle to the satis-
faction of the director; or (2) such owner shall mail a written request
which is postmarked within 10 days after the notice is mailed requesting
a hearing with the director. Upon receipt of a timely request for a hearing,
the director shall afford such person an opportunity for hearing within
the time and in the manner provided in K.S.A. 8-255, and amendments
thereto. If, within the ten-day period or at the hearing, such owner is
unable to demonstrate proof of continuous financial security covering the
motor vehicle in question, the director shall revoke the registration of
such motor vehicle and suspend the driving privileges of the owner of
the vehicle.

      (f) Whenever the registration of a motor vehicle or the driving priv-
ileges of the owner of the vehicle are suspended or revoked for failure of
the owner to maintain continuous financial security, such suspension or
revocation shall remain in effect until satisfactory proof of insurance has
been filed with the director as required by subsection (d) and a reinstate-
ment fee in the amount herein prescribed is paid to the division of ve-
hicles. Such reinstatement fee shall be in the amount of $100 except that
if the registration of a motor vehicle of any owner is revoked within one
year following a prior revocation of the registration of a motor vehicle of
such owner under the provisions of this act such fee shall be in the amount
of $300. The division of vehicles shall, at least monthly, deposit remit such
fees with to the state treasurer, who shall credit such moneys in accord-
ance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of each such remittance, the state treasurer shall deposit the
entire amount in the state treasury to the credit of the state highway fund.

      (g) In no case shall any motor vehicle, the registration of which has
been revoked for failure to have continuous financial security, be rere-
gistered in the name of the owner thereof, the owner's spouse, parent or
child or any member of the same household, until the owner complies
with subsection (f). In the event the registration plate has expired, no new
plate shall be issued until the motor vehicle owner complies with the
reinstatement requirements as required by this act.

      (h) Evidence that an owner of a motor vehicle, registered or required
to be registered in this state, has operated or permitted such motor ve-
hicle to be operated in this state without having in force and effect the
financial security required by this act for such vehicle, together with proof
of records of the division of vehicles indicating that the owner did not
have such financial security, shall be prima facie evidence that the owner
did at the time and place alleged, operate or permit such motor vehicle
to be operated without having in full force and effect financial security
required by the provisions of this act.

      (i) Any owner of a motor vehicle registered or required to be regis-
tered in this state who shall make a false certification concerning financial
security for the operation of such motor vehicle as required by this act,
shall be guilty of a class A misdemeanor. Any person, firm or corporation
giving false information to the director concerning another's financial se-
curity for the operation of a motor vehicle registered or required to be
registered in this state, knowing or having reason to believe that such
information is false, shall be guilty of a class A misdemeanor.

      (j) The director shall administer and enforce the provisions of this act
relating to the registration of motor vehicles, and the secretary of revenue
shall adopt such rules and regulations as may be necessary for its admin-
istration.

      (k) Whenever any person has made application for insurance cover-
age and such applicant has submitted payment or partial payment with
such application, the insurance company, if payment accompanied the
application and if insurance coverage is denied, shall refund the unearned
portion of the payment to the applicant or agent with the notice of denial
of coverage. If payment did not accompany the application to the insur-
ance company but was made to the agent, the agent shall refund the
unearned portion of the payment to the applicant upon receipt of the
company's notice of denial.

      (l) For the purpose of this act, ``declination of insurance coverage''
means a final denial, in whole or in part, by an insurance company or
agent of requested insurance coverage.

      Sec.  124. K.S.A. 40-3213 is hereby amended to read as follows: 40-
3213. (a) Every health maintenance organization and medicare provider
organization subject to this act shall pay to the commissioner the following
fees:

      (1) For filing an application for a certificate of authority, $150;

      (2) For filing each annual report, $50;

      (3) For filing an amendment to the certificate of authority, $10.

      (b) Every health maintenance organization subject to this act which
has operated for a period of three years but not more than five years shall
pay annually to the commissioner at the time such organization files its
annual report a privilege fee in an amount equal to one-half of one per
cent (.005) per annum of the total of all premiums, subscription charges
or any other term which may be used to describe the charges made by
such organization to enrollees; and after operating for a period of more
than five years from the time of organization a health maintenance or-
ganization shall pay annually to the commissioner at the time such organ-
ization files its annual report, a privilege fee in an amount equal to one
percent (1%) 1% per annum of the total of all premiums, subscription
charges or any other term which may be used to describe the charges
made by such organization to enrollees. In such computations all such
organizations shall be entitled to deduct therefrom any premiums or sub-
scription charges returned on account of cancellations and dividends re-
turned to enrollees. If the commissioner shall determine at any time that
the application of the privilege fee would cause a denial of, reduction in
or elimination of federal financial assistance to the state or to any health
maintenance organization subject to this act, the commissioner is hereby
authorized to terminate the operation of such privilege fee.

      (c) For the purpose of insuring the collection of the privilege fee
provided for by subsection (b), every health maintenance organization
subject to this act and required by subsection (b) to pay such privilege
fee shall at the time it files its annual report, as required by K.S.A. 40-
3220, and amendments thereto, make a return, verified by affidavits of
its chief officer or principal managing director, to the commissioner, stat-
ing the amount of all premiums, assessments and charges received by the
health maintenance organization, whether in cash or notes, during the
year ending on the last day of the preceding calendar year. Upon the
receipt of such returns the commissioner of insurance shall verify the
same and assess the fees upon such organization on the basis and at the
rate provided herein and such fees shall thereupon become due and pay-
able.

      (d) Premiums or other charges received by an insurance company
from the operation of a health maintenance organization subject to this
act shall not be subject to any fee or tax imposed under the provisions of
K.S.A. 40-252, and amendments thereto.

      (e) Fees charged under this section shall be remitted to the state
treasurer for deposit in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount in the state treasury to the credit
of the state general revenue fund.

      Sec.  125. K.S.A. 40-3421 is hereby amended to read as follows: 40-
3421. (a) Any insurer providing professional liability insurance coverage
to a health care provider, as defined by K.S.A. 40-3401, and amendments
thereto, who is licensed in Kansas shall report to the appropriate state
health care provider regulatory agency and the board of governors on
forms prescribed by the board of governors any written or oral claim or
action for damages for medical malpractice. The report shall be filed no
later than 30 days following the insurer's receipt of notice of the claim or
action and shall contain:

      (1) The name, address, area of practice or specialty, policy coverage
and policy number of the insured; and

      (2) the date of the occurrence giving rise to the claim, the date the
occurrence was reported to the insurer, and the date legal action, if any,
was initiated.

      (b) Upon request of an agency to which a report is made under sub-
section (a), the insurer making the report shall provide to the agency no
later than 30 days following receipt of the request or receipt of the in-
formation, whichever is later:

      (1) The names of all defendants involved in the claim; and

      (2) a summary of the occurrence, including the name of the institu-
tion at which the incident occurred, the final diagnosis for which treat-
ment was sought or rendered, the patient's actual condition, the incident,
treatment or diagnosis giving rise to the claim and a description of the
principal injury giving rise to the claim.

      (c) Reports required to be filed pursuant to this section shall be con-
fidential and shall not be admissible in any civil or criminal action or in
any administrative proceeding other than a disciplinary proceeding of a
health care provider involved in the reported occurrence.

      (d) Any insurer which fails to report any information as required by
this section shall be subject, after proper notice and an opportunity to be
heard, to:

      (1) A civil fine assessed by the board of governors in an amount not
exceeding $1,000 for each day after the thirty-day period for reporting
that the information is not reported; and

      (2) suspension, revocation, denial of renewal or cancellation of the
insurer's certificate of authority to do business in this state or certificate
of self-insurance.

      The board of governors shall remit promptly to the state treasurer any
moneys collected from fines assessed pursuant to this subsection to the
state treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt thereof of each such remittance, the
state treasurer shall deposit the entire amount in the state treasury and
credit it to the credit of the state general fund.

      (e) Any insurer which, in good faith, reports or provides any infor-
mation pursuant to this act shall not be liable in a civil action for damages
or other relief arising from the reporting or providing of such information.

      (f) As used in this section, ``insurer'' means insurer or self-insurer, as
defined by K.S.A. 40-3401, and amendments thereto, or joint underwrit-
ing association operating pursuant to K.S.A. 40-3413, and amendments
thereto.

      (g) The requirements of this section shall not be applicable with re-
spect to any occurrence on or after July 1, 1991, giving rise to any claim
or action against any optometrist or pharmacist.

      (h) The requirements of this section shall not be applicable with re-
spect to any occurrence on or after July 1, 1995, giving rise to any claim
or action against any physical therapist.

      Sec.  126. K.S.A. 41-317 is hereby amended to read as follows: 41-
317. (a) Applications for all licenses under this act shall be upon forms
prescribed and furnished by the director and shall be filed with the di-
rector in duplicate. Each application shall be accompanied by a state
registration fee of $50 for each initial application and $10 for each renewal
application to defray the cost of preparing and furnishing standard forms
incident to the administration of this act and the cost of processing the
application. Each application shall also be accompanied by a deposit of a
certified or cashier's check of a bank within this state, United States post
office money order or cash in the full amount of the license fee required
to be paid for the kind of license applied for, which license fee shall be
returned to the applicant if the application is denied. All registration fees
shall be paid into the state treasury remitted by the director to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury and shall be
credited to the credit of the state general fund. All license fees received
by the director, including fees received for licenses to manufacture beer,
regardless of its alcoholic content, shall be paid into the state treasury by
the director and shall be credited to the state general fund.

      (b) Every applicant for a manufacturer's, distributor's, nonbeverage
user's, microbrewery, farm winery or retailer's license shall file with the
application a joint and several bond on a form prescribed by the director
and executed by good and sufficient corporate sureties licensed to do
business within the state of Kansas to the director, in the following
amounts:

      (1) For a manufacturer, $25,000;

      (2) for a spirits distributor, $15,000 or an amount equal to the highest
monthly liability of the distributor for taxes imposed by the Kansas liquor
control act for any of the 12 months immediately prior to renewal of the
distributor's license, whichever amount is greater;

      (3) for a beer or wine distributor, $5,000 or an amount equal to the
highest monthly liability of the distributor for taxes imposed by the Kansas
liquor control act for any of the 12 months immediately prior to renewal
of the distributor's license, whichever amount is greater;

      (4) for a retailer, $2,000;

      (5) for nonbeverage users, $200 for class 1, $500 for class 2, $1,000
for class 3, $5,000 for class 4 and $10,000 for class 5; and

      (6) for a microbrewery or a farm winery, $2,000.

      If a distributor holds or applies for more than one distributor's license,
only one bond for all such licenses shall be required, which bond shall be
in an amount equal to the highest applicable bond.

      (c) All bonds required by this section shall be conditioned on the
licensee's compliance with the provisions of this act and payment of all
taxes, fines and forfeitures which may be assessed against the licensee.

      Sec.  127. K.S.A. 41-328 is hereby amended to read as follows: 41-
328. (a) In addition to or in lieu of any other civil or criminal penalty
provided by law, the director, upon a finding that a licensee under the
Kansas liquor control act has violated any provision thereof, may impose
on such licensee a civil fine not exceeding $1,000 for each violation.

      (b) No fine shall be imposed pursuant to this section except upon the
written order of the director to the licensee who committed the violation.
Such order shall state the violation, the fine to be imposed and the right
of the licensee to appeal the order. Such order shall be subject to appeal
and review in the manner provided by K.S.A. 41-321, 41-322 and 41-323,
and amendments thereto.

      (c) Any fine imposed pursuant to this section shall be paid remitted
to the state treasurer, who in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the same entire amount in the state treas-
ury and credit it to the credit of the state general fund.

      (d) This section shall be part of and supplemental to the Kansas liquor
control act.

      Sec.  128. K.S.A. 41-347 is hereby amended to read as follows: 41-
347. (a) The director may issue, in accordance with rules and regulations
of the secretary: (1) To one or more charitable organizations a temporary
permit authorizing the sale of alcoholic liquor at an auction; or (2) to an
individual a temporary permit authorizing the sale of one or more limited
issue porcelain containers containing alcoholic liquor. The permit shall
be issued in the names of the charitable organizations or individual to
which it is issued.

      (b) Applications for temporary permits shall be required to be filed
with the director not less than 14 days before the event for which the
permit is sought unless the director waives such requirement for good
cause. Each application for a permit authorizing an auction shall state the
purposes for which the proceeds of the event will be used. The application
shall be upon a form prescribed and furnished by the director and shall
be filed with the director in duplicate. Each application shall be accom-
panied by a permit fee of $25 for each day for which the permit is issued,
which fee shall be paid by a certified or cashier's check of a bank within
this state, United States post office money order or cash in the full amount
thereof. All permit fees collected by the director pursuant to this section
shall be remitted to the state treasurer, who in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount in the
state treasury and credit it to the credit of the state general fund.

      (c) Temporary permits shall specify the premises for which they are
issued and shall be issued only for premises where the city, county or
township zoning code allows use for which the permit is issued.

      (d) A temporary permit shall be issued for a period of time not to
exceed three consecutive days, the dates and hours of which shall be
specified in the permit. Not more than one temporary permit may be
issued to any one applicant in a calendar year.

      (e) All proceeds from an auction for which a temporary permit is
issued shall be used only for the purposes stated in the application for
such permit.

      (f) A temporary permit shall not be transferable or assignable.

      (g) The director may refuse to issue a temporary permit to any char-
itable organization or individual which has violated any provision of the
Kansas liquor control act.

      (h) This section shall be part of and supplemental to the Kansas liquor
control act.

      Sec.  129. K.S.A. 41-501 is hereby amended to read as follows: 41-
501. (a) As used in this section and K.S.A. 41-501a, and amendments
thereto:

      (1) ``Gallon'' means wine gallon.

      (2) ``Federal area'' means any lands or premises which are located
within the exterior boundaries of this state and which are held or acquired
by or for the use of the United States or any department, establishment
or agency of the United States.

      (3) ``Malt product'' means malt syrup, malt extract, liquid malt or
wort.

      (b)  (1) For the purpose of raising revenue a tax is imposed upon the
manufacturing, using, selling, storing or purchasing alcoholic liquor, ce-
real malt beverage or malt products in this state or a federal area at a rate
of $.18 per gallon on beer and cereal malt beverage; $.20 per gallon on
all wort or liquid malt; $.10 per pound on all malt syrup or malt extract;
$.30 per gallon on wine containing 14% or less alcohol by volume; $.75
per gallon on wine containing more than 14% alcohol by volume; and
$2.50 per gallon on alcohol and spirits.

      (2) The tax imposed by this section shall be paid only once and shall
be paid by the person in this state or federal area who first manufactures,
uses, sells, stores, purchases or receives the alcoholic liquor or cereal malt
beverage. The tax shall be collected and paid to the director as provided
in this act. If the alcoholic liquor or cereal malt beverage is manufactured
and sold in this state or a federal area, the tax shall be paid by the man-
ufacturer, microbrewery or farm winery producing it. If the alcoholic
liquor or cereal malt beverage is imported into this state by a distributor
for the purpose of sale at wholesale in this state or a federal area, the tax
shall be paid by the distributor, and in no event shall such tax be paid by
the manufacturer unless the alcoholic liquor or cereal malt beverage is
manufactured in this state. If not to exceed one gallon, or metric equiv-
alent, per person of alcoholic liquor has been purchased by a private
citizen outside the borders of the United States and is brought into this
state by the private citizen in such person's personal possession for such
person's own personal use and not for sale or resale, such import is lawful
and no tax payment shall be due thereon.

      (c) Manufacturers, microbreweries, farm wineries or distributors at
wholesale of alcoholic liquor or cereal malt beverage shall be exempt from
the payment of the gallonage tax imposed on alcoholic liquor and cereal
malt beverage, upon satisfactory proof, including bills of lading furnished
to the director by affidavit or otherwise as the director requires, that the
liquor or cereal malt beverage was manufactured in this state but was
shipped out of the state for sale and consumption outside the state.

      (d) Wines manufactured or imported solely and exclusively for sac-
ramental purposes and uses shall not be subject to the tax provided for
by this section.

      (e) The tax provided for by this section is not imposed upon:

      (1) Any alcohol or wine, whether manufactured in or imported into
this state, when sold to a nonbeverage user licensed by the state, for use
in the manufacture of any of the following when they are unfit for bev-
erage purposes: Patent and proprietary medicines and medicinal, anti-
septic and toilet preparations; flavoring extracts and syrups and food prod-
ucts; scientific, industrial and chemical products; or scientific, chemical,
experimental or mechanical purposes; or

      (2) the privilege of engaging in any business of interstate commerce
or otherwise, which business may not be made the subject of taxation by
this state under the constitution and statutes of the United States.

      (f) The tax imposed by this section shall be in addition to all other
taxes imposed by the state of Kansas or by any municipal corporation or
political subdivision thereof.

      (g) Retail sales of alcoholic liquor, sales of beer to consumers by mi-
crobreweries and sales of wine to consumers by farm wineries shall not
be subject to the tax imposed by the Kansas retailers' sales tax act but
shall be subject to the enforcement tax provided for in this act.

      (h) Notwithstanding any ordinance to the contrary, no city shall im-
pose an occupation or privilege tax on the business of any person, firm
or corporation licensed as a manufacturer, distributor, microbrewery,
farm winery, retailer or nonbeverage user under this act and doing busi-
ness within the boundaries of the city except as specifically authorized by
K.S.A. 41-310, and amendments thereto.

      (i) The director shall collect the taxes imposed by this section and
shall account for and turn over to the state treasurer at least once each
week remit all moneys collected from the tax to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and the state treasurer
shall credit 1/10 of the moneys collected from taxes imposed upon alcohol
and spirits under subsection (b)(1) to the community alcoholism and in-
toxication programs fund created by K.S.A. 41-1126, and amendments
thereto, and shall credit the balance of the moneys collected to the state
general fund.

      (j) If any alcoholic liquor manufactured in or imported into this state
is sold to a licensed manufacturer or distributor of this state to be used
solely as an ingredient in the manufacture of any beverage for human
consumption, the tax imposed upon the manufacturer or distributor shall
be reduced by the amount of the taxes which have been paid under this
section as to the alcoholic liquor so used.

      (k) The tax provided for by this section is not imposed upon alcohol
or wine used by any school or college for scientific, chemical, experimen-
tal or mechanical purposes or by hospitals, sanitoria or other institutions
caring for the sick. Any school, college, hospital, sanatorium or other
institution caring for the sick may import alcohol or wine for scientific,
chemical, experimental, mechanical or medicinal purposes by making ap-
plication to the director for a permit to import it and receiving such a
permit. Application for the permit shall be on a form prescribed and
furnished by the director, and a separate permit shall be required for
each purchase of alcohol or wine. A fee of $2 shall accompany each ap-
plication. All permits shall be issued in triplicate to the applicant and shall
be under the seal of the office of the director. Two copies of the permit
shall be forwarded by the applicant to the microbrewery, farm winery,
manufacturer or distributor from which the alcohol or wine is purchased,
and the microbrewery, farm winery, manufacturer or distributor shall
return to the office of the director one copy of the permit with its shipping
affidavit and invoice. Within 10 days after receipt of any alcohol or wine,
the school, college, hospital or sanatorium ordering it shall file a report
in the office of the director upon forms furnished by the director, showing
the amount of alcohol or wine received, the place where it is to be stored,
from whom it was received, the purpose for which it is to be used and
such other information as required by the director. Any school, college,
hospital, sanatorium or institution caring for the sick, which complies with
the provisions of this subsection, shall not be required to have any other
license to purchase alcohol or wine from a microbrewery, farm winery,
manufacturer or distributor.

      Sec.  130. K.S.A. 41-2606 is hereby amended to read as follows: 41-
2606. (a) Applications for all licenses under this act shall be upon forms
prescribed and furnished by the director and shall be filed with the di-
rector in duplicate. Each application shall be accompanied by an appli-
cation fee of $50, for each initial application, and $10, for each renewal
application, to defray the cost of preparing and furnishing standard forms
incident to the administration of this act and the cost of processing such
application. Each application shall also be accompanied by a certified or
cashier's check of a bank within this state, United States post office money
order or cash in the full amount of the license fee prescribed by K.S.A.
41-2622, and amendments thereto, which fee shall be returned to the
applicant if the application is denied.

      (b) Each application for licensure as a club shall be accompanied by
a copy of the current bylaws and rules of the club and a current list of
the officers of the club.

      (c) All application fees collected by the director shall be remitted to
the state treasurer, who in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance, the
state treasurer shall deposit the entire amount in the state treasury and
credit it to the credit of the state general fund.

      Sec.  131. K.S.A. 41-2622 is hereby amended to read as follows: 41-
2622. (a) At the time application is made to the director for a license
pursuant to the club and drinking establishment act, the applicant shall
pay the following annual license fee in the manner provided by K.S.A.
41-2606, and amendments thereto:

      (1) For a class A club which is a bona fide nonprofit fraternal or war
veterans' club, as defined by rules and regulations of the secretary, $250;

      (2) for a class A club which is a bona fide nonprofit social club, as
defined by rules and regulations of the secretary, and which has not more
than 500 members, $500;

      (3) for a class A club which is a bona fide nonprofit social club, as
defined by rules and regulations of the secretary, and which has more
than 500 members, $1,000;

      (4) for a class B club, $1,000;

      (5) for a drinking establishment, $1,000;

      (6) for a hotel of which the entire premises are licensed as a drinking
establishment, $3,000;

      (7) for a caterer, $500;

      (8) for a drinking establishment/caterer, $1,500; and

      (9) for a drinking establishment/caterer, if the drinking establishment
is a hotel of which the entire premises are licensed as a drinking estab-
lishment, $3,500.

      If a licensee is described by more than one of the above, the highest
fee shall apply.

      (b) In addition to the fee provided by subsection (a), any city where
the licensed premises of a club or drinking establishment are located or,
if such licensed premises are not located in a city, the board of county
commissioners of the county where the licensed premises are located may
levy and collect an annual occupation or license tax from the licensee in
an amount equal to not less than $100 nor more than $250.

      (c) No occupational or excise tax or license fee other than that au-
thorized by subsection (b) shall be levied by any city or county against or
collected from a licensed club or drinking establishment.

      (d) The director shall remit all moneys received under this section to
the state treasurer at least monthly in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount thereof in
the state treasury. Of each such deposit, 50% shall be credited to the state
general fund, and the remaining 50% shall be credited to the other state
fees fund of the department of social and rehabilitation services. In ad-
dition to other purposes for which expenditures may be made from the
other state fees fund of the department of social and rehabilitation serv-
ices, expenditures may be made by the secretary of social and rehabili-
tation services for the purpose of implementing the powers and duties of
the secretary under the provisions of K.S.A. 65-4006 and 65-4007, and
amendments thereto.

      Sec.  132. K.S.A. 41-2645 is hereby amended to read as follows: 41-
2645. (a) A temporary permit shall allow the permit holder to offer for
sale, sell and serve alcoholic liquor for consumption on unlicensed prem-
ises, which may be open to the public, subject to the terms of such permit.

      (b) The director may issue a temporary permit to any one or more
persons or organizations applying for such a permit, in accordance with
rules and regulations of the secretary. The permit shall be issued in the
names of the persons or organizations to which it is issued.

      (c) Applications for temporary permits shall be required to be filed
with the director not less than 14 days before the event for which the
permit is sought unless the director waives such requirement for good
cause. Each application shall state the purposes for which the proceeds
of the event will be used. The application shall be upon a form prescribed
and furnished by the director and shall be filed with the director in du-
plicate. Each application shall be accompanied by a permit fee of $25 for
each day for which the permit is issued, which fee shall be paid by a
certified or cashier's check of a bank within this state, United States post
office money order or cash in the full amount thereof. All permit fees
collected by the director pursuant to this section shall be remitted to the
state treasurer, who in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount in the state treasury and credit
it to the credit of the state general fund.

      (d) Temporary permits shall specify the premises for which they are
issued and shall be issued only for premises where the city, county or
township zoning code allows use for which the permit is issued. No tem-
porary permit shall be issued for premises which are not located in a
county where the qualified electors of the county:

      (1)  (A) Approved, by a majority vote of those voting thereon, to adopt
the proposition amending section 10 of article 15 of the constitution of
the state of Kansas at the general election in November, 1986; or (B) have
approved a proposition to allow the sale of liquor by the individual drink
in public places within the county at an election pursuant to K.S.A. 41-
2646, and amendments thereto; and

      (2) have not approved a proposition to prohibit such sales of alcoholic
liquor in such places at a subsequent election pursuant to K.S.A. 41-2646,
and amendments thereto.

      (e) A temporary permit shall be issued for a period of time not to
exceed three consecutive days, the dates and hours of which shall be
specified in the permit. Not more than four temporary permits may be
issued to any one applicant in a calendar year.

      (f) All proceeds from an event for which a temporary permit is issued
shall be used only for the purposes stated in the application for such
permit.

      (g) A temporary permit shall not be transferable or assignable.

      (h) The director may refuse to issue a temporary permit to any person
or organization which has violated any provision of the Kansas liquor
control act, the drinking establishment act or K.S.A. 79-41a01 et seq., and
amendments thereto.

      Sec.  133. K.S.A. 41-2702 is hereby amended to read as follows: 41-
2702. (a) No retailer shall sell any cereal malt beverage without having
first secured a license for each place of business as herein provided. In
case such place of business is located within the corporate limits of a city,
the application for license shall be made to the governing body of such
city. In all other cases, the application for license shall be made to the
board of county commissioners in the county in which such place of busi-
ness is to be located, except that the application for license to sell on
railway cars shall be made to the director as hereinafter provided.

      (b) A board of county commissioners shall not issue or renew a re-
tailer's license without giving the clerk of the township where the place
of business is to be located written notice by registered mail of the filing
of the application for licensure or renewal. The township board may
within 10 days file advisory recommendations as to the granting of such
license or renewal and such advisory recommendations shall be consid-
ered by the board of county commissioners before such license is issued.
If an original license is granted and issued, the board of county commis-
sioners shall grant and issue renewals thereof upon application of the
license holder, if the license holder is qualified to receive the same and
the license has not been revoked as provided by law.

      (c) An application for a retailer's license shall be verified and upon a
form prepared by the attorney general of the state and shall contain:

      (1) The name and residence of the applicant;

      (2) the length of time that the applicant has resided within the state
of Kansas;

      (3) the particular place of business for which a license is desired;

      (4) the name of the owner of the premises upon which the place of
business is located; and

      (5) a statement that the applicant is a citizen of the United States and
not less than 21 years of age and that the applicant has not within two
years immediately preceding the date of making application been con-
victed of a felony, any crime involving moral turpitude, drunkenness, driv-
ing a motor vehicle while under the influence of intoxicating liquor or
violation of any other intoxicating liquor law of any state or of the United
States.

      (d) In addition to the fee provided by subsection (e), each application
for a retailer's license to sell cereal malt beverages for consumption on
the licensed premises shall be accompanied by a fee as follows:

      (1) For licensure of a place of business other than a railway car, a fee
of not less than $25 nor more than $200, as prescribed by the board of
county commissioners or the governing body of the city, as the case may
be; and

      (2) for licensure to sell on railway cars, a fee of $100.

      (e) Each applicant for a retailer's license or renewal of such a license
shall submit to the director a copy of the completed application for such
license or license renewal, together with a fee of $25. Upon receipt of
such application, the director shall authorize a state stamp to be affixed
to the license. No such stamp shall be affixed to any license except such
stamps as provided by the director and no retailer's license shall be issued
or renewed unless such stamp has first been affixed thereto.

      (f) The director shall remit all fees collected by the director to the
state treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto all fees collected by the director hereunder,. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount in the state treasury and the state treasurer shall credit the same
to the credit of the state general fund, except that the director may provide
for the deposit in the cereal malt beverage tax refund fund of such
amounts as necessary for the refund of any license fees collected here-
under.

      (g) The board of county commissioners of the several counties or the
governing body of a city shall issue a license upon application duly made
as otherwise provided for herein, to any retailer engaged in business in
such county or city and qualified to receive such license, to sell only cereal
malt beverages in original and unopened containers, and not for con-
sumption on the premises. The annual license fee for such license, which
shall be in addition to the fee provided by subsection (e), shall be not less
than $25 nor more than $50.

      (h) No license issued under this act shall be transferable.

      Sec.  134. K.S.A. 44-324 is hereby amended to read as follows: 44-
324. (a) Any proceeding by one or more employees to assert any claim
arising under or pursuant to this act may be brought in any court of
competent jurisdiction.

      (b) Whenever the secretary determines under K.S.A. 44-322a, and
amendments thereto, that an employee has a valid claim for unpaid wages
and determines that the amount of the claim is less than $10,000, the
secretary, upon the written request of the employee, shall take an assign-
ment of the claim in trust for such employee and shall take action appro-
priate to enforce or defend such claim. Whenever the secretary deter-
mines under K.S.A. 44-322a, and amendments thereto, that an employee
has a valid claim for unpaid wages and determines that the amount of the
claim is equal to or greater than $10,000, the secretary, upon the written
request of the employee, may take an assignment of the claim in trust for
such employee and if the assessment is taken, shall take action appropriate
to enforce or defend such claim. With the written consent of the assignor,
the secretary may settle or adjust any claim assigned pursuant to this
subsection. Whenever the secretary takes an assignment of a claim in trust
for an employee under this section, the secretary shall charge and collect
a fee therefor which fee shall be fixed by rules and regulations adopted
by the secretary. The fee fixed by rules and regulations shall be in an
amount of not more than $25 per claim assigned under this section.

      (c) If the secretary prevails on behalf of the employee, the court shall
award a judgment to the agency in an amount equal to the cost of rea-
sonable attorney fees for such action.

      (d) There is hereby created the wage claims assignment fee fund.
The secretary shall remit all moneys received for assignment and attorney
fees charged and collected under this section to the state treasurer at
least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury.
Twenty percent of each such deposit shall be credited to the state general
fund and the balance shall be credited to the wage claims assignment fee
fund. All expenditures from the wage claims assignment fee fund shall
be made in accordance with appropriation acts upon warrants of the di-
rector of accounts and reports issued pursuant to vouchers approved by
the secretary or by a person or persons designated by the secretary.

      Sec.  135. K.S.A. 44-411 is hereby amended to read as follows: 44-
411. All money or moneys received by or for the secretary of human
resources from fees under this act shall be remitted to the state treasurer
by the secretary at least monthly in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount thereof in
the state treasury to the credit of the state general fund.

      Sec.  136. K.S.A. 44-532 is hereby amended to read as follows: 44-
532. (a) Where the payment of compensation of the employee or the
employee's dependents is insured by a policy or policies, at the expense
of the employer, or the employer is a member of a qualified group-funded
workers compensation pool, the insurer or the qualified group-funded
workers compensation pool shall be subrogated to the rights and duties
under the workers compensation act of the employer so far as appropri-
ate, including the immunities provided by K.S.A. 44-501, and amend-
ments thereto.

      (b) Every employer shall secure the payment of compensation to the
employer's employees by insuring in one of the following ways: (1) By
insuring and keeping insured the payment of such compensation with an
insurance carrier authorized to transact the business of workers compen-
sation insurance in the state of Kansas; (2) by showing to the director that
the employer carries such employer's own risk and is what is known as a
self-insurer and by furnishing proof to the director of the employer's
financial ability to pay such compensation for the employer's self; (3) by
maintaining a membership in a qualified group-funded workers compen-
sation pool. The cost of carrying such insurance or risk shall be paid by
the employer and not the employee.

      (c) The knowing and intentional failure of an employer to secure the
payment of workers compensation to the employer's employees as re-
quired in subsection (b) of this section is a class A misdemeanor.

      (d) In addition, whenever the director has reason to believe that any
employer has engaged or is engaging in the knowing and intentional fail-
ure to secure the payment of workers compensation to the employer's
employees as required in subsection (b) of this section, the director shall
issue and serve upon such employer a statement of the charges with
respect thereto and shall conduct a hearing in accordance with the Kansas
administrative procedure act, wherein the employer may be liable to the
state for a civil penalty in an amount equal to twice the annual premium
the employer would have paid had such employer been insured or
$25,000, whichever amount is greater.

      (e) The director shall not assess such a fine against a self-employed
subcontractor for failure of the subcontractor to secure compensation for
the subcontractor personally, however, the director shall enforce the pro-
visions of this section for failure of the subcontractor to secure compen-
sation for any other employee of the subcontractor as otherwise provided
by law.

      (f) Any civil penalty imposed or final action taken under this section
shall be subject to review in accordance with the act for judicial review
of agency actions in the district court of Shawnee county.

      (g) All moneys received under this section for costs assessed or mon-
etary penalties imposed shall be deposited remitted to the state treasurer
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and credited to the credit
of the workers compensation fund.

      (h)  (1) Every insurance carrier writing workers' workers compensa-
tion insurance for any employment covered under the workers compen-
sation act shall file, with the director or the director's designee, written
notice of the issuance, nonrenewal or cancellation of a policy or contract
of insurance, or any endorsement, providing workers compensation cov-
erage, within 10 days after such issuance, nonrenewal or cancellation.
Every such insurance carrier shall file, with the director, written notice
of all such policies, contracts and endorsements in force on the effective
date of this act.

      (2) Every employer covered by the workers compensation act who is
a qualified self-insurer shall give written notice to the director or the
director's designee, if such employer changes from a self-insurer status
to insuring through an insurance carrier or by maintaining a membership
in a qualified group-funded workers compensation pool, such notice to
be given within 10 days after the effective date of such change. Every
self-insurer shall file with the director annually a report verifying the
employer's continuing ability to pay compensation to the employer's em-
ployees.

      (3) Every employer covered by the workers compensation act who is
a member of a qualified group-funded workers compensation pool shall
give written notice to the director or the director's designee, if such em-
ployer changes from a group-funded workers compensation pool to in-
suring through an insurance carrier or becoming a self-insurer, such no-
tice to be given within 10 days after the effective date of such change.

      (4) The mailing of any written notice or report required by this sub-
section (d) in a stamped envelope within the prescribed time shall comply
with the requirements of this subsection.

      (5) The director shall provide by regulation for the forms of written
notices and reports required by this subsection (d).

      (i) As used in this section, ``qualified group-funded workers compen-
sation pool'' means any qualified group-funded workers compensation
pool under K.S.A. 44-581 through 44-591, and amendments thereto, or
any group-funded pool under the Kansas municipal group-funded pool
act which includes workers compensation and employers' liability under
the workers compensation act.

      (j) A private firm shall not be eligible to apply to become a self-insurer
unless it has been in continuous operation for at least five years or is
purchasing an existing self-insured Kansas firm, plant or facility and the
operation of the purchased firm, plant or facility: (1) Has been in contin-
uous operation in Kansas for at least 10 years; (2) has generated an after-
tax profit of at least $1,000,000 annually for the preceding three consec-
utive years; and (3) has a ratio of debt to equity of not greater than 3.5
to 1. As used in this subsection, ``debt'' means the sum of long-term
borrowing maturing in excess of one year plus the current portion of long-
term borrowing plus short-term financial institution borrowing plus com-
mercial paper borrowing, and ``equity'' means the sum of the book value
of stock plus paid-in capital plus retained earnings. The method for cal-
culating the amount of security required of self-insureds shall be reviewed
by an actuary every five years, beginning in fiscal year 1997. The costs for
these actuarial studies shall be paid from the workers compensation fee
fund.

      (k) A corporation or other entity whose current identity is attributable
to a merger or other transformation whereby the whole or a substantial
part of a previous entity's assets and income have been transferred to it,
and its liabilities have not increased beyond the financial review require-
ments of the director, which qualified under its previous identity as a self-
insurer under other provisions of this statute, and amendments thereto,
may apply for renewal as a self-insurer under its new name. The director
may grant the application for renewal if satisfied that the new entity meets
all necessary financial criteria for renewal that would have been applied
to the previous self-insured entity. An application under these provisions
shall be limited to an entity seeking renewal based upon the prior self-
insured status of another entity or entities.

      Sec.  137. K.S.A. 44-566a is hereby amended to read as follows: 44-
566a. (a) There is hereby created in the state treasury the workers com-
pensation fund. The commissioner of insurance shall be responsible for
administering the workers compensation fund, and all payments from the
workers compensation fund shall be upon warrants of the director of
accounts and reports issued pursuant to vouchers approved by the com-
missioner of insurance or a person or persons designated by the com-
missioner. The commissioner of insurance annually shall report to the
governor and the legislature the receipts and disbursements from the
workers compensation fund during the preceding fiscal year.

      (b)  (1) On June 1 of each year, the commissioner of insurance shall
impose an assessment against all insurance carriers, self-insurers and
group-funded workers compensation pools insuring the payment of com-
pensation under the workers compensation act, and the same shall be due
and payable to the commissioner on the following July 1, the proceeds of
which shall be credited to the workers compensation fund. The total
amount of each such assessment shall be equal to an amount sufficient,
in the opinion of the commissioner of insurance, to pay all amounts, in-
cluding attorney fees and costs, which may be required to be paid from
such fund during the current fiscal year, less the amount of the estimated
unencumbered balance in the workers compensation fund as of the June
30 immediately preceding the date the assessment is due and payable
under this section. The total amount of each such assessment shall be
apportioned among those upon whom it is imposed, such that each is
assessed an amount that bears the same relation to such total assessment
as the amount of money paid or payable in workers compensation claims
by such insurance carrier, self-insurer or group-funded workers compen-
sation pool in the immediately preceding calendar year bears to all such
claims paid or payable during such calendar year. The commissioner of
insurance may establish experience-based rates of assessments under this
subsection and make adjustments in the assessments imposed under this
subsection based on the success of accident prevention programs under
K.S.A. 44-5,104, and amendments thereto, and other employer safety
programs.

      (2) The commissioner of insurance shall remit all moneys received
by or for such commissioner under this subsection to the state treasurer
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of any each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury to the credit
of the workers compensation fund.

      (c)  (1) Whenever the workers compensation fund may be made lia-
ble for the payment of any amounts in proceedings under the workers
compensation act, the commissioner of insurance, in the capacity of ad-
ministrator of such fund, shall be impleaded in such proceedings and shall
represent and defend the workers compensation fund. The commissioner
of insurance shall be deemed impleaded in any such proceedings when-
ever written notice of the proceedings setting forth the nature of the
liability asserted against the workers compensation fund, is given to the
commissioner of insurance. The commissioner of insurance may be made
a party in this manner by any party to the proceedings. A copy of the
written notice shall be given to the director and to all other parties to the
proceedings.

      (2) The administrative law judge shall dismiss the workers compen-
sation fund from any proceeding where the administrative law judge has
determined that there is insufficient evidence to indicate involvement by
the workers compensation fund.

      (3) In any case in which the workers compensation fund has been
impleaded by the employer or insurance carrier and where an award has
been entered deciding all of the issues in the employee's claim against
the employer, but not deciding the issues between the employer and the
fund, the fund may file an application with the administrative law judge
requesting that the fund be dismissed from the case with prejudice. The
employer shall have a period of six months from the filing of the appli-
cation in which to complete the employer's evidence on the fund issues
and submit the case to the administrative law judge for decision. The
fund shall then have a period of 60 days after the submission of the
employer's evidence to submit its own evidence concerning the fund is-
sues in the case. If the employer fails to do so, the administrative law
judge shall dismiss the fund from the case with prejudice on the judge's
own motion.

      (d) The commissioner of insurance, in the capacity of administrator
of the workers compensation fund, may make settlements of any amounts
which may be payable from the workers compensation fund with regard
to any claim under the workers compensation act, subject to the approval
of the director.

      (e) The workers compensation fund shall be liable for:

      (1) Payment of awards to handicapped employees in accordance with
the provisions of K.S.A. 44-569, and amendments thereto, for claims aris-
ing prior to July 1, 1994;

      (2) payment of workers compensation benefits to an employee who
is unable to receive such benefits from such employee's employer under
the conditions prescribed by K.S.A. 44-532a, and amendments thereto;

      (3) reimbursement of an employer or insurance carrier pursuant to
the provisions of K.S.A. 44-534a, and amendments thereto, subsection
(d) of K.S.A. 44-556, and amendments thereto, subsection (c) of K.S.A.
44-569, and amendments thereto, and K.S.A. 44-569a, and amendments
thereto;

      (4) payment of the actual expenses of the commissioner of insurance
which are incurred for administering the workers compensation fund,
subject to the provisions of appropriations acts; and

      (5) any other payments or disbursements provided by law.

      (f) If it is determined that the workers compensation fund is not liable
as described in subsection (e), attorney fees incurred by the workers com-
pensation fund may be assessed against the party who has impleaded the
workers compensation fund other than impleadings pursuant to K.S.A.
44-532a, and amendments thereto.

      (g) The commissioner of insurance shall provide for the implemen-
tation of the workers compensation fund as provided in this section and
shall be responsible for ensuring the fund's adequacy to meet and pay
claims awarded against it.

      Sec.  138. K.S.A. 44-570 is hereby amended to read as follows: 44-
570. (a) In the event that subsection (d) of K.S.A. 44-510b, and amend-
ments thereto, is inapplicable, every employer in the state of Kansas op-
erating a trade or business under the provisions of the workers
compensation act shall pay within 30 days after the award is made the
sum of $18,500 to the commissioner of insurance in every case where
death results from the accident and where there are no dependents who
are entitled to compensation under the workers compensation act.

      (b) The commissioner of insurance shall remit all moneys received
under this section to the state treasurer in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of any each
such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury to the credit of the workers' compensation
fund.

      (c) Upon rendering an award under this section, the director shall
transmit immediately a certified copy thereof to the commissioner of
insurance. In case payment is, or has been made, under the provisions of
this section and dependency later is shown, or if payment is made by
mistake or inadvertence, or under such circumstances that justice re-
quires a refund thereof, the commissioner of insurance is hereby author-
ized to refund such payment to the employer, or if insured, to the em-
ployer's insurance carrier.

      Sec.  139. K.S.A. 44-575 is hereby amended to read as follows: 44-
575. (a) As used in K.S.A. 44-575 through 44-580, and amendments
thereto, ``state agency'' means the state, or any department or agency of
the state, but not including the Kansas turnpike authority, the university
of Kansas hospital authority, any political subdivision of the state or the
district court with regard to district court officers or employees whose
total salary is payable by counties.

      (b) For the purposes of providing for the payment of compensation
for claims arising on and after July 1, 1974, and all other amounts required
to be paid by any state agency as a self-insured employer under the work-
ers compensation act and any amendments or additions thereto, there is
hereby established the state workers compensation self-insurance fund in
the state treasury. The name of the state workmen's compensation self-
insurance fund is hereby changed to the state workers compensation self-
insurance fund. Whenever the state workmen's compensation self-insur-
ance fund is referred to or designated by any statute, contract or other
document, such reference or designation shall be deemed to apply to the
state workers compensation self-insurance fund.

      (c) The state workers compensation self-insurance fund shall be liable
to pay: (1) All compensation for claims arising on and after July 1, 1974,
and all other amounts required to be paid by any state agency as a self-
insured employer under the workers compensation act and any amend-
ments or additions thereto; (2) the amount that all state agencies are liable
to pay of the ``carrier's share of expense'' of the administration of the
office of the director of workers' compensation as provided in K.S.A. 74-
712 through 74-719, and amendments thereto, for each fiscal year; (3) all
compensation for claims remaining from the self-insurance program
which existed prior to July 1, 1974, for institutional employees of the
division of mental health and retardation services of the department of
social and rehabilitation services; (4) the cost of administering the state
workers compensation self-insurance fund including the defense of such
fund and any costs assessed to such fund in any proceeding to which it is
a party; and (5) the cost of establishing and operating the state workplace
health and safety program under subsection (f). For the purposes of
K.S.A. 44-575 through 44-580, and amendments thereto, all state agen-
cies are hereby deemed to be a single employer whose liabilities specified
in this section are hereby imposed solely upon the state workers com-
pensation self-insurance fund and such employer is hereby declared to
be a fully authorized and qualified self-insurer under K.S.A. 44-532, and
amendments thereto, but such employer shall not be required to make
any reports thereunder.

      (d) The secretary of administration shall administer the state workers
compensation self-insurance fund and all payments from such fund shall
be upon warrants of the director of accounts and reports issued pursuant
to vouchers approved by the secretary of administration or a person or
persons designated by the secretary. The director of accounts and reports
may issue warrants pursuant to vouchers approved by the secretary for
payments from the state workers compensation self-insurance fund not-
withstanding the fact that claims for such payments were not submitted
or processed for payment from money appropriated for the fiscal year in
which the state workers compensation self-insurance fund first became
liable to make such payments.

      (e) The secretary of administration shall remit all moneys received by
or for the secretary in the capacity as administrator of the state workers
compensation self-insurance fund, to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of any each such remittance, the state treasurer shall deposit the
entire amount thereof in the state treasury to the credit of the state work-
ers compensation self-insurance fund.

      (f) There is hereby established the state workplace health and safety
program within the state workers compensation self-insurance program
of the department of administration. The secretary of administration shall
implement and administer the state workplace health and safety program
for state agencies. The state workplace health and safety program shall
include, but not be limited to:

      (1) Workplace health and safety hazard surveys in all state agencies,
including onsite interviews with employees;

      (2) workplace health and safety hazard prevention services, including
inspection and consultation services;

      (3) procedures for identifying and controlling workplace hazards;

      (4) development and dissemination of health and safety informational
materials, plans, rules and work procedures; and

      (5) training for supervisors and employees in healthful and safe work
practices.

      Sec.  140. K.S.A. 44-587 is hereby amended to read as follows: 44-
587. The expense of the administration of the group-funded workers'
compensation pools shall be financed in the following manner:

      (a) There is hereby created in the state treasury a fund to be called
the group-funded workers' compensation pools fee fund. All amounts
which are required to be paid from the group compensation pools fee
fund for the operating expenditures incident to the administration of the
group-funded workers' compensation pools shall be paid from the group-
funded workers' compensation pools fee fund. The commissioner of in-
surance shall be responsible for administering the group-funded workers'
compensation pools fee fund and all payments from the fund shall be
upon warrants of the director of accounts and reports issued pursuant to
vouchers approved by the commissioner of insurance or a person or per-
sons designated by the commissioner.

      (b) The commissioner of insurance shall estimate as soon as practical
after January 1 of each year the expenses necessary for the administration
of the group-funded workers' compensation pools for the fiscal year be-
ginning on July 1 thereafter. Not later than June 1 of each year, the
commissioner of insurance shall notify all such group-funded workers'
compensation pools of the amount of each assessment imposed under
this subsection on such group-funded workers' compensation pools and
the same shall be due and payable to the commissioner on the July 1
following.

      (c) The commissioner of insurance shall remit all moneys received by
or for such commissioner under this section to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of any each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury to the credit
of the group-funded workers' compensation pools fee fund.

      Sec.  141. K.S.A. 44-712 is hereby amended to read as follows: 44-
712. (a) Establishment and control. There is hereby established as a spe-
cial fund in the state treasury, separate and apart from all public moneys
or funds of this state, an employment security fund, which shall be ad-
ministered by the secretary as provided in this act. This fund shall consist
of: (1) All contributions collected under this act; (2) interest earned upon
any moneys in the fund; (3) all moneys credited to this state's account in
the federal unemployment trust fund, pursuant to section 903 of the social
security act, 42 U.S.C.A. §  1103, as amended; (4) any property or secu-
rities acquired through the use of moneys belonging to the fund, and all
other moneys received for the fund from any other source; (5) all earnings
of such property or securities. All moneys in this fund shall be mingled
and undivided.

      (b) Accounts and deposits. The state treasurer shall be ex officio cus-
todian of the fund. Payments from the fund, and for the purposes of this
act deposits with the secretary of the treasury of the United States shall
not be deemed to be payments from the fund, shall be made upon war-
rants drawn upon the state treasurer by the director of accounts and
reports upon vouchers approved by the secretary. There shall be main-
tained within the fund three separate accounts: (1) A clearing account;
(2) an unemployment trust fund account, and (3) a benefit account. All
money payable to the fund upon receipt thereof by the secretary, shall
be forwarded remitted to the state treasurer, who shall immediately in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit them the entire amount in the state treasury to the credit of the
clearing account of the fund. Refunds payable pursuant to K.S.A. 44-717,
and amendments thereto, may be paid from the clearing account of the
fund by warrants drawn by the director of accounts and reports upon the
state treasurer upon vouchers approved by the secretary. After clearance
thereof, all other moneys in the clearing account of the fund shall be
immediately deposited with the secretary of the treasury of the United
States of America to the credit of the account of this state in the federal
unemployment trust fund established and maintained pursuant to section
904 of the social security act, 42 U.S.C.A.§  1104, as amended, any pro-
visions of law in this state relating to the deposit, administration, release,
or disbursement of moneys in the possession or custody of this state to
the contrary notwithstanding. The benefit account of the fund shall con-
sist of all moneys requisitioned from this state's account in the federal
unemployment trust fund. Except as herein otherwise provided, moneys
in the clearing and benefit accounts of the fund may be deposited by the
state treasurer in any bank or public depository as is now provided by law
for the deposit of general funds of the state, but no public deposit insur-
ance charge or premium shall be paid out of the fund. Moneys in the
clearing and benefit accounts of the fund shall not be commingled with
other state funds and shall be maintained in separate bank accounts.

      (c) Withdrawals. Moneys shall be requisitioned from this state's ac-
count in the federal unemployment trust fund solely for the payment of
benefits and in accordance with the provisions of this act and the rules
and regulations adopted by the secretary, except that moneys credited to
this state's account pursuant to section 903 of the social security act, 42
U.S.C.A. §  1103, as amended, shall be used exclusively as provided in
subsection (d) of this section. The secretary shall from time to time req-
uisition from the federal unemployment trust fund such amounts, not
exceeding the amounts standing to its account therein, as deemed nec-
essary for the payment of benefits for a reasonable future period. Upon
receipt thereof the state treasurer shall deposit such moneys in the benefit
account of the fund and warrants for the payment of benefits shall be
charged solely against such benefit account of the fund. Expenditures of
such moneys in the benefit account and refunds from the clearing account
of the fund shall not be subject to any provisions of law requiring specific
appropriations. Any balance of moneys requisitioned from the federal
unemployment trust fund which remains unclaimed or unpaid in the ben-
efit account of the fund after the expiration of the period for which such
sums were requisitioned shall either be deducted from estimates for, and
may be utilized for the payment of benefits during succeeding periods,
or, in the discretion of the secretary shall be directed to be redeposited
with the secretary of the treasury of the United States of America, to the
credit of this state's account in the federal unemployment trust fund, as
provided in subsection (b) of this section. All balances accrued from un-
paid or canceled warrants issued pursuant to this section, notwithstanding
the provisions of K.S.A. 10-812, and amendments thereto, shall remain
in the benefit account of the fund, and be disbursed in accordance with
the provisions of this act relating to such account.

      (d) Administrative use. (1) Money credited to the account of this state
in the federal unemployment trust fund by the secretary of the treasury
of the United States of America, pursuant to section 903 of the social
security act, 42 U.S.C.A. §  1103, as amended, may be requisitioned and
used for the payment of expenses incurred in the administration of this
act pursuant to a specific appropriation by the legislature, if expenses are
incurred and the money is requisitioned after the enactment of an ap-
propriation law which: (A) Specifies the purposes for which such money
is appropriated and the amounts appropriated therefor, (B) limits the
period within which such money may be obligated to a period ending not
more than two years after the date of the enactment of the appropriation
law, and (C) limits the amount which may be obligated during a twelve-
month period beginning on July 1 and ending on the next June 30 to an
amount which does not exceed the amount by which (i) the aggregate of
the amounts credited to the account of this state pursuant to section 903
of the social security act, 42 U.S.C.A.§  1103, as amended, (ii) the aggre-
gate of the amounts obligated pursuant to this subsection and amounts
paid out for benefits and charged against the amounts credited to the
account of this state. For the purposes of this subsection, amounts obli-
gated during any such twelve-month period shall be charged against
equivalent amounts which were first credited and which are not already
so charged.

      (2) Money credited to the account of this state pursuant to section
903 of the social security act, 42 U.S.C.A. §  1103, as amended, may not
be withdrawn or obligated except for the payment of benefits and for the
payment of expenses for the administration of this act and of public em-
ployment offices pursuant to this subsection (d).

      (3) Money appropriated as provided by this subsection (d) for the
payment of expenses of administration shall be requisitioned as needed
for the payment of obligations incurred under such appropriation and,
upon requisition shall be deposited in the state treasury to the credit of
the employment security administration fund from which such payments
shall be made. Money so deposited and credited shall, until expended,
remain a part of the federal unemployment trust fund, and, if it will not
be expended, shall be returned promptly to the account of this state in
the federal unemployment trust fund.

      (4) Notwithstanding paragraph (1), money credited with respect to
federal fiscal years 1999, 2000 and 2001, shall be used solely for the
administration of the UC program, and such money shall not otherwise
be subject to the requirements of paragraph (1) when appropriated by
the legislature.

      (e) Management of funds upon discontinuance of federal unemploy-
ment trust fund. The provisions of subsections (a), (b), (c) and (d) of this
section, to the extent that they relate to the federal unemployment trust
fund, shall be operative only so long as such unemployment trust fund
continues to exist and so long as the secretary of the treasury of the United
States of America continues to maintain for this state a separate book
account of all funds deposited therein by this state for benefit purposes,
together with this state's proportionate share of the earnings of such un-
employment trust fund, from which no other state is permitted to make
withdrawals. If and when such unemployment trust fund ceases to exist,
or such separate book account is no longer maintained, all moneys, prop-
erties or securities therein, belonging to the employment security fund
of this state, shall be transferred to the state treasurer, to be administered
by the secretary as a trust fund for the purpose of paying benefits under
this act, and the director of investments upon the direction of the sec-
retary shall have authority to hold, invest, transfer, sell, deposit, and re-
lease such moneys, and any properties, securities, or earnings acquired
as an incident to such administration.

      Sec.  142. K.S.A. 44-714 is hereby amended to read as follows: 44-
714. (a) Duties and powers of secretary. It shall be the duty of the sec-
retary to administer this act and the secretary shall have power and au-
thority to adopt, amend or revoke such rules and regulations, to employ
such persons, make such expenditures, require such reports, make such
investigations, and take such other action as the secretary deems neces-
sary or suitable to that end. Such rules and regulations may be adopted,
amended, or revoked by the secretary only after public hearing or op-
portunity to be heard thereon. The secretary shall determine the organ-
ization and methods of procedure in accordance with the provisions of
this act, and shall have an official seal which shall be judicially noticed.
The secretary shall make and submit reports for the administration of the
employment security law in the manner prescribed by K.S.A. 75-3044 to
75-3046, inclusive, and 75-3048, and amendments thereto. Whenever the
secretary believes that a change in contribution or benefit rates will be-
come necessary to protect the solvency of the fund, the secretary shall
promptly so inform the governor and the legislature, and make recom-
mendations with respect thereto.

      (b) Publication. The secretary shall cause to be printed for distribu-
tion to the public the text of this act, the secretary's rules and regulations
and any other material the secretary deems relevant and suitable and shall
furnish the same to any person upon application therefor.

      (c) Personnel. (1) Subject to other provisions of this act, the secretary
is authorized to appoint, fix the compensation, and prescribe the duties
and powers of such officers, accountants, deputies, attorneys, experts and
other persons as may be necessary in carrying out the provisions of this
act. The secretary shall classify all positions and shall establish salary
schedules and minimum personnel standards for the positions so classi-
fied. The secretary shall provide for the holding of examinations to de-
termine the qualifications of applicants for the positions so classified, and,
except to temporary appointments not to exceed six months in duration,
shall appoint all personnel on the basis of efficiency and fitness as deter-
mined in such examinations. The secretary shall not appoint or employ
any person who is an officer or committee member of any political party
organization or who holds or is a candidate for a partisan elective public
office. The secretary shall adopt and enforce fair and reasonable rules
and regulations for appointment, promotions and demotions, based upon
ratings of efficiency and fitness and for terminations for cause. The sec-
retary may delegate to any such person so appointed such power and
authority as the secretary deems reasonable and proper for the effective
administration of this act, and may in the secretary's discretion bond any
person handling moneys or signing checks under the employment security
law.

      (2) No employee engaged in the administration of the employment
security law shall directly or indirectly solicit or receive or be in any man-
ner concerned with soliciting or receiving any assistance, subscription or
contribution for any political party or political purpose, other than solic-
iting and receiving contributions for such person's personal campaign as
a candidate for a nonpartisan elective public office, nor shall any employee
engaged in the administration of the employment security law participate
in any form of political activity except as a candidate for a nonpartisan
elective public office, nor shall any employee champion the cause of any
political party or the candidacy of any person other than such person's
own personal candidacy for a nonpartisan elective public office. Any em-
ployee engaged in the administration of the employment security law who
violates these provisions shall be immediately discharged. No person shall
solicit or receive any contribution for any political purpose from any em-
ployee engaged in the administration of the employment security law and
any such action shall be a misdemeanor and shall be punishable by a fine
of not less than $100 nor more than $1,000 or by imprisonment in the
county jail for not less than 30 days nor more than six months, or both.

      (d) Advisory councils. The secretary shall appoint a state employment
security advisory council and may appoint local advisory councils, com-
posed in each case of men and women which shall include an equal num-
ber of employer representatives and employee representatives who may
fairly be regarded as representative because of their vocation, employ-
ment, or affiliations, and of such members representing the general public
as the secretary may designate. Each such member shall serve a four-year
term. On July 1, 1996, the secretary shall designate term lengths for
seated members of the council. One-half of the seated members repre-
senting employers, 1/2 of the seated members representing employees and
1/2 of the members representing the general public shall be designated
by the secretary to serve two-year terms. The remaining seated members
of the council shall be designated to serve four-year terms. When the
term of any member expires, the secretary shall appoint the member's
successor to a four-year term. If a position on the council becomes vacant
prior to the expiration of the vacating member's term, the secretary may
appoint an otherwise qualified individual to fulfill the remainder of such
unexpired term. Such councils shall aid the secretary in formulating pol-
icies and discussing problems related to the administration of this act and
in securing impartiality and freedom from political influence in the so-
lution of such problems. Members of the state employment security ad-
visory council attending meetings of such council, or attending a subcom-
mittee meeting thereof authorized by such council, shall be paid amounts
provided in subsection (e) of K.S.A. 75-3223, and amendments thereto.
Service on the state employment security advisory council shall not in and
of itself be sufficient to cause any member of the state employment se-
curity advisory council to be classified as a state officer or employee.

      (e) Employment stabilization. The secretary, with the advice and aid
of the secretary's advisory councils and through the appropriate divisions
of the department of human resources, shall take all appropriate steps to
reduce and prevent unemployment; to encourage and assist in the adop-
tion of practical methods of vocational training, retraining and vocational
guidance; to investigate, recommend, advise, and assist in the establish-
ment and operation, by municipalities, counties, school districts and the
state, of reserves for public works to be used in time of business depres-
sion and unemployment; to promote the reemployment of unemployed
workers throughout the state in every other way that may be feasible; and
to these ends to carry on and publish the results of investigations and
research studies.

      (f) Records and reports. Each employing unit shall keep true and
accurate work records, containing such information as the secretary may
prescribe. Such records shall be open to inspection and subject to being
copied by the secretary or the secretary's authorized representatives at
any reasonable time and shall be preserved for a period of five years from
the due date of the contributions or payments in lieu of contributions for
the period to which they relate. Only one audit shall be made of any
employer's records for any given period of time. Upon request the em-
ploying unit shall be furnished a copy of all findings by the secretary or
the secretary's authorized representatives, resulting from such audit. A
special inquiry or special examination made for a specific and limited
purpose shall not be considered to be an audit for the purpose of this
subsection. The secretary may require from any employing unit any sworn
or unsworn reports, with respect to persons employed by it, which the
secretary deems necessary for the effective administration of this act.
Information thus obtained or obtained from any individual pursuant to
the administration of this act shall be held confidential, except to the
extent necessary for the proper presentation of a claim by an employer
or employee under the employment security law, and shall not be pub-
lished or be open to public inspection, other than to public employees in
the performance of their public duties, in any manner revealing the in-
dividual's or employing unit's identity. Any claimant or employing unit or
their representatives at a hearing before an appeal tribunal or the sec-
retary shall be supplied with information from such records to the extent
necessary for the proper presentation of the claim. The transcript made
at any such benefits hearing shall not be discoverable or admissible in
evidence in any other proceeding, hearing or determination of any kind
or nature. In the event of any appeal of a benefits matter, the transcript
shall be sealed by the hearing officer and shall be available only to any
reviewing authority who shall reseal the transcript after making a review
of it. In no event shall such transcript be deemed a public record. Nothing
in this subsection (f) shall be construed to prohibit disclosure of any in-
formation obtained under the employment security law, including hearing
transcripts, upon request of either of the parties, for the purpose of ad-
ministering or adjudicating a claim for benefits under the provisions of
any other state program, except that any party receiving such information
shall be prohibited from further disclosure and shall be subject to the
same duty of confidentiality otherwise imposed by this subsection (f) and
shall be subject to the penalties imposed by this subsection (f) for viola-
tions of such duty of confidentiality. Nothing in this subsection (f) shall
be construed to prohibit disclosure of any information obtained under
the employment security law, including hearing transcripts, for use as
evidence in open court in a criminal prosecution for perjury at an appeal
hearing under the employment security law or for any criminal violation
of the employment security law. If the secretary or any officer or em-
ployee of the secretary violates any provisions of this subsection (f), the
secretary or such officer or employee shall be fined not less than $20 nor
more than $200 or imprisoned for not longer than 90 days, or both. Orig-
inal records of the agency and original paid benefit warrants of the state
treasurer may be made available to the employment security agency of
any other state or the federal government to be used as evidence in pros-
ecution of violations of the employment security law of such state or
federal government. Photostatic copies of such records shall be made and
where possible shall be substituted for original records introduced in ev-
idence and the originals returned to the agency.

      (g) Oaths and witnesses. In the discharge of the duties imposed by
the employment security law, the chairperson of an appeal tribunal, an
appeals referee, the secretary or any duly authorized representative of
the secretary shall have power to administer oaths and affirmations, take
depositions, issue interrogatories, certify to official acts, and issue sub-
poenas to compel the attendance of witnesses and the production of
books, papers, correspondence, memoranda and other records deemed
necessary as evidence in connection with a disputed claim or the admin-
istration of the employment security law.

      (h) Subpoenas, service. Upon request, service of subpoenas shall be
made by the sheriff of a county within that county, by the sheriff's deputy,
by any other person who is not a party and is not less than 18 years of
age or by some person specially appointed for that purpose by the sec-
retary of human resources or the secretary's designee. A person not a
party as described above or a person specially appointed by the secretary
or the secretary's designee to serve subpoenas may make service any place
in the state. The subpoena shall be served as follows:

      (1) Individual. Service upon an individual, other than a minor or in-
capacitated person, shall be made (A) by delivering a copy of the sub-
poena to the individual personally, (B) by leaving a copy at such individ-
ual's dwelling house or usual place of abode with some person of suitable
age and discretion then residing therein, (C) by leaving a copy at the
business establishment of the employer with an officer or employee of
the establishment, (D) by delivering a copy to an agent authorized by
appointment or by law to receive service of process, but if the agent is
one designated by a statute to receive service, such further notice as the
statute requires shall be given, or (E) if service as prescribed above in
clauses (A), (B), (C) or (D) cannot be made with due diligence, by leaving
a copy of the subpoena at the individual's dwelling house, usual place of
abode or usual business establishment, and by mailing a notice by first-
class mail to the place that the copy has been left.

      (2) Corporations and partnerships. Service upon a domestic or for-
eign corporation or upon a partnership or other unincorporated associa-
tion, when by law it may be sued as such, shall be made by delivering a
copy of the subpoena to an officer, partner or resident managing or gen-
eral agent thereof, or by leaving the copy at any business office of the
employer with the person having charge thereof or by delivering a copy
to any other agent authorized by appointment or required by law to re-
ceive service of process, if the agent is one authorized by law to receive
service and, if the law so requires, by also mailing a copy to the employer.

      (3) Refusal to accept service. In all cases when the person to be
served, or an agent authorized by such person to accept service of peti-
tions and summonses shall refuse to receive copies of the subpoena, the
offer of the duly authorized process server to deliver copies thereof and
such refusal shall be sufficient service of such subpoena.

      (4) Proof of service. (A) Every officer to whom a subpoena or other
process shall be delivered for service within or without the state, shall
make return thereof in writing stating the time, place and manner of
service of such writ and shall sign such officer's name to such return.

      (B) If service of the subpoena is made by a person appointed by the
secretary or the secretary's designee to make service, or any other person
described in subsection (h) of this section, such person shall make an
affidavit as to the time, place and manner of service thereof in a form
prescribed by the secretary or the secretary's designee.

      (5) Time for return. The officer or other person receiving a subpoena
shall make a return of service promptly and shall send such return to the
secretary or the secretary's designee in any event within 10 days after the
service is effected. If the subpoena cannot be served it shall be returned
to the secretary or the secretary's designee within 30 days after the date
of issue with a statement of the reason for the failure to serve the same.

      (i) Subpoenas, enforcement. In case of contumacy by or refusal to
obey a subpoena issued to any person, any court of this state within the
jurisdiction of which the inquiry is carried on or within the jurisdiction
of which such person guilty of contumacy or refusal to obey is found,
resides or transacts business, upon application by the secretary or the
secretary's duly authorized representative, shall have jurisdiction to issue
to such person an order requiring such person to appear before the sec-
retary, or the secretary's duly authorized representative, to produce evi-
dence, if so ordered, or to give testimony relating to the matter under
investigation or in question. Failure to obey such order of the court may
be punished by said court as a contempt thereof. Any person who, without
just cause, shall fail or refuse to attend and testify or to answer any lawful
inquiry or to produce books, papers, correspondence, memoranda or
other records in obedience to the subpoena of the secretary or the sec-
retary's duly authorized representative shall be punished by a fine of not
less than $200 or by imprisonment of not longer than 60 days, or both,
and each day such violation continued shall be deemed to be a separate
offense.

      (j) State-federal cooperation. In the administration of this act, the
secretary shall cooperate to the fullest extent consistent with the provi-
sions of this act, with the federal security agency, shall make such reports,
in such form and containing such information as the federal security ad-
ministrator may from time to time require, and shall comply with such
provisions as the federal security administrator may from time to time
find necessary to assure the correctness and verification of such reports;
and shall comply with the regulations prescribed by the federal security
agency governing the expenditures of such sums as may be allotted and
paid to this state under title III of the social security act for the purpose
of assisting in the administration of this act. Upon request therefor the
secretary shall furnish to any agency of the United States charged with
the administration of public works or assistance through public employ-
ment, the name, address, ordinary occupation, and employment status of
each recipient of benefits and such recipient's rights to further benefits
under this act.

      (k) Reciprocal arrangements. The secretary shall participate in mak-
ing reciprocal arrangements with appropriate and duly authorized agen-
cies of other states or of the federal government, or both, whereby:

      (1) Services performed by an individual for a single employing unit
for which services are customarily performed in more than one state shall
be deemed to be services performed entirely within any one of the states
(A) in which any part of such individual's service is performed, (B) in
which such individual maintains residence, or (C) in which the employing
unit maintains a place of business, provided there is in effect as to such
services, an election, approved by the agency charged with the adminis-
tration of such state's unemployment compensation law, pursuant to
which all the services performed by such individual for such employing
units are deemed to be performed entirely within such state;

      (2) service performed by not more than three individuals, on any
portion of a day but not necessarily simultaneously, for a single employing
unit which customarily operates in more than one state shall be deemed
to be service performed entirely within the state in which such employing
unit maintains the headquarters of its business; provided that there is in
effect, as to such service, an approved election by an employing unit with
the affirmative consent of each such individual, pursuant to which service
performed by such individual for such employing unit is deemed to be
performed entirely within such state;

      (3) potential rights to benefits accumulated under the employment
compensation laws of one or more states or under one or more such laws
of the federal government, or both, may constitute the basis for the pay-
ments of benefits through a single appropriate agency under terms which
the secretary finds will be fair and reasonable as to all affected interests
and will not result in any substantial loss to the fund;

      (4) wages or services, upon the basis of which an individual may be-
come entitled to benefits under an unemployment compensation law of
another state or of the federal government, shall be deemed to be wages
for insured work for the purpose of determining such individual's rights
to benefits under this act, and wages for insured work, on the basis of
which an individual may become entitled to benefits under this act, shall
be deemed to be wages or services on the basis of which unemployment
compensation under such law of another state or of the federal govern-
ment is payable, but no such arrangement shall be entered into unless it
contains provisions for reimbursements to the fund for such of the ben-
efits paid under this act upon the basis of such wages or services, and
provisions for reimbursements from the fund for such of the compensa-
tion paid under such other law upon the basis of wages for insured work,
as the secretary finds will be fair and reasonable as to all affected interests;
and

      (5)  (A) contributions due under this act with respect to wages for
insured work shall be deemed for the purposes of K.S.A. 44-717, and
amendments thereto, to have been paid to the fund as of the date pay-
ment was made as contributions therefor under another state or federal
unemployment compensation law, but no such arrangement shall be en-
tered into unless it contains provisions for such reimbursements to the
fund of such contributions and the actual earnings thereon as the secre-
tary finds will be fair and reasonable as to all affected interests;

      (B) reimbursements paid from the fund pursuant to subsection (l)(4)
of this section shall be deemed to be benefits for the purpose of K.S.A.
44-704 and 44-712, and amendments thereto; the secretary is authorized
to make to other state or federal agencies, and to receive from such other
state or federal agencies, reimbursements from or to the fund, in accord-
ance with arrangements entered into pursuant to the provisions of this
section or any other section of the employment security law;

      (C) the administration of this act and of other state and federal un-
employment compensation and public employment service laws will be
promoted by cooperation between this state and such other states and
the appropriate federal agencies in exchanging services and in making
available facilities and information; the secretary is therefore authorized
to make such investigations, secure and transmit such information, make
available such services and facilities and exercise such of the other powers
provided herein with respect to the administration of this act as the sec-
retary deems necessary or appropriate to facilitate the administration of
any such unemployment compensation or public employment service law
and, in like manner, to accept and utilize information, service and facilities
made available to this state by the agency charged with the administration
of any such other unemployment compensation or public employment
service law; and

      (D) to the extent permissible under the laws and constitution of the
United States, the secretary is authorized to enter into or cooperate in
arrangements whereby facilities and services provided under this act and
facilities and services provided under the unemployment compensation
law of any foreign government may be utilized for the taking of claims
and the payment of benefits under the employment security law of this
state or under a similar law of such government.

      (l) Records available. The secretary may furnish the railroad retire-
ment board, at the expense of such board, such copies of the records as
the railroad retirement board deems necessary for its purposes.

      (m) Destruction of records, reproduction and disposition. The sec-
retary may provide for the destruction, reproduction, temporary or per-
manent retention, and disposition of records, reports and claims in the
secretary's possession pursuant to the administration of the employment
security law provided that prior to any destruction of such records, reports
or claims the secretary shall comply with K.S.A. 75-3501 to 75-3514, in-
clusive, and amendments thereto.

      (n) Federal cooperation. The secretary may afford reasonable coop-
eration with every agency of the United States charged with administra-
tion of any unemployment insurance law.

      (o) The secretary is hereby authorized to fix, charge and collect fees
for copies made of public documents, as defined by subsection (c) of
K.S.A. 45-204, and amendments thereto, by xerographic, thermographic
or other photocopying or reproduction process, in order to recover all or
part of the actual costs incurred, including any costs incurred in certifying
such copies. All moneys received from fees charged for copies of such
documents shall be remitted to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount thereof in the state treasury to the credit of
the employment security administration fund. No such fees shall be
charged or collected for copies of documents that are made pursuant to
a statute which requires such copies to be furnished without expense.

      Sec.  143. K.S.A. 44-806a is hereby amended to read as follows: 44-
806a. (a) In case any labor organization which is required to file a copy
of its constitution or bylaws or amendments or changes therein under
K.S.A. 44-805, as amended and amendments thereto, or to file an annual
report under K.S.A. 44-806, as amended and amendments thereto, shall
fail or neglect to make such filing at the time prescribed, such labor
organization shall be subject to a civil penalty of one hundred dollars
($100) $100, and, if such labor organization shall not have made such
filing within sixty (60) 60 days thereafter, it shall be subject to an addi-
tional civil penalty of five dollars ($5) $5 per day for each day's omission
after the time limited in said such statutes for making such filing and such
sixty (60) day sixty-day period. Such civil penalties may be recovered by
an action in the name of the state, and all moneys recovered shall be paid
into remitted to the state treasurer in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury to the credit of the state general fund. Any labor organization
shall have the right to be heard by the secretary of state upon the matter
of determination of the amount of civil penalties due under this section.
For good cause shown, the secretary of state may remit or waive all or
any part of any such civil penalties.

      (b) On complaint of the secretary of state that any labor organization
has failed to make the filing required by said statutes, it shall be the duty
of the county or district attorney, or the attorney general, to institute such
action in the district court of Shawnee county, Kansas, or of any county
in which such labor organization has an office.

      Sec.  144. K.S.A. 44-812 is hereby amended to read as follows: 44-
812. That All fees collected by the secretary of state hereunder shall be
paid remitted to the state treasurer and credited in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury to the credit of the state general fund.

      Sec.  145. K.S.A. 44-926 is hereby amended to read as follows: 44-
926. (a) The owner or user of a boiler or pressure vessel required by this
act to be inspected by the chief inspector or a deputy inspector shall pay
directly to the chief inspector, upon completion of inspection, inspection
fees fixed by the secretary in accordance with this subsection (a). The
secretary shall fix annually, by rules and regulations, a schedule of fees
for inspections of pressure vessels installed after January 1, 1999, and
boilers by state inspectors and may fix different fees for inspection of
boilers and pressure vessels in the various categories. Such fees shall not
exceed $500 per day for each boiler or pressure vessel inspected.

      (b) The owner or user of a boiler or pressure vessel for which an
inspection certificate is to be issued pursuant to subsection (b) of K.S.A.
44-924, and amendments thereto, shall pay directly to the chief inspector,
before issuance of such certificate, a certificate fee fixed by the secretary
by rules and regulations of not to exceed $35.

      (c) There is hereby created in the state treasury the boiler inspection
fee fund. The chief inspector shall pay daily to the secretary all moneys
received from the fees established hereunder, and the secretary shall
remit all such moneys to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of any each such remittance, the state treasurer shall deposit the
entire amount thereof in the state treasury. Twenty percent of such in-
spection fees shall be credited to the state general fund and the balance
including all of the certificate fees shall be credited to the boiler inspec-
tion fee fund. All expenditures from the boiler inspection fee fund shall
be made in accordance with appropriation acts upon warrants of the di-
rector of accounts and reports issued pursuant to vouchers approved by
the secretary of human resources or by a person or persons designated
by the secretary.

      Sec.  146. K.S.A. 44-1019 is hereby amended to read as follows: 44-
1019. (a) The authority and responsibility for administering this act shall
be in the commission. Any person aggrieved may file a verified complaint
with the commission. Such complaints shall be in writing, shall state the
facts upon which the allegations of a discriminatory housing practice are
based and shall contain such other information and be in such form as
the commission may require. Complaints must be filed within one year
after the alleged discriminatory housing practice occurred, but may be
reasonably and fairly amended at any time. The commission upon its own
initiative or the attorney general may, in like manner, make, sign and file
such complaint. A respondent may file a verified answer to the complaint
against the respondent and with the leave of the commission, which shall
be granted whenever it would be reasonable and fair to do so, may amend
the answer filed by the respondent at any time.

      (b) Upon receipt of any such complaint the commission shall serve
notice upon the aggrieved person acknowledging such filing and advising
the aggrieved person of the time limits and choice of forums provided
under this act; and the commission shall within 10 days thereof serve on
the respondent a notice identifying the alleged discriminatory housing
practice and advising such respondent of the procedural rights and obli-
gations of respondents under this act, together with a copy of the original
complaint. Service of the notice shall be made in the manner prescribed
by the code of civil procedure.

      (c) Whenever a local fair housing ordinance provides rights and rem-
edies for alleged discriminatory housing practices which are, in the judg-
ment of the commission, substantially equivalent to the rights and rem-
edies provided in this act, the commission shall refer to the appropriate
local agency any complaint filed under this act which appears to constitute
a violation of such local fair housing ordinance. The commission shall take
no further action with respect to such complaint until 30 days have
elapsed since the complaint was referred to the local agency, or the local
agency has completed its investigation, or the local agency requests the
commission to assume jurisdiction or to assist it, whichever occurs first.
The local agency shall inform the commission in writing of the status of
the referred complaint at the end of the referral period or when the local
agency has completed its investigation, whichever occurs first. The com-
mission may take further action on the complaint if in its judgment the
protection of the rights of the parties or the interests of justice require
such action.

      (d) A person who is not named as a respondent in a complaint, but
who is identified as a respondent in the course of investigation, may be
joined as an additional or substitute respondent upon written notice, un-
der subsections (a) and (b), to such person, from the commission.

      (e)  (1) If a complaint is not referred to a local agency as provided in
subsection (b), or after the commission assumes jurisdiction of a com-
plaint following such referral, the commission shall promptly commence
an investigation thereof, in the manner provided in K.S.A. 44-1005, and
amendments thereto, for investigating complaints of violations of the Kan-
sas act against discrimination, and complete such investigation, including
conciliation, within 100 days after the filing of the complaint or, when
the commission takes further action under subsection (c), within 100 days
after the commission assumes jurisdiction of a complaint, unless it is im-
practicable to do so.

      (2) If the commission is unable to complete the investigation within
100 days, or when the commission takes further action under subsection
(c), within 100 days after the commission assumes jurisdiction of a com-
plaint, the commission shall inform the parties in writing of the reasons
for not doing so.

      (3) The commission shall make final administrative disposition within
one year after the filing of the complaint or, when the commission takes
further action under subsection (c), within one year after the commission
assumes jurisdiction of a complaint, unless it is impracticable to do so.

      (4) If the commission is unable to make final administrative disposi-
tion of the complaint within one year of the date of filing, or when the
commission takes further action under subsection (c), within one year
after the commission assumes jurisdiction of a complaint, the commission
shall inform the parties in writing of the reasons for not doing so.

      (f)  (1) If it is determined that probable cause exists for crediting the
allegations of the complaint, the commission shall serve written notice of
such determination on the person aggrieved. The commission shall pro-
ceed to try to eliminate or correct the alleged discriminatory housing
practice by informal methods of conference, conciliation and persuasion
which shall be held, insofar as possible, in the cities or other localities
where the alleged discriminatory housing practices have occurred or are
about to occur. The commission is hereby authorized to enter into formal
conciliation agreement which shall include the person aggrieved and the
respondent as signatories. Such agreements may include in the provisions
thereof any term or condition which may be included in a final order of
the commission. Each conciliation agreement shall be made public unless
the person aggrieved and respondent otherwise agree and the commission
determines that disclosure is not required to further the purposes of this
act.

      (2) Any of the parties to a conciliation agreement may apply to the
district court of the county where the alleged discriminatory housing prac-
tice occurred, or was about to occur, for specific performance of any such
agreement.

      (g) If the commission is unable to eliminate or correct the alleged
discriminatory housing practice by informal methods of conference, con-
ciliation and persuasion, a hearing may be held before the commission in
the manner provided in K.S.A. 44-1005, and amendments thereto, for
holding hearings under the Kansas act against discrimination. In any such
hearing, the burden of proof shall be on the complainant.

      (h) In lieu of a hearing under subsection (g), a complainant, a re-
spondent or an aggrieved person on whose behalf the complaint was filed
may elect to have the claims asserted in the complaint decided in a civil
action as provided in subsection (d) of K.S.A. 44-1021, and amendments
thereto. The election must be made not later than 20 days after the receipt
by the electing person of service in the manner provided in K.S.A. 44-
1005, and amendments thereto, or, in the case of an election by the
commission, not later than 20 days after such service. The person making
the election shall give notice to the commission and to all other com-
plainants and respondents to whom the complaint relates. If a timely
election is made under this subsection (h)(2), the commission shall file,
not later than 30 days after the election is made, a civil action as provided
in subsection (d) of K.S.A. 44-1021, and amendments thereto.

      (i) If an election is not made under subsection (h) and the commission
finds that a respondent has engaged in or is engaging in any discriminatory
housing practice, the commission shall render an order requiring the re-
spondent to cease and desist from such discriminatory housing practice,
and such order may direct a respondent to take such affirmative action
as the commission deems necessary to effectuate the intent and purposes
of this act, including, but not limited to, the selling or renting of specified
real property and the lending of money for the acquisition, construction,
rehabilitation, repair or maintenance of real property. Such order may
also include an award of actual damages, including damages caused by
pain, suffering and humiliation. Such order may also, to vindicate the
public interest, assess a civil penalty against the respondent:

      (1) In an amount not exceeding $10,000, if the respondent has not
been adjudged to have committed any prior discriminatory housing prac-
tice;

      (2) subject to the provisions of subsection (i)(4), in an amount not
exceeding $25,000, if the respondent has been adjudged to have com-
mitted one other discriminatory housing practice during the five-year pe-
riod ending on the date of the filing of the complaint;

      (3) subject to the provisions of subsection (i)(4), in an amount not
exceeding $50,000, if the respondent has been adjudged to have com-
mitted two or more discriminatory housing practices during the seven-
year period ending on the date of the filing of the complaint; and

      (4) if the acts constituting the discriminatory housing practice that is
the object of the complaint are committed by the same natural person
who has been previously adjudged to have committed acts constituting a
discriminatory housing practice in the amounts provided by subsections
(i)(2) and (i)(3) without regard to the period of time within which any
subsequent discriminatory housing practice occurred.

      Any such civil penalty shall be paid into remitted to the state treasurer
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury to the credit of the state
general fund.

      (j) Within 15 days after an order is served by the commission requir-
ing or prohibiting action by a respondent, the respondent shall notify the
commission in writing of the manner in which the respondent has com-
plied with the order.

      (k) In the case of an order with respect to a discriminatory housing
practice that occurred in the course of a business subject to a licensing
or regulation by a state agency, the commission shall, not later than 30
days after the respondent has complied with the order, or, if such order
is judicially reviewed under K.S.A. 44-1021, and amendments thereto, 30
days after such order is in substance affirmed upon such review:

      (1) Send copies of the findings of fact, conclusions of law, and the
order, to that state agency; and

      (2) recommend to the state agency appropriate disciplinary action,
including, where appropriate, the suspension or revocation of the license
of the respondent.

      Sec.  147. K.S.A. 44-1506 is hereby amended to read as follows: 44-
1506. There is hereby created in the state treasury the athlete agent reg-
istration fee fund which shall be administered by the secretary of state.
All moneys credited to the athlete agent registration fee fund shall be
used for the expenses incurred for the performance of the duties and
functions of the secretary of state under the Kansas athlete agent act. All
expenditures from the athlete agent registration fee fund shall be made
in accordance with the provisions of appropriation acts upon warrants of
the director of accounts and reports issued pursuant to vouchers approved
by the secretary of state or by a person or persons designated by the
secretary. Fees, civil penalties and other moneys received under this act
by the secretary of state shall be deposited remitted to the state treasurer
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury to the credit of the athlete
agent registration fee fund.

      Sec.  148. K.S.A. 44-1512 is hereby amended to read as follows: 44-
1512. (a) If the secretary of state determines that a person regulated
under this act has violated this act or a rule and regulation adopted under
this act in a manner that constitutes a ground for disciplinary action under
K.S.A. 44-1505, and amendments thereto, the secretary of state may as-
sess a civil penalty against that person as provided by this section.

      (b) The secretary of state may assess the civil penalty in an amount
not to exceed $25,000. In determining the amount of the civil penalty,
the secretary of state shall consider the seriousness of the violation.

      (c) If after examination of a possible violation and the facts relating
to that possible violation the secretary of state concludes that a violation
has occurred, the secretary shall issue a preliminary report that states the
facts on which the conclusion is based, the fact that a civil penalty is to
be imposed, and the amount to be assessed. Not later than the 10th day
after the date on which the secretary issues the preliminary report, the
secretary shall send a copy of the report to the person charged with the
violation together with a statement of the right of the person to a hearing
relating to the alleged violation and the amount of the penalty.

      (d) Not later than the 20th day after the date on which the report is
sent, the person charged either may make a written request for a hearing
or may remit the amount of the civil penalty to the secretary of state.
Failure either to request a hearing or to remit the amount of the civil
penalty within the time provided by this subsection shall constitute a
waiver of the right to a hearing under this act. If the person charged
requests a hearing, the hearing shall be conducted in the manner provided
under the Kansas administrative procedure act. If it is determined after
the hearing that the person has committed the alleged violation, the sec-
retary shall give written notice to the person of the findings established
by the hearing and the amount of the penalty and shall enter an order
requiring the person to pay the penalty.

      (e) Not later than the 30th day after the date on which the notice is
received, the person charged shall pay the civil penalty in full or, if the
person wishes to contest either the amount of the penalty or the fact of
the violation, forward the assessed amount to the secretary of state for
deposit in an escrow account. If, after judicial review, it is determined
that no violation occurred or that the amount of the penalty should be
reduced, the secretary shall remit the appropriate amount to the person
charged with the violation not later than the 30th day after the date on
which the judicial determination becomes final.

      (f) Failure to remit the amount of the civil penalty to the secretary
of state within the time provided by subsection (e) results in a waiver of
all legal rights to contest the violation or the amount of the penalty.

      (g) A civil penalty owed under this section may be recovered in a civil
action brought by the attorney general at the request of the secretary of
state.

      (h) Any penalty collected under this section shall be deposited re-
mitted to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury to
the credit of the athlete agent registration fee fund.

      Sec.  149. K.S.A. 45-107 is hereby amended to read as follows: 45-
107. (a) The secretary of state shall sell copies of the session laws at the
per volume price for such copies fixed by the secretary of state under this
section. The secretary of state shall remit all moneys received under this
section to the state treasurer at least monthly, and in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the same entire
amount in the state treasury to the credit of the state general fund.

      (b) Whenever the inventory of copies of any volume of the session
laws exceeds 100 and a later volume of the session laws has been pub-
lished, the secretary of state may dispose of copies of such volume without
making a charge therefor until the inventory of such volume is reduced
to 100 copies. When the inventory of any volume of the session laws is
100 copies or less, the secretary of state, with the approval of the revisor
of statutes, may dispose of copies from such inventory without making a
charge therefor.

      (c) The secretary of state shall fix by rules and regulations the per
volume price for copies of the session laws sold under this section to
recover the costs of printing, binding and storing such volumes. The sec-
retary of state shall revise all such prices from time to time as necessary
for the purposes of covering and recovering such costs.

      Sec.  150. K.S.A. 45-116 is hereby amended to read as follows: 45-
116. (a) At the conclusion of each legislative session, the secretary of the
senate and the chief clerk of the house of representatives shall prepare
permanent journals of the senate and house of representatives to be en-
titled ``Senate and House Journals of the State of Kansas for
,''

and the blank shall be filled with the year and words indicating whether
the sessions journalized are regular or special, or both. In preparation of
such journals, the secretary of the senate and chief clerk of the house
shall work under the supervision of the legislative coordinating council.
Such journals shall include the matters contained in the daily journals of
the two houses and such additional materials and information as may be
directed by the legislative coordinating council. Such journals shall be
published in one or more volumes as determined by such council. Such
journals shall be printed in clothbound copies by the director of printing
from copy prepared by the secretary of the senate and chief clerk of the
house of representatives.

      (b) Upon the advice of the secretary of the senate and the chief clerk
of the house of representatives, the secretary of state shall specify the
number of copies of such journals which shall be printed and clothbound,
which shall not be more than 750 copies and, in addition thereto, such
number of copies as are needed for the purposes of the publication col-
lection and depository system established under K.S.A. 75-2566, and
amendments thereto, for disposition by the secretary of state, as follows:

      (1) One copy to the governor, the lieutenant governor, the secretary
of state, the attorney general, the state historical society library, and each
member of the legislature;

      (2) two copies to the board of county commissioners of each county,
upon request therefor;

      (3) to the several offices of the judicial branch of state government,
the number of copies necessary to conduct the official business of such
offices, as requested by the chief justice of the supreme court;

      (4) to the office of attorney general, the state library, the office of the
revisor of statutes, the division of post audit and the legislative research
department, the number of copies necessary to conduct the official busi-
ness of such offices, as requested by the chief administrative officers
thereof;

      (5) the number of copies necessary for use by the legislature, as re-
quested by the director of legislative administrative services;

      (6) the remainder of such copies shall be kept by the secretary of
state for sale at the per volume price for such copies fixed by the legislative
coordinating council under this section.

      (c)  One year after the publication date of any volume, the secretary
of state may dispose of extra copies, retaining an inventory of at least 10
volumes for distribution without charge. Five years after the publication
date of any volume, the secretary of state may dispose of the remainder
of such copies.

      (d) The legislative coordinating council shall fix the per volume price
for clothbound copies of the permanent journals of the senate and house
of representatives, sold under this section, to recover the costs of printing
and binding such volumes. The legislative coordinating council shall re-
vise such prices from time to time as necessary for the purposes of cov-
ering and recovering such costs.

      (e) The secretary of state shall remit all moneys received under this
section to the state treasurer at least monthly and in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
of each such remittance in the state treasury to the credit of the state
general fund.

      Sec.  151. K.S.A. 46-237a is hereby amended to read as follows: 46-
237a. (a) The provisions of this section shall apply to:

      (1) The governor;

      (2) the lieutenant governor;

      (3) the governor's spouse;

      (4) all officers and employees of the executive branch of state gov-
ernment; and

      (5) all members of boards, commissions and authorities of the exec-
utive branch of state government.

      (b) No person subject to the provisions of this section shall solicit or
accept any gift, economic opportunity, loan, gratuity, special discount or
service provided because of such person's official position, except:

      (1) A gift having an aggregate value of less than $40 given at a cere-
mony or public function where the person is accepting the gift in such
person's official capacity; or

      (2) gifts from relatives or gifts from personal friends when it is ob-
vious to the person that the gift is not being given because of the person's
official position; or

      (3) anything of value received by the person on behalf of the state
that inures to the benefit of the state or that becomes the property of the
state; or

      (4) contributions solicited on behalf of a nonprofit organization which
is exempt from taxation under paragraph (3) of subsection (c) of section
501 of the internal revenue code of 1986, as amended.

      (c) No person subject to the provisions of this section shall solicit or
accept free or special discount meals from a source outside of state gov-
ernment, except:

      (1) Meals, the provision of which is motivated by a personal or family
relationship or provided at events that are widely attended. An occasion
is ``widely attended'' when it is obvious to the person accepting the meal
that the reason for providing the meal is not a pretext for exclusive or
nearly exclusive access to the person;

      (2) meals provided at public events in which the person is attending
in an official capacity;

      (3) meals provided to a person subject to this act when it is obvious
such meals are not being provided because of the person's official posi-
tion; and

      (4) food such as soft drinks, coffee or snack foods not offered as part
of a meal.

      (d) No person subject to the provisions of this section shall solicit or
accept free or special discount travel or related expenses from a source
outside state government, except:

      (1) When it is obvious to the person accepting the same that the free
or special discount travel and related expenses are not being provided
because of the person's official position; or

      (2) when the person's presence at a meeting, seminar or event serves
a legitimate state purpose or interest and the person's agency authorizes
or would authorize payment for such travel and expenses.

      (e) No person subject to the provisions of this section shall solicit or
accept free or special discount tickets or access to entertainment or sport-
ing events or activities such as plays, concerts, games, golf, exclusive swim-
ming, hunting or fishing or other recreational activities when the free or
special discount tickets or access are provided because of the person's
official position. The provisions of this subsection shall not apply to per-
sons whose official position requires or obliges them to be present at such
events or activities.

      (f)  (1) Violations of the provisions of this section by any classified
employee in the civil service of the state of Kansas shall be considered
personal conduct detrimental to the state service and shall be a basis for
suspension, demotion or dismissal, subject to applicable state law.

      (2) Violations of the provisions of this section by any unclassified em-
ployee shall subject such employee to discipline up to and including ter-
mination.

      (3) In addition to the penalty prescribed under paragraphs (1) and
(2), the commission may assess a civil fine, after proper notice and an
opportunity to be heard, against any person for a violation of this section,
in an amount not to exceed $5,000 for the first violation, not to exceed
$10,000 for the second violation and not to exceed $15,000 for the third
violation and for each subsequent violation. All fines assessed and col-
lected under this section shall be remitted to the state treasurer in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt thereof of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and credit it to the credit
of the governmental ethics fee fund established by K.S.A. 25-4119e, and
amendments thereto.

      Sec.  152. K.S.A. 46-265 is hereby amended to read as follows: 46-
265. (a) Every lobbyist shall register with the secretary of state by com-
pleting and signing a registration form prescribed and provided by the
commission. Such registration shall show the name and address of the
lobbyist, the name and address of the person compensating the lobbyist
for lobbying, the purpose of the employment and the method of deter-
mining and computing the compensation of the lobbyist. If the lobbyist
is compensated or to be compensated for lobbying by more than one
employer or is to be engaged in more than one employment, the relevant
facts listed above shall be stated separately for each employer and each
employment. Whenever any new lobbying employment or lobbying po-
sition is accepted by a lobbyist already registered as provided in this sec-
tion, such lobbyist shall report the same on forms prescribed and provided
by the commission before engaging in any lobbying activity related to
such new employment or position, and such report shall be filed with the
secretary of state. When a lobbyist is an employee of a lobbying group or
firm which contracts to lobby and not an owner or partner of such entity,
the lobbyist shall report each client of the group, firm or entity whose
interest the lobbyist represents. Whenever the lobbying of a lobbyist con-
cerns a legislative matter, the secretary of state promptly shall transmit
copies of each registration and each report filed under this act to the
secretary of the senate and the chief clerk of the house of representatives.

      (b) On or after October 1, in any year any person may register as a
lobbyist under this section for the succeeding calendar year. Such regis-
tration shall expire annually on December 31, of the year for which the
lobbyist is registered. In any calendar year, before engaging in lobbying,
persons to whom this section applies shall register or renew their regis-
tration as provided in this section. Except for employees of lobbying
groups or firms, every person registering or renewing registration who
anticipates spending $1,000 or less for lobbying in such registration year
on behalf of any one employer shall pay to the secretary of state a fee of
$35 for lobbying for each such employer. Except for employees of lob-
bying groups or firms, every person registering or renewing registration
who anticipates spending more than $1,000 for lobbying in such registra-
tion year on behalf of any one employer shall pay to the secretary of state
a fee of $300 for lobbying for such employer. Any lobbyist who at the
time of initial registration anticipated spending less than $1,000, on behalf
of any one employer, but at a later date spends in excess of such amount,
within three days of the date when expenditures exceed such amount,
shall file an amended registration form which shall be accompanied by
an additional fee of $220 for such year. Every person registering or re-
newing registration as a lobbyist who is an employee of a lobbying group
or firm and not an owner or partner of such entity shall pay an annual
fee of $360. The secretary of state shall remit all moneys received under
this section to the state treasurer, and in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of each such
remittance,the state treasurer shall deposit the same entire amount in the
state treasury to the credit of the governmental ethics commission fee
fund.

      (c) Any person who has registered as a lobbyist pursuant to this act
may file, upon termination of such person's lobbying activities, a state-
ment terminating such person's registration as a lobbyist. Such statement
shall be on a form prescribed by the commission and shall state the name
and address of the lobbyist, the name and address of the person com-
pensating the lobbyist for lobbying and the date of the termination of the
lobbyist's lobbying activities.

      (d) No person who has failed or refused to pay any civil penalty im-
posed pursuant to K.S.A. 46-280, and amendments thereto, shall be au-
thorized or permitted to register as a lobbyist in accordance with this
section until such penalty has been paid in full.

      Sec.  153. K.S.A. 46-280 is hereby amended to read as follows: 46-
280. (a) The commission shall send a notice by registered or certified mail
to any person failing to register or to file any report or statement as
required by K.S.A. 46-247, 46-265 or 46-268, and amendments thereto,
within the time period prescribed therefor. The notice shall state that the
required registration, report or statement had not been filed with the
office of secretary of state. The notice also shall state that such person
shall have five days from the date of receipt of such notice to comply with
the registration and reporting requirements before a civil penalty shall be
imposed for each day that the required documents remain unfiled. If such
person fails to comply within such period, such person shall pay to the
state a civil penalty of $10 per day for each day that such person remains
unregistered or that such report or statement remains unfiled, except that
no such civil penalty shall exceed $300. The commission may waive, for
good cause, payment of any civil penalty imposed hereunder.

      (b) Whenever the commission shall determine that any report filed
by a lobbyist as required by K.S.A. 46-269, and amendments thereto, is
incorrect, incomplete or fails to provide the information required by such
section, the commission shall notify such lobbyist by registered or certi-
fied mail, specifying the deficiency. Such notice shall state that the lob-
byist shall have 30 days from the date of the receipt of such notice to file
an amended report correcting such deficiency before a civil penalty will
be imposed and the registration of such lobbyist revoked and the badge
be required to be returned to the office of the secretary of state. A copy
of such notice shall be sent to the office of the secretary of state. If such
lobbyist fails to file an amended report within the time specified, such
lobbyist shall pay to the commission a civil penalty of $10 per day for
each day that such person fails to file such report except that no such civil
penalty shall exceed $300. On the 31st day following the receipt of such
notice, the registration of any lobbyist failing to file such amended report
shall be revoked.

      (c) Civil penalties provided for by this section shall be paid remitted
to the state treasurer, who in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the same entire amount in the state treas-
ury to the credit of the governmental ethics commission fee fund.

      (d)  (1) Except as provided in subsection (2), if a person fails to pay
a civil penalty provided for by this section, it shall be the duty of the
commission to bring an action to recover such civil penalty in the district
court of the county in which such person resides.

      (2) If a person required to file under subsection (f) of K.S.A. 46-247,
and amendments thereto, fails to pay a civil penalty provided for by this
section, it shall be the duty of the commission to bring an action to recover
such civil penalty in the district court of Shawnee County, Kansas.

      Sec.  154. K.S.A. 46-288 is hereby amended to read as follows: 46-
288. The commission, in addition to any other penalty prescribed under
K.S.A. 46-215 through 46-286, and amendments thereto, may assess a
civil fine, after proper notice and an opportunity to be heard, against any
person for a violation pursuant to K.S.A. 46-215 through 46-286, and
amendments thereto, in an amount not to exceed $5,000 for the first
violation, not to exceed $10,000 for the second violation and not to exceed
$15,000 for the third violation and for each subsequent violation. All fines
assessed and collected under this section shall be remitted promptly to
the state treasurer in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon receipt thereof of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury
and credit it to the credit of the governmental ethics commission fee fund.

      Sec.  155. K.S.A. 46-802 is hereby amended to read as follows: 46-
802. The secretary of the senate and the chief clerk of the house of rep-
resentatives shall instruct the revisor of statutes regarding the appropriate
numbering of prefiled bills and resolutions. In accordance with such in-
struction the revisor of statutes shall give each prefiled bill and resolution
its appropriate number before delivery of a copy to the division of print-
ing. The originals of all prefiled bills and resolutions shall be in the pos-
session of the secretary of the senate, if a senate bill or resolution, or the
chief clerk of the house of representatives, if a house bill or resolution.
Upon the prefiling of any bill or resolution under the provisions of this
act, the secretary of the senate, if a senate bill or resolution, or the chief
clerk of the house of representatives, if a house bill or resolution, shall
make copies thereof available to any person, upon request, at a cost of
$.50 per page until the same have been printed, as provided herein. All
moneys received under this section from such charges shall be remitted
to the state treasurer at least monthly, and in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the same entire amount
in the state treasury to the credit of the legislative special revenue fund.
The secretary of the senate, in the case of senate bills and resolutions,
and the chief clerk of the house of representatives, in the case of house
bills or resolutions, shall maintain a current list, by title and sponsor, of
all bills and resolutions which have been prefiled, and such lists shall be
open to public inspection.

      Sec.  156. K.S.A. 46-1118 is hereby amended to read as follows: 46-
1118. (a) (1) Except as otherwise provided by statute, whenever the post
auditor performs any additional audit work for any state agency either to
satisfy federal government requirements or to satisfy financial-compliance
audit requirements prescribed by or pursuant to any statute other than
K.S.A. 46-1106 through 46-1117, and amendments thereto, and incurs
costs in addition to those attributable to the operations of the division of
post audit in performance of other duties and responsibilities, the post
auditor shall make charges for such additional costs.

      (2) The legislative post audit committee may authorize the post au-
ditor to perform additional financial-related audit work at the request of
a state agency. Upon the authorization and in accordance with the direc-
tion of the legislative post audit committee, the post auditor may make
charges for costs incurred for the performance of such financial-related
audit work.

      (3) The furnishing of any such audit services by the division of post
audit shall be a transaction between the post auditor and the state agency
receiving such services and such transaction shall be settled in accordance
with the provisions of K.S.A. 75-5516, and amendments thereto.

      (b) All moneys received for reimbursement of the division of post
audit under this section shall be deposited remitted to the state treasurer
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury to the credit of the audit
services fund, which fund is hereby created in the state treasury. All ex-
penditures from the audit services 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 post auditor or a person or
persons designated by the post auditor.

      Sec.  157. K.S.A. 46-1121 is hereby amended to read as follows: 46-
1121. (a) Each state agency awarded a federal grant or other federal
financial assistance which is subject to a financial-compliance audit as a
condition of such grant or assistance shall notify the post auditor imme-
diately of the award of such grant or assistance. Based on the amount and
nature of federal money received by the state agency, the post auditor
shall compute annually the amount of federal money reasonably antici-
pated to be required to provide audit coverage in accordance with federal
requirements. The amounts determined for such audits shall be reviewed
and approved by the contract audit committee. Upon such approval, the
state agency, in accordance with K.S.A. 46-1118, and amendments
thereto, shall reimburse the division of post audit for the amount ap-
proved by the contract audit committee.

      (b) The post auditor shall compute the amount of money reasonably
anticipated to be required to provide an audit of any state agency subject
to a financial-compliance audit as required pursuant to any statute other
than K.S.A. 46-1106 through 46-1117, and amendments thereto, or
K.S.A. 74-4907, and amendments thereto. The amounts determined for
such audits shall be reviewed and approved by the contract audit com-
mittee. Upon such approval, the state agency, in accordance with K.S.A.
46-1118, and amendments thereto, shall reimburse the division of post
audit for the amount approved by the contract audit committee.

      (c) The post auditor shall remit all moneys received under this section
to the state treasurer at least monthly in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of any each
such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury and the same shall be credited to the credit
of the audit services fund.

      (d) In addition to expenditures which may be made from the audit
services fund under K.S.A. 46-1118, and amendments thereto, expendi-
tures shall be made from such fund, and from other available appropri-
ations, to pay for the cost of financial-compliance audits performed to
comply with federal government audit requirements.

      Sec.  158. K.S.A. 46-1207a is hereby amended to read as follows: 46-
1207a. (a) The legislative coordinating council may provide for sale or
other disposition of copies of any publication, document or other paper,
information or record, regardless of form or characteristics, produced by
or under the legislative branch, whether such copies are printed or re-
produced in any other manner. Such council may fix charges for sale of
any such copies, and such charges may include costs of mailing, repro-
duction and other expenses. Whenever such council provides for the sale
of copies under this section, the same shall be sold and distributed by or
through the director of legislative administrative services or such other
state officer as such council specifies. All amounts received under this
section by or for any such sales shall be remitted at least monthly to the
state treasurer, and in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the same entire amount in the state treasury to the
credit of the legislative special revenue fund. The provisions of this section
shall not apply to the sale or distribution of the Kansas Statutes Annotated,
the session laws of Kansas or other publications, documents or papers the
sale of which is specifically provided for by law.

      (b) At the conclusion of each legislative session, the officers of each
house may deposit for safekeeping with the secretary of state such leg-
islative documents and other papers as they may determine.

      (c) All moneys received by the director of legislative administrative
services for the disposition of surplus property of any office or agency of
the legislative branch shall be deposited in the state treasury to the credit
of the legislative special revenue fund.

      (d) The legislative coordinating council may provide for additional
legislative stationery or other printed material supplies for members of
the legislature to be provided at cost as determined by the council. All
moneys received by the director of legislative administrative services un-
der this subsection shall be deposited remitted to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury to the credit of the legis-
lative special revenue fund.

      (e) Except as otherwise specifically provided by statute on or after
the effective date of this act, all moneys received by the director of leg-
islative administrative services on or after November 18, 1991, under this
or any other statute shall be credited remitted to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury to the credit of the legis-
lative special revenue fund and any such moneys deposited in the state
treasury to the credit of the state general fund shall be transferred from
the state general fund to the legislative special revenue fund by the di-
rector of accounts and reports upon certification by the director of leg-
islative administrative services of the amount to be transferred.

      Sec.  159. K.S.A. 46-1503 is hereby amended to read as follows: 46-
1503. (a) The revisor of statutes shall contract in the name of the legis-
lative coordinating council, and with approval of such council, for such
computer programs and other computer services as cannot be suitably
obtained from state agencies, and in like manner, the revisor shall acquire
such computer and communications components as may be needed for
this system. Purchases and other contracts authorized by the statutes con-
tained in article 15 of chapter 46 of Kansas Statutes Annotated shall not
be subject to K.S.A. 75-3739, and amendments thereto, nor shall the same
be subject to approval under any statute other than those contained in
article 15 of chapter 46. The director of information systems and com-
munications and the director of purchases shall render such assistance in
implementation of this system as is requested by the legislative coordi-
nating council or the revisor of statutes.

      (b) When authorized by the legislative coordinating council, the re-
visor of statutes may provide to or share with any other state agency
computer services through the operation of the comprehensive legislative
information system. Such services may be provided without charge or,
when directed by the council, shall be provided at cost as the same is
determined by the council. The furnishing of computer services under
this subsection (b) for which a charge is made shall be a transaction to
be settled in accordance with the provisions of K.S.A. 75-5516, and
amendments thereto. All receipts for charges made under this subsection
(b) shall be deposited remitted to the state treasurer in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire amount
in the state treasury to the credit of the legislative special revenue fund.

      (c) When authorized by the legislative coordinating council, the re-
visor of statutes may provide information regarding legislation to state
agencies and to private individuals, companies and organizations through
access to the legislative information system. The primary purpose for the
legislative information system shall be to provide necessary information
and service to the legislature and offices of the legislative branch of gov-
ernment and the revisor of statutes shall impose such conditions and
restrictions upon the receipt of information from such system by agencies,
persons and organizations not a part of the legislative branch of govern-
ment as may be necessary to protect such system and services for the
purpose for which established. The legislative coordinating council may
fix a charge for the receipt of information regarding legislation through
access to the legislative information system by state agencies, private in-
dividuals, companies and organizations not a part of the legislative branch
of government. Such charges shall be collected by the director of legis-
lative administrative services upon certification by the revisor of statutes.
All amounts received from charges imposed pursuant to this subsection
shall be remitted at least monthly, and to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit all such
amounts the entire amount in the state treasury to the credit of the leg-
islative special revenue fund.

      Sec.  160. K.S.A. 47-417a is hereby amended to read as follows: 47-
417a. (a) The livestock commissioner may, when brand inspectors or ex-
aminers are available, provide brand inspection. When brand inspection
is requested and provided, the livestock commissioner shall charge and
collect from the person making the request, a brand inspection fee of not
to exceed $.75 per head on cattle and $.05 per head on sheep and other
livestock. No inspection charge shall be made or collected at any licensed
livestock market where brand inspection is otherwise available.

      (b) The livestock commissioner shall remit all moneys received under
the statutes contained in article 4 of chapter 47 of the Kansas Statutes
Annotated, and amendments thereto, except K.S.A. 47-434 through 47-
445, and amendments thereto, to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of any each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury and the same
shall be credited to the credit of the livestock brand fee fund. All ex-
penditures from such fund shall be made in accordance with appropria-
tion acts upon warrants of the director of accounts and reports issued
pursuant to vouchers approved by the livestock commissioner or by a
person or persons designated by the commissioner.

      Sec.  161. K.S.A. 47-437 is hereby amended to read as follows: 47-
437. (a) The livestock commissioner shall charge and collect a fee of not
to exceed $.75 per head on all cattle and not to exceed $.05 per head on
all sheep inspected in brand inspection areas of the state. In addition to
the per head fee, the livestock commissioner may charge and collect an
on-site inspection fee and a mileage fee for each mile necessarily and
actually traveled in going to and returning from the place of inspection.
The livestock commissioner, when brand inspectors are available, may
provide brand inspection in other areas where brand inspection is re-
quested and the commissioner shall charge and collect inspection fees in
the same manner as prescribed for the collection of such fees in brand
inspection areas. The owner or seller of cattle or sheep inspected shall
be responsible for the payment of the inspection fees and such fees shall
be collected in such manner as the livestock commissioner shall prescribe
or authorize by rule or regulation.

      (b) When the livestock commissioner determines that the fees col-
lected under this section are yielding more than is required for the pur-
poses for which such fees are collected, the commissioner may reduce
such fees for such period as the commissioner deems justified. In the
event the livestock commissioner, after reducing such fees, finds that
sufficient revenues are not being produced by the reduced fees to prop-
erly administer and enforce this act and acts of which this section is amen-
datory or supplemental, the commissioner may increase such fees to such
rate as will, in the commissioner's judgment, produce sufficient revenue
for the purposes provided in this section, but not exceeding $.75 per head
on cattle and not to exceed $.05 per head on sheep.

      (c) The livestock commissioner shall remit all moneys received under
K.S.A. 47-434 through 47-445, and amendments thereto, to the state trea-
surer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of any each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury and the same shall be credited to the credit of the county option
brand fee fund, except any amounts received for brand inspection services
of livestock outside of a county option area. All expenditures from such
fund shall be made in accordance with appropriation acts upon warrants
of the director of accounts and reports issued pursuant to vouchers ap-
proved by the livestock commissioner or by a person or persons desig-
nated by the commissioner. All amounts received for inspection of live-
stock outside of a county option area shall be deposited to the credit of
the livestock brand fee fund.

      Sec.  162. K.S.A. 47-504 is hereby amended to read as follows: 47-
504. (a) On and after the effective date of this act through June 30, 1999,
the registration fee shall be $12 for each livestock remedy or brand
thereof. On and after July 1, 1999, The registration fee shall be $10 for
each livestock remedy or brand thereof.

      (b) All registrations shall expire on December 31 of each year. On
and after the effective date of this act through June 30, 1999, the regis-
tration may be continued in force and effect upon the payment of a re-
newal fee of $12 per year per brand. On and after July 1, 1999, The
registration may be continued in force and effect upon the payment of a
renewal fee of $10 per year per brand. For a period of less than six months
the registration fee shall be 1/2 the annual fee.

      (c) When a livestock remedy has been registered and the registration
fee paid by the manufacturer or distributor no other person shall be
required to pay the fee. When a package of livestock remedy is or has
been sold in Kansas during the period when a valid registration was in
force and effect and the registration fee paid, the sale of the package shall
not be subject to the payment of further registration fees.

      (d) If the fees herein stated provide more revenue than necessary for
the enforcement of this act, the state board of agriculture is hereby au-
thorized to adopt rules and regulations under this section to reduce the
original registration or renewal fee or either of them by regulation, or to
adopt rules and regulations under this section to increase the registration
or renewal fee if decided necessary, but not in excess of the amounts of
the fees set forth in this act.

      (e) The secretary of the state board of agriculture shall remit all mon-
eys received by or for the secretary under the acts contained in article 5
of chapter 47 of the Kansas Statutes Annotated, and amendments thereto,
to the state treasurer at least monthly in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. On and after the effective
date of this act through June 30, 1999, upon receipt of any such remit-
tance the state treasurer shall deposit the entire amount thereof in the
state treasury and an amount equal to $2 per registration fee shall be
credited to the laboratory equipment fund created by K.S.A. 2000 Supp.
74-554, and amendments thereto, and the remainder shall be credited to
the livestock remedies fee fund. On and after July 1, 1999, Upon receipt
of any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury and the same shall be credited to
the credit of the livestock remedies fee fund. All expenditures from such
fund shall be made in accordance with appropriation acts upon warrants
of the director of accounts and reports issued pursuant to vouchers ap-
proved by the secretary of the state board of agriculture or by a person
or persons designated by the secretary.

      Sec.  163. K.S.A. 47-624 is hereby amended to read as follows: 47-
624. (a) In addition to any other penalty provided by law, any person who
has in such person's possession any domestic animal affected with any
contagious or infectious disease, knowing such animal to be so affected,
who permits such animal to run at large; or who keeps such animal where
other domestic animals, not affected with or previously exposed to such
disease, may be exposed to such contagious or infectious disease; or who
sells, ships, drives, trades or gives away such diseased and infected animal
or animals which have been exposed to such infection or contagion, except
by sale, trade or gift to a regularly licensed disposal plant; or who moves
or drives any domestic animal in violation of the rules and regulations,
directions or orders establishing and regulating quarantine may incur a
civil penalty imposed under subsection (b) in the amount of not less than
$250 nor more than $1,000 for each such violation and, in the case of a
continuing violation, every day such violation continues shall be deemed
a separate violation. Any owner of any domestic animal which has been
affected with or exposed to any contagious or infectious disease may dis-
pose of the same after such owner obtains from the livestock commis-
sioner a bill of health for such animal.

      (b) Any duly authorized agent of the commissioner, upon a finding
that any person, or agent or employee thereof, has violated any of the
provisions stated above, may impose a civil penalty upon such person as
provided in this section.

      (c) No civil penalty shall be imposed pursuant to this section except
upon the written order of the duly authorized agent of the commissioner
to the person who committed the violation. Such order shall state the
violation, the penalty to be imposed and the right of the person to appeal
to the commissioner. Any such person, within 20 days after notification,
may make written request to the commissioner for a hearing in accord-
ance with the provisions of the Kansas administrative procedure act. The
commissioner shall affirm, reverse or modify the order and shall specify
the reasons therefor.

      (d) Any person aggrieved by an order of the commissioner made un-
der this section may appeal such order to the district court in the manner
provided by the act for judicial review and civil enforcement of agency
actions.

      (e) Any civil penalty recovered pursuant to the provisions of this sec-
tion shall be remitted to the state treasurer, deposited in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credited to the credit of the state general fund.

      Sec.  164. K.S.A. 47-672 is hereby amended to read as follows: 47-
672. (a) The livestock commissioner of the Kansas animal health depart-
ment is hereby authorized to supervise the operation of cattle and other
animal dipping equipment which is used in the control and eradication
of scabies in cattle and other animals and which is made available by the
federal government for use by livestock producers and others under the
supervision of the livestock commissioner. The livestock commissioner is
hereby authorized to fix, charge and collect a fee from the owner of such
cattle and other animals which are dipped as provided in this section, in
an amount of not more than $5 per head, to recover all or part of the
costs of operating and maintaining such cattle and other animal dipping
equipment.

      (b) All moneys received by the livestock commissioner for fees under
this section shall be remitted to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount thereof in the state treasury and such amount
shall be credited to the credit of the animal disease control fund, which
is hereby created. All expenditures from the animal disease control fund
shall be made in accordance with appropriations acts upon warrants of
the director of accounts and reports issued pursuant to vouchers approved
by the livestock commissioner or by a person or persons designated by
the livestock commissioner.

      Sec.  165. K.S.A. 47-820 is hereby amended to read as follows: 47-
820. The board shall remit all moneys received by or for it from fees,
charges or penalties to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of any each such remittance, the state treasurer shall deposit the
entire amount thereof in the state treasury. Twenty percent of each such
deposit shall be credited to the state general fund and the balance shall
be credited to the veterinary examiners fee fund. Costs relating to as-
sessment and enforcement of civil fines shall be credited to the veterinary
examiners fee fund from all moneys received that are civil fines and the
balance shall be credited to the state general fund. All expenditures from
such fund shall be made in accordance with appropriation acts upon war-
rants of the director of accounts and reports issued pursuant to vouchers
approved by the executive director or by a person or persons designated
by the executive director.

      Sec.  166. K.S.A. 47-842 is hereby amended to read as follows: 47-
842. The board may revoke or suspend for a certain time the license of
any person to practice veterinary medicine or any branch thereof in this
state after notice and hearing for any of the causes provided in the Kansas
veterinary practice act. In addition to the board's authority to suspend or
revoke a license, the board shall have the authority to assess a fine not in
excess of $2,000 against a licensee for any of the causes specified in K.S.A.
47-830, and amendments thereto. Such fine may be assessed in lieu of
or in addition to a suspension or revocation. The proceedings under this
act shall be conducted in accordance with the Kansas administrative pro-
cedure act, and the board shall have all the powers granted therein. All
fines collected pursuant to this section shall be remitted to the state trea-
surer in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Such deposits shall be credited to Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount in the
state treasury to the credit of the state general fund. Actual costs related
to investigation, adjudication and enforcement shall be deducted and
credited to the veterinary examiners fee fund.

      Sec.  167. K.S.A. 47-1008 is hereby amended to read as follows: 47-
1008. (a) Livestock shall not be offered for sale or sold at any licensed
public livestock market if such livestock:

      (1) Is infected with a disease that permanently renders the livestock
unfit for human consumption;

      (2) has severe neoplasia;

      (3) has severe actinomycosis;

      (4) is unable to rise to its feet by itself; or

      (5) has an obviously fractured long bone or other fractures or dislo-
cation of a joint that renders the livestock unable to bear weight on the
affected limb without that limb collapsing.

      (b) If, in the judgment of an accredited veterinarian, the livestock
consigned and delivered on the premises of any licensed public livestock
market is in any of the conditions described in subsection (a), such vet-
erinarian shall euthanize humanely the livestock or direct the consignor
to immediately remove the livestock from the premises of the public
livestock market. All expenses incurred for euthanasia and disposal of the
livestock under the provisions of this subsection shall be the responsibility
of the consignor. Collection of expenses shall not be the responsibility of
the consignee.

      (c) All livestock consigned and delivered on the premises of any li-
censed public livestock market, before being offered for sale, shall be
inspected by a veterinarian authorized by the commissioner who shall
visually examine or test, or both, each animal consigned to such market,
for the purpose of determining its condition of health and freedom of
clinical signs of infectious or contagious animal diseases that are deter-
mined to be reportable by the livestock commissioner. Such regulatory
veterinary services shall be contracted for by the livestock commissioner
who shall select an accredited veterinarian for each public livestock mar-
ket. The public livestock market operator, for each public livestock mar-
ket, shall submit to the livestock commissioner a list of accredited vet-
erinarians to be considered for the position or positions. Such veterinarian
shall be authorized to make all required examinations and tests, and to
issue certificates of inspection at the public livestock market where such
veterinarian serves. All livestock sold, resold, exchanged or transferred,
or offered for sale or exchange at a livestock market shall be treated as
may be necessary to prevent the spread of contagious or infectious dis-
eases. A certificate of inspection, on a form to be approved by the com-
missioner, shall be issued to the purchaser by the inspector. For the visual
inspection of livestock offered for sale, there shall be collected by the
market operator from the consignor a fee which shall be determined by
negotiation between the market operator and the market veterinarian but
shall not be less than $.07 per head, except that no fee for inspection shall
be collected unless the inspection actually has been made. If the charges
per head collected on all livestock inspected at a livestock market on any
sales day do not amount to a minimum per diem of $40 or any amount
greater than $40 negotiated by the operator, the market operator shall
be required to supply sufficient funds to provide such amount. Any
amount lesser or greater than the $40 amount specified, shall be deter-
mined by negotiation between the market operator and the market vet-
erinarian. A copy of any agreement or contract shall be on file with the
commissioner. Payments for veterinary services rendered under a con-
tract as provided in this section shall be paid from the veterinary inspec-
tion fee fund, and for such services rendered prior to the end of a fiscal
year, payment may be made within 90 days after the end of the fiscal
year.

      (d) Livestock market operators shall pay amounts received and
amounts due under this section to the livestock commissioner. The com-
missioner shall remit all such amounts received to the state treasurer at
least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of any each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury and
the same shall be credited to the credit of the veterinary inspection fee
fund. All expenditures from such 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 commissioner or by a person
or persons designated by such commissioner.

      (e) The livestock commissioner shall promulgate rules and regula-
tions as may be necessary to carry out the purposes of this section, in-
cluding, but not limited to, rules and regulations designating any disease
as a disease that renders livestock or the carcasses thereof permanently
unfit for human consumption. The livestock commissioner shall prom-
ulgate all such rules and regulations in accordance with existing ante-
mortem inspection regulations promulgated by the United States de-
partment of agriculture food safety and inspection service, as in effect on
July 1, 1997.

      (f) All livestock sold by a licensed electronic auction, before being
delivered to an out-of-state buyer, shall have a health certificate issued
by a licensed, accredited veterinarian. Kansas buyers shall be furnished a
health certificate upon request.

      Sec.  168. K.S.A. 47-1011 is hereby amended to read as follows: 47-
1011. (a) The public livestock market operator shall collect from the con-
signor of horses, mules, cattle, hogs, sheep and goats the fee per head on
all such livestock sold at a public livestock market in the amount fixed by
the commissioner under this section. The public livestock market oper-
ator shall remit to the commissioner on or before the 15th day of each
month the amounts collected during the preceding calendar month.

      (b) The electronic auction operator shall collect from the consignor
of horses, mules, cattle, hogs, sheep and goats the fee per head in an
amount fixed by the commissioner under this section on all such livestock
sold at an electronic auction if such livestock is located in the state of
Kansas. The electronic auction operator shall remit to the commissioner
on or before the 15th day of each month the amounts collected during
the preceding calendar month.

      (c) The fee per head provided for in this section shall be in addition
to the inspection fee stated in K.S.A. 47-1008, and amendments thereto,
to the license fee payable to the commissioner for licenses mentioned
and described in K.S.A. 47-1002, and amendments thereto, and to the
fee provided for in K.S.A. 74-534, and amendments thereto.

      (d) The commissioner shall determine annually the amount of funds
which will be required, in addition to the funds received for fees imposed
under K.S.A. 47-1001a and 47-1001e, and amendments thereto, to prop-
erly enforce and administer the laws contained in article 10 of chapter 47
of the Kansas Statutes Annotated, and amendments thereto, and shall fix
and adjust from time to time the fee per head imposed under this section
in such reasonable sum as may be necessary for such purposes, except
that the fee per head fixed under this section shall not be more than $.15.
The fee per head in effect on the day preceding the effective date of this
act shall continue in effect until the commissioner fixes a different fee
per head under this section.

      (e) The commissioner shall remit all moneys received by or for the
commissioner under K.S.A. 47-1001a, 47-1001e and this section, and
amendments thereto, to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury and such amount shall be credited
to the credit of the animal disease control fund.

      Sec.  169. K.S.A. 47-1011a is hereby amended to read as follows: 47-
1011a. (a) The public livestock market operator shall collect from the
consignor of cattle sold at a public livestock market, where brand inspec-
tion of such cattle is requested, by the public livestock market operator,
as a brand inspection fee, in addition to amounts specified in K.S.A. 47-
1011, and amendments thereto, a sum of not more than $.40 per head
on all such cattle. Such amount shall be determined by the livestock
commissioner. If a public livestock market operator requests brand in-
spection at a public livestock market pursuant to this section, the public
livestock market operator shall contract with the livestock commissioner
to perform such brand inspection services.

      (b) Where cattle consigned to, or sold at, such public livestock market
originate in, and have brand inspection clearance from a county option
brand inspection area, operating under K.S.A. 47-434 through 47-445,
and amendments thereto, such livestock brand inspection fee under this
section shall not be required.

      (c) The public livestock market operator shall pay all amounts re-
ceived under this section to the livestock commissioner.

      (d) The livestock commissioner shall remit all amounts received un-
der this section to the state treasurer at least monthly in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury and the same shall be credited to
the credit of the livestock market brand inspection fee fund. All expend-
itures from such 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 livestock commissioner or by a person or
persons designated by the commissioner.

      Sec.  170. K.S.A. 47-1218 is hereby amended to read as follows: 47-
1218. (a) All moneys received by the livestock commissioner under article
12 of chapter 47 of Kansas Statutes Annotated, and amendments thereto,
shall be remitted to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of any each such remittance, the state treasurer shall deposit the
entire amount thereof in the state treasury and the same shall be credited
to the credit of the animal disease control fund.

      (b) On July 1, 1986, the director of accounts and reports shall transfer
all moneys in the animal health department fee fund to the animal disease
control fund. On July 1, 1986, all liabilities of the animal health depart-
ment fee fund are hereby imposed upon the animal disease control fund,
and the animal health department fee fund is hereby abolished.

      Sec.  171. K.S.A. 47-1503 is hereby amended to read as follows: 47-
1503. (a) It shall be unlawful for any person to operate a feedlot within
the state of Kansas without having first obtained a license from the live-
stock commissioner authorizing and permitting such operation.

      (b) An operator of any feedlot in the state of Kansas, or a person
desiring to operate a feedlot in the state of Kansas, shall obtain, from the
livestock commissioner, a license to operate a feedlot, unless exempted
therefrom. The owner or operator of any livestock feedlot, with a capacity
of less than 1,000 head of livestock, may apply for and obtain a license
for feedlot operations, if such owner or operator chooses and elects to
come under the terms and provisions of this act, but the licensing for
operations at a capacity of less than 1,000 head shall not be required.

      (c) Application for a livestock feedlot license shall be filed with the
livestock commissioner, on a form prescribed and furnished by the com-
missioner. Upon the filing of such an application and payment of the
required fees, the commissioner shall issue a livestock feedlot license to
such applicant, provided the application discloses information assuring
the commissioner that the operation of such feedlot will be conducted in
accordance with the standards set forth elsewhere in this act, and with
rules and regulations adopted by the commissioner.

      (d) Feedlot licenses shall be issued for the term of one year, to expire
on June 30 following the date of issuance. Feedlot licenses may be con-
tinued in force by annual renewal or extension of such license with the
payment of an annual license fee, and with continued compliance by the
operator with the provisions of this act, and acts amendatory of the pro-
visions thereof and supplemental thereto, and rules and regulations
adopted hereunder.

      (e) Each feedlot operator, who shall be granted a license, shall pay a
fee in an amount set by the Kansas animal health board and adopted by
rules and regulations of the commissioner for such license and for annual
renewal thereof, in accordance with and subject to the following schedule
of maximum fees:

Feedlot capacity                                         Maximum fee

Under 1,000 head $75
1,000 to 2,999 head $150
3,000 to 9,999 head $300
10,000 to 17,999 head $450
18,000 head and over $750
The fees established by this subsection on the day preceding the effective
date of this act shall continue in effect until different fees are set as
provided under this subsection.

      (f) If an original feedlot license expires within six months after date
of issuance, only 50% of the applicable license fee shall be required. An
application for feedlot license shall not be approved, nor shall a license
be issued to any applicant unless the application is accompanied by the
applicable license fee under the schedule of fees in this section. Each
licensed feedlot operator shall pay an annual license fee in accordance
with the schedule of fees in this section and, upon payment of such fee
and a showing of compliance with other requirements, shall be entitled
to a renewal or extension of such operator's license for the ensuing license
year.

      (g) The livestock commissioner shall remit all moneys received by or
for the commissioner under article 15 of chapter 47 of Kansas Statutes
Annotated, and amendments thereto, to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of any each such remittance, the state trea-
surer shall deposit the entire amount thereof in the state treasury and the
same shall be credited to the credit of the animal disease control fund.

      Sec.  172. K.S.A. 47-1721 is hereby amended to read as follows: 47-
1721. (a) Each application for issuance or renewal of a license or permit
required under K.S.A. 47-1701 et seq., and amendments thereto, shall be
accompanied by the fee prescribed by the commissioner under this sec-
tion. Such fees shall be as follows:

      (1) Except as provided in paragraph (5), for a license for premises of
a person licensed under public law 91-579 (7 U.S.C. § 2131 et seq.), an
amount not to exceed $150.

      (2) Except as provided in paragraph (5), for a license for any other
premises, an amount not to exceed $300.

      (3) For a temporary closing permit, an amount not to exceed $75.

      (4) For an out-of-state distributor permit, an amount not to exceed
$500.

      (5) For a hobby breeder license or a kennel operator license an
amount not to exceed $75.

      (6) A late fee of $50 shall be assessed to any person whose permit or
license renewal is more than 45 days' late.

      (b) The commissioner shall determine annually the amount necessary
to carry out and enforce K.S.A. 47-1701 et seq., and amendments thereto,
for the next ensuing fiscal year and shall fix by rules and regulations the
license and permit fees for such year at the amount necessary for that
purpose, subject to the limitations of this section. In fixing such fees, the
commissioner may establish categories of licenses and permits, based
upon the type of license or permit, size of the licensed or permitted
business or activity and the premises where such business or activity is
conducted, and may establish different fees for each such category. The
fees in effect immediately prior to the effective date of this act shall
continue in effect until different fees are fixed by the commissioner as
provided by this subsection.

      (c) If a licensee, permittee or applicant for a license or permit re-
quests an inspection of the premises of such licensee, permittee or ap-
plicant, the commissioner shall assess the costs of such inspection, as
established by rules and regulations of the commissioner, to such licensee,
permittee or applicant.

      (d) No fee or assessment required pursuant to this section shall be
refundable.

      (e) The commissioner shall remit all moneys received by or for the
commissioner under this section to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and shall credit it to the
credit of the animal dealers fee fund, which is hereby created in the state
treasury. Moneys in the animal dealers fee fund may be expended only
to administer and enforce K.S.A. 47-1701 et seq., and amendments
thereto. All expenditures from the animal dealers fee 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 Kansas
livestock commissioner or the commissioner's designee.

      (f) Premises required to be licensed under the Kansas pet animal act
shall not be required to pay for more than one license. If more than one
operation is ongoing at the premises, each operation shall comply with
the applicable statutes and rules and regulations pertaining to such op-
eration.

      (g) Except as provided further, when a premises required to be li-
censed or permitted under the Kansas pet animal act applies for an initial
license or permit, the commissioner shall prorate to the nearest whole
month the license or permit fee established in subsection (a). The com-
missioner shall have discretion to determine whether the application is
an initial application or an application for a premises which has been doing
business but is not licensed or permitted. If the commissioner determines
the premises has been doing business without a license or permit, the
commissioner is not required to prorate the fee.

      (h) This section shall be part of and supplemental to K.S.A. 47-1701
et seq., and amendments thereto.

      Sec.  173. K.S.A. 47-1805 is hereby amended to read as follows: 47-
1805. (a) Any person operating as a livestock dealer in Kansas shall reg-
ister with the Kansas animal health department. Registration shall be
made on an application form approved by the livestock commissioner.
The application shall be accompanied by the livestock dealer registration
fee or renewal fee fixed by the commissioner under subsection (b). If an
application for registration or renewal of registration is denied by the
commissioner or withdrawn by the applicant, the fee shall not be re-
funded. Unless renewed under this section, each registration shall expire
on the June 30 following the date of issuance.

      (b) The livestock commissioner shall determine annually the amount
of funds which will be required for the administration and enforcement
of this section and K.S.A. 47-1806, and amendments thereto, and shall
fix and adjust from time to time a livestock dealer registration fee and a
renewal fee in such reasonable amounts as may be necessary for such
purposes, except that in no case shall either the livestock dealer registra-
tion fee or the renewal fee exceed $75.

      (c) The livestock commissioner shall remit all moneys received by or
for the commissioner under this section to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of any each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury and such
amount shall be credited to the credit of the animal disease control fund.

      Sec.  174. K.S.A. 47-1809 is hereby amended to read as follows: 47-
1809. (a) As used in this section, ``feral swine'' means any untamed or
undomesticated hog, boar or pig.

      (b) Importation or possession, or both, of feral swine into the state
of Kansas is a violation of state law, which may incur a civil penalty in the
amount of not less than $1,000 nor more than $5,000 for each such vio-
lation. In the case of a continuing violation, every day such violation con-
tinues shall be deemed a separate violation.

      (c) Any duly authorized agent of the livestock commissioner, upon a
finding that any person, or agent or employee thereof, has violated any
of the provisions stated above, may impose a civil penalty upon such
person as provided in this section.

      (d) No civil penalty shall be imposed pursuant to this section except
upon the written order of the duly authorized agent of the livestock com-
missioner to the person who committed the violation. Such order shall
state the violation, the penalty to be imposed and the right of the person
to appeal to the commissioner. Any such person, within 20 days after
notification, may make written request to the commissioner for a hearing
in accordance with the provisions of the Kansas administrative procedure
act. The commissioner shall affirm, reverse or modify the order and shall
specify the reasons therefor.

      (e) Any person aggrieved by an order of the commissioner made un-
der this section may appeal such order to the district court in the manner
provided by the act for judicial review and civil enforcement of agency
actions.

      (f) Any civil penalty recovered pursuant to the provisions of this sec-
tion shall be remitted to the state treasurer, deposited in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credited to the credit of the state general fund.

      (g) The livestock commissioner, or the authorized representative of
the livestock commissioner, may destroy or require the destruction of any
feral swine upon discovery of such swine.

      Sec.  175. K.S.A. 47-1831 is hereby amended to read as follows: 47-
1831. (a) The livestock commissioner is hereby authorized to:

      (1) Register original veterinary certificates of inspection for livestock,
as defined in K.S.A. 47-1001, and amendments thereto; and

      (2) provide official calfhood vaccination tags. Such tags shall not ex-
ceed $.25 for each tag.

      (b) The commissioner shall determine annually tag fee and shall fix
such fee by rules and regulations.

      (c) The commissioner shall remit all moneys received by or for the
commissioner under this section to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and shall credit it to the
credit of the animal disease control fund.

      Sec.  176. K.S.A. 47-2101 is hereby amended to read as follows: 47-
2101. (a)  It shall be unlawful for any person to engage in the business of
raising domesticated deer unless such person has obtained from the live-
stock commissioner a domesticated deer permit. Application for such per-
mit shall be made in writing on a form provided by the commissioner.
The permit period shall be for the permit year ending on June 30 follow-
ing the issuance date.

      (b) Each application for issuance or renewal of a permit shall be ac-
companied by a fee of not more than $100 as established by the com-
missioner in rules and regulations.

      (c) The livestock commissioner shall adopt any rules and regulations
necessary to enforce this section.

      (d) Any person who fails to obtain a permit as prescribed in section
(a) shall be deemed guilty of a misdemeanor and upon conviction shall
be punished by a fine not exceeding $100. Continued operation, after a
conviction, shall constitute a separate offense for each day of operation.

      (e) The commissioner may refuse to issue or renew or may suspend
or revoke any permit for any one of the following reasons:

      (1) Material misstatement in the application for the original permit
or in the application for any renewal of a permit;

      (2) the conviction of any crime, an essential element of which is mis-
statement, fraud or dishonesty, or relating to the theft of or cruelty to
animals;

      (3) substantial misrepresentation;

      (4) the person who is issued a permit is found to be adding to such
person's herd by poaching or illegally obtaining deer;

      (5) willful disregard to any rule or regulation adopted under this sec-
tion.

      (f) Any refusal to issue or renew a permit and any suspension or
revocation of a permit under this section shall be in accordance with the
provisions of the Kansas administrative procedure act and shall be subject
to review in accordance with the act for judicial review and civil enforce-
ment of agency actions.

      (g) Domesticated deer shall be identified through implantation of
microchips, ear tags, ear tattoos, ear notches or any other permanent
identification on such deer as to identify such deer as domesticated deer.
Any person who receives a permit issued pursuant to subsection (a) shall
keep records of the deer herd pursuant to rules and regulations.

      (h) The livestock commissioner shall inspect any premises where a
domesticated deer herd has been issued a permit upon receipt of a writ-
ten, signed complaint that such premises is not being operated, managed
or maintained in accordance with rules and regulations.

      (i) The livestock commissioner, on a quarterly basis, shall transmit to
the secretary of wildlife and parks a current list of persons issued a permit
pursuant to this section.

      (j) All moneys received under this section shall be remitted to the
state treasurer at least monthly in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of any each such remit-
tance, the state treasurer shall deposit the entire amount thereof in the
state treasury and the same shall be credited to the credit of the animal
disease control fund.

      (k) As used in this section:

      (1) ``Deer'' means any member of the family cervidae.

      (2) ``Domesticated deer'' means any member of the family cervidae
which was legally obtained and is being sold or raised in a confined area
for breeding stock; for any carcass, skin or part of such animal; for exhi-
bition; or for companionship.

      Sec.  177. K.S.A. 48-272 is hereby amended to read as follows: 48-
272. There is hereby created in the state treasury the military fees fund
which shall be administered by the adjutant general. The adjutant general
shall remit all moneys received as reimbursements from the federal gov-
ernment to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury and such amount shall be credited to the
credit of the military fees fund. The adjutant general may adopt rules and
regulations establishing procedures for the administration of the military
fees fund.

      Sec.  178. K.S.A. 48-273 is hereby amended to read as follows: 48-
273. (a) There is hereby created in the state treasury the armories and
units general fees fund which shall be administered by the adjutant gen-
eral.

      (b) The adjutant general shall remit all moneys received pursuant to
policies and rules and regulations of the adjutant general as reimburse-
ments or other receipts from Kansas army or air national guard units or
Kansas state guard units or personnel of such units for excess or private
expenditures or services including, but not limited to, armory utility costs
incurred during periods of armory rentals, costs of excess or private use
of telecommunications services and costs of awards and decorations, to
the state treasurer at least monthly in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount thereof in
the state treasury and such amount shall be credited to the credit of the
armories and units general fees fund.

      (c) The adjutant general may adopt rules and regulations establishing
policies and procedures for the administration of the armories and units
general fees fund.

      Sec.  179. K.S.A. 48-942 is hereby amended to read as follows: 48-
942. (a) Persons engaged in the production of electricity through the
utilization of nuclear energy at a nuclear facility shall pay fees to the
adjutant general to cover the costs incurred by state and local government
agencies in establishing and maintaining appropriate emergency manage-
ment plans and programs for an accident at a nuclear facility, including
the costs of administering this act.

      (b) Fees collected under the provisions of this act shall be used ex-
clusively to fund those state and local government activities approved as
necessary by the adjutant general to develop, maintain and implement
appropriate plans and programs necessary for management for an acci-
dent at a nuclear facility and for administration of this act.

      (c) State agencies and local governments of Kansas incurring ex-
penses attributable to developing and maintaining plans and programs to
meet responsibilities in the event of an accident at a nuclear facility may
apply to the adjutant general for payment for those expenses. Upon ap-
proval by the adjutant general of emergency management budgets sub-
mitted by state and local government agencies therefor, the adjutant gen-
eral shall pay or reimburse such expenses or may disburse moneys in
advance of such expenses from fees collected pursuant to this act.

      (d) The adjutant general shall remit to the state treasurer all moneys
received from fees fixed and collected pursuant to this act to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of such moneys each such remittance,
the state treasurer shall deposit the entire amount in the state treasury
and credit it to the credit of the nuclear safety emergency management
fee fund which is hereby established in the state treasury. The adjutant
general shall administer the nuclear safety emergency management fee
fund. All expenditures from the nuclear safety emergency management
fee fund shall be in accordance with the provisions of appropriation acts.
All moneys in the nuclear safety emergency preparedness fee fund and
all liabilities of such fund on the day preceding the effective date of this
act shall be transferred to the nuclear safety emergency management fee
fund. The nuclear safety emergency preparedness fee fund is hereby abol-
ished.

      (e) When the total of all fees collected under this act during any fiscal
year exceeds the total expenditures from the nuclear safety emergency
management fee fund under this act from appropriations for that fiscal
year, the amount of receipts that exceeds such expenditures shall be cred-
ited to the persons who were assessed such fees for that fiscal year, and
such amount shall be credited against the fees to be collected under this
act for the ensuing fiscal year. Each such person shall receive as a credit
that amount of the excess which corresponds proportionately to the
amount of fees the person paid with respect to all fees collected under
this act in the fiscal year that produced the excess.

      Sec.  180. K.S.A. 48-1613 is hereby amended to read as follows: 48-
1613. (a) Any person who violates any of the provisions of this act or rules
and regulations issued pursuant to this act, or who violates any order of
the secretary issued pursuant to this act, shall be guilty of a misdemeanor,
and upon conviction thereof shall be punished by a fine of not less than
$25 nor more than $500 or by imprisonment not to exceed six months or
by both such fine and imprisonment, and in addition thereto, may be
enjoined from continuing such violation. Each day of such violation shall
constitute a separate violation.

      (b) Any person who violates any licensing or registration provision of
this act, any rule and regulation or order issued thereunder or any term
condition or limitation of any license or registration certificate issued
thereunder or who commits any violation for which a license or registra-
tion certificate may be revoked under rules and regulations issued pur-
suant to this act may be subject to a penalty, to be imposed by the sec-
retary, not to exceed $10,000. If any violation is a continuing one, each
day of such violation shall constitute a separate violation for the purpose
of computing the applicable civil penalty. The secretary shall have the
power to compromise, mitigate or remit such penalties. Whenever the
secretary proposes to subject a person to the imposition of a civil penalty
under the provisions of this section the secretary shall follow the proce-
dures contained in subsection (b) of K.S.A. 48-1608, and amendments
thereto.

      Any action by the secretary pursuant to this section is subject to review
in accordance with the act for judicial review and civil enforcement of
agency actions.

      (c) On the request of the secretary, the attorney general is authorized
to institute a civil action to collect any penalty imposed pursuant to this
section. The attorney general shall have the exclusive power to compro-
mise, mitigate or remit such civil penalties as are referred for collection.

      (d) All moneys collected from civil penalties shall be paid remitted to
the state treasurer for deposit in the in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury to the credit of the state general fund. Moneys collected from
civil penalties shall not be used for normal operating expenses of the
department except as appropriations are made from the general fund in
the normal budgetary process.

      Sec.  181. K.S.A. 48-1623 is hereby amended to read as follows: 48-
1623. (a) For licensed activities involving source material milling, source
material mill tailings and disposal of low-level radioactive waste, the sec-
retary shall, and for other classes of licensed activity involving low-level
radioactive material, the secretary may establish by rule and regulation
standards and procedures to ensure that the licensee will provide an ad-
equate surety or other financial arrangement to permit the completion of
all requirements established by the secretary for the decontamination,
closure, decommissioning and reclamation of site, structures and equip-
ment used in conjunction with such licensed activity, in case the licensee
should default for any reason in performing such requirements.

      (b) All sureties required pursuant to subsection (a) which are for-
feited shall be paid to the secretary for deposit by, who shall remit such
moneys to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury to
the credit of a special fund called the radiation site closure and reclama-
tion fund which is hereby established. All moneys in this fund are hereby
appropriated and may be expended by the secretary as necessary to com-
plete such requirements on which licensees have defaulted. Moneys in
this fund shall not be used for normal operating expenses of the secretary
or the department.

      (c) For license activities involving the disposal of source material, mill
tailings and disposal of low-level radioactive waste, the secretary shall,
and for other classes of licensed activity when low-level radioactive ma-
terial which will require surveillance or care is likely to remain at the site
after the licensed activities cease the secretary may, establish by rule and
regulation standards and procedures to ensure that the licensee, before
termination of the license, will make available such funding arrangements
as may be necessary to provide for long-term site surveillance and care.

      (d) All funds collected from licensees pursuant to subsection (c) shall
be paid to the secretary for deposit by who shall remit such funds to the
state treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury to the credit of
a special fund called the radiation long-term care fund which is hereby
established. All funds accrued as interest on moneys deposited in this
fund are hereby appropriated and may be expended by the secretary for
continuing long-term surveillance maintenance and other care of facilities
from which such funds are collected as necessary for protection of the
public health, safety and environment. Notwithstanding any other pro-
vision of this subsection, if title to and custody of any radioactive material
and its disposal site are transferred to the United States upon termination
of any license for which funds have been collected for such long-term
care, the collected funds and interest accrued thereon shall be transferred
to the United States.

      (e) The sureties or other financial arrangement and funds required
by subsections (a) and (b) shall be established in amounts sufficient to
ensure compliance with those standards, if any, established by the United
States nuclear regulatory commission pertaining to decontamination, clo-
sure, decommissioning, reclamation and long-term site surveillance and
care of such facilities and sites.

      (f) In order to provide for the proper care and surveillance of sites
subject to subsection (c) of this section which are not subject to K.S.A.
48-1620 or 48-1621, and amendments thereto, the state may acquire by
gift or transfer from other governmental agencies or private persons, any
land and appurtenances necessary to fulfill the purposes of this section.
Any such gift or transfer is subject to approval and acceptance by the state
legislature.

      (g) The secretary may provide by contract, agreement, lease or li-
cense with any person, including another state agency, for the decontam-
ination, closure, decommissioning, reclamation, surveillance or other care
of a site subject to this section as needed to carry out the purposes of this
section.

      (h) In the event a person licensed by any governmental agency, other
than the secretary, desires to transfer a site to the state for the purpose
of administering or providing long-term care, a lump sum deposit shall
be made to the radiation long-term care fund. The amount of such deposit
shall be determined by the secretary taking into account the factors stated
in subsections (c) and (e) of this section.

      (i) All state, local or other governmental agencies, shall be exempt
from the requirements of subsections (a) and (c).

      Sec.  182. K.S.A. 48-3108 is hereby amended to read as follows: 48-
3108. (a) Fines imposed by a military court may be paid to it or to an
officer executing its process. All such fines shall be payable at the time
of approval of the sentence by the convening authority. Any sum so de-
ducted shall be turned into the military court which imposed the fine.
Any officer collecting a fine or penalty imposed by a military court upon
an officer or enlisted person shall pay it within 30 days to the judge
advocate, who shall transmit the same to the adjutant general. The ad-
jutant general shall, monthly, deposit remit all fines and penalties so re-
ceived with to the state treasurer, to be credited to the general fund of
the state in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury to the credit of the
state general fund.

      (b) When the sentence of a court-martial adjudges a fine against any
person and such fine has not been fully paid within 10 days after it is due
and payable, the president of the military court or the summary court
officer shall issue a warrant of commitment directed to the sheriff or chief
law enforcement officer of the county in which the court-martial was held
or where the offense was committed, directing such sheriff or law en-
forcement officer to arrest and confine the person until such fine is paid
or until one day shall have been served for each $1 of the fine which is
not paid. The form for order of commitment shall be prescribed by the
adjutant general.

      Sec.  183. K.S.A. 48-3302 is hereby amended to read as follows: 48-
3302. (a) The Kansas department of civil air patrol is hereby authorized
to cooperate with any agency, authority, department or political subdivi-
sion of the state of Kansas, upon request thereby, in the provision of cadet
training, communications, disaster relief, and search and rescue missions
or assistance, or in the performance of other related functions which are
within the scope of activity of the federally chartered civil air patrol.

      (b) The head of the department may enter into agreements with any
agency, authority, department or political subdivision of the state for the
performance, in cooperation therewith, of any of the functions specified
in subsection (a) and may accept from any such agency, authority, de-
partment or political subdivision payments of moneys to defray all or a
part of the expenses incurred by the department in connection with the
performance of such functions. Every agency, authority, department and
political subdivision of the state is hereby authorized to enter into agree-
ments with the department for the performance of such functions and to
make payments of moneys pursuant to such agreements.

      (c) The head of the department shall remit all moneys received by
or for the department under this section to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury and the same
shall be credited to the credit of the Kansas department of civil air patrol
grants and contributions fund, which fund is hereby created.

      Sec.  184. K.S.A. 2000 Supp. 48-3303 is hereby amended to read as
follows: 48-3303. (a) The Kansas department of civil air patrol may expend
moneys appropriated from the state general fund for the department to
purchase and maintain communications systems, to pay the maintenance
and insurance costs of aircraft and vehicles owned by the department, to
pay necessary operations and administrative expenses incurred in support
of the functions specified in K.S.A. 48-3302, and amendments thereto,
and to pay salaries of necessary secretarial or administrative support per-
sonnel, in accordance with appropriation acts. For the purpose of prep-
aration of the governor's budget report, personnel actions and other ac-
tions in the state administrative process, the Kansas department of civil
air patrol shall be considered part of the adjutant general's office. Vehicles
of the civil air patrol shall be considered federal assets.

      (b) Moneys appropriated from the state general fund to the adjutant
general's office for the civil air patrol shall be appropriated as a separate
line item and shall not be merged with other items of appropriation for
the adjutant general. Such moneys shall not be expended to procure or
replace equipment which is otherwise obtainable through grants or con-
tributions from any other source nor shall moneys appropriated from the
state general fund to the adjutant general's office for the civil air patrol
be expended for uniforms or personal equipment of any volunteer mem-
ber of the department, or for the purchase of aircraft or motor vehicles,
or for payment of any salaries other than salaries of necessary secretarial
or administrative support personnel.

      (c) The head of the department for and on behalf of the department
may request of and accept from individuals, the United States govern-
ment or any of its departments or agencies or any other public or private
body, grants or contributions of moneys or property which the head of
the department may authorize to be used for or in aid of any of the
purposes of this act. All moneys received by the department pursuant to
this subsection shall be paid into remitted to the state treasurer in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of each such remittance, the state treasurer shall deposit the
entire amount in the state treasury and the state treasurer shall credit the
same to the credit of the civil air patrol grants and contributions fund.

      (d) All expenditures of moneys from the civil air patrol grants and
contribution fund shall be made in accordance with appropriations acts
upon warrants of the director of accounts and reports issued pursuant to
vouchers approved by the head of the department.

      Sec.  185. K.S.A. 49-420 is hereby amended to read as follows: 49-
420. (a) The department shall remit all moneys received from the pay-
ment of fees or from civil penalties assessed by the secretary, including
any interest thereon, to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury. Twenty percent of each such deposit
shall be credited to the state general fund and the balance shall be cred-
ited to the mined-land conservation and reclamation fee fund. All ex-
penditures from the mined-land conservation and reclamation fee 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
and may be expended for the administration and enforcement of this act.

      (b) The mined-land reclamation fund is hereby created in the state
treasury. The secretary shall remit all moneys received from the forfeiture
of bonds to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury and such amount shall be credited to the
credit of the mined-land reclamation fund. The expenditures from the
mined-land reclamation fund which are used for the reclamation of land
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
and shall be expended for reclamation of land affected by open pit, strip
pit and surface types of mine operations. Administrative expenses asso-
ciated with reclamation of the respective sites and not charged directly
to the mined-land reclamation fund shall be made by intra-agency transfer
to the mined-land conservation and reclamation fee fund.

      Sec.  186. K.S.A. 49-428 is hereby amended to read as follows: 49-
428. (a) The secretary is authorized to develop and adopt plans and pro-
grams for the reclamation of land having abandoned mines, which plans
and programs will be eligible for participation in the abandoned mine
reclamation program established by the national surface mining control
and reclamation act of 1977 (public law 95-87), to submit such plans and
programs, and all reports and applications contemplated by such act to
the secretary of the interior, and to participate in such abandoned mine
reclamation program. The governor is authorized to make certification
contemplated by such act, with respect to such plans and programs, in
order to authorize receipt of funds pursuant to such act. All amounts
received under this section by the department shall be remitted at least
monthly to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
and the state treasurer shall deposit all thereof the entire amount in the
state treasury and credit the same to the credit of the abandoned mined-
land fund. All expenditures from the abandoned mined-land fund shall
be made in accordance with appropriation acts upon warrants of the di-
rector of accounts and reports issued pursuant to vouchers approved by
the secretary or by a person or persons designated by the secretary. Ex-
penditures from the abandoned mined-land fund shall be made for ad-
ministration of this section and reclamation of eligible abandoned mined-
land in accordance with plans and programs adopted and approved as
provided in this section.

      (b) In developing and adopting plans and programs for reclamation
of abandoned mines, the secretary shall observe the following priorities
of policy, in the order stated:

      (1) The protection of public health, safety, general welfare and prop-
erty from extreme danger of adverse effects of coal mining practices;

      (2) the protection of public health, safety, and general welfare from
adverse effects of coal mining practices;

      (3) the restoration of land and water resources and the environment
previously degraded by adverse effects of coal mining practices including
measures for the conservation and development of soil, water, excluding
channelization, woodland, fish and wildlife, recreation resources and ag-
ricultural productivity;

      (4) research and demonstration projects relating to the development
of surface mining reclamation and water quality control program methods
and techniques;

      (5) the protection, repair, replacement, construction, or enhance-
ment of public facilities such as utilities, roads, recreation and conserva-
tion facilities adversely affected by coal mining practices;

      (6) the development of publicly owned land adversely affected by coal
mining practices including land acquired as provided in public law 95-87
for recreation and historic purposes, conservation and reclamation pur-
poses and open space benefits.

      (c) Abandoned mines eligible for inclusion in plans and programs
authorized herein are those having land or water requiring reclamation
or drainage abatement, which were mined for coal or which were affected
by such mining, waste banks, coal processing or other coal mining process,
and which were abandoned or left in an inadequate reclamation status
prior to the date of enactment of the national surface mining control and
reclamation act of 1977 (public law 95-87), and for which there is no
continuing reclamation responsibility under the laws of this state or of
the United States.

      (d) The secretary is authorized to make annual or other applications
for support of the department's plans and programs and implementation
of specific reclamation projects to the secretary of the interior, which
applications shall contain the information required by the national surface
mining control and reclamation act of 1977 (public law 95-87); and the
secretary is authorized to make such other reports as may be requested
from time to time by the secretary of interior in connection with admin-
istration of such plans and programs. The secretary also shall make an
annual report to Congress on operations relative to reclamation of aban-
doned mines and make recommendations as to future uses of federal
funds available for such reclamation.

      (e)  (1) Within six months after the completion of projects to restore,
reclaim, abate, control, or prevent adverse effects of past coal mining
practices on privately owned land, the department shall itemize the mon-
eys so expended and may file a statement thereof in the office of the clerk
of the district court in the county in which the land lies, together with a
verified appraisal by an independent appraiser of the value of the land
before the restoration, reclamation, abatement, control, or prevention of
adverse effects of past coal mining practices if the moneys so expended
shall result in a significant increase in property value. Such statement
shall constitute a lien upon the land. The lien shall not exceed the amount
determined by the appraisal to be the increase in the market value of the
land as a result of the restoration, reclamation, abatement, control, or
prevention of the adverse effects of past coal mining practices. No lien
shall be filed against the property of any person, in accordance with this
subsection, who owned the surface prior to May 2, 1977, and who neither
consented to nor participated in nor exercised control over the mining
operation which necessitated the reclamation performed hereunder.

      (2) The landowner may bring a civil action in the district court of the
county wherein the subject land lies within 60 days of the filing of the
lien, to determine the increase in the market value of the land as a result
of the restoration, reclamation, abatement, control, or prevention of the
adverse effects of past coal mining practices. The amount reported to be
the increase in value of the premises shall constitute the amount of the
lien and shall be recorded with the statement herein provided. The only
necessary party defendant shall be the secretary. Any party aggrieved by
the decision may appeal as provided by law.

      (3) The lien provided in this section shall be recorded in the county
in which the land lies. Such statement shall constitute a lien upon the
land as of the date of the expenditure of the moneys and shall have priority
as a lien second only to the lien of real estate taxes imposed upon the
land. Such lien shall be for the benefit of the department.

      (4) If liens are filed affecting a tract, affected portions of which lie in
more than one county, a civil action brought to determine the increase
in value as provided herein, and any action for foreclosure, may be
brought in any county in which land subject to such lien lies.

      Sec.  187. K.S.A. 2000 Supp. 49-622 is hereby amended to read as
follows: 49-622. (a) There is hereby created within the state treasury the
land reclamation fund.

      (b) The director shall remit daily all moneys collected from fees and
civil penalties imposed pursuant to this act to the state treasurer all mon-
eys collected from fees and civil penalties imposed pursuant to this act in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt thereof of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury and credit it to the
credit of the land reclamation fund.

      (c) All costs of administering the provisions of this act shall be paid
from moneys credited or transferred to the land reclamation fund pur-
suant to this section. Expenditures from the fund shall be made in ac-
cordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the director.

      (d) On or before the 10th of each month, the director of accounts
and reports shall transfer from the state general fund to the land recla-
mation fund interest earnings based on:

      (1) The average daily balance of moneys in the land reclamation fund
for the preceding month; and

      (2) the net earnings rate of the pooled money investment portfolio
for the preceding month.

      Sec.  188. K.S.A. 50-1005 is hereby amended to read as follows: 50-
1005. All fees and funds accruing from the administration of this act shall
be accounted for by the commissioner and shall be deposited with re-
mitted to the state treasurer who shall deposit them in in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire amount
in the state treasury to the credit of the state general fund.

      Sec.  189. K.S.A. 53-104 is hereby amended to read as follows: 53-
104. Such application, bond, oath and record of appointment shall be
filed in the office of the secretary of state and properly indexed in that
office. The secretary of state shall receive a fee of $10 for such services.
The secretary of state shall remit all moneys received under this section
to the state treasurer, and in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance, the
state treasurer shall deposit the same entire amount in the state treasury
to the credit of the state general fund.

      Sec.  190. K.S.A. 2000 Supp. 55-155 is hereby amended to read as
follows: 55-155. (a) Operators and contractors shall be licensed by the
commission pursuant to this section.

      (b) Every operator and contractor shall file an application or a re-
newal application with the commission. Application and renewal appli-
cation forms shall be prescribed, prepared and furnished by the commis-
sion.

      (c) No application or renewal application shall be approved until the
applicant has:

      (1) Provided sufficient information, as required by the commission,
for purposes of identification;

      (2) submitted evidence that all current and prior years' taxes for prop-
erty associated with the drilling or servicing of wells have been paid;

      (3) demonstrated to the commission's satisfaction that the applicant
complies with all requirements of chapter 55 of the Kansas Statutes An-
notated, all rules and regulations adopted thereunder and all commission
orders and enforcement agreements, if the applicant is registered with
the federal securities and exchange commission;

      (4) demonstrated to the commission's satisfaction that the following
comply with all requirements of chapter 55 of the Kansas Statutes An-
notated, all rules and regulations adopted thereunder and all commission
orders and enforcement agreements, if the applicant is not registered with
the federal securities and exchange commission: (A) The applicant; (B)
any officer, director, partner or member of the applicant; (C) any stock-
holder owning in the aggregate more than 5% of the stock of the appli-
cant; and (D) any spouse, parent, brother, sister, child, parent-in-law,
brother-in-law or sister-in-law of the foregoing;

      (5) paid an annual license fee of $100, except that an applicant for a
license who is operating one gas well used strictly for the purpose of
heating a residential dwelling shall pay an annual license fee of $25;

      (6) complied with subsection (d); and

      (7) paid an annual license fee of $25 for each rig operated by the
applicant. The commission shall issue an identification tag for each such
rig which shall be displayed on such rig at all times.

      (d) In order to assure financial responsibility, each operator shall
demonstrate annually compliance with one of the following provisions:

      (1) The operator has obtained an individual performance bond or
letter of credit, in an amount equal to $.75 times the total aggregate depth
of all wells (including active, inactive, injection or disposal) of the oper-
ator.

      (2) The operator has obtained a blanket performance bond or letter
of credit in an amount equal to the following, according to the number
of wells (including active, inactive, injection or disposal) of the operator:

      (A) Wells less than 2,000 feet in depth: 1 through 5 wells, $5,000; 6
through 25 wells, $10,000; and over 25 wells, $20,000.

      (B) Wells 2,000 or more feet in depth: 1 through 5 wells, $10,000; 6
through 25 wells, $20,000; and over 25 wells, $30,000.

      (3) The operator: (A) Has an acceptable record of compliance, as
demonstrated during the preceding 36 months, with commission rules
and regulations regarding safety and pollution or with commission orders
issued pursuant to such rules and regulations; (B) has no outstanding
undisputed orders issued by the commission or unpaid fines, penalties or
costs assessed by the commission and has no officer or director that has
been or is associated substantially with another operator that has any such
outstanding orders or unpaid fines, penalties or costs; and (C) pays a
nonrefundable fee of $50 per year.

      (4) The operator pays a nonrefundable fee equal to 3% of the amount
of the bond or letter of credit that would be required by subsection (d)(1)
or by subsection (d)(2).

      (5) The state has a first lien on tangible personal property associated
with oil and gas production of the operator that has a salvage value equal
to not less than the amount of the bond or letter of credit that would be
required by subsection (d)(1) or by subsection (d)(2).

      (6) The operator has provided other financial assurance approved by
the commission.

      (e) Upon the approval of the application or renewal application, the
commission shall issue to such applicant a license which shall be in full
force and effect until one year from the date of issuance or until surren-
dered, suspended or revoked as provided in K.S.A. 55-162, and amend-
ments thereto. No new license shall be issued to any applicant who has
had a license revoked until the expiration of one year from the date of
such revocation.

      (f) If an operator transfers responsibility for the operation of a well,
gas gathering system or underground natural gas storage facility to an-
other person, the transfer shall be reported to the commission in accord-
ance with rules and regulations of the commission.

      (g) The commission shall remit all moneys received from fees as-
sessed pursuant to subsection (c)(7) of this section to the state treasurer
at least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury.
Twenty percent of each such deposit shall be credited to the state general
fund and the balance shall be credited to the conservation fee fund cre-
ated by K.S.A. 55-143, and amendments thereto.

      (h) The commission shall deposit remit all moneys received pursuant
to subsections (d)(3) and (d)(4) into to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount in the state treasury to the credit of the conservation fee fund.

      Sec.  191. K.S.A. 2000 Supp. 55-164 is hereby amended to read as
follows: 55-164. (a) In addition to any other penalty provided by law, the
commission, upon finding that an operator or contractor has violated the
provisions of this act or any rule and regulation or order of the commis-
sion, may impose a penalty not to exceed $10,000, which shall constitute
an actual and substantial economic deterrent to the violation for which
the penalty is assessed. In the case of a continuing violation, every day
such violation continues shall be deemed a separate violation.

      (b) No penalty shall be imposed pursuant to this section except upon
the written order of the commission to the person who committed the
violation. The order shall state the violation, the penalty imposed and the
right to appeal to the order issuing agency. Any such person, within 30
days after service of such order, may make written request to the com-
mission for a hearing thereon. The commission shall conduct a hearing
in accordance with the provisions of the Kansas administrative procedure
act within 30 days after receipt of such request.

      (c) Any person aggrieved by any order issued pursuant to this section
may appeal therefrom in accordance with the provisions of the act for
judicial review and civil enforcement of agency actions.

      (d) The commission may order an operator or contractor to pay any
costs and reasonable attorney fees incurred by the commission in impos-
ing and collecting any penalty pursuant to this section and may collect
interest on any portion of such penalty, costs and attorney fees which
remains unpaid more than 30 days after imposition, at the rate provided
by K.S.A. 16-204, and amendments thereto, for interest on judgments.

      (e) All moneys received from penalties imposed and costs and attor-
ney fees assessed pursuant to this section shall be remitted to the state
treasurer who in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount thereof in the state treasury to the
credit of the conservation fee fund.

      Sec.  192. K.S.A. 55-176 is hereby amended to read as follows: 55-
176. (a) Subject to the provisions of K.S.A. 55-143, and amendments
thereto, the commission shall assess operators or their designated agents
for all or part of the actual costs and expenses incurred in: (1) The su-
pervision, administration, inspection, investigation; (2) the enforcement
of this act and the rules and regulations adopted pursuant to this act; and
(3) monitoring and inspecting oil and gas lease salt water and oil storage,
disposal and emergency facilities.

      (b) The commission shall remit all moneys received by or for it for
costs or expenses under this section to the state treasurer at least monthly
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount thereof in the state treasury. Twenty percent
of each such deposit shall be credited to the state general fund and the
balance shall be credited to the conservation fee fund created by K.S.A.
55-143, and amendments thereto.

      Sec.  193. K.S.A. 2000 Supp. 55-180 is hereby amended to read as
follows: 55-180. (a) The fact that any person has initiated or supported a
proceeding before the commission, or has remedied or attempted to rem-
edy the condition of any well under the authority of this act, shall not be
construed as an admission of liability or received in evidence against such
person in any action or proceeding wherein responsibility for or damages
from surface or subsurface pollution, or injury to any usable water or oil-
bearing or gas-bearing formation, is or may become an issue; nor shall
such fact be construed as releasing or discharging any action, cause of
action or claim against such person existing in favor of any third person
for damages to property resulting from surface or subsurface pollution,
or injury to any usable water or oil-bearing or gas-bearing formation.

      (b) The commission, on its own motion, may initiate an investigation
into any pollution problem related to oil and gas activity. In taking such
action the commission may require or perform the testing, sampling,
monitoring or disposal of any source of groundwater pollution related to
oil and gas activities.

      (c) The commission or any other person authorized by the commis-
sion who has no obligation to plug, replug or repair any abandoned well,
but who does so in accordance with the provisions of this act, shall have
a cause of action for the reasonable cost and expense incurred in plugging,
replugging or repairing the well against any person who is legally respon-
sible for the proper care and control of such well pursuant to the provi-
sions of K.S.A. 55-179, and amendments thereto, and the commission or
other person shall have a lien upon the interest of such obligated person
in and to the oil and gas rights in the land and equipment located thereon.

      (d) Any moneys recovered by the commission in an action pursuant
to subsection (c) shall be remitted to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount of the remittance in the state treasury and credit it to the credit
of the conservation fee fund or the abandoned oil and gas well fund, as
appropriate based on the fund from which the costs incurred by the com-
mission were paid.

      Sec.  194. K.S.A. 2000 Supp. 55-427 is hereby amended to read as
follows: 55-427. (a) Every manufacturer, importer, or distributor of any
of the above-named petroleum products subject to inspection and liable
for the payment of fees as provided in the petroleum products inspection
law, shall report in full and detail before the 25th day of every month at
the office of the director of taxation, on blanks prepared, furnished and
approved by the director of taxation, the quantity of each of the above-
named petroleum products sold in the state of Kansas during the pre-
ceding calendar month, and shall, at the time of forwarding such report,
compute and pay to the director of taxation at the director's office, the
amount of fees due the state on all petroleum products subject to in-
spection during the preceding month.

      (b) All fees imposed under the provisions of the petroleum products
inspection law and not paid on or before the 25th day of the month
succeeding the calendar month in which such petroleum products were
sold or offered for sale shall be deemed delinquent and shall bear interest
at the rate of 1% a month, or fraction thereof, from such due date until
paid. In addition, there is hereby imposed upon all amounts of such fees
remaining due and unpaid after such due date a penalty in the amount
of 5%. Such penalty shall be added to and collected as part of the fees
by the director of taxation. The fees, including penalty and interest shall
be paid remitted by the director of taxation daily to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, and the state treasurer
shall deposit the entire amount in the state treasury and credit the same
in accordance with subsections (c) and (d).

      (c) There is hereby created in the state treasury the petroleum in-
spection fee fund which shall be administered by the secretary of agri-
culture. All moneys credited to the petroleum inspection fee fund shall
be used for the expenses incurred for the performance of the duties and
functions of the secretary of agriculture and the Kansas department of
agriculture prescribed by K.S.A. 55-422 through 55-446, and amend-
ments thereto, and K.S.A. 83-501, and amendments thereto, or any rules
and regulations adopted thereunder, relating to the regulation of the qual-
ity of petroleum products, and for the expenses incurred for the perform-
ance of the duties and functions of the secretary of agriculture and the
Kansas department of agriculture prescribed by K.S.A. 83-401 through
83-410, and amendments thereto, or any rules and regulations adopted
thereunder, and K.S.A. 83-501, and amendments thereto, or any rules
and regulations adopted thereunder, relating to the regulation of motor
fuel dispensing devices, as defined by K.S.A. 83-401, and amendments
thereto. All expenditures from the petroleum inspection fee fund shall
be made in accordance with the provisions of appropriation acts upon
warrants of the director of accounts and reports issued pursuant to vouch-
ers approved by the secretary of agriculture or by a person or persons
designated by the secretary.

      (d) All moneys received for the fee imposed by K.S.A. 55-426, and
amendments thereto, or for interest or penalties imposed by K.S.A. 55-
427, and amendments thereto, shall be deposited remitted to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury and such moneys
shall be credited in accordance with the following:

      (1) On and after July 1 of each fiscal year, 2/3 of each such deposit
shall be credited to the state general fund and the balance of each such
deposit shall be credited to the petroleum inspection fee fund until the
aggregate of all amounts credited to the state general fund under this
subsection (d)(1) equals $250,000; and

      (2) after $250,000 has been credited to the state general fund under
subsection (d)(1) for any fiscal year, the entire amount of each amount
deposited thereafter for such fiscal year shall be credited to the petroleum
inspection fee fund.

      Sec.  195. K.S.A. 2000 Supp. 55-443 is hereby amended to read as
follows: 55-443. (a) It is a violation for any person to:

      (1) Act as or represent such person's self to be a technical represen-
tative without having a valid license issued by the department of agricul-
ture;

      (2) hinder or obstruct in any way the secretary or any of the secre-
tary's authorized agents in the performance of the secretary's official du-
ties under the petroleum products inspection law;

      (3) failure to follow the applicable version of NIST Handbook as re-
ferenced in chapter 83 of the Kansas Statutes Annotated, and amend-
ments thereto, or any rules and regulations adopted thereunder when
installing, repairing, calibrating or testing a device;

      (4) failure to complete the testing or placing-in-service report in its
entirety and to report the accurate description of the parts replaced, ad-
justed, reconditioned or work performed;

      (5) filing a false or fraudulent application or report to the secretary;

      (6) failure to pay all fees and penalties as prescribed by the petroleum
products inspection law and the rules and regulations adopted and prom-
ulgated pursuant to the petroleum products inspection law;

      (7) refuse to keep and make available for examination by the depart-
ment of agriculture all books, papers, and other information necessary for
the enforcement of the petroleum products inspection law or chapter 83
of the Kansas Statutes Annotated, and amendments thereto;

      (8) failure to have any commercial dispensing device tested as re-
quired by the petroleum products inspection law or chapter 83 of the
Kansas Statutes Annotated, and amendments thereto;

      (9) sell, offer or expose for sale any petroleum product which does
not comply with the provisions of the petroleum products inspection law;

      (10) sell, use, remove, otherwise dispose of or fail to remove from
the premises specified, any dispensing device, package or commodity con-
trary to the terms of any order issued by the secretary; and

      (11) violate any order issued by the secretary pursuant to chapter 83
of the Kansas Statutes Annotated, and amendments thereto.

      (b) Any person who violates any provision of the petroleum products
inspection law or any applicable provisions of chapter 83 of the Kansas
Statutes Annotated, or amendments thereto, or any rules and regulations
adopted thereunder, in addition to any other penalty provided by law,
may incur a civil penalty imposed under subsection (c) in an amount,
fixed by rules and regulations of the secretary, of not less than $100 nor
more than $5,000 for each such violation and, in the case of a continuing
violation, every day such violation continues shall be deemed a separate
violation.

      (c) In determining the amount of the civil penalty, the following shall
be taken into consideration: (1) The extent of harm caused by the viola-
tion; (2) the nature and persistence of the violation; (3) the length of time
over which the violation occurs; (4) any corrective actions taken; and (5)
any and all relevant circumstances.

      (d) All civil penalties assessed shall be due and payable within 10 days
after written notice of assessment is served on the person, unless a longer
period of time is granted by the secretary. If a civil penalty is not paid
within the applicable time period, the secretary may file a certified copy
of the notice of assessment with the clerk of the district court in the
county where the weighing and measuring device or dispensing device is
located. The notice of assessment shall be enforced in the same manner
as a judgment of the district court.

      (e) No civil penalty shall be imposed pursuant to this section except
upon the written order of the duly authorized agent of the secretary to
the person who committed the violation or to the person whose agent or
employee committed the violation. Such order shall state the violation,
the penalty to be imposed and the right of the person to appeal to the
secretary. Any such person, within 20 days after notification, may make
written request to the secretary for a hearing in accordance with the
provisions of the Kansas administrative procedure act. The secretary shall
affirm, reverse or modify the order and shall specify the reasons therefor.

      (f) Any person aggrieved by an order of the secretary made under
this section may appeal such order to the district court in the manner
provided by the act for judicial review and civil enforcement of agency
actions.

      (g) An appeal to the district court or to an appellate court shall not
stay the payment of the civil penalty.

      (h) Any civil penalty recovered pursuant to the provisions of this sec-
tion or any penalty recovered under the consumer protection act for vi-
olations of this section, and amendments thereto, or any rules and regu-
lations adopted thereunder, shall be remitted to the state treasurer,
deposited in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury and credited to
the credit of the weights and measures fee fund.

      (i) This section shall be part of and supplemental to the petroleum
products inspection act, article 4 of chapter 55 of the Kansas Statutes
Annotated, and amendments thereto.

      Sec.  196. K.S.A. 55-609 is hereby amended to read as follows: 55-
609. (a) Subject to the provisions of K.S.A. 55-143, and amendments
thereto, the state corporation commission is hereby authorized and di-
rected to tax and assess against the parties involved in any hearing or
application all or any part of the costs incurred therein and also, all or
any part of the costs to the state incurred in making necessary investi-
gations and in enforcing its orders under K.S.A. 55-601 to 55-613, inclu-
sive, and amendments thereto, and divide such costs among the parties
in such proportion as is just and equitable.

      (b) The state corporation commission shall remit all moneys received
by or for it for costs taxed and assessed under this section to the state
treasurer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury. Twenty percent of each such deposit shall be credited to the
state general fund and the balance shall be credited to the conservation
fee fund created by K.S.A. 55-143, and amendments thereto.

      (c) Assessments imposed on the basis of a volume measure of pro-
duction under the authority of this section shall be reported and remitted
in the manner provided in K.S.A. 79-4230, and amendments thereto.

      Sec.  197. K.S.A. 55-711 is hereby amended to read as follows: 55-
711. (a) Subject to the provisions of K.S.A. 55-143, and amendments
thereto, the state corporation commission is hereby directed to tax and
assess against the parties involved in any hearing or application all or any
part of the costs incurred therein, also all or any part of the costs to the
commission incurred in making the necessary investigations and the en-
forcement of its orders under K.S.A. 55-701 to 55-713, inclusive, and
amendments thereto, and divide such costs among the interested parties
in such proportion as may be just and equitable.

      (b) The state corporation commission shall remit all moneys received
by or for it for costs under this section to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury. Twenty per-
cent of each such deposit shall be credited to the state general fund and
the balance shall be credited to the conservation fee fund created by
K.S.A. 55-143, and amendments thereto.

      (c) Assessments imposed on the basis of a volume measure of pro-
duction under the authority of this section shall be reported and remitted
in the manner provided in K.S.A. 79-4230, and amendments thereto.

      Sec.  198. K.S.A. 55-901 is hereby amended to read as follows: 55-
901. (a) The owner or operator of any oil or gas well which may be pro-
ducing and which produces salt water or waters containing minerals in
an appreciable degree shall have the right to return such waters to any
horizon from which such salt waters may have been produced, or to any
other horizon which contains or had previously produced salt water or
waters containing minerals in an appreciable degree, if the owner or op-
erator of such well makes a written application to the state corporation
commission for authority to do so, and written approval has been granted
to the owner or operator after investigation by the state corporation com-
mission.

      (b) The state corporation commission is hereby directed to adopt
such rules and regulations as may be just and equitable to carry out the
provisions of this section.

      (c) Subject to the provisions of K.S.A. 55-143, and amendments
thereto, the state corporation commission shall assess all or any part of
the cost that may be incurred under the provisions of this section against
the applicant.

      (d) The commission shall remit all moneys received by or for it for
costs assessed under this section to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount thereof in the state treasury. Twenty percent
of each such deposit shall be credited to the state general fund and the
balance shall be credited to the conservation fee fund created by K.S.A.
55-143, and amendments thereto.

      Sec.  199. K.S.A. 55-1204 is hereby amended to read as follows: 55-
1204. (a) Any natural gas public utility desiring to exercise the right of
eminent domain as to any property for use for underground storage of
natural gas shall, as a condition precedent to the filing of its petition in
the district court, obtain from the commission a certificate setting out
findings of the commission:

      (1) That the underground stratum or formation sought to be acquired
is suitable for the underground storage of natural gas and that its use for
such purposes is in the public interest; and

      (2) the amount of recoverable oil and native gas, if any, remaining
therein.

      (b) The commission shall issue no such certificate until after public
hearing is had on application and upon reasonable notice to interested
parties in accordance with the provisions of the Kansas administrative
procedure act. Subject to the provisions of K.S.A. 55-143, and amend-
ments thereto, the applicant shall be assessed an amount equal to all or
any part of the costs of such proceedings and the applicant shall pay the
amount so assessed.

      (c) All provisions of K.S.A. 66-106, 66-118a, 66-118b, 66-118c, 66-
118d, 66-118e, 66-118j and 66-118k or any, and amendments thereto,
shall be applicable to all proceedings of the commission under K.S.A. 55-
1201 to 55-1206, inclusive, and acts amendatory thereof or supplemental
amendments thereto.

      (d) The state corporation commission shall remit all moneys received
by or for it for costs assessed under this section to the state treasurer at
least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury and
the same shall be credited to the credit of the conservation fee fund
created by K.S.A. 55-143, and amendments thereto.

      Sec.  200. K.S.A. 55-1207 is hereby amended to read as follows: 55-
1207. The director of the state department of administration, with the
approval of the state finance council, may lease to a person, firm or cor-
poration lands owned by the state of Kansas for the underground storage
of natural gas by such person, firm or corporation. All such leases shall
be on such terms and conditions as the director of the state department
of administration, with the approval of the state finance council, shall
prescribe: Provided, except that every such lease shall be for a period of
twenty (20) 20 years and as long thereafter as said as such lands are
actually used by the lessee or its assignees for the underground storage
of natural gas. Every such lease shall describe the subsurface stratum or
formation in said such lands which is to be utilized for such storage. Any
lease granted pursuant to the provisions of this section shall be without
prejudice to the rights of the state as the owner of said such lands, or any
lessee of the oil and gas rights thereof, to develop other subsurface strata
or formations so leased in such manner as will comply with existing or
hereafter promulgated rules and regulations of the state corporation com-
mission issued for the purpose of protecting underground gas storage
stratum or formation as provided by K.S.A. 55-1203, or acts amendatory
thereof or supplemental and amendments thereto.

      All proceeds of such leases shall be paid into remitted to the state
treasury and the state treasurer shall credit the same treasurer in accord-
ance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of each such remittance, the state treasurer shall deposit the
entire amount in the state treasury to the credit of the state general fund
of the state. Provided, That The proceeds of any such leases which shall
be derived from the lease of lands which are held by the state of Kansas
for the use and benefit of a state institution shall be kept by the state
treasurer in a separate fund for the use and benefit of said such state
institution under rules and regulations adopted by the state agency having
control and management of such state institution.

      Sec.  201. K.S.A. 2000 Supp. 58-2011 is hereby amended to read as
follows: 58-2011. (a) Whenever a survey originates from a United States
public land survey corner or any related accessory, the land surveyor shall
file a copy of the report of the completed survey and references to the
corner or accessory with the secretary of the state historical society and
with the county surveyor for the county or counties in which the survey
corner exists. If there is no county surveyor of such county, such report
shall be filed with the county engineer. If there is no county engineer,
such report shall be filed in the office of the county road department.
Reports filed with the secretary of the state historical society may be filed
and retrieved using electronic technologies if authorized by the secretary.
Such report shall be filed within 30 days of the date the references are
made. At the time of filing such report with the secretary of the state
historical society, the land surveyor shall pay a filing fee in an amount
fixed by rules and regulations of the secretary of the state historical so-
ciety. Fees charged for filing and retrieval of such reports may be billed
and paid periodically.

      (b) Any person engaged in an activity in which a United States public
land survey corner or any related accessory is likely to be altered, re-
moved, damaged or destroyed shall have a person qualified to practice
land surveying establish such reference points as necessary for the res-
toration, reestablishment or replacement of the corner or accessory. The
land surveyor shall file a reference report with the secretary of the state
historical society and with the county surveyor for the county or counties
in which the survey corner exists. Such report shall be filed within 30
days of the date the references are made. At the time of filing such report
with the secretary of the state historical society, the land surveyor shall
pay a filing fee in an amount fixed by rules and regulations of the secretary
of the state historical society.

      (c) Upon completion of the activity likely to alter, remove, damage
or destroy the public land survey corner or related accessory, the land
surveyor shall review the survey corner and its accessories. If the survey
corner or any accessory has been altered, removed, damaged or de-
stroyed, the land surveyor shall replace the corner or accessory with a
survey monument and file a restoration report with the secretary of the
state historical society and the county surveyor in the county or counties
in which it existed. If the survey corner and accessories are not damaged
during the activity, a restoration report so stating shall be filed with the
secretary of the state historical society and county surveyor's office. Such
report shall be filed within 30 days after the activity is completed. At the
time of filing such report with the office of the secretary of the state
historical society the land surveyor shall pay a filing fee in an amount fixed
by rules and regulations of the secretary of the state historical society.

      (d) Failure to comply with the filing requirements of this section shall
be grounds for the suspension or revocation of the land surveyor's license.

      (e) The secretary of the state historical society may produce, repro-
duce and sell maps, plats, reports, studies and records relating to land
surveys. The secretary of the state historical society shall charge a fee in
an amount to be fixed by rules and regulations of the secretary for the
furnishing of information retrieved from records filed pursuant to this
section and for reproductions or copies of maps, plats, reports, studies
and records filed in such office.

      (f) All moneys collected by the secretary of the state historical society
under the provisions of this section shall be paid remitted to the state
treasurer on or before the last day of each month in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
thereof of each such remittance, the state treasurer shall deposit the entire
amount in the state treasury. Twenty percent of each such deposit shall
be credited to the state general fund and the balance shall be credited to
the land survey fee fund, which is hereby created. All expenditures from
such fund shall be made in accordance with appropriation acts upon war-
rants approved by the secretary of the state historical society or a person
designated by the secretary of the state historical society and shall be used
only for the purpose of paying the costs incurred in administering the
provisions of this act. After the effective date of this act, any reference to
the secretary of state in regard to appropriations to the land survey fee
fund shall be deemed to refer to the secretary of the state historical so-
ciety.

      (g) The failure of any person to have a land surveyor establish ref-
erence points as required by subsection (b) shall be a class C misde-
meanor.

      Sec.  202. K.S.A. 2000 Supp. 58-3066 is hereby amended to read as
follows: 58-3066. (a) The real estate recovery revolving fund established
within the state treasury by K.S.A. 58-3023, and amendments thereto, is
hereby continued in existence. Such fund shall be used in the manner
and for the purpose provided by this act.

      (b) At any time that the balance remaining in the real estate recovery
revolving fund is less than $100,000 the commission, without delay, shall
assess each licensed broker a fee of $10 and each licensed salesperson a
fee of $5. Such fees shall be deposited in the state treasury and credited
to the real estate recovery revolving fund. If a licensee does not pay the
assessment within 30 days from the date notice of assessment is mailed
to the last residence address reported to the commission by the licensee,
the licensee's license may be suspended in accordance with the Kansas
administrative procedure act until the assessment is paid. A fee of $15
shall be paid by the licensee to reinstate the suspended license. Fees paid
to reinstate licenses suspended under this section shall be deposited re-
mitted to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury
and credited to the credit of the state general fund and the real estate fee
fund as provided by subsection (a) of K.S.A. 58-3074, and amendments
thereto.

      (c) All payments and disbursements from the real estate recovery
revolving fund shall be made upon warrants of the director of accounts
and reports issued pursuant to vouchers approved by the director of the
commission or by any person or persons designated by the commission.
Amounts credited to the real estate recovery revolving fund under this
section shall not be subject to any limitation imposed by any appropriation
act of the legislature. All payments and disbursements from the real estate
recovery revolving fund shall be subject to post audit in accordance with
article 11 of chapter 46 of the Kansas Statutes Annotated and any amend-
ments thereto.

      (d) On or before the 10th of each month, the director of accounts
and reports shall transfer from the state general fund to the real estate
recovery revolving fund interest earnings based on:

      (1) The average daily balance of moneys in the real estate recovery
revolving fund for the preceding month; and

      (2) the net earnings rate of the pooled money investment portfolio
for the preceding month.

      Sec.  203. K.S.A. 58-3074 is hereby amended to read as follows: 58-
3074. (a) Except as provided by subsections (b) and (c), the director of
the commission shall remit all moneys received by or for the director
from fees, charges or penalties to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt thereof of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury. Twenty percent of
each such deposit shall be credited to the state general fund and the
balance shall be credited to the real estate fee fund established by former
K.S.A. 58-3014, and amendments thereto, which fund is hereby continued
in existence. All expenditures from such 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 director or by a
person or persons designated by the director.

      (b) The director of the commission shall remit to the state treasurer
at least monthly all moneys received by or for the director pursuant to
K.S.A. 58-3066 through 58-3072, and amendments thereto, to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Except as provided by subsections (b) and (d) of
K.S.A. 58-3066, and amendments thereto, upon receipt of such moneys
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credit it to the credit of the real estate recovery
revolving fund.

      (c) The director of the commission shall remit to the state treasurer
at least monthly all moneys received by or for the director pursuant to
K.S.A. 58-3050, and amendments thereto, to the state treasurer in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt thereof of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and credit it to the credit
of the state general fund.

      Sec.  204. K.S.A. 58-4107 is hereby amended to read as follows: 58-
4107. (a) The board shall adopt rules and regulations prescribing the fees
provided for by this act in amounts necessary to administer and enforce
this act, subject to the following:

      (1) For application for certification or licensure, a fee not to exceed
$50.

      (2) For any examination required for certification or licensure, a fee
in an amount equal to the actual cost of the examination and administra-
tion thereof.

      (3) For original or renewal certification or licensure, a fee not to
exceed $300.

      (4) For late renewal of a certificate or license, a late fee not to exceed
$50.

      (5) For certification to another jurisdiction that an individual is cer-
tified or licensed, an amount not exceeding $25.

      (6) For approval of a course of instruction approved pursuant to
K.S.A. 8-4105 58-4105, and amendments thereto, an amount not to ex-
ceed $100.

      (7) For renewal of a course of instruction approved pursuant to
K.S.A. 58-4105, and amendments thereto, an amount not to exceed $25.

      If a certificate or license is issued or renewed for a period other than
one year, the fee shall be prorated to the nearest whole month.

      (b) In addition to the certificate or license issued pursuant to this act,
the board may offer to provide a wall certificate, which shall bear no
expiration date, and may charge a fee not exceeding $50 to each appraiser
requesting the issuance of a wall certificate.

      (c) The board may prescribe a fee not to exceed $50 for registration
of an appraiser pursuant to subsection (b) of K.S.A. 58-4103, and amend-
ments thereto.

      (d) The board may establish different classes of courses of instruction
for the purpose of establishing fees pursuant to subsections (a)(6) and (7)
and may establish a different fee for each such class.

      (e) In addition to the fees prescribed above, the board shall collect
any registry fee required pursuant to federal law. Such registry fees shall
be transmitted by the board to the appraisal subcommittee of the federal
financial institutions examination council in accordance with federal law.

      (f) Except as provided in subsection (g), the board shall collect all
fees provided for by this act. No original or renewed certificate or license
shall be issued unless all appropriate fees, including any federal registry
fee, have been paid.

      (g) If a testing service has been designated by the board to administer
the examination, each applicant shall pay the examination fee to the test-
ing service.

      (h) The director of the board shall remit to the state treasurer at least
monthly all moneys, received pursuant to this act to the state treasurer
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt thereof of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury. Twenty percent of
each such deposit, other than amounts collected for federal registry fees
or for civil fines imposed pursuant to K.S.A. 58-4118, and amendments
thereto, shall be credited to the state general fund and the balance shall
be credited to the appraiser fee fund, which is hereby created in the state
treasury. All expenditures from such fund shall be made in accordance
with appropriations acts upon warrants of the director of accounts and
reports issued pursuant to vouchers approved by the chairperson of the
board or by a person or persons designated by the chairperson.

      (i) All amounts collected for federal registry fees shall be credited
totally to the federal registry clearing fund, which is hereby created in
the state treasury. All disbursements from the federal registry clearing
fund shall be made upon warrants of the director of accounts and reports
issued pursuant to vouchers approved by the chairperson of the board or
by a person or persons designated by the chairperson. Amounts credited
to the federal registry clearing fund under this section shall not be subject
to any limitations imposed by any appropriations act of the legislature.

      Sec.  205. K.S.A. 2000 Supp. 58-4118 is hereby amended to read as
follows: 58-4118. (a) The board may investigate the actions of a state
certified or licensed appraiser and may revoke, condition, limit or suspend
the certificate or license of the appraiser, or censure the appraiser, for
any of the following acts or omissions:

      (1) Procuring or attempting to procure a certificate or license pur-
suant to this act by knowingly making a false statement, submitting false
information, refusing to provide complete information in response to a
question in an application for certification or licensure or any form of
fraud or misrepresentation;

      (2) failing to meet the minimum qualifications established by this act;

      (3) paying money, other than provided for by this act, to any member
or employee of the board to procure a certificate or license under this
act;

      (4) a plea of guilty or nolo contendere to, or conviction of: (A) For-
gery, embezzlement, obtaining money under false pretenses, larceny, ex-
tortion, conspiracy to defraud or any other similar offense; (B) a crime
involving moral turpitude; or (C) any felony charge;

      (5) an act or omission involving dishonesty, fraud or misrepresenta-
tion, with the intent to substantially benefit the appraiser or another per-
son or with the intent to substantially injure another person;

      (6) violation of any of the standards for the development or com-
munication of real estate appraisals as provided in this act;

      (7) failure or refusal without good cause to exercise reasonable dili-
gence in developing an appraisal, preparing an appraisal report or com-
municating an appraisal;

      (8) negligence or incompetence in developing an appraisal, preparing
an appraisal report or communicating an appraisal;

      (9) willfully disregarding or violating any provision of this act or rules
and regulations of the board for the administration and enforcement of
the provisions of this act;

      (10) accepting an appraisal assignment, described in K.S.A. 58-4122,
and amendments thereto, when the employment itself is contingent upon
the appraiser reporting a predetermined estimate, analysis or opinion, or
when the fee to be paid is contingent upon the opinion, conclusion or
valuation reached, or upon the consequences resulting from the appraisal
assignment;

      (11) violating the confidential nature of governmental records to
which the appraiser gained access through employment or engagement
as an appraiser by a governmental agency;

      (12) entry of a final civil judgment against the person on grounds of
fraud, misrepresentation or deceit in the making of any appraisal of real
property;

      (13) disciplinary action in relation to appraisal work, including, but
not limited to, denial, revocation or suspension of a license or certificate
by another state, district or territory of the United States or another coun-
try; or

      (14) receipt of an order of prohibition in relation to appraisal work,
by consent or otherwise, issued by an agency of the federal government.

      (b) In addition to or in lieu of any other administrative, civil or crim-
inal remedy provided by law, the board upon a finding that a state cer-
tified or licensed appraiser has violated any provision of this act or of any
rules and regulations adopted hereunder, may impose upon such ap-
praiser a civil fine not exceeding $1,000 for each violation. All moneys
collected by the board from such fines shall be remitted to the state
treasurer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt thereof of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury and credit it to the credit of the state general fund.

      (c) In a disciplinary proceeding based upon a civil judgment, the ap-
praiser shall be afforded an opportunity to present matters in mitigation
and extenuation but may not collaterally attack the civil judgment.

      (d) All administrative proceedings pursuant to this section shall be
conducted in accordance with the Kansas administrative procedure act.

      Sec.  206. K.S.A. 59-901 is hereby amended to read as follows: 59-
901. The estate of an intestate decedent without known heirs shall be
administered in the same manner as the estate of any other intestate
decedent, except as herein otherwise provided. The administrator, as ex-
peditiously as possible, shall convert the personal property into money
and collect the rents, income and profits from the real estate. If no one
claims as heir, devisee or legatee within six months after the appointment
of the administrator, the administrator shall sell the real estate and close
the estate as other estates are closed and remit the net proceeds of the
estate to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount of the remittance in
the state treasury to the credit of the escheat proceeds suspense fund,
which fund shall not be a part of the state treasury. All disbursements
and transfers from such fund shall be made upon special warrants of the
director of accounts and reports issued pursuant to special vouchers ap-
proved by the secretary of revenue or by a person or persons designated
by the secretary.

      Sec.  207. K.S.A. 60-306 is hereby amended to read as follows: 60-
306. (a) Generally. Any individual, partnership, association or corporation
may file in the office of the secretary of state an instrument appointing a
resident of the state of Kansas as agent upon whom process for such
person, fiduciary, company or corporation may be served, and consenting
without limitation or exception other than as provided in this act that
service of process may be issued out of any court upon such service agent
as the agent of such individual, partnership, association or corporation.
The instrument appointing such service agent shall be acknowledged,
shall state the residence or office address of the service agent, and shall
be recorded at length upon the register of service agents and shall state
that such designation is made pursuant to this section.

      (b) Change of address. An appointment shall be amended, in writing,
and filed with the secretary of state whenever the name or address of the
service agent is no longer accurate.

      (c) Period of appointment. The appointment shall remain in effect for
a period of three years from the date of its filing unless revoked in writing,
executed in the same manner as such appointment, which revocation shall
be recorded and indexed in the register of service agents.

      (d) Collection of fee. The fee for filing an appointment, amendment
or revocation shall be $20. The secretary of state shall remit to the state
treasurer at least monthly all fees received pursuant to this section to the
state treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury and credit the
amount to the credit of the information and copy service fee fund created
in K.S.A. 75-438, and amendments thereto.

      (e) Effect of service upon agent. When any person, fiduciary or cor-
poration shall have appointed such a service agent and such appointment
remains unexpired and unrevoked, process issued in any action or pro-
ceeding against such person, fiduciary or corporation in any court may be
served upon such service agent. Service by publication shall be of no force
or effect where an appointment of service agent made and filed as herein
provided remains in effect, unless process showing upon its face the name
and address of such service agent shall have been duly issued to the
proper officer of the county of such service agent's residence as shown
on the register of service agents and returned by such officer to whom it
has been directed, with a notation, that such officer cannot find such
service agent in the county. Such notation shall also state the name of the
service agent who could not be found.

      Sec.  208. K.S.A. 65-102a is hereby amended to read as follows: 65-
102a. All correspondence, written materials or other documents relating
to environmental concerns, for which public release of such information
is not prohibited, shall be available for public inspection in the offices of
the secretary of health and environment during regular office hours. Cop-
ies of such correspondence, written materials or other documents shall
be made available upon request and payment of a fee for each page so
provided in an amount fixed by the secretary of health and environment
and approved by the director of accounts and reports under K.S.A. 45-
204, and amendments thereto, except that no charge shall be made to any
member of the legislature obtaining such copies for his or her official use
and no charge shall be made for fact sheets and other materials required
by federal law or regulation to be supplied to the public. The secretary
shall remit all moneys received by him or her from such fees to the state
treasurer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury to the credit of the state general fund.

      Sec.  209. K.S.A. 65-157 is hereby amended to read as follows: 65-
157. The analysis of all waters required in the rules and regulations shall
be made by the office of laboratory services of the department of health
and environment and the fees collected under the provisions of this act
by the secretary of health and environment shall be remitted by the sec-
retary to the state treasurer at least monthly in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury, and such amount shall be credited to the
credit of the state general fund.

      Sec.  210. K.S.A. 2000 Supp. 65-163 is hereby amended to read as
follows: 65-163. (a) (1) No person shall operate a public water supply
system within the state without a public water supply system permit from
the secretary. An application for a public water supply system permit shall
be submitted for review and approval prior to construction and shall in-
clude: (A) A copy of the plans and specifications for the construction of
the public water supply system or the extension thereof; (B) a description
of the source from which the water supply is to be derived; (C) the pro-
posed manner of storage, purification or treatment for the supply; and
(D) such other data and information as required by the secretary of health
and environment. No source of water supply in substitution for or in
addition to the source described in the application or in any subsequent
application for which a public water supply system permit is issued shall
be used by a public water supply system, nor shall any change be made
in the manner of storage, purification or treatment of the water supply
without an additional public water supply system permit obtained in a
manner similar to that prescribed by this section from the secretary.

      (2) Whenever application is made to the secretary for a public water
supply system permit under the provisions of this section, it shall be the
duty of the secretary to examine the application without delay and, as
soon as possible thereafter, to grant or deny the public water supply sys-
tem permit subject to any conditions which may be imposed by the sec-
retary to protect the public health and welfare.

      (3) The secretary may adopt rules and regulations establishing a pro-
gram of annual certification by public water supply systems that have staff
qualified to approve the extension of distribution systems without the
necessity of securing an additional permit for the extension provided the
plans for the extension are prepared by a professional engineer as defined
by K.S.A. 74-7003, and amendments thereto.

      (b)  (1) Whenever a complaint is made to the secretary by any city of
the state, by a local health officer, or by a county or joint board of health
concerning the sanitary quality of any water supplied to the public within
the county in which the city, local health officer or county or joint board
of health is located, the secretary shall investigate the public water supply
system about which the complaint is made. Whenever the secretary has
reason to believe that a public water supply system within the state is
being operated in violation of an applicable state law or an applicable rule
and regulation of the secretary, the secretary may investigate the public
water supply system.

      (2) Whenever an investigation of any public water supply system is
undertaken by the secretary, it shall be the duty of the supplier of water
under investigation to furnish to the secretary information to determine
the sanitary quality of the water supplied to the public and to determine
compliance with applicable state laws and rules and regulations. The sec-
retary may issue an order requiring changes in the source or sources of
the public water supply system or in the manner of storage, purification
or treatment utilized by the public water supply system before delivery
to consumers, or distribution facilities, collectively or individually, as may
in the secretary's judgment be necessary to safeguard the sanitary quality
of the water and bring about compliance with applicable state law and
rules and regulations. The supplier of water shall comply with the order
of the secretary.

      (c)  (1) As used in this subsection (c), ``municipal water treatment
residues'' means any solid, semisolid or liquid residue generated during
the treatment of water in a public water supply system treatment works.

      (2) A public water supply system may place or store municipal water
treatment residues resulting from sedimentation, coagulation or softening
treatment processes in basins on land under the ownership and control
of the public water supply system operator provided that such storage or
placement is approved and permitted by the secretary under this section
as part of the public water supply system.

      (3) The secretary shall adopt uniform and comprehensive rules and
regulations for the location, design and operation of such basins. Such
rules and regulations shall require permit applications by the public water
suppliers for such basins to include a copy of the plans and specifications
for the location and construction of each basin, the means of conveyance
of the treatment residues to such basins, the content of treatment resi-
dues, the proposed method of basin operation and closure, the method
of any anticipated expansion and any other data and information required
by the secretary.

      (4) Whenever complaint is made to the secretary by the mayor of any
city of the state, by a local health officer or by a county or joint board of
health, or whenever an investigation is undertaken at the initiative of the
secretary, relating to any alleged violation of the provisions of the permit
for placement or storage of municipal water treatment residues in such
basins, the public water supply system operator shall furnish all infor-
mation the secretary requires. If the secretary finds that there is any
violation of the terms of the permit, that the means of placement and
storage exceed the terms of the permit or that any other condition exists
by reason of the means of placement and storage that may be detrimental
to the health of any inhabitants of the state or to the environment, the
secretary shall have the authority to issue an order amending the permit
or otherwise requiring the operator to perform remedial measures to
curtail or prevent such detrimental conditions.

      (d) Any action of the secretary pursuant to this section is subject to
review in accordance with the act for judicial review and civil enforcement
of agency actions. The court on review shall hear the case without delay.

      (e) The secretary shall establish by rule and regulation a system of
fees for the inspection and regulation of public water supplies. No such
fee shall exceed $.002 per 1,000 gallons of water sold at retail by a public
water supply system. All such fees shall be paid quarterly in the manner
provided for fees imposed on retail sales by public water supply systems
pursuant to K.S.A. 82a-954, and amendments thereto. The secretary shall
remit to the state treasurer all moneys collected for such fees to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt thereof of each such remittance, the
state treasurer shall deposit the entire amount in the state treasury and
credit it to the credit of the public water supply fee fund created by K.S.A.
65-163c, and amendments thereto.

      (f) There is hereby created an advisory committee to make recom-
mendations regarding: (1) Fees to be adopted by the secretary under
subsection (e); (2) means of strengthening on-site technical assistance to
public water supply systems; (3) standards for on-site and classroom water
treatment operator certification programs; (4) other matters concerning
public water supplies; and (5) to advise the secretary regarding expendi-
ture of moneys in the public water supply fee fund created by K.S.A. 65-
163c, and amendments thereto. Such advisory committee shall consist of
one member appointed by the secretary to represent the department of
health and environment, one member appointed by the director of the
Kansas water office to represent such office and two members appointed
by the secretary as follows: One from three nominations submitted by the
Kansas section of the American waterworks association, and one from
three nominations submitted by the Kansas rural water association. Mem-
bers of the advisory committee shall serve without compensation or re-
imbursement of expenses. The advisory committee shall meet at least four
times each year on call of the secretary or a majority of the members of
the committee.

      Sec.  211. K.S.A. 2000 Supp. 65-166a is hereby amended to read as
follows: 65-166a. (a) The secretary of health and environment is author-
ized and directed to establish by duly adopted rules or regulations a
schedule of fees to defray all or any part of the costs of administering the
water pollution control permit system established by K.S.A. 65-165 and
65-166, and amendments thereto. The amount of the fees so established
shall be based upon the quantity of raw wastes or treated wastes to be
discharged, units of design capacity of treatment facilities or structures,
numbers of potential pollution units, physical or chemical characteristics
of discharges and staff time necessary for review and evaluation of pro-
posed projects. In establishing the fee schedule, the secretary of health
and environment shall not assess fees for permits required in the exten-
sion of a sewage collection system, but such fees shall be assessed for all
treatment devices, facilities or discharges where a permit is required by
law and is issued by the secretary of health and environment or the sec-
retary's designated representative. Such fees shall be nonrefundable.

      (b) Any such permit for which a fee is assessed shall expire five years
from the date of its issuance. The secretary of health and environment
may issue permits pursuant to K.S.A. 65-165, and amendments thereto,
for terms of less than five years, if the secretary determines valid cause
exists for issuance of the permit with a term of less than five years. The
minimum fee assessed for any permit issued pursuant to K.S.A. 65-165,
and amendments thereto, shall be for not less than one year. Permit fees
may be assessed and collected on an annual basis and failure to pay the
assessed fee shall be cause for revocation of the permit. Any permit which
has expired or has been revoked may be reissued upon payment of the
appropriate fee and submission of a new application for a permit as pro-
vided in K.S.A. 65-165 and 65-166, and amendments thereto.

      (c) A permit shall be required for:

      (1) Any confined feeding facility with an animal unit capacity of 300
to 999 if the secretary determines that the facility has significant water
pollution potential; and

      (2) any confined feeding facility with an animal unit capacity of 1,000
or more.

      (d) At no time shall the annual permit fee for a confined feeding
facility exceed:

      (1) $25 for facilities with an animal unit capacity of not more than
999;

      (2) $100 for facilities with an animal unit capacity of 1,000 to 4,999;

      (3) $200 for facilities with an animal unit capacity of 5,000 to 9,999;
or

      (4) $400 for facilities with an animal unit capacity of 10,000 or more.

      (e) The secretary of health and environment shall remit all moneys
received from the fees established pursuant to this act to the state trea-
surer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury to the credit of the state general fund.

      (f) Any confined feeding facility with an animal unit capacity of less
than 300 may be required to obtain a permit from the secretary if the
secretary determines that such facility has significant water pollution po-
tential.

      (g) Any confined feeding facility not otherwise required to obtain a
permit or certification may obtain a permit or certification from the sec-
retary. Any such facility obtaining a permit shall pay an annual permit fee
of not more than $25.

      Sec.  212. K.S.A. 65-171e is hereby amended to read as follows: 65-
171e. All investigations, services and orders rendered, issued or prom-
ulgated under the provisions of K.S.A. 65-171d, and amendments thereto,
shall be made by such agency, section or division of the department of
health and environment, or any of them, as may be designated by the
secretary of health and environment, and all fees collected shall be re-
mitted by the secretary to the state treasurer at least monthly in accord-
ance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of any each such remittance, the state treasurer shall deposit
the entire amount thereof in the state treasury, and such amount shall be
credited to the credit of the state general fund.

      Sec.  213. K.S.A. 65-171v is hereby amended to read as follows: 65-
171v. Whenever a water or soil pollutant is discharged intentionally, ac-
cidentally or inadvertently and the secretary of health and environment
or his or her the secretary's authorized representative determines that the
discharged material must be collected, retained or rendered innocuous,
and if a discharger refuses to undertake cleanup operations or if the re-
sponsible discharger is unknown at the time, the secretary or his or her
the secretary's authorized representative may enter into an agreement
with a person to conduct the necessary cleanup operations with payment
for such cleanup work to be provided from the pollutant discharge
cleanup fund. Any person responsible for or causing the discharge of
materials which are determined necessary to cleanup under the provisions
of this act shall be responsible for repayment of the costs of cleanup work
upon reasonably detailed notification by the secretary or his or her the
secretary's authorized representative. If the responsible person fails to
promptly submit payment for costs of the cleanup operations when so
notified, such payment shall be recoverable in an action brought by the
attorney general on behalf of the people of the state of Kansas in the
district court of the county in which such costs were incurred. Any moneys
recovered under this section shall be remitted to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt thereof of each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury to the credit
of the pollutant discharge cleanup fund.

      Sec.  214. K.S.A. 65-1,109a is hereby amended to read as follows: 65-
1,109a. (a) The secretary of health and environment may adopt rules and
regulations establishing: (1) Procedures and qualifications for certification
of laboratories performing analyses required pursuant to K.S.A. 65-161
et seq., 65-171d, 65-3001 et seq., 65-3401 et seq. or 65-3430 et seq. or
K.S.A. 65-3452a et seq. or 65-34,105 et seq., and amendments thereto;
and (2) a schedule of fees to defray all or part of the costs of administering
the certification program. Such fees shall not be refundable. Failure to
pay assessed fees shall be cause for denial of certification.

      (b) Any person who violates any provision of the rules and regulations
adopted under this act shall, after notice and hearing in accordance with
the Kansas administrative procedure act, be subject to suspension, denial
or revocation of any certification granted hereunder and a civil penalty
not to exceed $500. Each day a violation continues shall be deemed a
separate violation.

      (c) The secretary of health and environment shall remit to the state
treasurer all moneys received from fees or penalties pursuant to this sec-
tion to the state treasurer in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of such moneys each such
remittance, the state treasurer shall deposit the entire amount in the state
treasury and credit it to the credit of the state general fund.

      Sec.  215. K.S.A. 2000 Supp. 65-1,205 is hereby amended to read as
follows: 65-1,205. The secretary shall remit all moneys received from the
fees established pursuant to the residential childhood lead poisoning pre-
vention act to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury to the credit of the lead-based paint hazard
fee fund established in K.S.A. 2000 Supp. 65-1,206, and amendments
thereto.

      Sec.  216. K.S.A. 65-245 is hereby amended to read as follows: 65-
245. In the event any local health department is paid more than it is
entitled to receive under any distribution made under this act, the sec-
retary shall notify the governing board of the local health department of
the amount of such overpayment, and such governing board shall remit
the same to the secretary. The secretary shall remit any moneys so re-
ceived to the state treasurer, and in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the same entire amount in the
state treasury to the credit of the state general fund. If any such governing
board fails to remit, the secretary shall deduct the excess amount paid
from future payments becoming due to such local health department. In
the event any local health department is paid less than the amount to
which it is entitled under any distribution made under this act, the sec-
retary shall pay the additional amount due at any time within the county
fiscal year in which the underpayment was made or within 60 days after
the end of such county fiscal year.

      Sec.  217. K.S.A. 2000 Supp. 65-505 is hereby amended to read as
follows: 65-505. (a) The annual fee for a license to conduct a maternity
center or child care facility shall be fixed by the secretary of health and
environment by rules and regulations in an amount not exceeding the
following:

      (1) For a maternity center, $75;

      (2) for a child placement agency, $75;

      (3) for a child care resource and referral agency, $75; and

      (4) for any other child care facility, $35 plus $1 times the maximum
number of children authorized under the license to be on the premises
at any one time.

      The license fee shall be paid to the secretary of health and environment
when the license is applied for and annually thereafter. The fee shall not
be refundable. No fee shall be charged for a license to conduct a home
for children which is a family foster home as defined in K.A.R. 28-4-311,
and amendments thereto. Fees in effect under this subsection (a) im-
mediately prior to the effective date of this act shall continue in effect on
and after the effective date of this act until a different fee is established
by the secretary of health and environment by rules and regulations under
this subsection.

      (b) Any person who fails to renew the person's license within the time
required by rules and regulations of the secretary shall pay to the secretary
a late renewal fee of $10.

      (c) Any licensee applying for an amended license shall pay to the
secretary of health and environment a fee established by rules and reg-
ulations of the secretary in an amount not exceeding $35.

      (d) The secretary of health and environment shall remit all moneys
received by the secretary from fees under the provisions of this section
to the state treasurer at least monthly in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of the each
such remittance, the state treasurer shall deposit the entire amount in the
state treasury and credit it to the credit of the state general fund.

      Sec.  218. K.S.A. 2000 Supp. 65-519 is hereby amended to read as
follows: 65-519. (a) The secretary shall issue a certificate of registration
to any person who: (1) Applies for registration on forms furnished by the
secretary; (2) attests to the safety of the family day care home for the care
of children; (3) submits a fee of not to exceed $15 as established by rules
and regulations of the secretary of health and environment payable to the
secretary of health and environment; and (4) certifies that no person de-
scribed in subsection (a)(1), (2), (3), (4), (5) or (6) of K.S.A. 65-516, and
amendments thereto, resides, works or volunteers in the family day care
home. The fee in effect under this subsection (a) immediately prior to
the effective date of this act shall continue in effect on and after the
effective date of this act until a different fee is established by the secretary
of health and environment by rules and regulations under this subsection.

      (b) The secretary shall furnish each applicant for registration a family
day care home safety evaluation form to be completed by the applicant
and submitted with the registration application.

      (c)  (1) Each child cared for in a family day care home, including
children of the person maintaining the home, shall be required to have
current such immunizations as the secretary of health and environment
considers necessary. The person maintaining a family day care home shall
maintain a record of each child's immunizations, and shall provide to the
secretary of health and environment such information relating thereto, in
accordance with rules and regulations of the secretary, but the person
maintaining a family day care home shall not have such person's certificate
of registration revoked solely for the failure to have or to maintain the
immunization records required by this subsection.

      (2) The immunization requirement of subsection (c)(1) shall not ap-
ply if one of the following is obtained:

      (A) Certification from a licensed physician stating that the physical
condition of the child is such that immunization would endanger the
child's life or health; or

      (B) a written statement signed by a parent or guardian that the parent
or guardian is an adherent of a religious denomination whose teachings
are opposed to immunizations.

      (d) The secretary of health and environment shall provide to each
person maintaining a registered family day care home a list of the require-
ments for registration of family day care homes. The person maintaining
a family day care home shall provide a copy of such list to the parent or
guardian of each child cared for in such home and shall maintain on the
premises a copy of the list which has been signed and dated by the parent
or guardian.

      (e) The certificate of registration shall be renewed annually in the
same manner provided for in this section.

      (f) The secretary of health and environment shall remit all moneys
received by the secretary from fees under the provisions of this act to the
state treasurer at least monthly in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of the each such remit-
tance, the state treasurer shall deposit the entire amount in the state
treasury and credit it to the credit of the state general fund.

      Sec.  219. K.S.A. 2000 Supp. 65-526 is hereby amended to read as
follows: 65-526. (a) The secretary of health and environment, in addition
to any other penalty prescribed under article 5 of chapter 65 of the Kansas
Statutes Annotated, or acts amendatory of the provisions thereof or sup-
plemental and amendments thereto, may assess a civil fine, after proper
notice and an opportunity to be heard, against a licensee or registrant for
each violation of such provisions or rules and regulations adopted pur-
suant thereto which affect significantly and adversely the health, safety
or sanitation of children in a child care facility or family day care home.
Each civil fine assessed under this section shall not exceed $500. In the
case of a continuing violation, every day such violation continues shall be
deemed a separate violation.

      (b) All fines assessed and collected under this section shall be remit-
ted promptly to the state treasurer in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt thereof of each
such remittance, the state treasurer shall deposit the entire amount in the
state treasury and credit it to the credit of the state general fund.

      Sec.  220. K.S.A. 65-6a45 is hereby amended to read as follows: 65-
6a45. The secretary of the state board of agriculture shall remit all moneys
received by or for him the secretary under article 6a of chapter 65 of
Kansas Statutes Annotated, and amendments thereto, to the state trea-
surer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of any each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury and the same shall be credited to the credit of the meat and
poultry inspection fee fund. All expenditures from such 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 him the secretary.

      Sec.  221. K.S.A. 65-6a56 is hereby amended to read as follows: 65-
6a56. (a) Any person who violates any of the provisions of the Kansas
meat and poultry inspection act, article 6a of chapter 65 of the Kansas
Statutes Annotated, and amendments thereto, or any rule and regulation
promulgated thereunder, in addition to any other penalty provided by
law, may incur a civil penalty imposed under subsection (b) in the amount
fixed by rules and regulations of the state board of agriculture in an
amount not less than $100 nor more than $5,000 for each violation and,
in the case of a continuing violation, every day such violation continues
shall be deemed a separate violation.

      (b) A duly authorized agent of the secretary, upon finding that any
person or agent or employee thereof has violated any provision of the
Kansas meat and poultry inspection act or any rule and regulation prom-
ulgated thereunder, may impose a civil penalty as provided by this section
upon such person.

      (c) No civil penalty shall be imposed pursuant to this section except
on written order of the duly authorized agent of the secretary to the
person who committed the violation or to the person whose agent or
employee committed the violation. Such order shall state the violation,
the penalty to be imposed and the right of such person to appeal to the
secretary. Any such person, within 20 days after notification, may make
written request to the secretary for a hearing in accordance with the
provisions of the Kansas administrative procedure act. The secretary shall
affirm, reverse or modify the order and shall specify the reasons therefor.

      (d) Any person aggrieved by an order of the secretary made under
this section may appeal such order to the district court in the manner
provided by the act for judicial review and civil enforcement of agency
actions.

      (e) Any civil penalty recovered pursuant to the provisions of this sec-
tion shall be remitted to the state treasurer, deposited in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credited to the credit of the state general fund.

      (f) This section shall be part of and supplemental to the Kansas meat
and poultry inspection act, article 6a of chapter 65 of the Kansas Statutes
Annotated, and amendments thereto.

      Sec.  222. K.S.A. 65-6b10 is hereby amended to read as follows: 65-
6b10. The secretary of health and environment shall remit all moneys
received by the secretary under this act to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of any each such remittance, the state trea-
surer shall deposit the entire amount thereof in the state treasury. Twenty
percent (20%) of each such deposit shall be credited to the state general
fund, and the balance shall be credited to the amygdalin (laetrile) en-
forcement fee fund, which fund is hereby created. All expenditures from
such fund shall be made in accordance with appropriation acts upon war-
rants of the director of accounts and reports issued pursuant to vouchers
approved by the secretary of health and environment or a person or per-
sons designated by the secretary.

      Sec.  223. K.S.A. 2000 Supp. 65-708a is hereby amended to read as
follows: 65-708a. (a) The state dairy commissioner shall remit all moneys
received by or for the commissioner under article 7 of chapter 65 of
Kansas Statutes Annotated, and amendments thereto, (except K.S.A. 65-
737 to 65-750, inclusive, and amendments thereto) to the state treasurer
at least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto.

      (b) On and after the effective date of this act through June 30, 1999,
upon receipt of any such remittance the state treasurer shall deposit the
entire amount thereof in the state treasury and the same shall be credited
as follows: (1) An amount equal to $.0010 per 100 pounds of milk or
cream for manufacturing purposes produced by milk producers under
the Kansas manufacturing grade milk inspection fee shall be credited to
the laboratory equipment fund created by K.S.A. 2000 Supp. 74-554, and
amendments thereto; (2) $.0006 per 100 pounds of Kansas produced milk
or cream for manufacturing purposes or other Kansas produced milk
delivered to a dairy manufacturing plant and used in the manufacturing
of dairy products shall be credited to the laboratory equipment fund cre-
ated by K.S.A. 2000 Supp. 74-554, and amendments thereto; (3) An
amount equal to $.10 per thousand gallons of frozen dairy dessert or
frozen dairy dessert mix manufactured in this state or imported for retail
sale in Kansas shall be credited to the laboratory equipment fund created
by K.S.A. 2000 Supp. 74-554, and amendments thereto; and (4) the re-
mainder shall be credited to the dairy division fee fund. On and after July
1, 1999, Upon receipt of any each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury and the same
shall be credited to the credit of the dairy division fee fund.

      (c) (b) All expenditures from the dairy division fee 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 com-
missioner or by a person or persons designated by the commissioner.

      Sec.  224. K.S.A. 2000 Supp. 65-750 is hereby amended to read as
follows: 65-750. (a) The commissioner shall remit all moneys received by
or for him the commissioner under K.S.A. 65-737 to 65-750, inclusive,
and amendments thereto, to the state treasurer at least monthly in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of any such remittance the state treasurer shall deposit the
entire amount thereof in the state treasury and the same shall be credited
as follows: (1) An amount equal to $.001 per 100 pounds of milk produced
by milk producers under Kansas grade A inspection shall be credited to
the laboratory equipment fund created by K.S.A. 2000 Supp. 74-554, and
amendments thereto; (2) An amount equal to $.001 for each 100 pounds
of packaged grade A pasteurized milk or milk products sold in Kansas at
retail to the final consumer, or sold to any person for resale in Kansas at
retail to the final consumer, by a milk distributor shall be credited to the
laboratory equipment fund created by K.S.A. 2000 Supp. 74-554, and
amendments thereto; (3) An amount equal to $.001 per 100 pounds or
fraction thereof of grade A raw milk for pasteurization delivered to a milk
processor within the state of Kansas which is processed into grade A milk
or grade A milk products shall be credited to the laboratory equipment
fund created by K.S.A. 2000 Supp. 74-554, and amendments thereto; and
(4) the remainder shall be credited to the grade A milk fee fund. On and
after July 1, 1999, Upon receipt of any each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury and
the same shall be credited to the credit of the grade A milk fee fund.

      (b) All expenditures from such 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 commissioner or by a person
or persons designated by the commissioner.

      Sec.  225. K.S.A. 65-770 is hereby amended to read as follows: 65-
770. (a) Any dairy manufacturing plant who violates any provision of ar-
ticle 7 of chapter 65 of Kansas Statutes Annotated, and amendments
thereto, or any rule and regulation promulgated thereunder, in addition
to any other penalty provided by law, may incur a civil penalty imposed
under subsection (b) in the amount fixed by rules and regulations of the
state board of agriculture in an amount not less than $100 nor more than
$300 for each violation and in the case of a continuing violation, every
day such violation continues may be deemed a separate violation.

      (b) A duly authorized agent of the secretary of the state board of
agriculture, upon a finding that any dairy manufacturing plant has violated
any provision of article 7 of chapter 65 of Kansas Statutes Annotated, and
amendments thereto, or any rule and regulation promulgated thereunder,
may impose a civil penalty as provided in this section upon such dairy
manufacturing plant.

      (c) No civil penalty shall be imposed pursuant to this section except
upon the written order of the duly authorized agent of the secretary of
the state board of agriculture to the dairy manufacturing plant who com-
mitted the violation. Such order shall state the violation, the penalty to
be imposed and the right of the dairy manufacturing plant to appeal to
the secretary. Any such dairy manufacturing plant, within 20 days after
notification, may make written request to the secretary for a hearing in
accordance with the provisions of the Kansas administrative procedure
act. The secretary shall affirm, reverse or modify the order and shall
specify the reasons therefor.

      (d) Any dairy manufacturing plant aggrieved by a final order of the
secretary made under this section may appeal such order to the district
court in the manner provided by the act for judicial review and civil
enforcement of agency actions.

      (e) Any civil penalty recovered pursuant to the provisions of this sec-
tion shall be remitted to the state treasurer, deposited in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credited to the credit of the state general fund.

      (f) For the purposes of this section, ``dairy manufacturing plant'' shall
have the meaning ascribed to that term under K.S.A. 65-703, and amend-
ments thereto.

      Sec.  226. K.S.A. 2000 Supp. 65-1436 is hereby amended to read as
follows: 65-1436. (a) The Kansas dental board may refuse to issue the
license provided for in this act, or may take any of the actions with respect
to any dental or dental hygiene license as set forth in subsection (b),
whenever it is established, after notice and opportunity for hearing in
accordance with the provisions of the Kansas administrative procedure
act, that any applicant for a dental or dental hygiene license or any li-
censed dentist or dental hygienist practicing in the state of Kansas has:

      (1) Committed fraud, deceit or misrepresentation in obtaining any
license, money or other thing of value;

      (2) habitually used intoxicants or drugs which have rendered such
person unfit for the practice of dentistry or dental hygiene;

      (3) been determined by the board to be professionally incompetent;

      (4) committed gross, wanton or willful negligence in the practice of
dentistry or dental hygiene;

      (5) employed, allowed or permitted any unlicensed person or persons
to perform any work in the licensee's office which constitutes the practice
of dentistry or dental hygiene under the provisions of this act;

      (6) willfully violated the laws of this state relating to the practice of
dentistry or dental hygiene or the rules and regulations of the secretary
of health and environment or of the board regarding sanitation;

      (7) engaged in the division of fees, or agreed to split or divide the fee
received for dental service with any person for bringing or referring a
patient without the knowledge of the patient or the patient's legal rep-
resentative, except the division of fees between dentists practicing in a
partnership and sharing professional fees, or in case of one licensed den-
tist employing another;

      (8) committed complicity in association with or allowed the use of
the licensed dentist's name in conjunction with any person who is engaged
in the illegal practice of dentistry;

      (9) been convicted of a felony or a misdemeanor involving moral tur-
pitude in any jurisdiction and the licensee fails to show that the licensee
has been sufficiently rehabilitated to warrant the public trust;

      (10) prescribed, dispensed, administered or distributed a prescription
drug or substance, including a controlled substance, in an excessive, im-
proper or inappropriate manner or quantity outside the scope of practice
of dentistry or in a manner that impairs the health and safety of an in-
dividual;

      (11) prescribed, purchased, administered, sold or given away pre-
scription drugs, including a controlled substance, for other than legal and
legitimate purposes;

      (12) violated or been convicted of any federal or state law regulating
possession, distribution or use of any controlled substance;

      (13) failed to pay license fees;

      (14) used the name ``clinic,'' ``institute'' or other title that may suggest
a public or semipublic activity except that the name ``clinic'' may be used
as authorized in K.S.A. 65-1435, and amendments thereto;

      (15) committed, after becoming a licensee, any conduct which is det-
rimental to the public health, safety or welfare as defined by rules and
regulations of the board;

      (16) engaged in a misleading, deceptive, untrue or fraudulent mis-
representation in the practice of dentistry or on any document connected
with the practice of dentistry by knowingly submitting any misleading,
deceptive, untrue or fraudulent misrepresentation on a claim form, bill
or statement, including the systematic waiver of patient co-payment or
co-insurance;

      (17) failed to keep adequate records;

      (18) the licensee has had a license to practice dentistry revoked, sus-
pended or limited, has been censured or has had other disciplinary action
taken, an application for license denied, or voluntarily surrendered the
license after formal proceedings have been commenced by the proper
licensing authority or another state, territory or the District of Columbia
or other country, a certified copy of the record of the action of the other
jurisdiction being conclusive evidence thereof;

      (19) failed to furnish the board, or its investigators or representatives
any information legally requested by the board; or

      (20) assisted suicide in violation of K.S.A. 21-3406, and amendments
thereto, as established by any of the following:

      (A) A copy of the record of criminal conviction or plea of guilty for a
felony in violation of K.S.A. 21-3406, and amendments thereto.

      (B) A copy of the record of a judgment of contempt of court for
violating an injunction issued under K.S.A. 2000 Supp. 60-4404, and
amendments thereto.

      (C) A copy of the record of a judgment assessing damages under
K.S.A. 2000 Supp. 60-4405, and amendments thereto.

      (b) Whenever it is established, after notice and opportunity for hear-
ing in accordance with the provisions of the Kansas administrative pro-
cedure act, that a licensee is in any of the circumstances or has committed
any of the acts described in subsection (a), the Kansas dental board may
take one or any combination of the following actions with respect to the
license of the licensee:

      (1) Revoke the license.

      (2) Suspend the license for such period of time as may be determined
by the board.

      (3) Restrict the right of the licensee to practice by imposing limita-
tions upon dental or dental hygiene procedures which may be performed,
categories of dental disease which may be treated or types of patients
which may be treated by the dentist or dental hygienist. Such restrictions
shall continue for such period of time as may be determined by the board,
and the board may require the licensee to provide additional evidence at
hearing before lifting such restrictions.

      (4) Grant a period of probation during which the imposition of one
or more of the actions described in subsections (b)(1) through (b)(3) will
be stayed subject to such conditions as may be imposed by the board
including a requirement that the dentist or dental hygienist refrain from
any course of conduct which may result in further violation of the dental
practice act or the dentist or dental hygienist complete additional or re-
medial instruction. The violation of any provision of the dental practice
act or failure to meet any condition imposed by the board as set forth in
the order of the board will result in immediate termination of the period
of probation and imposition of such other action as has been taken by the
board.

      (c) As used in this section, ``professionally incompetent'' means:

      (1) One or more instances involving failure to adhere to the appli-
cable standard of dental or dental hygienist care to a degree which con-
stitutes gross negligence, as determined by the board;

      (2) repeated instances involving failure to adhere to the applicable
standard of dental or dental hygienist care to a degree which constitutes
ordinary negligence, as determined by the board; or

      (3) a pattern of dental or dental hygienist practice or other behavior
which demonstrates a manifest incapacity or incompetence to practice
dentistry.

      (d) In addition to or in lieu of one or more of the actions described
in subsections (b)(1) through (b)(4), the board may assess a fine not in
excess of $10,000 against a licensee. All fines collected pursuant to this
subsection shall be remitted to the state treasurer. in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and of the amount so remitted, an amount equal to
the board's actual costs related to fine assessment and enforcement under
this subsection, as certified by the president of the board to the state
treasurer, shall be credited to the dental board fee fund and the balance
shall be credited to the state general fund.

      (e) The board, upon its own motion or upon the request of any li-
censee who is a party to a licensure action, may require a physical or
mental examination, or both, of such licensee either prior to a hearing to
be held as a part of a licensure action or prior to the termination of any
period of suspension or the termination of any restrictions imposed upon
the licensee as provided in subsection (b).

      Sec.  227. K.S.A. 2000 Supp. 65-1526 is hereby amended to read as
follows: 65-1526. Upon a finding of the existence of any of the grounds
listed in K.S.A. 65-1517, and amendments thereto, or upon a finding of
any violation of the optometry law, in lieu of or in addition to any other
action, the board may access a civil fine not in excess of $10,000 against
a licensee. All fines collected pursuant to this section shall be remitted to
the state treasurer. in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount in the state treasury and of the
amount so remitted, an amount equal to the board's actual costs, including
attorney fees, related to fine assessment and enforcement, as certified by
the president of the board to the state treasurer, shall be credited to the
optometry board fee fund and the balance shall be credited to the state
general fund.

      Sec.  228. K.S.A. 2000 Supp. 65-1657 is hereby amended to read as
follows: 65-1657. (a) No nonresident pharmacy shall ship, mail or deliver,
in any manner, prescription drugs to a patient in this state unless regis-
tered under this section as a nonresident pharmacy. Applications for a
nonresident pharmacy registration under this section shall be made on a
form furnished by the board. A nonresident pharmacy registration shall
be granted for a period of one year upon compliance by the nonresident
pharmacy with the provisions of this section and rules and regulations
adopted pursuant to this section and upon payment of the registration
fee established under K.S.A. 65-1645, and amendments thereto, for a
pharmacy registration. A nonresident pharmacy registration shall be re-
newed annually on forms provided by the board, upon compliance by the
nonresident pharmacy with the provisions of this section and rules and
regulations adopted pursuant to this section and upon payment of the
renewal fee established under K.S.A. 65-1645, and amendments thereto,
for the renewal of a pharmacy registration.

      (b) As conditions for the granting of a registration and for the renewal
of a registration for a nonresident pharmacy, the nonresident pharmacy
shall comply with the following:

      (1) Provide information to the board to indicate the person or persons
applying for the registration, the location of the pharmacy from which
the prescription drugs will be dispensed, the names and titles of all prin-
cipal owners and corporate officers, if any, and the names of all phar-
macists dispensing prescription drugs to residents of Kansas;

      (2) be registered and in good standing in the state in which such
pharmacy is located;

      (3) maintain, in readily retrievable form, records of prescription drugs
dispensed to Kansas patients;

      (4) supply upon request, all information needed by the board to carry
out the board's responsibilities under this section and rules and regula-
tions adopted pursuant to this section;

      (5) maintain pharmacy hours that permit the timely dispensing of
drugs to Kansas patients and provide reasonable access for the patients
to consult with a licensed pharmacist about such patients' medications;

      (6) provide toll-free telephone communication consultation between
a Kansas patient and a pharmacist at the pharmacy who has access to the
patient's records, and ensure that the telephone number(s) will be placed
upon the label affixed to each prescription drug container dispensed in
Kansas; and

      (7) provide to the board such other information as the board may
reasonably request to administer the provisions of this section.

      (c) Each nonresident pharmacy shall comply with the following un-
less compliance would be in conflict with specific laws or rules and reg-
ulations of the state in which the pharmacy is located:

      (1) All statutory and regulatory requirements of Kansas for controlled
substances, including those that are different from federal law;

      (2) labeling of all prescriptions dispensed, to include but not be lim-
ited to identification of the product and quantity dispensed;

      (3) all the statutory and regulatory requirements of Kansas for dis-
pensing prescriptions in accordance with the quantities indicated by the
prescriber; and

      (4) the Kansas law regarding the maintenance and use of the patient
medication profile record system.

      (d) In addition to subsection (c) requirements, each nonresident
pharmacy shall comply with all the statutory and regulatory requirements
of Kansas regarding drug product selection laws whether or not such
compliance would be in conflict with specific laws or rules and regulations
of the state in which the pharmacy is located, except that compliance
which constitutes only a minor conflict with specific laws or rules and
regulations of the state in which the pharmacy is located would not be
required under this subsection.

      (e) Each nonresident pharmacy shall develop and provide the board
with a policy and procedure manual that sets forth:

      (1) Normal delivery protocols and times;

      (2) the procedure to be followed if the patient's medication is not
available at the nonresident pharmacy, or if delivery will be delayed be-
yond the normal delivery time;

      (3) the procedure to be followed upon receipt of a prescription for
an acute illness, which policy shall include a procedure for delivery of the
medication to the patient from the nonresident pharmacy at the earliest
possible time, or an alternative that assures the patient the opportunity
to obtain the medication at the earliest possible time; and

      (4) the procedure to be followed when the nonresident pharmacy is
advised that the patient's medication has not been received within the
normal delivery time and that the patient is out of medication and re-
quires interim dosage until mailed prescription drugs become available.

      (f) Except in emergencies that constitute an immediate threat to the
public health and require prompt action by the board, the board may file
a complaint against any nonresident pharmacy that violates any provision
of this section. This complaint shall be filed with the regulatory or li-
censing agency of the state in which the nonresident pharmacy is located.
If the regulatory or licensing agency of the state in which the nonresident
pharmacy is located fails to resolve the violation complained of within a
reasonable time, not less than 180 days from the date that the complaint
is filed, disciplinary proceedings may be initiated by the board. The board
also may initiate disciplinary actions against a nonresident pharmacy if
the regulatory or licensing agency of the state in which the nonresident
pharmacy is located lacks or fails to exercise jurisdiction.

      (g) The board shall adopt rules and regulations that make exceptions
to the requirement of registration by a nonresident pharmacy when the
out-of-state pharmacy supplies lawful refills to a patient from a prescrip-
tion that was originally filled and delivered to a patient within the state
in which the nonresident pharmacy is located, or when the prescriptions
being mailed into the state of Kansas by a nonresident pharmacy occurs
only in isolated transactions. In determining whether the prescriptions
being mailed into the state of Kansas by a nonresident pharmacy are
isolated transactions, the board shall consider whether the pharmacy has
promoted its services in this state and whether the pharmacy has a con-
tract with any employer or organization to provide pharmacy services to
employees or other beneficiaries in this state.

      (h) It is unlawful for any nonresident pharmacy which is not regis-
tered under this act to advertise its services in this state, or for any person
who is a resident of this state to advertise the pharmacy services of a
nonresident pharmacy which has not registered with the board, with the
knowledge that the advertisement will or is likely to induce members of
the public in this state to use the pharmacy to fill prescriptions. A violation
of this section is a class C misdemeanor.

      (i) Upon request of the board, the attorney general may bring an
action in a court of competent jurisdiction for injunctive relief to restrain
a violation of the provisions of this section or any rules and regulations
adopted by the board under authority of this section. The remedy pro-
vided under this subsection shall be in addition to any other remedy
provided under this section or under the pharmacy act of the state of
Kansas.

      (j) The board may adopt rules and regulations as necessary and as are
consistent with this section to carry out the provisions of this section.

      (k) The executive secretary of the board shall remit all moneys re-
ceived from fees under this section to the state treasurer at least monthly
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit such moneys the entire amount in the manner specified under
K.S.A. 74-1609, and amendments thereto.

      (l) This section shall be part of and supplemental to the pharmacy
act of the state of Kansas.

      Sec.  229. K.S.A. 2000 Supp. 65-1658 is hereby amended to read as
follows: 65-1658. The state board of pharmacy, in addition to any other
penalty prescribed under the pharmacy act of the state of Kansas, may
assess a civil fine, after notice and an opportunity to be heard in accord-
ance with the Kansas administrative procedure act, against any licensee
or registrant under subsections (a), (c), (d) and (e) of K.S.A. 65-1627, and
amendments thereto, for violation of the pharmacy act of the state of
Kansas or rules and regulations of the state board of pharmacy adopted
under the pharmacy act of the state of Kansas or for violation of the
uniform controlled substances act or rules and regulations of the state
board of pharmacy adopted under the uniform controlled substances act,
in an amount not to exceed $5,000 for each violation. All fines assessed
and collected under this section shall be remitted to the state treasurer
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt thereof of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury and credit such
amount to the credit of the state general fund.

      Sec.  230. K.S.A. 65-1718 is hereby amended to read as follows: 65-
1718. (a) The state board of mortuary arts shall remit all moneys received
by or for it from fees, charges or penalties to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of any each such remittance, the state trea-
surer shall deposit the entire amount thereof in the state treasury. Twenty
percent of each such deposit shall be credited to the state general fund
and the balance shall be credited to the mortuary arts fee fund. All ex-
penditures from such fund shall be made in accordance with appropria-
tion acts upon warrants of the director of accounts and reports issued
pursuant to vouchers approved by the secretary of the state board of
mortuary arts or by a person or persons designated by the secretary.

      (b) On July 1, 1985, the director of accounts and reports shall transfer
all moneys in the embalming board fee fund to the mortuary arts fee
fund. On July 1, 1985, all liabilities of the embalming board fee fund are
hereby imposed upon the mortuary arts fee fund, and the embalming
board fee fund is hereby abolished.

      (c) Whenever the embalming board fee fund, or words of like effect,
is referred to or designated by a statute, contract or other document, such
reference or designation shall be deemed to apply to the mortuary arts
fee fund.

      Sec.  231. K.S.A. 65-1817a is hereby amended to read as follows: 65-
1817a. The board shall remit all moneys received by or for it from fees,
charges or penalties to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of any each such remittance, the state treasurer shall deposit the
entire amount thereof in the state treasury. Twenty percent of each such
deposit shall be credited to the state general fund and the balance shall
be credited to the board of barbering fee fund. All expenditures from
such fund shall be made in accordance with appropriation acts upon war-
rants of the director of accounts and reports issued pursuant to vouchers
approved by the chairperson of the board or by a person or persons des-
ignated by the chairperson.

      Sec.  232. K.S.A. 65-1926 is hereby amended to read as follows: 65-
1926. (a) On and after January 1, 1993, a person may not operate a tanning
facility without a valid license issued by the board.

      (b) The license shall be displayed in a conspicuous place in the tan-
ning facility.

      (c) On application, on forms provided by the board, and on receipt
of the appropriate fee, a license shall be renewed by the board.

      (d) The board may adopt a system under which licenses expire on
various dates during the year. As part of this system the annual renewal
fee may be prorated on a monthly basis to reflect the actual number of
months the license is valid.

      (e) The board may revoke, cancel, suspend or place on probation a
license to operate a tanning facility for any of the following reasons:

      (1) A failure to pay a license fee or an annual renewal fee for a license;

      (2) the applicant obtained or attempted to obtain a license by fraud
or deception;

      (3) a violation of any of the provisions of this act; or

      (4) a violation of a regulation of the board adopted under this act.

      (f) The board shall establish appropriate licensure and renewal fees,
not to exceed $100 per year for each tanning facility, by adoption of rules
and regulations. The board may establish the fees based upon the number
of beds used for tanning which the facility maintains. In addition to the
fee for licensure and the fee for renewal of a license, the board may
establish a fee not to exceed $150 for delinquent renewal of a license and
a fee not to exceed $200 for reinstatement of a license.

      (g) The executive director of the board shall remit all moneys re-
ceived from fees under this act to the state treasurer at least monthly in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit such moneys the entire amount in the manner specified under
K.S.A. 74-2704, and amendments thereto.

      Sec.  233. K.S.A. 2000 Supp. 65-1951 is hereby amended to read as
follows: 65-1951. The board, the director or a person authorized by the
board shall remit all moneys received by or for it from fees, charges or
penalties to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury. Twenty percent of each such deposit
shall be credited to the state general fund and the balance shall be cred-
ited to the cosmetology fee fund.

      Sec.  234. K.S.A. 2000 Supp. 65-1954 is hereby amended to read as
follows: 65-1954. (a) The board, in addition to any other penalty pre-
scribed under the act governing permanent color technicians and tattoo
artists, may assess civil fines and costs, including attorney fees, after
proper notice and an opportunity to be heard, against any person or entity
for a violation of the statutes, rules and regulations or orders enforceable
by the board in an amount not to exceed $5,000 for the first violation,
$10,000 for the second violation and $15,000 for the third violation and
for each subsequent violation.

      (b) In determining the amount of penalty to be assessed pursuant to
this section, the board may consider the following factors among others:
(1) Willfulness of the violation; (2) repetitions of the violation; and (3)
magnitude of the risk of harm caused by the violation.

      (c) In addition to a civil penalty and costs, the board may assess in-
vestigation and hearing costs against a licensee for proceedings which
have resulted in a successful action by the board against the license of
the licensee under K.S.A. 2000 Supp. 65-1947, and amendments thereto.

      (d) All civil fines assessed and collected under this section shall be
remitted to the state treasurer at least monthly and shall be deposited in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and credited to the credit
of the state general fund. All costs assessed under this section shall be
remitted to the state treasurer at least monthly and shall be deposited in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and credited to the credit
of the cosmetology fee fund.

      Sec.  235. K.S.A. 65-2011 is hereby amended to read as follows: 65-
2011. The state board of healing arts shall remit all moneys received by
or for it under this act from fees, charges or penalties to the state treasurer
at least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of any each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury.
Twenty percent (20%) of each such deposit shall be credited to the state
general fund and the balance shall be credited to the healing arts fee
fund. All expenditures from such fund shall be made in accordance with
the provisions of K.S.A. 65-2855, or any and amendments thereto.

      Sec.  236. K.S.A. 65-2015 is hereby amended to read as follows: 65-
2015. (a) The state board of healing arts, in addition to any other penalty
prescribed under the podiatry act, may assess a civil fine, after proper
notice and an opportunity to be heard, against a licensee for a violation
of the podiatry act in an amount not to exceed $5,000 for the first viola-
tion, $10,000 for the second violation and $15,000 for the third violation
and for each subsequent violation. All fines assessed and collected under
this section shall be remitted promptly to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt thereof of each such remittance, the state treasurer shall deposit
the entire amount in the state treasury and credit it to the credit of the
state general fund.

      (b) This section shall be part of and supplemental to the podiatry act.

      Sec.  237. K.S.A. 2000 Supp. 65-2418 is hereby amended to read as
follows: 65-2418. (a) Except as otherwise provided in this section, the
secretary shall fix and charge the fees, if any, to be paid for certified copies
of certificates or for search of the files or records when no certified copy
is made. Fees for certified copies of certificates shall be fixed by rules
and regulations of the secretary except that the fee for the first copy of a
birth or death certificate shall include a $3 surcharge and the fee for each
additional copy of the same birth or death certificate requested at the
same time shall include a $1 surcharge. The secretary shall not charge
any fee for a certified copy of a certificate or for a search of the files or
records if the certificate or search is requested by a person who exhibits
correspondence from the United States veterans administration or the
Kansas commission on veterans' affairs which indicates that the person is
applying for benefits from the United States veterans administration and
that such person needs the requested information to obtain such benefits,
except that, for a second or subsequent certified copy of a certificate or
search of the files requested by the person, the usual fee shall be charged.
The secretary may provide by rules and regulations for exemptions from
such fees.

      (b) Subject to K.S.A. 65-2420, and amendments thereto, the national
office of vital statistics may be furnished copies or data it requires for
national statistics. The state shall be reimbursed for the cost of furnishing
the data. The data shall not be used for other than statistical purposes by
the national office of vital statistics unless so authorized by the state reg-
istrar of vital statistics.

      (c)  (1) The secretary shall remit all moneys received by or for the
secretary from fees, charges or penalties to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of any each such remittance, other than re-
mittances for fees for birth certificates, the state treasurer shall deposit
the entire amount thereof in the state treasury and the same shall be
credited to the credit of the state general fund.

      (2) Upon receipt of any such remittance of a fee for a birth certificate,
$3 of each such fee for the first copy of a birth certificate and $1 of each
such fee for each additional copy of the same birth certificate requested
at the same time shall be remitted to the state treasurer who in accord-
ance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of each such remittance, the state treasurer shall deposit the
entire amount of each such remittance in the state treasury and credit it
to the credit of the permanent families account of the family and children
investment fund created by K.S.A. 38-1808, and amendments thereto.
Upon receipt of any such remittance of a fee for a death certificate, $3
of each such fee for the first copy of a death certificate and $1 of each
such fee for each additional copy of the same death certificate requested
at the same time shall be remitted to the state treasurer who in accord-
ance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of each such remittance, the state treasurer shall deposit
annually the entire amount of each such remittance in the state treasury
and credit it to the credit of the district coroners fund created by K.S.A.
22a-245, and amendments thereto. The balance of the money received
for a fee for a birth certificate shall be remitted to the state treasurer who
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount of each such remittance in the state treasury
and the same shall be credited to the credit of the state general fund.

      Sec.  238. K.S.A. 65-2855 is hereby amended to read as follows: 65-
2855. The board shall remit all moneys received by or for the board from
fees, charges or penalties to the state treasurer at least monthly in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of any each such remittance, the state treasurer shall deposit
the entire amount thereof in the state treasury. Twenty percent of such
amount shall be credited to the state general fund and the balance shall
be credited to the healing arts fee fund. All expenditures from the healing
arts fee fund shall be made in accordance with appropriation acts upon
warrants of the director of accounts and reports issued pursuant to vouch-
ers approved by the president of the board or by a person or persons
designated by the president.

      Sec.  239. K.S.A. 65-2863a is hereby amended to read as follows: 65-
2863a. (a) The state board of healing arts, in addition to any other penalty
prescribed under the Kansas healing arts act, may assess a civil fine, after
proper notice and an opportunity to be heard, against a licensee for a
violation of the Kansas healing arts act in an amount not to exceed $5,000
for the first violation, $10,000 for the second violation and $15,000 for
the third violation and for each subsequent violation. All fines assessed
and collected under this section shall be remitted promptly to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt thereof of each such remittance, the
state treasurer shall deposit the entire amount in the state treasury and
credit it to the credit of the state general fund.

      (b) This section shall be part of and supplemental to the Kansas heal-
ing arts act.

      Sec.  240. K.S.A. 65-28,121 is hereby amended to read as follows: 65-
28,121. (a) Subject to the provisions of subsection (c) of K.S.A. 65-4923,
and amendments thereto, a medical care facility licensed under K.S.A.
65-425 et seq., and amendments thereto, shall, and any person may, report
under oath to the state board of healing arts any information such facility
or person has which appears to show that a person licensed to practice
the healing arts has committed an act which may be a ground for disci-
plinary action pursuant to K.S.A. 65-2836, and amendments thereto.

      (b) A medical care facility shall inform the state board of healing arts
whenever the practice privileges of any person licensed to practice the
healing arts are terminated, suspended or restricted or whenever such
privileges are voluntarily surrendered or limited for reasons relating to
such person's professional competence.

      (c) Any medical care facility which fails to report within 30 days after
the receipt of information required to be reported by this section shall
be reported by the state board of healing arts to the secretary of health
and environment and shall be subject, after proper notice and an oppor-
tunity to be heard, to a civil fine assessed by the secretary of health and
environment in an amount not exceeding $1,000 per day for each day
thereafter that the incident is not reported. All fines assessed and col-
lected under this section shall be remitted promptly to the state treasurer
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt thereof of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury and credit it to the
credit of the state general fund.

      Sec.  241. K.S.A. 65-2911 is hereby amended to read as follows: 65-
2911. (a) The state board of healing arts may adopt such rules and reg-
ulations as necessary to carry out the purposes of this act. The executive
director of the board shall keep a record of all proceedings under this act
and a roster of all persons registered or certified under the act. The roster
shall show the name, address, date and number of the original certificate
of registration or certificate, and the renewal thereof.

      (b) The state board of healing arts shall remit all moneys received by
or for it from fees, charges or penalties to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of any each such remittance, the state trea-
surer shall deposit the entire amount thereof in the state treasury. Twenty
percent of such amount shall be credited to the state general fund and
the balance shall be credited to the healing arts fee fund. All expenditures
from such fund shall be made in accordance with appropriation acts upon
warrants of the director of accounts and reports issued pursuant to vouch-
ers approved by the president of the board or by a person or persons
designated by the president of the board.

      Sec.  242. K.S.A. 65-3023 is hereby amended to read as follows: 65-
3023. The secretary shall remit all moneys received from fees under
K.S.A. 65-3022, and amendments thereto, to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury and the same
shall be credited to the credit of the power generating facility fee fund,
which fund is hereby created. All expenditures from such 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.

      Sec.  243. K.S.A. 2000 Supp. 65-3415a is hereby amended to read as
follows: 65-3415a. (a) There is hereby created in the state treasury the
solid waste management fund.

      (b) The secretary shall remit at least monthly to the state treasurer,
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto, all moneys collected or received by the secretary from the fol-
lowing sources:

      (1) Solid waste tonnage fees imposed pursuant to K.S.A. 65-3415b,
and amendments thereto;

      (2) application and annual fees provided for by K.S.A. 65-3407, and
amendments thereto;

      (3) gifts, grants, reimbursements or appropriations intended to be
used for the purposes of the fund, but excluding federal grants and co-
operative agreements; and

      (4) any other moneys provided by law.

      Upon receipt thereof of each such remittance, the state treasurer shall
deposit in the state treasury any amount remitted pursuant to this sub-
section and shall credit the entire amount to the credit of the solid waste
management fund.

      (c) Moneys in the solid waste management fund shall be expended
for the following purposes:

      (1) Grants to counties or groups of counties or designated city or
cities pursuant to K.S.A. 65-3415, and amendments thereto;

      (2) monitoring and investigating solid waste management plans of
counties and groups of counties;

      (3) payment of extraordinary costs related to monitoring permitted
solid waste processing facilities and disposal areas, both during operation
and after closure;

      (4) payment of costs of postclosure cleanup of permitted solid waste
disposal areas which, as a result of a postclosure occurrence, pose a sub-
stantial hazard to public health or safety or to the environment;

      (5) emergency payment for costs of cleanup of solid waste disposal
areas which were closed before the effective date of this act and which
pose a substantial risk to the public health or safety or to the environment,
but the total amount of such emergency payments during a fiscal year
shall not exceed an amount equal to 50% of all amounts credited to the
fund during the preceding fiscal year;

      (6) payment for emergency action by the secretary as necessary or
appropriate to assure that the public health or safety is not threatened
whenever there is a release from a solid waste processing facility or a solid
waste disposal area;

      (7) payment for corrective action by the secretary at an active or
closed solid waste processing facility or a solid waste disposal area where
solid waste management activity has resulted in an actual or potential
threat to human health or the environment, if the owner or operator has
not been identified or is unable or unwilling to perform corrective action;

      (8) payment of the administrative, technical and legal costs incurred
by the secretary in carrying out the provisions of K.S.A. 65-3401 through
65-3423, and amendments thereto, including the cost of any additional
employees or increased general operating costs of the department attrib-
utable therefor;

      (9) development of educational materials and programs for informing
the public about solid waste issues;

      (10) direct payments to reimburse counties or cities for household,
farmer or exempt small quantity generator hazardous wastes generated
from persons not served by existing household hazardous waste programs
or direct payment of contractors for the disposal costs of such wastes;

      (11) payment of costs associated with the solid waste grants advisory
board pursuant to K.S.A. 2000 Supp. 65-3426, and amendments thereto;

      (12) with the consent of the city or county, payment for the removal
and disposal or on-site stabilization of solid waste which has been illegally
dumped when the responsible party is unknown, unwilling or unable to
perform the necessary corrective action, provided that: (A) Moneys in the
fund shall be used to pay only 75% of the costs of such corrective action
and the city or county shall pay the remaining 25% of such costs; and (B)
not more than $10,000 per site shall be expended from the fund for such
corrective action;

      (13) payment of the costs to administer regional or statewide waste
collection programs designed to remove hazardous materials and wastes
from homes, farms, ranches, institutions and small businesses not gen-
erally covered by state or federal hazardous waste laws and rules and
regulations; and

      (14) payment for the disposal of household hazardous waste gener-
ated as a result of community clean-up activities following natural disas-
ters such as floods and tornados.

      (d) If the secretary determines that expenditures from the solid waste
management fund are necessary to perform authorized corrective actions
related to solid waste management activities, the person or persons re-
sponsible for illegal dumping activity or the operation or long-term care
of a disposal area whose failure to comply with this act, rules and regu-
lations promulgated thereunder, or permit conditions resulted in such
determination, shall be responsible for the repayment of those amounts
expended. The secretary shall take appropriate action to enforce this pro-
vision against any responsible person. If amounts are recovered for pay-
ment for corrective action pursuant to subsection (c)(12), 25% of the
amount recovered shall be paid to the city or county that shared in the
cost of the corrective action. Otherwise, the secretary shall remit to the
state treasurer any amounts recovered and collected in such action to the
state treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit all such amounts the entire amount in the state treasury
and credit the same to the credit of the solid waste management fund.
Prior to initiating any corrective action activities authorized by this sec-
tion, the secretary shall give written notice to the person or persons re-
sponsible for the waste to be cleaned up and to the property owner that
the department will undertake corrective action if the responsible person
or persons do not perform the necessary work within a specified time
period. The department and its representatives are authorized to enter
private property to perform corrective actions if the responsible party fails
to perform required clean-up work but no such entry shall be made with-
out the property owner's consent except upon notice and hearing in ac-
cordance with the Kansas administrative procedure act and a finding that
the solid waste creates a public nuisance or adversely affects the public
health or the environment.

      (e) Expenditures from the solid waste management fund shall be
made in accordance with appropriations acts upon warrants of the direc-
tor of accounts and reports issued pursuant to vouchers approved by the
secretary or a person designated by the secretary.

      (f) On or before the 10th of each month, the director of accounts and
reports shall transfer from the state general fund to the solid waste man-
agement fund interest earnings based on:

      (1) The average daily balance of moneys in the solid waste manage-
ment fund for the preceding month; and

      (2) the net earnings rate of the pooled money investment portfolio
for the preceding month.

      (g) The solid waste management fund shall be used for the purposes
set forth in this act and for no other governmental purposes. It is the
intent of the legislature that the fund shall remain intact and inviolate for
the purposes set forth in this act, and moneys in the fund shall not be
subject to the provisions of K.S.A. 75-3722, 75-3725a and 75-3726a, and
amendments thereto.

      (h) The secretary shall prepare and deliver to the legislature on or
before the first day of each regular legislative session, a report which
summarizes all expenditures from the solid waste management fund, fund
revenues and recommendations regarding the adequacy of the fund to
support necessary solid waste management programs.

      Sec.  244. K.S.A. 2000 Supp. 65-3415b is hereby amended to read as
follows: 65-3415b. (a) There is hereby imposed a state solid waste tonnage
fee of $1.00 for each ton or equivalent volume of solid waste disposed of
at any solid waste disposal area in this state other than solid waste enu-
merated in subsection (c) or solid waste disposal authorized by the sec-
retary pursuant to subsection (a) of K.S.A. 65-3407c, and amendments
thereto.

      (b) There is hereby imposed a state solid waste tonnage fee of $1.00
for each ton or equivalent volume of solid waste transferred out of Kansas
through a transfer station, other than waste enumerated in subsection (c).

      (c) The fees imposed by this section shall not apply to:

      (1) Any waste tire, as defined by K.S.A. 65-3424, and amendments
thereto, disposed in or at a permitted solid waste disposal area;

      (2) any of the following wastes when disposed of at a monofill per-
mitted by the department:

      (A) Sludges from public drinking water supply treatment plants;

      (B) cement kiln dust from the manufacture of portland and masonry
cement;

      (C) flue gas desulfurization sludge, fly ash and bottom ash from coal-
fired electric generating facilities; and

      (D) foundry sand;

      (3) clean rubble;

      (4) solid waste solely consisting of vegetation from land clearing and
grubbing, utility maintenance and seasonal or storm-related cleanup but
such exception shall not apply to yard waste; and

      (5) construction and demolition waste disposed of by the federal gov-
ernment, by the state of Kansas, or by any city, county or other unit of
local government in the state of Kansas, or by any person on behalf
thereof.

      (d) The operator of a solid waste disposal area or transfer station shall
pay the fee imposed by this section.

      (e) The secretary of health and environment shall administer, enforce
and collect the fee imposed by this section. The secretary shall have the
authority to waive such fee when large quantities of waste are generated
due to major natural disasters such as floods, tornados and fires unless
persons paying such fees are able to recover such fees from the federal
government. Except as otherwise provided by subsections (a) and (b), all
laws and rules and regulations of the secretary of revenue relating to the
administration, enforcement and collection of the retailers' sales tax shall
apply to such fee insofar as they can be made applicable. The secretary
of health and environment shall adopt any other rules and regulations as
necessary for the efficient and effective administration, enforcement and
collection thereof.

      (f) The secretary of health and environment shall remit at least weekly
to the state treasurer all moneys collected from fees imposed pursuant to
subsections (a) and (b) to the state treasurer in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt thereof
of each such remittance, the state treasurer shall deposit the entire
amount in the state treasury and credit it to the credit of the solid waste
management fund created by K.S.A. 65-3415a, and amendments thereto.

      Sec.  245. K.S.A. 2000 Supp. 65-3424b is hereby amended to read as
follows: 65-3424b. (a) The secretary shall establish a system of permits
for mobile waste tire processors and waste tire processing facilities and
permits for waste tire transporters and collection centers. Such permits
shall be issued for a period of one year and shall require an application
fee established by the secretary in an amount not exceeding $250 per
year.

      (b) The secretary shall adopt rules and regulations establishing stan-
dards for mobile waste tire processors, waste tire processing facilities and
associated waste tire sites, waste tire collection centers and waste tire
transporters. Such standards shall include a requirement that the per-
mittee file with the secretary a bond or other financial assurance in an
amount determined by the secretary to be sufficient to pay any costs
which may be incurred by the state to process any waste tires or dispose
of any waste tires or processed waste tires if the permittee ceases business
or fails to comply with this act.

      (c) Any person who contracts or arranges with another person to col-
lect or transport waste tires for storage, processing or disposal shall so
contract or arrange only with a person holding a permit from the secre-
tary. Any person contracting or arranging with a person, permitted by the
secretary, to collect or transport waste tires for storage, processing or
disposal, transfers ownership of those waste tires to the permitted person
and the person contracting or arranging with the person holding such
permit to collect or transport such tires shall be released from liability
therefor. Any person contracting or arranging with any person, permitted
by the secretary, for the collection or storage of such tires shall maintain
a record of such transaction for a period of not less than five years fol-
lowing the date of the transfer of such tires.

      (d) No person shall:

      (1) Own or operate a waste tire processing facility or waste tire col-
lection center or act as a mobile waste tire processor or waste tire trans-
porter unless such person holds a valid permit issued therefor pursuant
to subsection (a); or

      (2) own or operate a waste tire processing facility or waste tire col-
lection center or act as a mobile waste tire processor or waste tire trans-
porter except in compliance with the standards established by the sec-
retary pursuant to subsection (b).

      (e) The provisions of subsection (d)(1) shall not apply to:

      (1) A tire retreading business where fewer than 1,000 waste tires are
kept on the business premises;

      (2) a business that, in the ordinary course of business, removes tires
from motor vehicles if fewer than 1,500 of these tires are kept on the
business premises;

      (3) a retail tire-selling business which is serving as a waste tire col-
lection center if fewer than 1,500 waste tires are kept on the business
premises;

      (4) the department of wildlife and parks;

      (5) a person engaged in a farming or ranching activity, including the
operation of a feedlot as defined by K.S.A. 47-1501, and amendments
thereto, as long as the accumulation has a beneficial use;

      (6) a waste tire collection center where fewer than 1,500 used tires
are kept on the premises;

      (7) a waste tire collection center where 1,500 or more used tires are
kept on the premises, if the owner demonstrates through sales and in-
ventory records that such tires have value, as established in accordance
with standards adopted by rules and regulations of the secretary;

      (8) local units of government operating solid waste processing facili-
ties and solid waste disposal areas permitted by the secretary under the
authority of K.S.A. 65-3407, and amendments thereto;

      (9) a person transporting: (A) Waste tires mixed with other municipal
solid waste; (B) fewer than five waste tires for lawful disposal; (C) waste
tires generated by the business, farming activities of the person or the
person's employer; or (D) waste tires for a beneficial use approved by
statute or rules and regulations adopted by the secretary; or

      (10) a business engaged in processing, for resource recovery pur-
poses, only waste tires generated by the business.

      (f) All fees collected by the secretary pursuant to this section shall be
remitted to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount of the remittance in
the state treasury and credit it to the credit of the waste tire management
fund.

      Sec.  246. K.S.A. 2000 Supp. 65-3424d is hereby amended to read as
follows: 65-3424d. (a) In addition to any other tax imposed upon the retail
sale of new vehicle tires, there is hereby imposed on retail sales of new
vehicle tires (excluding innertubes), including new tires mounted on a
vehicle sold at retail for the first time, an excise tax at the following rate:
(1) Before July 1, 2001, $.50 per vehicle tire; and (2) on or after July 1,
2001, $.25. Such tax shall be paid by the purchaser of such tires and
collected by the retailer thereof.

      (b) The tax imposed by this section collected by the retailer shall
become due and payable as follows: When the total tax for which any
retailer is liable under this act does not exceed the sum of $80 in any
calendar year, the retailer shall file an annual return on or before January
25 of the following year; when the total tax liability does not exceed $1,600
in any calendar year, the retailer shall file returns quarterly on or before
the 25th day of the month following the end of each calendar quarter;
when the total tax liability exceeds $1,600 in any calendar year, the retailer
shall file a return for each month on or before the 25th day of the follow-
ing month. Each person collecting the tax imposed pursuant to this sec-
tion shall make a true report to the department of revenue, on a form
prescribed by the secretary of revenue, providing such information as may
be necessary to determine the amounts of taxes due and payable here-
under for the applicable month or months, which report shall be accom-
panied by the tax disclosed thereby. Records of sales of new tires shall be
kept separate and apart from the records of other retail sales made by
the person charged to collect the tax imposed pursuant to this section in
order to facilitate the examination of books and records as provided
herein.

      (c) The secretary of revenue or the secretary's authorized represen-
tative shall have the right at all reasonable times during business hours
to make such examination and inspection of the books and records of the
person required to collect the tax imposed pursuant to this section as may
be necessary to determine the accuracy of such reports required here-
under.

      (d) The secretary of revenue is hereby authorized to administer and
collect the tax imposed by this section and to adopt such rules and reg-
ulations as may be necessary for the efficient and effective administration
and enforcement of the collection thereof. Whenever any person liable
to collect the taxes imposed hereunder refuses or neglects to pay them,
the amount, including any penalty, shall be collected in the manner pre-
scribed for the collection of the retailers' sales tax by K.S.A. 79-3617, and
amendments thereto.

      (e) The secretary of revenue shall remit daily to the state treasurer
all revenue collected under the provisions of this section to the state trea-
surer in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount of each remittance in the state treasury
and credit it to the credit of the waste tire management fund.

      (f) Whenever, in the judgment of the secretary of revenue, it is nec-
essary, in order to secure the collection of any taxes, penalties or interest
due, or to become due, under the provisions of this act, the secretary may
require any person charged with the collection of such tax to file a bond
with the director of taxation under conditions established by and in such
form and amount as prescribed by rules and regulations adopted by the
secretary.

      (g) The secretary of revenue and the secretary of health and environ-
ment shall cooperate to: (1) Ensure that retailers required to collect the
tax imposed by this section collect such tax on sales of tires for all vehicles,
as defined by K.S.A. 65-3424, and amendments thereto; and (2) develop
and distribute to tire retailers educational materials that emphasize ap-
propriate waste tire management practices.

      Sec.  247. K.S.A. 2000 Supp. 65-3424k is hereby amended to read as
follows: 65-3424k. (a) Before July 1, 2001, the secretary may undertake
appropriate abatement action and may enter into contracts, including
grant contracts, for abatement of waste tire accumulations, utilizing funds
from the waste tire management fund. After July 1, 2001, the secretary's
actions shall be limited to contractual services to perform interim meas-
ures designed to minimize nuisances or risks to public health or the en-
vironment created by a waste tire accumulation.

      (b) Any authorized representative of the secretary may enter, at rea-
sonable times and upon written notice, onto any property or premises
where an accumulation of waste tires is located to conduct an abatement
of the accumulation or to perform interim measures to minimize nui-
sances or risks to public health or the environment created by a waste
tire accumulation.

      (c) Whenever the secretary has reason to believe that an owner or
operator has accumulated waste tires that create a nuisance or risk to
public health or the environment, the secretary may require that owner
or operator to abate the accumulation. Such abatement shall be per-
formed in accordance with a plan approved by the secretary. The secre-
tary shall give notice, by letter, to the owner and operator that the waste
tires constitute a nuisance or risk to public health or the environment,
and that the waste tire accumulation must be abated within a specified
period. Before July 1, 2001, the secretary may undertake abatement ac-
tion utilizing funds from the waste tire management fund if the owner or
operator fails to take the required action within the specified time period.
After July 1, 2001, the secretary's actions shall be limited to contractual
services to perform interim measures designed to minimize nuisances or
risks to public health or the environment created by a waste tire accu-
mulation. All costs incurred by the secretary in abatement of waste tires
accumulated after July 1, 1990, or in performing interim measures, in-
cluding administrative and legal expenses, are recoverable from an owner
or operator and may be recovered in a civil action in district court brought
by the secretary. Abatement costs recovered under this section shall be
remitted to the state treasurer, who in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury and credit it to the credit of the waste tire management fund.
An action to recover abatement or interim measures costs may be com-
menced at any stage of an abatement.

      (d) In performing or entering contracts for abatement actions under
this section, the secretary shall give preference to actions that recycle the
waste tires or burn the waste tires for energy recovery. Direct abatement
expenditures may include landfilling when waste tires are contaminated
or when practical in-state markets cannot be identified.

      (e) Neither the state of Kansas nor the waste tire management fund
shall be liable to any owner or operator for the loss of business, damages
or taking of property associated with any abatement or enforcement ac-
tion taken pursuant to this section.

      Sec.  248. K.S.A. 2000 Supp. 65-3431 is hereby amended to read as
follows: 65-3431. The secretary is authorized and directed to:

      (a) Adopt such rules and regulations, standards and procedures rel-
ative to hazardous waste management as may be necessary to protect the
public health and environment and enable the secretary to carry out the
purposes and provisions of this act.

      (b) Report to the legislature on further assistance needed to admin-
ister the hazardous waste management program.

      (c) Administer the hazardous waste management program pursuant
to provisions of this act.

      (d) Cooperate with appropriate federal, state, interstate and local
units of government and with appropriate private organizations in carry-
ing out the duties under this act.

      (e) Develop a statewide hazardous waste management plan.

      (f) Provide technical assistance, including the training of personnel,
to industry, local units of government and the hazardous waste manage-
ment industry to meet the requirements of this act.

      (g) Initiate, conduct and support research, demonstration projects
and investigations and coordinate all state agency research programs with
applicable federal programs pertaining to hazardous waste management.

      (h) Establish policies for effective hazardous waste management.

      (i) Authorize issuance of such permits and orders, conduct inspec-
tions and collect samples or require information and copy records or data
as may be necessary to implement the provisions of this act and the rules
and regulations and standards adopted pursuant to this act.

      (j) Conduct and contract for research and investigations in the overall
area of hazardous waste storage, collection, transportation, treatment, re-
covery and disposal including, but not limited to, new and novel proce-
dures.

      (k) Adopt rules and regulations establishing criteria for identifying
the characteristics of hazardous waste and for listing hazardous waste.
The secretary shall prepare and keep current a listing of hazardous wastes
and set of characteristics based on the rules and regulations adopted pur-
suant to this subsection. The listing shall identify, but need not be inclu-
sive of, all the hazardous waste subject to the provisions of this act. The
criteria for identification and listing shall be consistent with the criteria
for identification and listing adopted by the administrator of the United
States environmental protection agency under the authority vested in the
administrator by the Resource Conservation and Recovery Act of 1976
(42 USC 6921) as amended by the Solid Waste Disposal Act of 1980 (P.L.
94-482, October 21, 1980), and as amended by the Hazardous and Solid
Waste Act of 1984 (P.L. 98-616, November 8, 1984).

      (l) Adopt rules and regulations establishing: (1) Appropriate measures
for monitoring generators, transporters and facilities during operation,
during closure and after closure of such facilities to insure compliance
with the rules and regulations adopted under this act and any permit
issued under this act; (2) procedures to suspend operation of such gen-
erators, transporters or facilities as may be required to protect the public
health and safety or the environment; and (3) appropriate measures to
insure that any use of a hazardous waste facility after closure will not
endanger the public health or safety or the environment.

      (m) Adopt rules and regulations establishing standards for hazardous
waste generators including, but not limited to, notification of hazardous
waste generation, reporting, recordkeeping, labeling, containerization,
source separation, storage, manifests, monitoring, sampling and analysis
and manner of filing notifications, reports and manifests.

      (n) Adopt rules and regulations prescribing the form of the manifest
and requiring such manifest to accompany any hazardous waste collected,
transported, treated, recovered or disposed of, and prescribing the con-
tents of the manifest which shall include, but not be limited to, the quan-
tity and composition of the hazardous waste, generator, transporter, des-
tination, facility and the manner of signing and filing of the manifest and
for the maintenance of records.

      (o) Adopt rules and regulations establishing standards for routes used
for transporting hazardous waste within the state with the concurrence
of the state corporation commission. Such standards shall be consistent
with those of the United States department of transportation and the state
corporation commission, with respect to transportation of hazardous ma-
terials. Motor vehicles which are used for the transportation of hazardous
waste in accordance with this act shall be exempt from the requirements
of K.S.A. 66-1,108 et seq., and amendments thereto, and any rules and
regulations adopted thereunder pertaining to routes which shall be under
the jurisdiction of the secretary as provided in this act including any rules
and regulations adopted thereunder. Otherwise such motor vehicles shall
be subject to the requirements of K.S.A. 66-1,108 et seq., and amend-
ments thereto, and any rules and regulations adopted thereunder.

      (p) Adopt rules and regulations establishing standards for transport-
ers of hazardous waste including, but not limited to, notification of haz-
ardous waste transport, manifests, labeling, recordkeeping and the filing
of reports.

      (q) Adopt rules and regulations establishing standards and procedu-
res to protect public health and the environment from any release of
hazardous waste into the environment and to insure the prompt correc-
tion of any such release and damage resulting therefrom by the person
transporting, handling or managing such hazardous waste.

      (r) Adopt rules and regulations requiring that, for such period of time
as the secretary shall specify, any assignment, sale, conveyance or transfer
of all or any part of the real property upon which a hazardous waste facility
is or has been located shall be subject to such terms and conditions as to
the use of such property as the secretary shall specify to protect human
health and the environment.

      (s) Adopt rules and regulations establishing a permit system which
includes standards for hazardous waste facilities and procedures for im-
plementation of a permit system for the construction, alteration or op-
eration of a hazardous waste facility including, but not limited to, content
of applications, evidence of financial responsibility, existing hydrogeolog-
ical characteristics, environmental assessment, training of personnel,
maintenance of operations, qualifications of ownership, continuity of op-
eration, public notification and participation and compliance with those
standards established pursuant to subsection (t).

      (t) Adopt rules and regulations establishing minimum standards for
the design, location, construction, alteration, operation, termination, clos-
ing and long-term care of hazardous waste facilities, including, but not
limited to, notification of hazardous waste treatment, storage or disposal,
general facility standards, contingency plans, emergency procedures,
manifest system, recordkeeping, inspections, monitoring, reporting, clo-
sure and postclosure plans and financial requirements. The operator of
the facility shall be responsible for long-term care of the facility for 30
years after closure of the facility except that the secretary may modify the
long-term care requirements for any facility when all hazardous waste is
removed from the facility at closure. The secretary may extend the long-
term care responsibility of any operator of a facility as the secretary may
deem necessary to protect the public health and safety or the environ-
ment. Any person acquiring rights of possession or operation of any haz-
ardous waste facility permitted by the secretary at any time after the
facility has begun to accept waste and prior to the end of the required
period of long-term care shall be subject to all of the requirements, terms
and conditions of the permit for the facility including all requirements
relating to long-term care of the facility. The sale or acquisition of a
hazardous waste facility during the long-term care period shall be subject
to the assignment of long-term care responsibilities as determined by the
secretary.

      (u) Adopt rules and regulations establishing a schedule of annual fees
to be paid to the secretary by: (1) Persons owning or operating hazardous
waste facilities; (2) hazardous waste transporters; or (3) hazardous waste
generators producing or bringing into existence hazardous waste in Kan-
sas. The fees shall be for monitoring facilities both during and after op-
eration, for monitoring generators of hazardous waste in Kansas and for
monitoring the transportation of hazardous wastes. The fees shall be suf-
ficient to reimburse the cost of the state in performing these monitoring
responsibilities. The fee established under this subsection for each haz-
ardous waste facility shall not exceed $50,000 annually. In setting fees,
the secretary may exempt those fees which would be payable by gener-
ators for hazardous waste which is treated to recover substantial amounts
of either energy or materials from hazardous wastes. The secretary shall
remit at least monthly any moneys collected from such fees to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of any each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury to
the credit of the hazardous waste management fund created by K.S.A.
2000 Supp. 65-3491, and amendments thereto.

      (v)  (1) Adopt rules and regulations establishing a schedule of fees to
be paid to the secretary by applicants for permits to construct, modify or
operate a hazardous waste facility. The fees established under this sub-
section shall not exceed $175,000 for each application submitted. These
fees shall be based upon resources required to review the application, the
type of facility, quantity of waste processed, type of waste processed,
degree of hazard and potential impact upon human health and environ-
ment.

      (2) The secretary shall remit at least monthly any money collected
pursuant to this subsection to the state treasurer in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury to the credit of the hazardous waste
management fund created by K.S.A. 2000 Supp. 65-3491, and amend-
ments thereto.

      (w)  (1) Adopt rules and regulations establishing a schedule of fees to
be paid to the secretary by off-site hazardous waste facilities at which
hazardous waste is treated and off-site hazardous waste facilities at which
hazardous waste is disposed and will remain after closure. In establishing
fees, the secretary shall give consideration to the degree of hazard, energy
content, quantity of waste, costs of treatment or disposal and estimated
future receipts. Fees shall be in an amount not to exceed $.01 per pound
of hazardous waste treated, or burned for energy or material recovery. In
no event shall the fees established under this subsection exceed the fol-
lowing annual calendar year caps: $60,000 for a facility which burns haz-
ardous waste for energy or material recovery only; $200,000 for a facility
which burns hazardous waste for treatment or disposal only. Facilities
which burn hazardous waste for: (A) Energy or material recovery; and
(B) treatment or disposal shall be subject to a total facility cap of $200,000,
which includes a separate cap of $60,000 for hazardous wastes which are
burned for energy or material recovery. The secretary shall establish a
differential fee schedule for hazardous wastes based upon waste charac-
teristics which is consistently applied to all facilities which burn hazardous
wastes. In all other cases, fees shall be in an amount not to exceed $.05
per pound of hazardous waste disposed.

      (2) The secretary shall remit at least monthly any money collected
pursuant to this subsection to the state treasurer in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury to the credit of the hazardous waste
management fund created by K.S.A. 2000 Supp. 65-3491, and amend-
ments thereto, except that 25% of any such deposit shall be deposited to
the credit of the hazardous waste collection fund created by K.S.A. 65-
3460, and amendments thereto.

      (x) Encourage, coordinate or participate in one or more waste
exchange clearing houses for the purpose of promoting reuse and recy-
cling of industrial wastes.

      (y) Adopt rules and regulations establishing the criteria to specify
when a change of principal owners or management of a hazardous waste
facility occurs and under what circumstances and procedures a new per-
mit shall be required to be issued to the transferees of a facility which
was permitted to the transferor.

      (z) Adopt rules and regulations concerning the generation, transpor-
tation, storage, blending, marketing, burning and types of hazardous
waste for which any method, technique or process to recover energy will
be considered hazardous waste treatment. Such rules and regulations
should specify a minimum heat value of the waste so as to ensure that a
legitimate energy recovery will occur and should consider other charac-
teristics of the waste which are appropriate to ensure that such method,
technique or process for energy recovery will not pose a threat to the
public health or environment.

      Sec.  249. K.S.A. 2000 Supp. 65-34,117 is hereby amended to read as
follows: 65-34,117. (a) There is hereby established on and after July 1,
1992, an environmental assurance fee of $.01 on each gallon of petroleum
product, other than aviation fuel, manufactured in or imported into this
state. The environmental assurance fee shall be paid by the manufacturer,
importer or distributor first selling, offering for sale, using or delivering
petroleum products within this state. The environmental assurance fee
shall be paid to the department of revenue at the same time and in the
same manner as the inspection fee established pursuant to K.S.A. 55-426,
and amendments thereto, is paid. The secretary of revenue shall remit
daily the environmental assurance fees paid hereunder to the state trea-
surer, who in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the same entire amount in the state treasury to the
credit of either the aboveground fund or underground fund, as provided
by subsection (b). Exchanges of petroleum products on a gallon-for-gallon
basis within a terminal and petroleum product which is subsequently ex-
ported from this state shall be exempt from this fee.

      (b) Moneys collected from the environmental assurance fee imposed
by this section shall be credited as follows:

      (1) At any time when the unobligated principal balance of the un-
derground fund is equal to $2,000,000 or less, the moneys shall be cred-
ited to the underground fund until the unobligated principal balance of
underground fund equals or exceeds $5,000,000.

      (2) At any time when the unobligated principal balance of the above-
ground fund is equal to $500,000 or less and the moneys are not required
to be credited to the underground fund under subsection (b)(1), such
moneys shall be credited to the aboveground fund until the unobligated
principal balance of the aboveground fund equals or exceeds $1,500,000
or until subsection (b)(1) requires moneys to be credited to the under-
ground fund, whichever occurs first. At any time when the unobligated
principal balance of the aboveground fund exceeds $1,500,000, the excess
shall be transferred to the underground fund.

      (3) At any time when the moneys cease to be credited to aboveground
fund before the unobligated principal balance of the aboveground fund
equals or exceeds $1,500,000, such moneys shall again be credited to the
aboveground fund when the unobligated principal balance of the under-
ground fund equals or exceeds $5,000,000. Such moneys shall continue
to be credited to the aboveground fund until the unobligated principal
balance of the aboveground fund equals or exceeds $1,500,000 or until
subsection (b)(1) requires moneys to be credited to the underground
fund, whichever occurs first.

      (c) At any time when subsections (b)(1), (b)(2) and (b)(3) do not re-
quire moneys to be credited to either the underground fund or the above-
ground fund, no environmental assurance fees shall be levied unless and
until such time as the unobligated principal balance in the underground
fund is less than or equal to $2,000,000 or the unobligated principal bal-
ance in the aboveground fund is less than or equal to $500,000, in which
case the collection of the environmental assurance fee will resume within
90 days following the end of the month in which such unobligated balance
occurs. If no environmental assurance fees are being levied, the director
of accounts and reports shall notify the secretary of revenue whenever
the unobligated principal balance in the underground fund is $2,000,000
or the unobligated principal balance in the aboveground fund is $500,000,
and the secretary of revenue shall then give notice to each person subject
to the environmental assurance fee as to the imposition of the fee and
the duration thereof.

      The director of accounts and reports shall cause to be published each
month, in the second issue of the Kansas register published in such
month, the amount of the unobligated principal balances in the under-
ground fund and the aboveground fund on the last day of the preceding
calendar month.

      (d) Every manufacturer, importer or distributor of any petroleum
product liable for the payment of environmental assurance fees as pro-
vided in this act, shall report in full and detail before the 25th day of
every month to the secretary of revenue, on forms prepared and furnished
by the secretary of revenue, and at the time of forwarding such report,
shall compute and pay to the secretary of revenue the amount of fees due
on all petroleum products subject to such fee during the preceding
month.

      (e) All fees imposed under the provisions of this section and not paid
on or before the 25th day of the month succeeding the calendar month
in which such petroleum products were subject to such fee shall be
deemed delinquent and shall bear interest at the rate of 1% per month,
or fraction thereof, from such due date until paid. In addition thereto,
there is hereby imposed upon all amounts of such fees remaining due
and unpaid after such due date a penalty in the amount of 5% thereof.
Such penalty shall be added to and collected as a part of such fees by the
secretary of revenue.

      (f) The secretary of revenue is hereby authorized to adopt such rules
and regulations as may be necessary to carry out the responsibilities of
the secretary of revenue under this section.

      Sec.  250. K.S.A. 2000 Supp. 65-34,145 is hereby amended to read as
follows: 65-34,145. (a) Each owner of an operating drycleaning facility
shall register annually with the department on a form provided by the
department. The registration shall be accompanied by a fee of $100 for
each operating drycleaning facility owned by the owner. The secretary
shall remit daily the fees paid pursuant to this section to the state trea-
surer, who in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury to the credit
of the fund.

      (b) The owner of a drycleaning facility shall post the owner's regis-
tration number, in a manner prescribed by the secretary, in the public
area of each operating drycleaning facility owned by the owner.

      Sec.  251. K.S.A. 2000 Supp. 65-34,146 is hereby amended to read as
follows: 65-34,146. (a) There is hereby established in the state treasury
the drycleaning facility release trust fund. The fund shall be administered
by the secretary. Moneys from the following sources shall be deposited
remitted to the state treasurer, in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury
and credited to the credit of the fund:

      (1) Any proceeds from the taxes and fees imposed by this act;

      (2) any interest attributable to investment of moneys in the dryclean-
ing facility release trust fund;

      (3) moneys recovered by the state under the provisions of this act,
including any moneys paid under an agreement with the secretary or as
civil penalties; and

      (4) moneys received by the secretary in the form of gifts, grants, re-
imbursements or appropriations from any source intended to be used for
the purposes of this act.

      (b) Moneys in the fund may be expended for only the following pur-
poses and for no other governmental purpose:

      (1) The direct costs of administration and enforcement of this act;
and

      (2) the costs of corrective action as provided in K.S.A. 2000 Supp.
65-34,148, and amendments thereto.

      (c) It is the intent of the legislature that the fund shall remain intact
and inviolate for the purposes set forth in this act, and moneys in the
fund shall not be subject to the provisions of K.S.A. 75-3722, 75-3725a
and 75-3726a, and amendments thereto.

      (d) On or before the 10th day of each month, the director of accounts
and reports shall transfer from the state general fund to the drycleaning
facility release trust fund interest earnings based on: (1) The average daily
balance of moneys in the drycleaning facility release trust fund for the
preceding month; and (2) the net earnings rate for the pooled money
investment portfolio for the preceding month.

      (e) All expenditures from the drycleaning facility release trust fund
shall be made in accordance with appropriation acts upon warrants of the
director of the accounts and reports issued pursuant to vouchers approved
by the secretary for the purposes set forth in this section.

      Sec.  252. K.S.A. 2000 Supp. 65-34,150 is hereby amended to read as
follows: 65-34,150. (a) Subject to the provisions of K.S.A. 2000 Supp. 65-
34,152, and amendments thereto, there is hereby imposed an environ-
mental surcharge in the form of a gross receipts tax for the privilege of
engaging in the business of laundering and drycleaning garments and
other household fabrics in this state. The tax shall be at a rate of 2.5% of
the gross receipts received from drycleaning or laundering services. The
tax shall be paid by the consumer to the retailer and it shall be the duty
of the retailer to collect from the consumer the full amount of the tax
imposed or an amount as nearly as possible or practicable to the average
thereof.

      (b) Gross receipts otherwise taxable pursuant to this section shall be
exempt from the tax imposed by this section if they arise from:

      (1) Services rendered through a coin-operated device, whether au-
tomatic or manually operated, available for use by the general public;

      (2) the laundering without use of drycleaning solvents of uniforms,
linens or other textiles for commercial purposes, including any rental of
uniforms, linens or dust control materials; or

      (3) charges or services to entities that qualify for exemption from
retailers' sales tax on laundering and drycleaning services pursuant to
K.S.A. 79-3606, and amendments thereto.

      (c) The tax imposed by this section shall be imposed on the same tax
base as the Kansas retailers' sales tax and shall be in addition to all other
state and local sales or excise taxes.

      (d) The secretary of revenue shall remit daily the taxes paid under
this act to the state treasurer, who in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury to the credit of the fund. For the purpose of this section, the
proceeds of the tax shall include all funds collected and received by the
director of taxation pursuant to this section, including interest and pen-
alties on delinquent taxes.

      (e) Every retailer liable for the payment of taxes imposed by this
section shall report the taxes for the same periods and at the same time
as the returns that the retailer files under the Kansas retailers' sales tax
act, as prescribed by K.S.A. 79-3607, and amendments thereto. Each
retailer shall report the tax imposed by this act on a form prescribed by
the secretary of revenue.

      (f) All taxes imposed by this section and not paid at or before the
time taxes are due from the retailer under the Kansas retailers' sales tax
act shall be deemed delinquent and shall bear interest at the rate pre-
scribed by subsection (a) of K.S.A. 79-2968, and amendments thereto,
from the due date until paid. In addition, there is hereby imposed upon
all amounts of such taxes remaining due and unpaid after the due date a
penalty on the unpaid balance of the taxes due in the amounts and per-
centages prescribed by K.S.A. 79-3615, and amendments thereto.

      (g) Whenever any taxpayer or person liable to pay tax imposed by this
section refuses or neglects to pay the tax, the amount of the tax, including
any interest or penalty, shall be collected in the manner provided by law
for collection of delinquent taxes under the Kansas retailers' sales tax act.

      (h) Insofar as not inconsistent with this act, the provisions of the Kan-
sas retailers' sales tax act shall apply to the tax imposed by this section.

      (i) The secretary of revenue is hereby authorized to administer and
enforce the provisions of this section and to adopt such rules and regu-
lations as may be necessary to carry out the responsibilities of the sec-
retary of revenue under this section.

      Sec.  253. K.S.A. 2000 Supp. 65-34,151 is hereby amended to read as
follows: 65-34,151. (a) Subject to the provisions of K.S.A. 2000 Supp. 65-
34,152, and amendments thereto, there is hereby imposed a fee on the
purchase or acquisition of drycleaning solvent by any owner of a dryclean-
ing facility. The fee shall be paid to the director of taxation by the person
who distributes the solvent.

      (b) The amount of the fee imposed by this section on each gallon of
drycleaning solvent shall be an amount equal to the product of the solvent
factor for the drycleaning solvent and the fee rate of $3.50 plus .25 added
on January 1 of each calendar year, beginning in 1996, until the fee rate
reaches a maximum of $5.50 per gallon.

      (c) The solvent factor for each drycleaning solvent is as follows:

Drycleaning solvent                             Solvent Factor

Perchloroethylene 1.00
Chlorofluorocarbon-113 1.00
1,1,1-trichloroethane 1.00
Other chlorinated drycleaning solvents 1.00
Any nonchlorinated drycleaning solvent 0.10
      (d) In the case of a fraction of a gallon, the fee imposed by this section
shall be the same fraction of the fee imposed on a whole gallon.

      (e) No person who distributes drycleaning solvent shall sell any such
solvent for use in a drycleaning facility unless such person first obtains
the registration number of the owner of such facility.

      (f) The secretary of revenue shall remit daily the fees paid pursuant
to this section to the state treasurer, who in accordance with the provi-
sions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount in the
state treasury to the credit of the fund. For the purpose of this section,
the proceeds of the fee shall include all funds collected and received by
the director of taxation pursuant to this section, including interest and
penalties on delinquent fees.

      (g) Subject to rules and regulations adopted pursuant to this section,
the fees imposed by this act shall be paid to the director of taxation for
the same reporting period and on the same reporting date as the pur-
chaser or user of the solvent reports Kansas retailers' sales tax, as pre-
scribed in K.S.A. 79-3607, and amendments thereto. The fees imposed
by this section shall be reported on a form prescribed by the secretary of
revenue.

      (h) Subject to rules and regulations adopted pursuant to this section,
all fees imposed under the provisions of this section and not paid on or
before the 25th day of the month succeeding the reporting period in
which the solvent was purchased shall be deemed delinquent and shall
bear interest at the rate prescribed by subsection (a) of K.S.A. 79-2928,
and amendments thereto, from the due date until paid. In addition, there
is hereby imposed upon all amounts of such fees remaining due and
unpaid after the due date a penalty on the unpaid balance of the fees due
in the amounts and percentages prescribed by K.S.A. 79-3615, and
amendments thereto.

      (i) Whenever any person liable to pay the fee imposed by this section
refuses or neglects to pay the fee, the amount of the fee, including any
interest or penalty, shall be collected in the manner provided by law for
collection of delinquent taxes under the Kansas retailers' sales tax act.

      (j) Insofar as not inconsistent with this act, the provisions the Kansas
retailers' sales tax act shall apply to the fees imposed by this section.

      (k) The secretary of revenue is hereby authorized to administer and
enforce the provisions of this section and to adopt such rules and regu-
lations as may be necessary to carry out the responsibilities of the sec-
retary of revenue under this section.

      Sec.  254. K.S.A. 2000 Supp. 65-3503 is hereby amended to read as
follows: 65-3503. (a) It shall be the duty of the board to:

      (1) Develop, impose and enforce standards which shall be met by
individuals in order to receive a license as an adult care home adminis-
trator, which standards shall be designed to ensure that adult care home
administrators will be individuals who are of good character and are oth-
erwise suitable, and who, by training or experience in the field of insti-
tutional administration, are qualified to serve as adult care home admin-
istrators;

      (2) develop examinations and investigations for determining whether
an individual meets such standards;

      (3) issue licenses to individuals who meet such standards, and revoke
or suspend licenses issued by the board or reprimand, censure or oth-
erwise discipline a person holding any such license as provided under
K.S.A. 65-3508, and amendments thereto;

      (4) establish and carry out procedures designed to ensure that indi-
viduals licensed as adult care home administrators comply with the
requirements of such standards; and

      (5) receive, investigate and take appropriate action under K.S.A. 65-
3505, and amendments thereto, and rules and regulations adopted by the
board with respect to any charge or complaint filed with the board to the
effect that any person licensed as an adult care home administrator may
be subject to disciplinary action under K.S.A. 65-3505 and 65-3508, and
amendments thereto.

      (b) The board shall also have the power to make rules and regulations,
not inconsistent with law, as may be necessary for the proper performance
of its duties, and to have subpoenas issued pursuant to K.S.A. 60-245,
and amendments thereto, in the board's exercise of its power and to take
such other actions as may be necessary to enable the state to meet the
requirements set forth in section 1908 of the social security act, the fed-
eral rules and regulations promulgated thereunder and other pertinent
federal authority.

      (c) The board shall fix by rules and regulations the licensure fee,
temporary license fee, renewal fee, late renewal fee, reinstatement fee,
reciprocity fee and sponsorship fee and, if necessary, an examination fee
under this act. Such fees shall be fixed in an amount to cover the costs
of administering the provisions of the act. No fee shall be more than $200.
The secretary of health and environment shall remit all moneys received
from fees, charges or penalties under this act to the state treasurer at
least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury and
credit the same to the credit of the state general fund.

      (d) The board upon request shall receive from the Kansas bureau of
investigation, without charge, such criminal history record information
relating to criminal convictions as necessary for the purpose of determin-
ing initial and continuing qualifications of licensees of and applicants for
licensure by the board.

      Sec.  255. K.S.A. 65-4216 is hereby amended to read as follows: 65-
4216. (a) Subject to the provisions of subsection (c) of K.S.A. 65-4923,
and amendments thereto:

      (1) Every employer of a mental health technician shall report under
oath to the board of nursing any information such employer has which
appears to show that a mental health technician has committed an act
which may be a ground for disciplinary action pursuant to K.S.A. 65-4209,
and amendments thereto, or that the employer has taken disciplinary
action against a mental health technician for committing any such act or
has accepted the resignation of a mental health technician in lieu of taking
disciplinary action therefor.

      (2) Every health care provider shall report under oath to the board
of nursing any information such health care provider has which appears
to show that a mental health technician has committed an act which may
be a ground for disciplinary action pursuant to K.S.A. 65-4209, and
amendments thereto.

      (3) Any person, other than those persons specified in provisions (1)
and (2), may report under oath to the board of nursing any information
such person has which appears to show that a mental health technician
has committed an act which may be a ground for disciplinary action pur-
suant to K.S.A. 65-4209, and amendments thereto.

      (b) Any medical care facility which fails to report within 30 days after
the receipt of information required to be reported by this section shall
be reported by the board of nursing to the secretary of health and envi-
ronment and shall be subject, after proper notice and an opportunity to
be heard, to a civil fine assessed by the secretary of health and environ-
ment in an amount not exceeding $1,000 per day for each day thereafter
that the incident is not reported. All fines assessed and collected under
this section shall be remitted promptly to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt thereof of each such remittance, the state treasurer shall deposit
the entire amount in the state treasury and credit it to the credit of the
state general fund.

      (c) As used in this section:

      (1) ``Medical care facility'' has the meaning provided by K.S.A. 65-
4921, and amendments thereto.

      (2) ``Health care provider'' has the meaning provided by K.S.A. 65-
4921, and amendments thereto.

      Sec.  256. K.S.A. 65-4415 is hereby amended to read as follows: 65-
4415. (a) The secretary upon determination that a program included in
the proposed budget of a community mental retardation facility: (1) Is a
new program not included in previous budgets of such community mental
retardation center; and (2) duplicates an existing program which is ade-
quately serving the geographic area served by such community mental
retardation facility, may subtract the full-time equivalent clients served
by the program from the total full-time equivalent computation for pur-
poses of granting financial assistance under the Kansas community mental
retardation facilities assistance act or may require such community mental
retardation facility to purchase the service from or otherwise cooperate
with such other program.

      (b) The secretary shall administer the provisions of the Kansas com-
munity mental retardation facilities assistance act. In administering the
provisions of the Kansas community mental retardation facilities assis-
tance act, the secretary shall review the budgets and expenditures of the
facilities, from time to time during the fiscal year, and may withdraw funds
from any facility which is not being administered substantially in accord-
ance with the provisions of the annual budget submitted to the secretary.

      (c) The secretary shall provide consultative staff service to community
mental retardation facilities to assist in ascertaining local needs, in ob-
taining federal funds and assistance and in the delivery of mental retar-
dation services at the local level.

      (d) In the event any community mental retardation facility is paid
more than it is entitled to receive under any distribution made under the
Kansas community mental retardation facilities assistance act, the secre-
tary shall notify the governing board of the community mental retardation
facility of the amount of such overpayment, and such governing board
shall remit the same to the secretary. The secretary shall remit any mon-
eys so received to the state treasurer, and in accordance with the provi-
sions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount of
such remittance in the state treasury to the credit of the state general
fund. If any such governing board fails so to remit, the secretary shall
deduct the excess amount so paid from future payments becoming due
to such community mental retardation facility.

      (e) In the event any community mental retardation facility is paid less
than the amount to which it is entitled under any distribution made under
the Kansas community mental retardation facilities assistance act, the sec-
retary shall pay the additional amount due at any time within the fiscal
year in which the underpayment was made or within 60 days after the
end of such year.

      Sec.  257. K.S.A. 65-4437 is hereby amended to read as follows: 65-
4437. (a) In the event any mental health center is paid more than it is
entitled to receive under any distribution made under this act, the sec-
retary shall notify the governing board of the mental health center of the
amount of such overpayment and such governing board shall remit the
same to the secretary. The secretary shall remit any moneys so received
to the state treasurer, and in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance, the
state treasurer shall deposit the entire amount of such remittance in the
state treasury to the credit of the state general fund. If any such governing
board fails so to remit, the secretary shall deduct the excess amount so
paid from future payments becoming due to such mental health center.

      (b) In the event any mental health center is paid less than the amount
to which it is entitled under any distribution made under this act, the
secretary shall pay the additional amount due at any time within the fiscal
year in which the underpayment was made or within 60 days after the
end of such fiscal year.

      Sec.  258. K.S.A. 65-4514 is hereby amended to read as follows: 65-
4514. (a) The secretary shall remit all moneys received by or for the
secretary from fees, charges or penalties to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury and the same
shall be credited to the credit of the state general fund.

      (b) On July 1, 1983, the director of accounts and reports shall transfer
all moneys in the certification of operators of water supply systems and
wastewater treatment facilities fee fund to the state general fund. All
liabilities of the certification of operators of water supply systems and
wastewater treatment facilities fee fund are hereby transferred to and
imposed upon the state general fund. The certification of operators of
water supply systems and wastewater treatment facilities fee fund is
hereby abolished.

      Sec.  259. K.S.A. 2000 Supp. 65-4610 is hereby amended to read as
follows: 65-4610. The secretary shall remit all moneys received from fees
for licensing alcohol or drug abuse treatment facilities to the state trea-
surer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of any each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury. Twenty percent of each such deposit shall be credited to the
state general fund and the balance shall be credited to the other state
fees fund of the department of social and rehabilitation services.

      Sec.  260. K.S.A. 65-5002 is hereby amended to read as follows: 65-
5002. (a) Health care personnel seeking to be credentialed by the state
shall submit a credentialing application to the secretary upon forms ap-
proved by the secretary. The application shall be accompanied by an
application fee of $1,000. The secretary shall not accept a credentialing
application unless such application is accompanied by the application fee
and is signed by 100 or more Kansas resident proponents of credentialing
the health care occupation or profession seeking to be credentialed. All
credentialing applications accepted by the secretary shall be referred to
the technical committee for review and recommendation in accordance
with the provisions of this act and rules and regulations adopted by the
secretary. The application fee established under this subsection (a) shall
apply to every group of health care personnel which submits a creden-
tialing application to the secretary on and after the effective date of this
act and to every group of health care personnel which has not filed both
a notice of intention and a fully answered application before the effective
date of this act.

      (b) The secretary shall remit all moneys received from fees under this
section to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury to the credit of the state general fund.

      Sec.  261. K.S.A. 65-5309 is hereby amended to read as follows: 65-
5309. (a) The secretary shall establish by rules and regulations a reason-
able schedule of fees for licensure, for certification and for project eval-
uations under this act. The fee schedule shall be established on the basis
of determination by the secretary of the amount of revenue required for
administration of the provisions of this act.

      (b) The secretary shall remit all moneys received from the fees es-
tablished pursuant to this section to the state treasurer at least monthly
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount thereof in the state treasury to the credit of
the state general fund.

      Sec.  262. K.S.A. 65-5413 is hereby amended to read as follows: 65-
5413. The board shall remit all moneys received by or for it from fees,
charges or penalties to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of any each such remittance, the state treasurer shall deposit the
entire amount thereof in the state treasury. Twenty percent of each such
deposit shall be credited to the state general fund and the balance shall
be credited to the healing arts fee fund. All expenditures from such 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 president of the board or by a person designated by the president
of the board.

      Sec.  263. K.S.A. 65-5513 is hereby amended to read as follows: 65-
5513. The board shall remit all moneys received by or for it from fees,
charges or penalties to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of any each such remittance, the state treasurer shall deposit the
entire amount thereof in the state treasury. Twenty percent of each such
deposit shall be credited to the state general fund and the balance shall
be credited to the healing arts fee fund. All expenditures from such 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 president of the board or by a person designated by the president
of the board.

      Sec.  264. K.S.A. 65-5708 is hereby amended to read as follows: 65-
5708. (a) The secretary of health and environment, the adjutant general
or the attorney general may order a facility owner or operator to comply
with the requirements of section 302(c) or 303(d) of the federal act, as
adopted by K.S.A. 65-5707, and amendments thereto. The secretary of
health and environment, the adjutant general or attorney general may
bring an action to enforce the order in the district court of the judicial
district where the facility is located by a civil penalty of not more than
$25,000 for each day the violation or failure to comply continues.

      (b) For a violation of the requirements of section 304 of the federal
act, as adopted by K.S.A. 65-5707, and amendments thereto:

      (1) The secretary of health and environment, the adjutant general or
the attorney general, upon notice and opportunity for hearing, may assess
a civil penalty of not more than $25,000 per violation.

      (2) The secretary of health and environment, the adjutant general or
the attorney general may bring an action against a facility owner or op-
erator in the district court of the judicial district where the facility is
located for a civil penalty of: (A) Not more than $25,000 per day for each
day the violation continues, for the first violation; and (B) not more than
$75,000 per day for each day the violation continues, for the second or a
subsequent violation.

      (c) For a violation of the requirements of section 312 or 313 of the
federal act, as adopted by K.S.A. 65-5707, and amendments thereto, or
for denial of the accesses provided for in K.S.A. 65-5711, and amend-
ments thereto:

      (1) The secretary of health and environment, the adjutant general or
the attorney general, upon notice and opportunity for hearing, may assess
a civil penalty of not more than $25,000 per violation.

      (2) The secretary of health and environment, the adjutant general or
the attorney general may bring an action against a facility owner or op-
erator in the district court of the judicial district where the facility is
located for a civil penalty of not more than $25,000 per day for each day
the violation continues.

      (d) For a violation of section 311 or 323(b) of the federal act, as
adopted by K.S.A. 65-5707, and amendments thereto:

      (1) The secretary of health and environment, the adjutant general or
the attorney general, upon notice and opportunity for hearing, may assess
a civil penalty of not more than $10,000 per violation.

      (2) The secretary of health and environment, the adjutant general or
the attorney general may bring an action against a facility owner or op-
erator in the district court of the judicial district where the facility is
located for a civil penalty of not more than $10,000 per day for each day
the violation continues.

      (e) The secretary of health and environment may impose a late fee
at the rate of 10% per annum on any outstanding fee (including late fee)
owed the department under K.S.A. 65-5704, and amendments thereto,
or rules and regulations promulgated thereunder. The late fee shall be
imposed on the first of each month following the date a fee was due.
Payment made prior to the next succeeding month shall satisfy the
requirements of this section.

      (f) Any health care professional entitled to information pursuant to
section 323 of the federal act, as adopted by K.S.A. 65-5707, and amend-
ments thereto, may bring an action in the district court to require a facility
owner or operator to provide such information.

      (g) Except as provided by subsection (h), any civil penalty recovered
pursuant to this section shall be remitted to the state treasurer, who in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and credit it to the credit
of the state general fund.

      (h) At the request of the secretary of health and environment, the
adjutant general or the attorney general, a county or district attorney may
bring an action for a civil penalty as provided by this section, in which
case 1/2 of any penalty recovered in such action shall be paid to the county
treasurer for deposit in the county treasury and credit to the county gen-
eral fund. The remainder shall be remitted to the state treasurer for
disposition as provided by subsection (g).

      Sec.  265. K.S.A. 2000 Supp. 65-5913 is hereby amended to read as
follows: 65-5913. The secretary shall fix by rules and regulations fees for
applications for and renewal of licenses, temporary licenses, examination
fees, late renewal fees, reinstatement and sponsorship fees under this act.
Such fees shall be fixed in an amount to cover the costs of administering
the provisions of this act. No fee shall be more than $200. The secretary
shall remit all moneys received from fees, charges or penalties under this
act to the state treasurer at least monthly in accordance with the provi-
sions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury and credit the same to the credit of the state
general fund.

      Sec.  266. K.S.A. 2000 Supp. 65-6128 is hereby amended to read as
follows: 65-6128. (a) A permit shall not be issued to an operator unless
the board finds the ambulance service is or will be staffed and equipped
in accordance with the rules and regulations promulgated by the board
pursuant to K.S.A. 65-6110, and amendments thereto. If the board de-
termines that an applicant is not qualified, such applicant shall be notified
of the denial of such application with a statement of the reasons for such
denial. The applicant may reapply upon submission of evidence that the
disqualifying factor alleged by the board has been corrected. No fee shall
be required for the first reapplication made if it is submitted to the board
within one year of the date of the denial of the application.

      (b) A permit to operate an ambulance service shall be valid for a term
fixed by the board not to exceed 18 months and may be renewed upon
payment of a fee in the amount fixed by the board pursuant to K.S.A. 65-
6127, and amendments thereto. The board may prorate to the nearest
whole month the fee fixed under this subsection as necessary to imple-
ment the provisions of this subsection.

      (c) At least once each month, All fees received pursuant to the pro-
visions of this section shall be remitted to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury. Each such deposit shall be credited
to the credit of the state general fund.

      Sec.  267. K.S.A. 2000 Supp. 65-6129 is hereby amended to read as
follows: 65-6129. (a) Application for an attendant's certificate shall be
made to the board upon forms provided by the administrator. The board
may grant an attendant's certificate if the applicant meets the following
requirements:

      (1)  (A) Has made application within one year from the date of the
last class of an appropriate course of instruction for the classification of
attendant's certificate for which application has been made; and

      (B) has completed successfully such course of instruction, passed an
examination prescribed by the board and paid a fee prescribed by the
board; or

      (2) has completed successfully a course of instruction or training ac-
credited by the commission on accreditation of allied health education
programs, a program of instruction or training offered by the armed forces
of the United States or a program of instruction completed in another
state that is equivalent to a program approved by the board for the class
of attendant's certificate applied for, passed an examination prescribed
by the board and paid a fee prescribed by the board.

      (b) An attendant applying for an emergency medical technician's cer-
tificate shall have completed successfully a course of training, approved
by the board, in preliminary emergency medical care. An attendant ap-
plying for a mobile intensive care technician's certificate shall have com-
pleted successfully a course of training, approved by the board, which
shall include, but not be limited to, didactic and clinical experience in a
hospital and in an emergency vehicle unit. An attendant applying for an
emergency medical technician-intermediate certificate shall be certified
as an emergency medical technician and shall have completed successfully
a course of training, approved by the board, which shall include training
in veni-puncture for blood sampling and administration of intravenous
fluids and advanced patient assessment. An attendant applying for an
emergency medical technician-defibrillator certificate shall be certified
as an emergency medical technician and shall have completed successfully
a training program approved by the board.

      (c) An attendant's certificate shall expire on December 31, 2000, and
may be renewed as provided in this section. On and after January 1, 2001,
a certificate shall expire on the date prescribed by the board. An atten-
dant's certificate may be renewed for a period of two years upon payment
of a fee as prescribed by rule and regulation of the board and upon pres-
entation of satisfactory proof that the attendant has successfully com-
pleted continuing education as prescribed by the board. The board may
prorate to the nearest whole month the fee fixed under this subsection
as necessary to implement the provisions of this subsection.

      (d) The emergency medical services board may issue a temporary
certificate to any person who has not qualified for an attendant's certifi-
cate under paragraph (1) or (2) of subsection (a) when:

      (1) The operator for whom such person serves as an attendant re-
quests a temporary certificate for that person; and

      (2) such person meets or exceeds certain minimum requirements
prescribed by the board by rules and regulations.

      A temporary certificate shall be effective for one year from the date of
its issuance or until the person has qualified as an attendant under par-
agraph (1) or (2) of subsection (a), whichever comes first. A temporary
certificate shall not be renewed and shall be valid only while an attendant
works for the operator requesting the temporary certificate. A person
holding a temporary certificate as an emergency medical technician shall
not be eligible to apply for certification as an emergency medical tech-
nician-intermediate, emergency medical technician-defibrillator or a mo-
bile intensive care technician.

      (e) At least once each month All fees received pursuant to the pro-
visions of this section shall be remitted to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury to the credit of the state general
fund.

      (f) If a person who was previously certified as an attendant applies
for an attendant's certificate within two years of the date of its expiration,
the board may grant a certificate without the person completing a course
of instruction or passing an examination if the person has completed con-
tinuing education requirements and has paid a fee prescribed by rules
and regulations.

      Sec.  268. K.S.A. 2000 Supp. 65-6129b is hereby amended to read as
follows: 65-6129b. (a) Application for an instructor-coordinator's certifi-
cate shall be made to the board upon forms provided by the administrator.
The board may grant an instructor-coordinator's certificate to an atten-
dant who: (1) Has served as an attendant in the emergency medical serv-
ices field during the preceding 12 months prior to applying for such cer-
tificate; (2) has made application within one year after successfully
completing the training, approved by the board, in instructing and coor-
dinating attendant training programs; (3) has passed an examination pre-
scribed by the board; and (4) has paid a fee as prescribed by rules and
regulations of the board.

      (b) The board may grant an instructor-coordinator's certificate to a
physician or a professional nurse who: (1) Has made application within
one year after successfully completing the training, approved by the
board, in instructing and coordinating attendant training programs; (2)
has passed an examination prescribed by the board; and (3) has paid a
fee as prescribed by rules and regulations of the board.

      (c) An instructor-coordinator's certificate shall expire on the expira-
tion date of the attendant's certificate if the instructor-coordinator is an
attendant or on the expiration date of the physician's or professional
nurse's license if the instructor is a physician or professional nurse. An
instructor-coordinator's certificate may be renewed for the same period
as the attendant's certificate or the physician's or professional nurse's
license upon payment of a fee as prescribed by rule and regulation of the
board and upon presentation of satisfactory proof that the instructor-
coordinator has successfully completed continuing education as pre-
scribed by the board. The board may prorate to the nearest whole month
the fee fixed under this subsection as necessary to implement the provi-
sions of this subsection.

      (d) An instructor-coordinator's certificate may be denied, revoked,
limited, modified or suspended by the board or the board may refuse to
renew such certificate if such individual:

      (1) Does not hold an attendant's certificate or a physician's or pro-
fessional nurse's license;

      (2) has made misrepresentations intentionally in obtaining a certifi-
cate or renewing a certificate;

      (3) has demonstrated incompetence or engaged in unprofessional
conduct as defined by rules and regulations adopted by the board;

      (4) has violated or aided and abetted in the violation of any provision
of this act or rules and regulations adopted by the board; or

      (5) has been convicted of any state or federal crime that is related
substantially to the qualifications, functions and duties of an instructor-
coordinator or any crime punishable as a felony under any state or federal
statute, and the board determines that such individual has not been suf-
ficiently rehabilitated to warrant the public trust. A conviction means a
plea of guilty, a plea of nolo contendere or a verdict of guilty. The board
may take disciplinary action pursuant to this section when the time for
appeal has elapsed, or after the judgment of conviction is affirmed on
appeal or when an order granting probation is made suspending the im-
position of sentence.

      (e) The board may limit, modify, revoke or suspend a certificate or
the board may refuse to renew such certificate in accordance with the
provisions of the Kansas administrative procedure act.

      (f) At least once each month, All fees received pursuant to this section
shall be remitted to the state treasurer in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of each such
remittance, the state treasurer shall deposit the entire amount thereof in
the state treasury to the credit of the state general fund.

      (g) If a person who was previously certified as an instructor-coordi-
nator applies for an instructor-coordinator certificate within two years of
the date of its expiration, the board may grant a certificate without the
person completing the training or passing an examination if the person
complies with the other provisions of subsection (a) or (b) and completes
continuing education requirements prescribed by the board.

      Sec.  269. K.S.A. 2000 Supp. 65-6512 is hereby amended to read as
follows: 65-6512. The secretary shall fix by rules and regulations the li-
censure fee, sponsorship fee, temporary licensure fee, renewal fee, late
renewal fee, reinstatement fee, and examination fee, if necessary, under
this act. Such fees shall be fixed in an amount to cover the costs of ad-
ministering the provisions of the act. No fee shall be more than $200.
The secretary shall remit all moneys received from fees, charges or pen-
alties under this act to the state treasurer at least monthly in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury and credit the same to the credit of
the state general fund.

      Sec.  270. K.S.A. 2000 Supp. 65-6809 is hereby amended to read as
follows: 65-6809. (a) There is hereby established in the state treasury the
health care database fee fund. The secretary of health and environment
shall remit at least monthly to the state treasurer, in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto, all moneys col-
lected or received by the secretary from the following sources:

      (1) Fees collected under K.S.A. 2000 Supp. 65-6804, and amend-
ments thereto;

      (2) moneys received by the secretary in the form of gifts, donations
or grants;

      (3) interest attributable to investment of moneys in the fund; and

      (4) any other moneys provided by law.

      Upon receipt thereof of each such remittance, the state treasurer shall
deposit in the state treasury any amount remitted pursuant to this sub-
section and shall credit the entire amount in the state treasury to the
credit of the health care database fee fund.

      (b) Moneys deposited in the health care database fee fund shall be
expended to supplement maintenance costs of the database, provide tech-
nical assistance and training in the proper use of health care data and
provide funding for dissemination of information from the database to
the public. If the performance audit required by K.S.A. 2000 Supp. 65-
6808, and amendments thereto, is conducted under contract with a firm,
as defined by K.S.A. 46-1112, and amendments thereto, the contract cost
of that performance audit may be paid from the health care database fee
fund.

      (c) On or before the 10th of each month, the director of accounts
and reports shall transfer from the state general fund to the health care
database fee fund interest earnings based on:

      (1) The average daily balance of moneys in the health care database
fee fund for the preceding month; and

      (2) the net earnings rate of the pooled money investment portfolio
for the preceding month.

      (d) All expenditures from the health care database fee fund shall be
made in accordance with appropriation acts upon warrants of the director
of accounts and reports issued pursuant to vouchers approved by the
secretary of health and environment for the purposes set forth in this
section.

      Sec.  271. K.S.A. 2000 Supp. 65-6910 is hereby amended to read as
follows: 65-6910. (a) The board shall charge and collect in advance fees
provided for in this act as fixed by the board by rules and regulations,
subject to the following limitations:

Application fee, not more than $100
Temporary registration fee, not more than $50
Registration renewal fee, not more than $50
Registration late renewal fee, not more than $50
Registration reinstatement fee, not more than $50
Certified copy of registration, not more than $40
Written verification of registration, not more than $25
      (b) The board shall charge and collect in advance fees for any ex-
amination administered by the board under the athletic trainers registra-
tion act as fixed by the board by rules and regulations in an amount equal
to the cost to the board of the examination and its administration. If the
examination is not administered by the board, the board may require that
fees paid for any examination under the athletic trainers registration act
be paid directly to the examination service by the person taking the ex-
amination.

      (c) The board shall remit all moneys received from fees, charges or
penalties to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury. Twenty percent of each such deposit
shall be credited to the state general fund and the balance shall be cred-
ited to the healing arts fee fund. All expenditures from such fund shall
be made in accordance with appropriation acts upon warrants of the di-
rector of accounts and reports issued pursuant to vouchers approved by
the president of the board or by a person designated by the president of
the board.

      Sec.  272. K.S.A. 2000 Supp. 66-1,139 is hereby amended to read as
follows: 66-1,139. (a) All interstate regulated public motor carriers of
property or of passengers or contract motor carriers of property or of
passengers who operate a motor vehicle in Kansas shall register their
motor vehicles in their base state pursuant to 49 U.S.C. 11506, unless
exempted under the provision of K.S.A. 66-1,109, and amendments
thereto.

      (b) All intrastate public motor carriers of property or passengers, con-
tract motor carriers of property or passengers, and private motor carriers
of property shall register with the state corporation commission all trucks
or truck tractors as defined by K.S.A. 8-126, and amendments thereto,
and all other passenger vehicles used to transport persons for hire, used
in the operation of their business as such, except those used in operations
exempted under the provisions of K.S.A. 66-1,109, and amendments
thereto.

      (c) Interstate motor carriers which have been granted authority by
the commission to transport commodities exempt from the jurisdiction
of the interstate commerce commission and who operate for hire or who
operate as private motor carriers shall register all trucks or truck tractors
as defined by K.S.A. 8-126, and amendments thereto, and all other pas-
senger vehicles used to transport persons for hire, used in the operation
of their business as such, except those used in operations exempted under
the provisions of K.S.A. 66-1,109, and amendments thereto. For the pur-
pose of assisting in paying the cost of supervision and regulation of motor
carriers, every such carrier shall annually pay to the commission for each
calendar year a regulatory fee of $10 for each truck, truck tractor or
passenger vehicle registered with the commission. No fee shall be
charged for a trailer or semitrailer.

      (d) All applications for registration shall be made on forms furnished
by the commission. Applications for registration of interstate common or
contract motor carriers shall include on the application the quantity of
trucks, truck tractors or passenger vehicles used by the motor carriers on
which a fee is required to be paid. Applications for registration of intra-
state common or contract motor carriers, private motor carriers, and in-
terstate exempt motor carriers shall include the complete vehicle iden-
tification numbers and the year and make of all trucks, truck tractors or
passenger vehicles used by the motor carrier, on which a fee is required
to be paid, and the application shall be accompanied by the required fee.
The fees shall be due January 1 and shall be paid not later than January
15. Upon receipt of the application and fee, the commission shall issue
to the carrier appropriate credentials for each vehicle registered.

      (e) The commission shall remit all moneys received by it or for it in
payment of fees imposed under this section to the state treasurer daily in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount thereof in the state treasury and the same shall
be credited to the credit of the motor carrier license fees fund.

      Sec.  273. K.S.A. 2000 Supp. 66-1,139a is hereby amended to read as
follows: 66-1,139a. All amounts collected under K.S.A. 66-1,139, and
amendments thereto, for the purpose of registration of motor vehicles,
pursuant to 49 U.S.C. 11506, shall be remitted by the state corporation
commission to the state treasurer daily in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of each such
remittance, the state treasurer shall deposit the entire amount in the state
treasury and credit such amount to the credit of the base state registration
clearing fund which is hereby created. Payments due and owing to par-
ticipating states pursuant to 49 U.S.C. 11506 and refunds for overpayment
shall be made from such fund. The state corporation commission shall
reconcile such clearing fund monthly with balances remitted monthly.

      Sec.  274. K.S.A. 66-1,155 is hereby amended to read as follows: 66-
1,155. The chairman chairperson of the corporation commission shall
remit all moneys received by or for it from fees, charges or penalties to
the state treasurer at least monthly in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of any each such
remittance, the state treasurer shall deposit the entire amount thereof in
the state treasury. Twenty percent (20%) of each such deposit shall be
credited to the state general fund and the balance shall be credited to the
gas pipeline inspection fee fund. All expenditures from such fund shall
be made in accordance with appropriation acts upon warrants of the di-
rector of accounts and reports issued pursuant to vouchers approved by
the chairman chairperson or by a person or persons designated by him
the chairperson.

      Sec.  275. K.S.A. 2000 Supp. 66-1a01 is hereby amended to read as
follows: 66-1a01. (a) The state corporation commission shall charge and
collect fees for the purposes and in the amounts as prescribed in this
section. Such fees shall be paid to the state corporation commission at
the time of filing the original papers or application in the case.

      (b)  (1) For the purposes of certificates issued under K.S.A. 66-125,
and amendments thereto, to authorize the issuance of stock, bonds or
other evidences of indebtedness, except as otherwise provided in this
paragraph (1), the commission shall charge and collect an application fee
of $10 to accompany each application and processing fees which shall be
set by rules and regulations adopted by the commission and shall reflect
the costs incurred by the commission to process such application.

      Notwithstanding the foregoing provisions of this paragraph (1), when-
ever an application is made for a certificate to authorize the issuance of
stocks, bonds or other evidences of indebtedness and the federal inter-
state commerce commission has authorized the issuance of the same issue
of such stocks, bonds or other evidences of indebtedness, the commission
shall charge and collect an application fee of $10 to accompany each
application and a processing fee of $25 which shall be paid on or before
issuance of such certificate.

      (2) Whenever an application is made for a certificate of convenience
and authority to provide interexchange telecommunications services or
competitive local exchange carrier services, the commission shall charge
and collect an application fee of $250 which shall accompany the appli-
cation.

      (3) With regard to the regulation of motor carriers, the commission
shall charge and collect fees in accordance with the following schedule:

For application for motor common carrier certificate $25
For application for motor carrier permit or license, except no fee shall apply to motor carriers regulated by the interstate commerce commission 10
For application for extension, rerouting, removal of restrictions or transfer of motor common carrier certificate and motor common carrier license 10
If increases proposed in rates, fares or charges when hearing is required 25
      (4) The commission shall charge a fee for copies, other than mime-
ographed or printed copies, of applications, orders, certificates, schedules
and duplicate motor-carrier equipment identification cards and a fee for
copies of passenger or property motor common carrier lists, both fees in
amounts approved by the director of accounts and reports under K.S.A.
45-219, and amendments thereto.

      (c) There is hereby created in the state treasury the public service
regulation fund. The commission shall remit all moneys received by or
for it in payment of the fees imposed for certificates authorizing the is-
suance of stock, bonds or other evidences of indebtedness under para-
graph (1) of subsection (b) to the state treasurer daily in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon the
receipt of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury and the entire amount thereof shall
be credited to the credit of the public service regulation fund. All ex-
penditures from the public service regulation fund shall be made in ac-
cordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the
chairperson of the state corporation commission or by a person or persons
designated by such chairperson.

      (d) There is hereby created in the state treasury the motor carrier
license fees fund. The commission shall remit all moneys received by or
for it in payment of the fees imposed for regulation of motor carriers
under paragraphs (2) and (3) of subsection (b) to the state treasurer daily
in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon the receipt of each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury and the entire
amount thereof shall be credited to the credit of the motor carrier license
fees fund. All expenditures from the motor carrier license fees fund shall
be made in accordance with appropriation acts upon warrants of the di-
rector of accounts and reports issued pursuant to vouchers approved by
the chairperson of the state corporation commission or by a person or
persons designated by such chairperson.

      Sec.  276. K.S.A. 2000 Supp. 66-1503 is hereby amended to read as
follows: 66-1503. (a) (1) The state corporation commission shall deter-
mine within 15 days after each quarter-year for each such quarter-year,
the total amount of its expenditures during such period of time and the
total amount of expenditures of the citizens' utility ratepayer board during
such period of time. The total amount shall include the salaries of mem-
bers and employees and all other lawful expenditures of the commission
and the board, including all expenditures in connection with investigations
or appraisals made under the provisions of K.S.A. 66-1502, and amend-
ments thereto, except that there shall not be included in such total
amount of expenditures for the purpose of this section the expenditures
during such period of time which are otherwise provided for by fees and
assessments made under other existing laws for the regulation of motor
carriers or for administering the oil proration and the oil and gas conser-
vation laws.

      (2) From the amount determined under paragraph (1) of this sub-
section, the commission shall deduct (A) all amounts collected under
K.S.A. 66-1502, and amendments thereto, during such period of time and
(B) the amounts of all fees collected during such period of time under
the provisions of subsection (b)(1) of K.S.A. 66-1a01, and amendments
thereto.

      (3) To the remainder after making the deductions under paragraph
(2) of this subsection, the commission shall add such amount as in its
judgment may be required to satisfy any deficiency in the prior assess-
ment period's assessment and to provide for anticipated increases in nec-
essary expenditures for the current assessment period.

      (b) The amount determined under subsection (a) shall be assessed
by the commission against all public utilities and common carriers subject
to the jurisdiction of the commission and shall not exceed, during any
fiscal year, the greater of $100 or 0.2% of the respective utility's or com-
mon carrier's gross operating revenues derived from intrastate operation
as reflected in the last annual report filed with the commission pursuant
to K.S.A. 66-123, and amendments thereto, prior to the beginning of the
commission's fiscal year or made available to the commission upon re-
quest. Such assessment shall be paid to the commission within 15 days
after the notice of assessment has been mailed to such public utilities and
common carriers, which notice of assessment shall constitute demand of
payment thereof.

      (c) The commission shall remit all moneys received by or for it for
the assessment imposed under this section to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury. Twenty per-
cent of each such deposit shall be credited to the state general fund and
the balance shall be credited to the public service regulation fund.

      Sec.  277. K.S.A. 68-173 is hereby amended to read as follows: 68-
173. All moneys collected by the secretary of transportation pursuant to
the terms of an agreement entered into in accordance with the provisions
of this act shall be paid into remitted to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the entire
amount in the state treasury and the state treasurer shall credit same to
the credit of the state highway fund.

      Sec.  278. K.S.A. 68-413 is hereby amended to read as follows: 68-
413. (a) Subject to subsection (b), the secretary of transportation, in the
name of the state, may acquire title or easement by purchase, dedication
or by the exercise of the right of eminent domain: (1) To or upon any
lands or interests or rights therein; (2) to water, gravel, stone, sand or
other material; (3) to spoil banks or to borrow pits necessary for the
construction, reconstruction, improvement, maintenance or drainage of
the state highway system; or (4) to access ways to spoil banks or borrow
pits or any bed, pit, quarry or other place where gravel, stone, water, or
other material required in the construction, reconstruction, improve-
ment, maintenance or drainage of the state highways may be located. The
secretary of transportation, in the name of the state, may acquire, by
purchase, title to an entire lot, block or tract of land for state highway
purposes even though such entire lot, block or tract is not immediately
needed for state highway purposes, if the secretary finds that by so doing
the interests of the public will be best served, and without limiting the
foregoing, the same may be done where uneconomic remnants of land
would be left the original owner or where severance or consequential
damage to a remainder make the acquisition of the entire lot, block or
tract more economical to the state.

      (b)  (1) Exercise of the right of eminent domain by the secretary shall
be in accordance with and governed by article 5 of chapter 26 of the
Kansas Statutes Annotated, and amendments thereto.

      (2) Every petition filed by the secretary to acquire lands or any in-
terest in or title thereto by the exercise of the right of eminent domain
shall set forth the extent, quantity and nature of the interest or title to be
acquired.

      (3) Except as otherwise provided in paragraph (4) of this subsection
(b), the secretary shall not acquire by eminent domain any right, title or
interest in or to the oil and gas minerals under or in any lands, and the
petition in any condemnation proceedings shall state that right, title or
interest in or to such oil and gas minerals is not being condemned.

      (4) The secretary may acquire by eminent domain the fee simple title
to lands when such lands are acquired for sites for the construction of
buildings or improvements necessarily incident to the operation, main-
tenance and supervision of a state system of highways.

      (c) The secretary may acquire fee simple title or any lesser degree of
title or interest or rights in land by purchase or dedication.

      (d)  (1) Subject to the provisions of paragraph (2) of this subsection
(d) the secretary may dispose of any real estate or any right, title or degree
or variety of interest therein which has theretofore been acquired for state
highway purposes, in the manner the secretary deems most expedient,
when such real estate or interest therein is no longer needed or used for
state highway purposes. The secretary may exchange the right-of-way in
which the secretary has an interest or title greater than an easement for
new or other right-of-way.

      (2) Whenever the secretary shall determine in the manner provided
by paragraph (1) of this subsection (d) that any real estate should be
disposed of by sale, such secretary shall sell the same, in the name of the
state of Kansas, to the highest bidder at public auction and thereby convey
and transfer all of the right, title and interest of the state of Kansas in
such real estate.

      As soon as reasonably practical after the secretary determines that any
such real estate should be sold, the secretary shall have the real estate
appraised by three disinterested persons and advertise the sale in a news-
paper of general circulation in the county where the real estate is situated
once each week for at least three consecutive weeks prior to the date set
for such sale. In no case shall such real estate be sold for less than 2/3 of
its appraised value except that if no sale has been effected after an effort
to sell under this section, the secretary may set aside the appraisement
and order a new appraisement and readvertise the real estate for sale. If
the new appraisement does not exceed $1,000, the secretary may read-
vertise and sell the real estate to the highest bidder. If the secretary
determines that sale by public auction would be inappropriate, the real
estate may be sold in the manner deemed most expedient by the secre-
tary. The secretary may charge an amount in connection with the release
of any permanent easement. The amount charged shall not exceed the
increase in value accruing to the underlying fee owner resulting from the
termination of the property interest held by the secretary in the name of
the state of Kansas. Conveyances of real estate under this section shall
be by deed executed by the secretary of transportation. The secretary
shall keep a record of all such conveyances. All moneys derived from such
sales or charges shall be remitted to the state treasurer who in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the same
entire amount in the state treasury to the credit of the state highway fund.

      (e) On August 15, 1975, the secretary of transportation shall succeed
to whatever right, title or interest the state highway commission has ac-
quired in any land in this state, and the secretary of transportation shall
hold the same for and in the name of the state of Kansas. Whenever any
land or any right, title or interest in any land is acquired by the secretary
of transportation or is acquired for state highway purposes, such right,
title or interest shall be taken and held by the secretary of transportation
in the name of the state of Kansas.

      Sec.  279. K.S.A. 68-423a is hereby amended to read as follows: 68-
423a. (a) It is hereby declared to be public policy of this state to provide
for the acquisition of real property necessary for the construction, im-
provement, reconstruction, maintenance or drainage of the state highway
system, in advance of actual construction, for the purpose of eliminating
costly details in construction, reducing hardship to owners of such prop-
erty, and eliminating economic waste occasioned by the improvement of
such property immediately prior to its acquisition for highway uses. The
legislature therefore finds and declares that purchase and condemnation
of real property necessary for the construction, reconstruction, improve-
ment, maintenance or drainage of the state highway system, reasonably
in advance of programmed construction, is for a public use and purpose
and for a public highway purpose.

      (b) Whenever the secretary of transportation determines that any real
estate so purchased should be disposed of by sale, the secretary shall have
the real estate appraised by three disinterested persons. The secretary
shall give the landowner from whom the real estate was acquired, or the
landowner's successors in title, an opportunity to purchase the real estate
at the appraised value. If the landowner does not elect within a reasonable
time to purchase the real estate at the appraised value, the secretary, in
the name of the state of Kansas, is authorized to sell the interest of the
state in the real estate to the highest bidder at public auction. Such sale
at auction shall be preceded by an advertisement of the sale in the Kansas
register once each week for at least three consecutive weeks prior to the
date set for such sale. In no case shall such real estate be sold at public
auction for less than 2/3 of its appraised value, except that, if no sale has
been effected after an effort to sell at public auction under this section,
the secretary of transportation may set aside the appraisement and order
a new appraisement and readvertise the real estate for sale at public
auction. If such new appraisement does not exceed $1,000, the secretary
may readvertise and sell the real estate to the highest bidder. Convey-
ances of such real estate shall be by deed executed by the secretary.

      (c) The secretary of transportation shall keep a record of all such
conveyances. All moneys derived from such sales shall be remitted to the
state treasurer who in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury to
the credit of the state highway fund.

      Sec.  280. K.S.A. 68-1139 is hereby amended to read as follows: 68-
1139. The county treasurer of any county receiving a loan or advance
under the provisions of this act, shall on February 15, and August 15 of
each year pay to the secretary of transportation any moneys in the special
fund created under the authority of K.S.A. 68-1135, and amendments
thereto, which are to be applied to the payment of such loan or advance
under the provisions of this act. Upon the receipt of any such payment,
the secretary of transportation shall remit the same to the state treasurer,
who in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury to the credit
of the highway fund.

      If any county shall fail to make the tax levy or any payment herein
required for on any loan or advance, the secretary of transportation shall
advise the state treasurer, from time to time, of the amount currently due
from such county and the state treasurer is authorized and directed to
withhold such amount from the amount distributable on the next distri-
bution date to said county from the special city and county highway fund
created by K.S.A. 79-3425, and amendments thereto.

      The state treasurer shall notify the state director of accounts and re-
ports of the amount so withheld and thereupon the state director of ac-
counts and reports shall transfer said amount from the special city and
county highway fund to the highway fund. Upon making such transfer
the state director of accounts and reports shall notify the state treasurer
who shall make the proper entries in the records of his or her office to
show such transfer.

      Sec.  281. K.S.A. 2000 Supp. 68-2096 is hereby amended to read as
follows: 68-2096. The secretary of transportation and the authority are
hereby authorized and empowered to make and enter into any and all
contracts and agreements, including (but without limitation) any contract
or agreement for the removal or construction of any bridge or other high-
way facility which they may deem necessary, desirable or incidental to
the financing, construction, maintenance, repair or operation of any high-
way project financed under the provisions of this act.

      With respect to any highway project financed under the provisions of
this act, the secretary of transportation is authorized, empowered and
directed to contract or agree with the authority to pay to the authority
from the state highway fund, upon order or voucher of the secretary in
the manner provided by law to the director of accounts and reports, in
each year, such amount or amounts as shall be required in such year to
make up any deficiency in the revenues received from the operation and
ownership of any highway project in such year, over and above the cost
of maintenance, repair and operation of such highway project and the
creation of reserves for such purposes in such year, (i) for paying the
interest on all highway revenue bonds or highway revenue refunding
bonds issued by the authority in connection with any such highway pro-
ject, (ii) for retiring such bonds by their maturity or maturities, and (iii)
for paying the premium, if any, on a specified aggregate principal amount
of bonds which would be payable in such year if such principal amount
of bonds were to be redeemed prior to their maturity or maturities. Any
contract or agreement entered into pursuant to this section shall provide
that all payments to the authority pursuant to this section shall be made
from the state highway fund. The amount which is required in each such
year to provide for paying the interest on such bonds and for retiring such
bonds on or prior to their maturity or maturities shall be determined as
provided in such contract or agreement. Any such payments required to
be made pursuant to such contract or agreement may be pledged or
assigned by the authority in the same manner as tolls and other revenues
of such highway project. Any such contract or agreement shall provide
for reimbursement by the authority, from tolls or other revenues of such
highway project to the secretary of transportation for the credit of the
state highway fund, at any time or times and under such terms and con-
ditions as may be set forth therein, of any amounts previously paid to the
authority by the secretary of transportation pursuant to the provisions of
this paragraph, except that if the revenues received from the operation
and ownership of such highway project in any year, over and above the
cost of maintenance, repair and operation of such highway project in-
curred in such year, shall exceed 150% of clauses (i), (ii) and (iii) above
for such year, such excess must be reimbursed to the secretary, for the
credit of the state highway fund, until all amounts previously paid to the
authority by the secretary have been reimbursed to the secretary. Any
moneys paid by the authority to the secretary pursuant to this section as
reimbursement for moneys previously paid from the state highway fund
shall be deposited remitted by the secretary to the state treasurer in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of each such remittance, the state treasurer shall deposit the
entire amount in the state treasury, and the state treasurer shall credit
such moneys to the credit of the state highway fund.

      Any payments provided to be made in any year pursuant to the pro-
visions of this section to the authority from the state highway fund shall
be a lien and claim on the portion of the highway fund which is made
available to the secretary of transportation by the provisions of K.S.A. 68-
416, and amendments thereto, but any such payments provided to be
made shall not be a lien or claim on any of the sums now provided by
K.S.A. 68-416, and amendments thereto, and such payments shall be
subject to any prior lien thereon, if any, created by similar contract made
and entered into by and between the secretary and the Kansas turnpike
authority, except that the secretary and the authority may determine any
priority as to lien and claim on the fund as between any such payments
to the authority from the fund on account of any highway projects fi-
nanced under the provisions of this act. The laws of Kansas shall not be
repealed or amended so as to cause the moneys available in the state
highway fund for making any payments to the authority provided to be
made pursuant to the provisions of this section to be insufficient to make
any such payments.

      The provisions of any contract or agreement entered into pursuant to
the provisions of this section may be enforced by the authority or by the
trustee under any trust agreement authorized by the provisions of K.S.A.
68-20,101, and amendments thereto.

      Sec.  282. K.S.A. 2000 Supp. 72-979 is hereby amended to read as
follows: 72-979. (a) Payments under this act shall be made in the manner
and at such times during each school year as are determined by the state
board. If any district is paid more than it is entitled to receive under any
distribution made under this act, the state board shall notify the district
of the amount of such overpayment, and such district shall remit the same
to the state board. The state board shall remit any moneys so received to
the state treasurer, and in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of each such remittance, the
state treasurer shall deposit the same entire amount in the state treasury
to the credit of the state general fund. If any such district fails so to remit,
the state board shall deduct the excess amounts so paid from future pay-
ments becoming due to such district. If any district is paid less than the
amount to which it is entitled under any distribution made under this act,
the state board shall pay the additional amount due at any time within
the school year in which the underpayment was made or within 60 days
after the end of such school year.

      (b) The state board shall prescribe all forms necessary for reporting
under this act.

      (c) Every board shall make such periodic and special reports of in-
formation to the state board as it may request in order to carry out its
responsibilities under this act.

      Sec.  283. K.S.A. 72-1387 is hereby amended to read as follows: 72-
1387. Each application to the state board of education for certification,
renewal of certification or duplication of certification shall be accompa-
nied by a fee which shall be established by the state board of education
and shall be in an amount of not less than $18 nor more than $24. Prior
to July 1 of each year, the state board of education shall determine the
amount of revenue which will be required to properly administer the
provisions of article 13 of chapter 72 of Kansas Statutes Annotated during
the ensuing fiscal year, and shall establish the certification fee for such
year in the amount deemed necessary for such purposes. The certification
fee shall become effective on July 1 of each year. The state board of
education shall remit all moneys received by or for it from fees, charges
or penalties to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury and the same shall be credited to the credit
of the certificate fees fund, and shall be used only for the payment of
expenses connected with the issuance, renewal, or duplication of such
certifications, and for the keeping of records by the state department of
education. All expenditures from the certificate fees 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 state
board of education or by a person or persons designated by it.

      Sec.  284. K.S.A. 72-2148 is hereby amended to read as follows: 72-
2148. Any tract of school lands, not exceeding three acres in extent, which
has been used for school purposes, the title to which has remained in, or
has reverted to the state of Kansas, may be sold by the secretary of state
without survey or appraisement. The secretary of state shall negotiate
sales of said such lands and submit the same to the governor for his the
governor's approval. Upon the approval of any such sale, the secretary of
state shall deliver a good and sufficient grant or patent conveying to the
purchaser or purchasers all of the title of the state of Kansas in and to
the tract so sold. The proceeds arising from such sales shall be paid into
remitted to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury to
become a part of the credit of the state school equalization fund. This act
shall not be construed as repealing or limiting any existing acts relating
to the sale of school lands, but shall be construed as providing an addi-
tional method for the sale of tracts not exceeding three acres.

      Sec.  285. K.S.A. 72-4432 is hereby amended to read as follows: 72-
4432. The distribution of postsecondary aid shall be made from appro-
priations therefor each school year, commencing November 1, 1974, as
follows:

      (a) The amount of postsecondary aid for each school as computed by
the state board shall be distributed in payments as follows: On November
1 an amount equal to fifty percent (50%) 50% of the estimated entitle-
ment for the school year, on March 1 an amount equal to thirty percent
(30%) 30% of such entitlement and on May 1 the balance of such enti-
tlement with adjustments for overpayment or underpayment of the prior
payments in accordance with the most recent, available information. The
state board shall certify to the director of accounts and reports the amount
due as postsecondary aid to each school five (5) days before each payment
date. If the amount appropriated shall be insufficient to pay in full the
amount each school is entitled to receive as postsecondary aid as com-
puted by the state board, then the entire amount remaining shall be
prorated among all schools in proportion to the amount each school is
entitled to receive. The director of accounts and reports shall draw his
warrants on the state treasurer payable to the treasurer of each school
entitled to payment of postsecondary aid, upon vouchers approved by the
state board. Upon receipt of such warrant, each such treasurer shall de-
posit the same in the operating fund of the school.

      In the event any school is paid more than it is entitled to receive under
any distribution made under this act, the state board shall notify the
school of the amount of such overpayment, and such school shall remit
the same to the state board. The state board shall remit any moneys so
received to the state treasurer, and in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the same entire amount in the
state treasury to the credit of the state general fund. If any such school
fails so to remit, the state board shall deduct the excess amounts so paid
from future payments becoming due to such school. In the event any
school is paid less than the amount to which it is entitled under any
distribution made under this act, the state board shall pay the additional
amount due at any time within the school year in which the underpayment
was made or within sixty (60) 60 days after the end of such school year.

      Sec.  286. K.S.A. 72-4442 is hereby amended to read as follows: 72-
4442. The amount of vocational education capital outlay aid for each
school shall be determined by the state board on the basis of need and
the condition of existing facilities and equipment and payments thereof
shall be distributed on payment dates to be determined by the state board.
The state board shall certify to the director of accounts and reports the
amount due as vocational education capital outlay aid to each school five
days before each payment date. The director of accounts and reports shall
draw warrants on the state treasurer payable to the treasurer of each
school entitled to payment of vocational education capital outlay aid, pur-
suant to vouchers approved by the state board or by a person or persons
designated by the state board. Upon receipt of such warrant, the treasurer
of each area vocational school shall deposit the amount thereof to the
credit of the area vocational school fund. The treasurer of each area vo-
cational-technical school shall deposit the amount of such warrant to the
credit of the vocational education capital outlay fund established by this
act.

      In the event any school is paid more than it is entitled to receive under
any distribution made under this act, the state board shall notify the
school of the amount of such overpayment, and such school shall remit
the same to the state board. The state board shall remit any moneys so
received to the state treasurer, and in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the same entire amount in the
state treasury to the credit of the state general fund. If any such school
fails so to remit, the state board shall deduct the excess amounts so paid
from future payments becoming due to such school. In the event any
school is paid less than the amount to which it is entitled under any
distribution made under this act, the state board shall pay the additional
amount due at any time within the school year in which the underpayment
was made or within 60 days after the end of such school year.

      Sec.  287. K.S.A. 72-4463 is hereby amended to read as follows: 72-
4463. (a) The board of regents shall adopt rules and regulations for ad-
ministration of the provisions of this act and shall:

      (1) Publicize procedures for application for vocational education
scholarships;

      (2) provide application forms;

      (3) determine residence, as provided by law, of applicants for voca-
tional education scholarships;

      (4) prescribe examinations of ability and aptitude for vocational ed-
ucation and provide for administration of such examinations to determine
qualifications of applicants for vocational education scholarships;

      (5) notify each person who qualifies for designation as a vocational
education scholar and for the award of a vocational education scholarship
and each vocational education scholar who remains eligible and qualified
for the renewal of the award of a vocational education scholarship;

      (6) designate vocational education scholars;

      (7) approve and award or renew the award of vocational education
scholarships;

      (8) determine full-time enrollment in a vocational education pro-
gram;

      (9) provide for apportionment of vocational education scholarships if
appropriations therefor are insufficient for payment in full to all vocational
education scholars;

      (10) evaluate the vocational education scholarship program for each
school year and make a report thereon to the governor and the legislature;

      (11) request any designated educational institution to furnish any in-
formation relating to and necessary for administration of this act.

      (b) In order to comply with the requirements of subsection (a)(4),
the board of regents shall prescribe an examination designed to measure
the basic ability and aptitude for vocational education of applicants for
designation as vocational education scholars and for the award of voca-
tional education scholarships and shall provide for administration and
validation of the examination. The examination shall be administered to
applicants at least two times each school year, commencing with the 1986-
87 school year, at various locations within the state. The board of regents
may establish and provide for the charging to and collection from appli-
cants for a vocational education scholarship of a fee to offset, in part or
in total, the expense of administration of the examination. The board of
regents shall remit all moneys received by or for it from fees collected
under this subsection to the state treasurer in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury and the same shall be credited to the credit
of the vocational education scholarship examination fees fund, and shall
be used only for the payment of expenses connected with the adminis-
tration of such examinations. All expenditures from the vocational edu-
cation scholarship examination fees 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 board of regents or by a
person or persons designated by it.

      Sec.  288. K.S.A. 2000 Supp. 72-4530 is hereby amended to read as
follows: 72-4530. (a) The state board of regents may adopt rules and
regulations relating to the processing and issuance of general educational
development (GED) credentials.

      (b) Each application to the state board of regents for issuance or
duplication of general educational development credentials shall be ac-
companied by a fee which shall be established by the state board of re-
gents and shall be in an amount of not more than $10. On or before
August 1, 1999, and on or before July 1 of each year thereafter, the state
board of regents shall determine the amount of revenue which will be
required to properly administer the provisions of this section during the
next ensuing fiscal year, and shall establish the GED credentials proc-
essing fee for such year in the amount deemed necessary for such pur-
poses. Such fee shall become effective on the succeeding January 1 of
each year. The state board of regents shall remit all moneys received by
or for it from GED credentials processing fees to the state treasurer at
least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury and
the same shall be credited to the credit of the GED credentials processing
fees fund, which fund is hereby established in the state treasury, and shall
be used only for the payment of expenses connected with the processing,
issuance or duplication of GED credentials, and for the keeping of re-
cords by the state board of regents. All expenditures from the GED cre-
dentials processing fees fund shall be made in accordance with appro-
priation acts upon warrants of the director of accounts and reports issued
pursuant to vouchers approved by the state board of regents or by a
person or persons designated by the state board.

      Sec.  289. K.S.A. 2000 Supp. 72-4939 is hereby amended to read as
follows: 72-4939. (a) The state board shall remit all moneys received pur-
suant to the provisions of this act to the state treasurer in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire
amount remitted in the state treasury and shall credit the same to the
credit of the proprietary school fee fund to be used for the purpose of
administering this act. All expenditures from the proprietary school fee
fund shall be made in accordance with appropriations acts upon warrants
of the director of accounts and reports issued pursuant to vouchers ap-
proved by the state board or by a person or persons designated by the
state board.

      (b) On or before the 10th of each month, the director of accounts
and reports shall transfer from the state general fund to the proprietary
school fee fund interest earnings based on: (1) The average daily balance
of moneys in the proprietary school fee fund for the preceding month;
and (2) the net earnings rate for the pooled money investment portfolio
for the preceding month.

      Sec.  290. K.S.A. 72-6418 is hereby amended to read as follows: 72-
6418. (a) In the event any district is paid more than it is entitled to receive
under any distribution made under this act or under any statute repealed
by this act, the state board shall notify the district of the amount of such
overpayment, and such district shall remit the same to the state board.
The state board shall remit any moneys so received to the state treasurer,
and in accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the same entire amount in the state treasury to the credit of the
state school district finance fund. If any district fails so to remit, the state
board shall deduct the excess amounts so paid from future payments
becoming due to the district. In the event any district is paid less than
the amount to which it is entitled under any distribution made under this
act, the state board shall pay the additional amount due at any time within
the school year in which the underpayment was made or within 60 days
after the end of such school year.

      (b) The provisions of this section shall take effect and be in force
from and after July 1, 1992.

      Sec.  291. K.S.A. 2000 Supp. 72-6441 is hereby amended to read as
follows: 72-6441. (a) (1) The board of any district to which the provisions
of this subsection apply may levy an ad valorem tax on the taxable tangible
property of the district each year for a period of time not to exceed two
years in an amount not to exceed the amount authorized by the state
board of tax appeals under this subsection for the purpose of financing
the costs incurred by the state that are directly attributable to assignment
of ancillary school facilities weighting to enrollment of the district. The
state board of tax appeals may authorize the district to make a levy which
will produce an amount that is not greater than the difference between
the amount of costs directly attributable to commencing operation of one
or more new school facilities and the amount that is financed from any
other source provided by law for such purpose, including any amount
attributable to assignment of school facilities weighting to enrollment of
the district for each school year in which the district is eligible for such
weighting. If the district is not eligible, or will be ineligible, for school
facilities weighting in any one or more years during the two-year period
for which the district is authorized to levy a tax under this subsection, the
state board of tax appeals may authorize the district to make a levy, in
such year or years of ineligibility, which will produce an amount that is
not greater than the actual amount of costs attributable to commencing
operation of the facility or facilities.

      (2) The board of tax appeals shall certify to the state board of edu-
cation the amount authorized to be produced by the levy of a tax under
subsection (a).

      (3) The state board of tax appeals may adopt rules and regulations
necessary to properly effectuate the provisions of this subsection, includ-
ing rules relating to the evidence required in support of a district's claim
that the costs attributable to commencing operation of one or more new
school facilities are in excess of the amount that is financed from any
other source provided by law for such purpose.

      (4) The provisions of this subsection apply to any district that (A)
commenced operation of one or more new school facilities in the school
year preceding the current school year or has commenced or will com-
mence operation of one or more new school facilities in the current school
year or any or all of the foregoing, and (B) is authorized to adopt and has
adopted a local option budget in an amount equal to the state prescribed
percentage of the amount of state financial aid determined for the district
in the current school year, and (C) is experiencing extraordinary enroll-
ment growth as determined by the state board of education.

      (b) The board of any district that has levied an ad valorem tax on the
taxable tangible property of the district each year for a period of two years
under authority of subsection (a) may continue to levy such tax under
authority of this subsection each year for an additional period of time not
to exceed three years in an amount not to exceed the amount computed
by the state board of education as provided in this subsection if the board
of the district determines that the costs attributable to commencing op-
eration of one or more new school facilities are significantly greater than
the costs attributable to the operation of other school facilities in the
district. The tax authorized under this subsection may be levied at a rate
which will produce an amount that is not greater than the amount com-
puted by the state board of education as provided in this subsection. In
computing such amount, the state board shall (1) determine the amount
produced by the tax levied by the district under authority of subsection
(a) in the second year for which such tax was levied and add to such
amount the amount of general state aid directly attributable to school
facilities weighting that was received by the district in the same year, and
(2) compute 75% of the amount of the sum obtained under (1), which
computed amount is the amount the district may levy in the first year of
the three-year period for which the district may levy a tax under authority
of this subsection, and (3) compute 50% of the amount of the sum ob-
tained under (1), which computed amount is the amount the district may
levy in the second year of the three-year period for which the district may
levy a tax under authority of this subsection, and (4) compute 25% of the
amount of the sum obtained under (1), which computed amount is the
amount the district may levy in the third year of the three-year period for
which the district may levy a tax under authority of this subsection.

      (c) The proceeds from the tax levied by a district under authority of
this section shall be remitted to the state treasurer in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the same entire
amount in the state treasury to the credit of the state school district fi-
nance fund.

      Sec.  292. K.S.A. 72-6505 is hereby amended to read as follows: 72-
6505. From enrollment reports and student residency information sub-
mitted by the university and other available information, the state board
shall determine the amount the university is entitled to receive as a state
grant. The state board and the post auditor may audit the records of the
university to verify the accuracy of the reports and other information
submitted by the university. The state board may promulgate rules and
regulations governing the administration of this act. If the university is
paid more than it is entitled to receive as a state grant, the state board
shall notify the university of the amount of such overpayment, and the
university shall remit the same to the state board, which. The state board
shall remit any moneys so received to the state treasurer in accordance
with the provisions of K.S.A. 75-4215, and amendments thereto. Upon
receipt of each such remittance, the state treasurer shall deposit the same
entire amount in the state treasury to the credit of the state general fund,
and if the university fails so to remit, the state board shall deduct the
excess amount so paid from future payments becoming due to the uni-
versity.

      Sec.  293. K.S.A. 72-7080 is hereby amended to read as follows: 72-
7080. The state school fund and the annual state school fund are hereby
abolished. Whenever in the statutes of this state there is provision for
moneys to be deposited in, credited to or collected for the benefit of
either such fund or words of like effect, such moneys shall be paid re-
mitted to the state treasurer and deposited in accordance with the pro-
visions of K.S.A. 75-4215, and amendments thereto. Upon receipt of each
such remittance, the state treasurer shall deposit the entire amount in the
state treasury and credited to the credit of the state general fund.

      Sec.  294. K.S.A. 72-7528 is hereby amended to read as follows: 72-
7528. The state board of education shall remit all moneys received by or
for it under any contract entered into under the provisions of this act or
from any grants from the federal government or any unit or agency
thereof to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury and the same shall be credited to the credit
of the computerized information search services fee fund, which fund is
hereby established. All expenditures from the computerized information
search services fee 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 state board of education or by a person or
persons designated by it.

      Sec.  295. K.S.A. 72-9705 is hereby amended to read as follows: 72-
9705. (a) Payment to a Kansas honor student of a Kansas honors schol-
arship shall be made at a time specified by the board of regents upon
certification by an institution of postsecondary education that the Kansas
honor student is enrolled in an honors or gifted program at the institution.
Payments of Kansas honors scholarships shall be made upon vouchers
approved by an administrative officer designated by the board of regents
and upon warrants of the director of accounts and reports. Payments of
Kansas honors scholarships may be made by the issuance of a single war-
rant to each institution of postsecondary education at which a Kansas
honor student is enrolled for the total amount of Kansas honors schol-
arships for all Kansas honor students enrolled at that institution. The
director of accounts and reports shall cause such warrant to be delivered
to the institution of postsecondary education at which the Kansas honor
student or students are enrolled. Upon receipt of such warrant, the in-
stitution of postsecondary education shall credit immediately the account
of each Kansas honor student enrolled at that institution by an amount
specified by the board of regents for each such student.

      (b) If a Kansas honor student discontinues attendance before the end
of an honors or gifted program, after the institution of postsecondary
education has received payment under this section, the institution shall
pay to the state the entire amount which the Kansas honor student would
otherwise qualify to have refunded not to exceed the amount of the pay-
ment made under the Kansas honors scholarship.

      (c) All amounts paid to the state by an institution of postsecondary
education under subsection (b) shall be deposited remitted to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury and credited to
the credit of the state scholarship discontinued attendance fund.

      Sec.  296. K.S.A. 2000 Supp. 73-1231 is hereby amended to read as
follows: 73-1231. There is hereby established in the state treasury the
Persian Gulf War veterans health initiative fund which shall be adminis-
tered by the Kansas commission on veterans affairs. All moneys received
from any grants from federal or other nonstate sources, from contribu-
tions or from any other source for the purpose of financing the activities
of the board or the development or administration of the surveys devel-
oped by the board under this act, shall be deposited remitted to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury and credited to
the credit of the Persian Gulf War veterans health initiative fund. All
expenditures from the Persian Gulf War veterans health initiative fund
shall be for the purposes of financing the activities of the commission for
the implementation and administration, including the activities of the
board and the development and administration of the surveys under this
act and shall be made in accordance with appropriation acts upon war-
rants of the director of accounts and reports issued pursuant to vouchers
approved by the Kansas commission on veterans affairs or the commis-
sion's designee.

      Sec.  297. K.S.A. 74-504e is hereby amended to read as follows: 74-
504e. The state board of agriculture shall remit all moneys received under
K.S.A. 74-504b, and amendments thereto, to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of any each such remittance, the state trea-
surer shall deposit the entire amount thereof in the state treasury and the
same shall be credited to the credit of the agricultural statistics fund which
is hereby created. All expenditures from such fund shall be made for any
purpose consistent with K.S.A. 74-504b, and amendments thereto, and
shall be made in accordance with appropriation acts upon warrants of the
director of accounts and reports issued pursuant to vouchers approved
by the secretary of the state board of agriculture or a person designated
by the secretary.

      Sec.  298. K.S.A. 2000 Supp. 74-534 is hereby amended to read as
follows: 74-534. The secretary of agriculture is authorized to employ,
license, or designate qualified persons to inspect and classify agricultural
products, and to certify as to grade or classification of such products in
accordance with the standards made effective under K.S.A. 74-531 and
74-532, and amendments thereto, and shall fix, assess, and collect nec-
essary and reasonable fees for such service. The secretary of agriculture
shall remit all moneys received by or for it under this section to the state
treasurer at least monthly in accordance with the provisions of K.S.A. 75-
4215, and amendments thereto. Upon receipt of any each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury and the same shall be credited to the credit of the market division
fee fund. All expenditures from such fund shall be made in accordance
with appropriation acts upon warrants of the director of accounts and
reports issued pursuant to vouchers approved by the secretary of agri-
culture or by a person or persons designated by the secretary.

      Sec.  299. K.S.A. 74-617 is hereby amended to read as follows: 74-
617. Whenever any moneys are received by the state corporation com-
mission from federal agencies for energy conservation and other energy-
related activities, the state corporation commission shall remit all such
moneys to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury. The entire amount of any such
deposit shall be credited to the credit of the energy grants management
fund, which is hereby created in the state treasury. All expenditures from
such fund shall be made in accordance with appropriation acts and any
applicable contracts or agreements upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the chair-
person of the state corporation commission, or by a person designated by
the chairperson.

      Sec.  300. K.S.A. 74-715 is hereby amended to read as follows: 74-
715. There is hereby created in the state treasury a fund to be called the
workmen's compensation fee fund. The workmen's workers compensa-
tion director shall remit all moneys received by or for him or her such
director from fees, charges or penalties which prior to the effective date
of this act was required by law to be credited to the workmen's compen-
sation fee fund to the state treasurer at least monthly in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury. Twenty percent (20%) of each such
deposit shall be credited to the state general fund and the balance shall
be credited to the workmen's compensation fee fund. All expenditures
from the workmen's compensation fee 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 workmen's com-
pensation director or by a person or persons designated by him or her
the director.

      Sec.  301. K.S.A. 2000 Supp. 74-1106 is hereby amended to read as
follows: 74-1106. (a) Appointment, term of office. (1) The governor shall
appoint a board consisting of 11 members of which six shall be registered
professional nurses, two shall be licensed practical nurses, one shall be a
licensed mental health technician and two shall be members of the gen-
eral public, which shall constitute a board of nursing, with the duties,
power and authority set forth in this act.

      (2) Upon the expiration of the term of any registered professional
nurse, the Kansas state nurses association shall submit to the governor a
list of registered professional nurses containing names of not less than
three times the number of persons to be appointed, and appointments
shall be made after consideration of such list for terms of four years and
until a successor is appointed and qualified.

      (3) On the effective date of this act, the Kansas federation of licensed
practical nurses shall submit to the governor a list of licensed practical
nurses containing names of not less than three times the number of per-
sons to be appointed, and appointments shall be made after consideration
of such list, with the first appointment being for a term of four years and
the second appointment being for a term of two years. Upon the expi-
ration of the term of any licensed practical nurse, a successor of like
qualifications shall be appointed in the same manner as the original ap-
pointment for a term of four years and until a successor is appointed and
qualified.

      (4) Upon the expiration of the term of any mental health technician,
the Kansas association of human services technologies shall submit to the
governor a list of persons licensed as mental health technicians containing
names of not less than three times the number of persons to be appointed,
and appointments shall be made after consideration of such list for terms
of four years and until a successor is appointed and qualified.

      (5) Each member of the general public shall be appointed for a term
of four years and successors shall be appointed for a like term.

      (6) Whenever a vacancy occurs on the board of nursing, it shall be
filled by appointment for the remainder of the unexpired term in the
same manner as the preceding appointment. No person shall serve more
than two consecutive terms as a member of the board of nursing and
appointment for the remainder of an unexpired term shall constitute a
full term of service on such board. With the expiration of terms for the
registered professional nurse from education and one public member in
July, 2003, the next appointments for those two positions will be for only
one year. Thereafter the two positions shall be appointed for terms of
four years.

      (b) Qualifications of members. Each member of the board shall be a
citizen of the United States and a resident of the state of Kansas. Regis-
tered professional nurse members shall possess a license to practice as a
professional nurse in this state with at least five years' experience in nurs-
ing as such and shall be actively engaged in professional nursing in Kansas
at the time of appointment and reappointment. The licensed practical
nurse members shall be licensed to practice practical nursing in the state
with at least five years' experience in practical nursing and shall be actively
engaged in practical nursing in Kansas at the time of appointment and
reappointment. The governor shall appoint successors so that the regis-
tered professional nurse membership of the board shall consist of at least
two members who are engaged in nursing service, at least two members
who are engaged in nursing education and at least one member who is
engaged in practice as an advanced registered nurse practitioner or a
registered nurse anesthetist. The licensed mental health technician mem-
ber shall be licensed to practice as a licensed mental health technician in
the state with at least five years' experience and shall be actively engaged
in the field of mental health technology in Kansas at the time of appoint-
ment and reappointment. The consumer members shall represent the
interests of the general public. Each member of the board shall take and
subscribe the oath prescribed by law for state officers, which oath shall
be filed with the secretary of state.

      (c) Duties and powers. (1) The board shall meet annually at Topeka
during the month of September and shall elect from its members a pres-
ident, vice-president and secretary, each of whom shall hold their re-
spective offices for one year. The board shall employ an executive ad-
ministrator, who shall be a registered professional nurse, who shall not
be a member of the board and who shall be in the unclassified service
under the Kansas civil service act, and shall employ such other employees,
who shall be in the classified service under the Kansas civil service act as
necessary to carry on the work of the board. As necessary, the board shall
be represented by an attorney appointed by the attorney general as pro-
vided by law, whose compensation shall be determined and paid by the
board with the approval of the governor. The board may hold such other
meetings during the year as may be deemed necessary to transact its
business.

      (2) The board may adopt rules and regulations not inconsistent with
this act necessary to carry into effect the provisions thereof, and such
rules and regulations may be published and copies thereof furnished to
any person upon application.

      (3) The board shall prescribe curricula and standards for professional
and practical nursing programs and mental health technician programs,
and provide for surveys of such schools and courses at such times as it
may deem necessary. It shall accredit such schools and approve courses
as meet the requirements of the appropriate act and rules and regulations
of the board.

      (4) The board shall examine, license and renew licenses of duly qual-
ified applicants and conduct hearings upon charges for limitation, sus-
pension or revocation of a license or accreditation of professional and
practical nursing and mental health technician programs and may limit,
deny, suspend or revoke for proper legal cause, licenses or accreditation
of professional and practical nursing and mental health technician pro-
grams, as hereinafter provided. Examination for applicants for registration
shall be given at least twice each year and as many other times as deemed
necessary by the board. The board shall promote improved means of
nursing education and standards of nursing care through institutes, con-
ferences and other means.

      (5) The board shall have a seal of which the executive administrator
shall be the custodian. The president and the secretary shall have the
power and authority to administer oaths in transacting business of the
board, and the secretary shall keep a record of all proceedings of the
board and a register of professional and practical nurses and mental health
technicians licensed and showing the certificates of registration or licenses
granted or revoked, which register shall be open at all times to public
inspection.

      (6) The board may enter into contracts as may be necessary to carry
out its duties.

      (7) The board is hereby authorized to apply for and to accept grants
and may accept donations, bequests or gifts. The board shall remit all
moneys received by it under this paragraph (7) to the state treasurer at
least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of any each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury,
and such deposit shall be credited to the credit of the grants and gifts
fund which is hereby created. All expenditures from such 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
president of the board or a person designated by the president.

      (8) A majority of the board of nursing including two professional
nurse members shall constitute a quorum for the transaction of business.

      (d) Subpoenas. In all investigations and proceedings, the board shall
have the power to issue subpoenas and compel the attendance of wit-
nesses and the production of all relevant and necessary papers, books,
records, documentary evidence and materials. Any person failing or re-
fusing to appear or testify regarding any matter about which such person
may be lawfully questioned or to produce any books, papers, records,
documentary evidence or relevant materials in the matter, after having
been required by order of the board or by a subpoena of the board to do
so, upon application by the board to any district judge in the state, may
be ordered by such judge to comply therewith. Upon failure to comply
with the order of the district judge, the court may compel obedience by
attachment for contempt as in the case of disobedience of a similar order
or subpoena issued by the court. A subpoena may be served upon any
person named therein anywhere within the state with the same fees and
mileage by an officer authorized to serve subpoenas in civil actions in the
same procedure as is prescribed by the code of civil procedure for sub-
poenas issued out of the district courts of this state.

      (e) Compensation and expenses. Members of the board of nursing
attending meetings of such board, or attending a subcommittee meeting
thereof authorized by such board, shall be paid compensation, subsistence
allowances, mileage and other expenses as provided in K.S.A. 75-3223,
and amendments thereto.

      Sec.  302. K.S.A. 74-1108 is hereby amended to read as follows: 74-
1108. The executive administrator of the board of nursing shall remit all
moneys received by the board from fees, charges or penalties, other than
moneys received under K.S.A. 74-1109, and amendments thereto, to the
state treasurer at least monthly in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of any each such remit-
tance, the state treasurer shall deposit the entire amount thereof in the
state treasury. Twenty percent of each such deposit shall be credited to
the state general fund and the balance shall be credited to the board of
nursing fee fund. All expenditures from such fund shall be made in ac-
cordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the president
of the board or by a person or persons designated by the president.

      Sec.  303. K.S.A. 74-1109 is hereby amended to read as follows: 74-
1109. The board of nursing is hereby authorized to fix, charge and collect
fees for institutes, conferences and other educational programs offered
by the board under subsection (c)(4) of K.S.A. 74-1106, and amendments
thereto. The fees shall be fixed in order to recover the cost to the board
for providing such programs. The executive administrator of the board
shall remit all moneys received by the board from fees collected under
this section to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
any each such remittance, the state treasurer shall deposit the entire
amount thereof in the state treasury, and such deposit shall be credited
to the credit of the education conference fund which is hereby created.
All expenditures from such fund shall be for the operating expenditures
of providing such programs and shall be made in accordance with appro-
priation acts upon warrants of the director of accounts and reports issued
pursuant to vouchers approved by the president of the board or by a
person designated by the president.

      Sec.  304. K.S.A. 74-1110 is hereby amended to read as follows: 74-
1110. The board of nursing, in addition to any other penalty prescribed
by law, may assess a civil fine, after proper notice and an opportunity to
be heard, against any person granted a license, certificate of qualification
or authorization to practice by the board of nursing for a violation of a
law or rule and regulation applicable to the practice for which such person
has been granted a license, certificate of qualification or authorization by
the board in an amount not to exceed $1,000 for the first violation, $2,000
for the second violation and $3,000 for the third violation and for each
subsequent violation. All fines assessed and collected under this section
shall be remitted promptly to the state treasurer in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
these funds each such remittance, the state treasurer shall deposit the
entire amount in the state treasury and credit such amount to the credit
of the state general fund.

      Sec.  305. K.S.A. 74-1405 is hereby amended to read as follows: 74-
1405. (a) The board at its first meeting day of each year shall elect from
its members a president, vice-president and secretary-treasurer. The
board shall have a common seal. The board shall hold two regular meet-
ings each year at times to be fixed by the board, and special meetings at
such other times as may be necessary.

      (b) Members of the Kansas dental board attending meetings of such
board, or attending a subcommittee meeting thereof authorized by such
board, or conducting examinations for dental or dental hygienists licenses
or conducting inspections of dental laboratories required by K.S.A. 65-
1438, and amendments thereto, shall be paid compensation, subsistence
allowances, mileage and other expenses as provided in K.S.A. 75-3223,
and amendments thereto. Members of the board conducting examina-
tions for dental or dental hygienists licenses may receive amounts for
compensation, subsistence allowances, mileage or other expenses from a
nonstate agency for conducting such examinations but no member re-
ceiving any such amounts shall be paid any compensation, subsistence
allowances, mileage or other expenses under this section for conducting
such examinations.

      (c) The official office of the board shall be in Topeka. Meetings shall
be held in Topeka or at such other places as the board shall determine
to be most appropriate. Service of process may be had upon the board
by delivery of process to the secretary of state who shall mail the same
by registered or certified mail to the secretary of the board.

      (d) The board may appoint a secretary-treasurer who shall be in the
unclassified service of the Kansas civil service act. The secretary-treasurer
shall receive an annual salary fixed by the board and approved by the
governor. The secretary-treasurer shall be the legal custodian of all prop-
erty, money, minutes, records, and proceedings and seal of the board.

      (e) The board in its discretion may affiliate as an active member with
the national association of dental examiners and any organization of one
or more state boards for the purpose of conducting a standard examina-
tion of candidates for licensure as dentists or dental hygienists and pay
regular dues to such association or organization, and may send members
of the board to the meetings of said the national association and the
meetings of any organization of state boards of dental examiners organ-
ized for the purpose of conducting a standard examination of candidates
for licensure as dentists and dental hygienists.

      (f) The secretary-treasurer shall remit all moneys received by or for
him or her such secretary-treasurer from fees, charges or penalties to the
state treasurer at least monthly in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of any each such remit-
tance, the state treasurer shall deposit the entire amount thereof in the
state treasury. Twenty percent (20%) of each such deposit shall be cred-
ited to the state general fund and the balance shall be credited to the
dental board fee fund. All expenditures from such fund shall be made in
accordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the president
of the board or by a person or persons designated by him or her the
president.

      Sec.  306. K.S.A. 74-1503 is hereby amended to read as follows: 74-
1503. At the regular meeting of the board in April of every year it shall
elect from its own membership a president, a vice-president and a sec-
retary-treasurer.

      Members of the board of examiners in optometry attending meetings
of such board, or attending a subcommittee meeting thereof authorized
by such board, shall be paid compensation, subsistence allowances, mile-
age and other expenses as provided in K.S.A. 75-3223, and amendments
thereto. The board may appoint a secretary-treasurer who shall be in the
unclassified service of the Kansas civil service act. The secretary-treasurer
shall receive an annual salary which shall be fixed by the board and ap-
proved by the state finance council. The board shall remit all moneys
received by or for it from fees, charges or penalties to the state treasurer
at least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of any each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury.
Twenty percent (20%) of each such deposit shall be credited to the state
general fund and the balance shall be credited to the optometry fee fund.
All expenditures from such fund shall be made in accordance with ap-
propriation acts upon warrants of the director of accounts and reports
issued pursuant to vouchers approved by the president of the board or
by a person or persons designated by him the president.

      Sec.  307. K.S.A. 74-1609 is hereby amended to read as follows: 74-
1609. The executive secretary of the board shall be the executive officer
in charge of the office of the board. Such secretary shall make, keep, and
be in charge of all records and record books required to be kept by said
such board, including a record of all registrations and permits required
under this act, and shall attend to the correspondence of the board and
perform such other duties as the board may require in carrying out and
administering this act.

      The executive secretary shall receive and receipt for all fees collected
under this act. The executive secretary of the board shall remit all moneys
received by or for such secretary from fees, charges or penalties to the
state treasurer at least monthly in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of any each such remit-
tance, the state treasurer shall deposit the entire amount thereof in the
state treasury. Twenty percent (20%) of each such deposit shall be cred-
ited to the state general fund and the balance shall be credited to the
state board of pharmacy fee fund which is hereby created. All expendi-
tures from such 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 executive secretary or by the president of the
board, or both, as the board shall determine.

      Sec.  308. K.S.A. 2000 Supp. 74-2022 is hereby amended to read as
follows: 74-2022. (a) The secretary of revenue is hereby authorized to fix,
charge and collect fees to provide access to or to furnish copies of data
constituting public records in the vehicle information processing system
(VIPS), the Kansas computer assisted mass appraisal system (KS CAMA)
and other electronic database systems of the department of revenue. All
such fees shall be fixed in order to recover all or part of the costs incurred
to operate, maintain and improve the specific electronic database system
in which the data are stored or maintained, including the costs incurred
to provide access to or furnishing copies of such data. The fees fixed
pursuant to this section shall not be subject to the provisions of K.S.A.
45-219, and amendments thereto.

      (b) There is hereby established in the state treasury the electronic
databases fee fund which shall be administered by the secretary of rev-
enue. Except for the amounts of fees required to be deposited to the
credit of the division of vehicles operating fund or the highway patrol
training center fund pursuant to K.S.A. 74-2012, and amendments
thereto, all moneys received for the fees fixed, charged and collected
under this section for electronic access to or to furnish electronic copies
of public records, including all moneys received under subsection (c) of
K.S.A. 74-2012, and amendments thereto, from law enforcement agen-
cies, shall be deposited remitted to the state treasurer in accordance with
the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of each such remittance, the state treasurer shall deposit the entire amount
in the state treasury and credited to the credit of the electronic databases
fee fund. All moneys credited to the electronic databases fee fund shall
be expended for operating expenditures, including expenditures for cap-
ital outlay, for the operation, maintenance or improvement of the vehicle
information processing system (VIPS), the Kansas computer assisted mass
appraisal system (KS CAMA) and other electronic database systems of
the department of revenue, including the costs incurred to provide access
to or to furnish copies of public records in such database systems. All
expenditures from the electronic databases fee fund shall be made in
accordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the secretary
of revenue or by a person or persons designated by the secretary.

      (c) Except for the amounts of fees that are required to be deposited
to the credit of the highway patrol training center fund pursuant to K.S.A.
74-2012, and amendments thereto, all moneys received for the fees fixed,
charged and collected under this section for access to or to furnish copies
of public records, other than for electronic access to or to furnish elec-
tronic copies of public records, shall be deposited remitted to the state
treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state trea-
surer shall deposit the entire amount in the state treasury and credited to
the credit of the division of vehicles operating fund or to another special
revenue fund of the department of revenue specified by the secretary of
revenue.

      Sec.  309. K.S.A. 74-2117 is hereby amended to read as follows: 74-
2117. The superintendent of the state highway patrol for and on behalf
of said the patrol is authorized and empowered to enter into any and all
necessary agreements with any federal department or federal agency and
to do and perform all acts required of said the highway patrol to obtain
all benefits under the terms and provisions of any federal legislation. All
moneys received by the state highway patrol pursuant to any agreement
entered into in accordance with the provisions of this act shall be paid
into remitted to the state treasurer in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount in the state
treasury and the state treasurer shall credit the same to the credit of the
state highway patrol federal fund, which fund is hereby created, and said
fund shall be used for the purposes for which the moneys were granted.

      Sec.  310. K.S.A. 2000 Supp. 74-2124 is hereby amended to read as
follows: 74-2124. (a) Notwithstanding the provisions of the state surplus
property act, the superintendent of the Kansas highway patrol may ne-
gotiate the sale of retired highway patrol vehicles to political subdivisions
of this state or another state under such terms and conditions as may be
approved by the superintendent.

      (b) All other sales of highway patrol vehicles shall be in accordance
with the provisions of K.S.A. 75-6602, and amendments thereto.

      (c) The proceeds from all sales of highway patrol vehicles shall be
deposited remitted to the state treasurer in accordance with the provisions
of K.S.A. 75-4215, and amendments thereto. Upon receipt of each such
remittance, the state treasurer shall deposit the entire amount in the state
treasury and credited to the credit of the Kansas highway patrol motor
vehicle fund.

      Sec.  311. K.S.A. 74-2445 is hereby amended to read as follows: 74-
2445. The secretary of revenue may provide microfilming and photostat-
ing services for elected officials, departments, boards, commissions, and
other state agencies.

      The secretary of revenue is authorized to establish reasonable fees for
such microfilming and photostating services and such fees are to be based
upon the cost of labor and materials expended in performing such services
and shall also include a factor for the depreciation of equipment. All fees
derived from the performance of these services shall be deposited into
remitted to the state treasurer in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount in the state treasury to
the credit of a revolving fund for such services.

      The microfilming fund shall be used to repay expenses incurred in
providing the microfilming services rendered under this section.

      Sec.  312. K.S.A. 2000 Supp. 74-2704 is hereby amended to read as
follows: 74-2704. All fees and payments required to be paid by applicants
for examinations or licenses, shall be paid to the executive director of the
Kansas state board of cosmetology or the board's designee. The executive
director, or the board's designee, shall remit all moneys received from
fees, charges or penalties to the state treasurer at least monthly in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments thereto.
Upon receipt of any each such remittance, the state treasurer shall deposit
the entire amount thereof in the state treasury. Twenty percent of each
such deposit shall be credited to the state general fund and the balance
shall be credited to the cosmetology fee fund. All expenditures from such
fund shall be made in accordance with appropriation acts upon warrants
of the director of accounts and reports issued pursuant to vouchers ap-
proved by the executive director or by a person or persons designated by
the board.

      Sec.  313. K.S.A. 2000 Supp. 74-3256 is hereby amended to read as
follows: 74-3256. (a) The state board of regents shall:

      (1) Adopt rules and regulations for the administration of this act;

      (2) provide for enrollment without charge of tuition at each ROTC
institution of eligible students who qualify therefor, as determined by the
selection committee, for not to exceed a total of 40 eligible students in
any academic year if the ROTC institution is a state educational institution
and if the ROTC institution is a municipal university, for not to exceed a
total of 10 eligible students in the 1996-97 academic year, 20 eligible
students in the 1997-98 academic year, 30 eligible students in the 1998-
99 academic year and 40 eligible students in the 1999-2000 academic year
and in academic years thereafter;

      (3) publicize application procedures and provide application forms;

      (4) require any ROTC institution to promptly furnish upon request
any information which relates to the administration or effect of this act.

      (b) Any ROTC institution at which enrollment of eligible students
without charge of tuition is provided for under subsection (a)(2) may file
a claim with the state board of regents for reimbursement of the amount
of such tuition. If the ROTC institution is a municipal university, the
amount of reimbursement for each eligible student for whom enrollment
is provided without charge of tuition shall be at a rate not greater than
the maximum rate of tuition that would be charged by the state educa-
tional institutions for enrollment of the eligible student. Within the lim-
itations of appropriations therefor, the state board of regents shall be
responsible for payment of reimbursements to ROTC institutions upon
certification by each such institution of the amount of reimbursement to
which entitled. Payments to ROTC institutions shall be made upon
vouchers approved by the state board of regents and upon warrants of
the director of accounts and reports. Payments may be made by issuance
of a single warrant to each ROTC institution at which one or more eligible
students are enrolled for the total amount of tuition not charged eligible
students for enrollment at that institution. The director of accounts and
reports shall cause such warrant to be delivered to the ROTC institution
at which such eligible student or students are enrolled. If an eligible
student discontinues attendance before the end of any academic year,
after the ROTC institution has received payment under this subsection,
the institution shall pay to the state the entire amount which such eligible
student would otherwise qualify to have refunded, not to exceed the
amount of the payment made by the state in behalf of such student for
the academic year. All amounts paid to the state by ROTC institutions
under this subsection shall be deposited remitted to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance, the state treasurer shall
deposit the entire amount in the state treasury and credited to the credit
of the state general fund.

      Sec.  314. K.S.A. 74-3267a is hereby amended to read as follows: 74-
3267a. There is hereby created in the state treasury the osteopathic schol-
arship repayment fund. The state board of regents shall remit all moneys
received under K.S.A. 74-3247, 74-3248 and 74-3267, and amendments
thereto, to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury, and such amount shall be credited to the
credit of the osteopathic scholarship repayment fund. All expenditures
from the osteopathic scholarship repayment fund shall be for scholarships
under K.S.A. 74-3265, and amendments thereto, and shall be made in
accordance with appropriation acts upon warrants of the director of ac-
counts and reports issued pursuant to vouchers approved by the executive
officer of the state board of regents or a person designated by the exec-
utive officer.

      Sec.  315. K.S.A. 2000 Supp. 74-3272a is hereby amended to read as
follows: 74-3272a. (a) There is hereby created in the state treasury the
optometry education repayment fund. The state board of regents shall
remit all moneys received under K.S.A. 74-3272, and amendments
thereto, to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury, and such amount shall be credited to the
credit of the optometry education repayment fund. All expenditures from
the optometry education repayment fund shall be for payment of amounts
for guaranteed admission and continued enrollment of designated per-
sons at accredited schools or colleges of optometry in a course of instruc-
tion leading to a degree in optometry in accordance with a contract under
K.S.A. 76-721a, and amendments thereto. Such expenditures shall be
made in accordance with appropriation acts upon warrants of the director
of accounts and reports issued pursuant to vouchers approved by the
executive officer of the state board of regents or a person designated by
the executive officer.

      (b) On the effective date of this act, the director of accounts and
reports shall transfer from the state general fund to the optometry edu-
cation repayment fund an amount equal to the amount received by the
board of regents under K.S.A 74-3272, and amendments thereto, and
remitted to the state treasurer since January 1, 1993, for credit to the
state general fund.

      Sec.  316. K.S.A. 2000 Supp. 74-3298 is hereby amended to read as
follows: 74-3298. (a) There is hereby created in the state treasury the
nursing student scholarship program fund. The executive officer shall
remit all moneys received from sponsors, which are paid under K.S.A.
74-3294, and amendments thereto, pursuant to scholarship awards, or
from a school of nursing, which are paid because of nonattendance or
discontinued attendance by scholarship recipients and which are attrib-
utable to sponsors, under the nursing student scholarship program to the
state treasurer at least monthly in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury and such amount shall be credited to the credit of the nursing
student scholarship program fund. All expenditures from the nursing stu-
dent scholarship program fund shall be for scholarships awarded under
the nursing student scholarship program or refunds to sponsors and shall
be made in accordance with appropriation acts upon warrants of the di-
rector of accounts and reports issued pursuant to vouchers approved by
the executive officer or by a person designated by the executive officer.

      (b) There is hereby created in the state treasury the nursing student
scholarship discontinued attendance fund. The executive officer shall re-
mit all moneys received under the nursing student scholarship program
from a school of nursing, which are paid because of nonattendance or
discontinued attendance by scholarship recipients and which are attrib-
utable to sources other than sponsors, to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount thereof in the state treasury, and such
amount shall be credited to the credit of the nursing student scholarship
discontinued attendance fund. All expenditures from the nursing student
scholarship discontinued attendance fund shall be for scholarships
awarded under the nursing student scholarship program and shall be
made in accordance with appropriation acts upon warrants of the director
of accounts and reports issued pursuant to vouchers approved by the
executive officer or by a person designated by the executive officer.

      (c) There is hereby created in the state treasury the nursing student
scholarship repayment fund. The executive officer shall remit all moneys
received for amounts paid under K.S.A. 74-3295, and amendments
thereto, to the state treasurer at least monthly in accordance with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt of
each such remittance, the state treasurer shall deposit the entire amount
thereof in the state treasury, and such amount shall be credited to the
credit of the nursing student scholarship repayment fund. All expendi-
tures from the nursing student scholarship repayment fund shall be for
scholarships awarded under the nursing student scholarship program and
shall be made in accordance with appropriation acts upon warrants of the
director of accounts and reports issued pursuant to vouchers approved
by the executive officer or by a person designated by the executive officer.

      Sec.  317. K.S.A. 2000 Supp. 74-32,107 is hereby amended to read as
follows: 74-32,107. (a) There is hereby created in the state treasury the
teacher scholarship program fund. The executive officer shall remit all
moneys received under the teacher scholarship program, which are paid
because of nonattendance or discontinuance by scholarship recipients, to
the state treasurer at least monthly in accordance with the provisions of
K.S.A. 75-4215, and amendments thereto. Upon receipt of each such re-
mittance, the state treasurer shall deposit the entire amount thereof in
the state treasury, and such amount shall be credited to the credit of the
teacher scholarship program fund. All expenditures from the teacher
scholarship program fund shall be for scholarships awarded under the
teacher scholarship program and shall be made in accordance with ap-
propriation acts upon warrants of the director of accounts and reports
issued pursuant to vouchers approved by the executive officer or by a
person designated by the executive officer.

      (b) There is hereby created in the state treasury the teacher schol-
arship repayment fund. The executive officer shall remit all moneys re-
ceived under the teacher scholarship program, which are for payment of
amounts pursuant to K.S.A. 74-32,104, and amendments thereto, to the
state treasurer at least monthly in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury, and such amount shall be credited to the credit of the teacher
scholarship repayment fund. All expenditures from the teacher scholar-
ship repayment fund shall be for scholarships awarded under the teacher
scholarship program and shall be made in accordance with appropriation
acts upon warrants of the director of accounts and reports issued pursuant
to vouchers approved by the executive officer or by a person designated
by the executive officer.

      Sec.  318. K.S.A. 2000 Supp. 74-32,119 is hereby amended to read as
follows: 74-32,119. There is hereby created in the state treasury the Kan-
sas ethnic minority fellowship program fund. The executive officer shall
remit all moneys received under the program to the state treasurer at
least monthly in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount thereof in the state treasury,
and such amount shall be credited to the credit of the Kansas ethnic
minority fellowship program fund. All expenditures from the Kansas eth-
nic minority fellowship program fund shall be for fellowships awarded
under the program and shall be made in accordance with appropriation
acts upon warrants of the director of accounts and reports issued pursuant
to vouchers approved by the executive officer or by a person designated
by the executive officer.

      Sec.  319. K.S.A. 2000 Supp. 74-32,138 is hereby amended to read as
follows: 74-32,138. There is hereby created in the state treasury the ad-
vanced registered nurse practitioner student scholarship program fund.
The executive officer shall remit all moneys received under this act to the
state treasurer at least monthly in accordance with the provisions of K.S.A.
75-4215, and amendments thereto. Upon receipt of each such remittance,
the state treasurer shall deposit the entire amount thereof in the state
treasury, and such amount shall be credited to the credit of the advanced
registered nurse practitioner student scholarship program fund. All ex-
penditures from the advanced registered nurse practitioner student schol-
arship program fund shall be for scholarships awarded under this act and
shall be made in accordance with appropriation acts of the director of
accounts and reports issued pursuant to vouchers approved by the exec-
utive officer or by a person designated by the executive officer.

      Sec.  320. K.S.A. 74-3903 is hereby amended to read as follows: 74-
3903. The abstracters' board of examiners shall remit all moneys received
by or for it from fees, charges or penalties to the state treasurer at least
monthly in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of any each such remittance, the state trea-
surer shall deposit the entire amount thereof in the state treasury. Twenty
percent (20%) of each such deposit shall be credited to the state general
fund and the balance shall be credited to the abstracters' fee fund. All
expenditures from such fund shall be made in accordance with appro-
priation acts upon warrants of the director of accounts and reports issued
pursuant to vouchers approved by the chairman chairperson of the board
or by a person or persons designated by him chairperson.

      Sec.  321. K.S.A. 74-4551 is hereby amended to read as follows: 74-
4551. (a) The state park and resources authority is hereby authorized and
directed, in the manner provided in this section, to grant an easement in
a tract of land owned by the state of Kansas and located at Crawford state
park in Crawford county, Kansas, to an adjoining landowner for the pur-
pose of granting free and open access to the eaves and structure located
on lot 43, NELS SMITH-THRONDSON LAKE VIEW PLACE, Far-
lington Lake, Crawford county, Kansas. The tract of land, containing
1,700 square feet, more or less, is described as follows: Starting from the
3/4" pipe set at the southeast corner of Lot 43, NELS SMITH-THROND-
SON LAKE VIEW PLACE, Farlington Lake, Crawford County, Kansas,
and thence due west along the southern boundary of Lot 43 for a distance
of 100 feet to the southwest corner of the aforesaid Lot 43, and thence
due north along the western boundary of said Lot 43 for a distance of 50
feet to the northwest corner of said Lot 43 and thence due west for a
distance of 10 feet and thence due south for a distance of 60 feet and
thence due east for a distance of 110 feet and thence due north to the
point of origin at the southeast corner of Lot 43 as aforesaid, and all lands
and property included therein.

      (b) The grant of such easement shall be conditioned upon the pay-
ment of a reasonable price therefor. The state park and resources au-
thority shall obtain an appraisement of the value of the easement from
one disinterested person residing in Crawford county and appointed for
this purpose by the state park and resources authority. In no case shall
the price be less than the amount of the appraisement plus the costs
incurred by the state park and resources authority in appraising such tract
of land. All moneys received by the state park and resources authority
under this act shall be remitted to the state treasurer and shall be de-
posited in accordance with the provisions of K.S.A. 75-4215, and amend-
ments thereto. Upon receipt of each such remittance, the state treasurer
shall deposit the entire amount in the state treasury to the credit of the
state general fund.

      (c) An easement granted under this section shall terminate if the tract
of land is no longer used for the purpose for which the easement was
granted.

      (d) The form of such easement shall be approved by the attorney
general prior to granting of the easement.

      Sec.  322. K.S.A. 2000 Supp. 74-5005 is hereby amended to read as
follows: 74-5005. The department shall be the lead agency of the state
for economic development of commerce through the promotion of busi-
ness, industry, trade and tourism within the state. In general, but not by
way of limitation, the department shall have, exercise and perform the
following powers and duties:

      (a) To assume central responsibility for implementing all facets of a
comprehensive, long-term, economic development strategy and for co-
ordinating the efforts of both state agencies and local economic devel-
opment groups as they relate to that objective;

      (b) to coordinate the implementation of the strategy with all other
state and local agencies and offices and state educational institutions
which do research work, develop materials and programs, gather statistics,
or which perform functions related to economic development; and such
state and local agencies and offices and state educational institutions shall
advise and cooperate with the department in the planning and accom-
plishment of the purposes of this act;

      (c) to advise and cooperate with all federal departments, research
institutions, educational institutions and agencies, quasi-public profes-
sional societies, private business and agricultural organizations and asso-
ciations, and any other party, public or private, and to call upon such
parties for consultation, and assistance in their respective fields of inter-
est, to the end that all up to date available technical advice, information
and assistance be gathered for the use of the department, the governor,
the legislature, and the people of this state;

      (d) to enter into agreements necessary to carry out the purposes of
this act;

      (e) to conduct an effective business information service, keeping up
to date information on such things as manufacturing industries, labor
supply and economic trends in employment, income, savings and pur-
chasing power within the state, utilizing the services and information
available from the division of the budget of the department of adminis-
tration;

      (f) to support a coordinated program of scientific and industrial re-
search with the objective of developing additional uses of the state's nat-
ural resources, agriculture, agricultural products, new and better indus-
trial products and processes, and the best possible utilization of the raw
materials in the state; and to coordinate this responsibility with the state
educational institutions, with all state and federal agencies, and all public
and private institutions within or outside the state, all in an effort to assist
and encourage new industries or expansion of existing industries through
basic research, applied research and new development;

      (g) to maintain and keep current all available information regarding
the industrial opportunities and possibilities of the state, including raw
materials and by-products; power and water resources; transportation fa-
cilities; available markets and the marketing limitations of the state; labor
supply; banking and financing facilities; availability of industrial sites; and
the advantages the state and its particular sections have as industrial lo-
cations; and such information shall be used for the encouragement of new
industries in the state and the expansion of existing industries within the
state;

      (h) to publicize information and the economic advantages of the state
which make it a desirable place for commercial and industrial operations
and as a good place in which to live;

      (i) to establish a clearinghouse for the collection and dissemination
of information concerning the number and location of public and private
postsecondary vocational and technical education programs in areas crit-
ical to economic development;

      (j) to acquaint the people of this state with the industries within the
state and encourage closer cooperation between the farming, commercial
and industrial enterprises and the people of the state;

      (k) to encourage and promote the traveling public to visit this state
by publicizing information as to the recreational, historic and natural ad-
vantages of the state and