Session of 1999
         
HOUSE BILL No. 2497
         
By Committee on Utilities
         
2-12
         

  9             AN  ACT creating the Kansas energy commission; prescribing the powers
10             and duties thereof.
11      
12       Be it enacted by the Legislature of the State of Kansas:
13             Section  1. As used in this act, unless the context requires otherwise:
14             (a) "Commission" means the Kansas energy commission created by
15       section 2 and amendments thereto.
16             (b) "Retail electric supplier" has the meaning provided by K.S.A. 66-
17       1,170 and amendments thereto.
18             Sec.  2. (a) There is hereby created the Kansas energy commission.
19       The commission shall consist of 15 members as follows:
20             (1) One member of the house of representatives appointed by the
21       speaker of the house of representatives and one member of the house of
22       representatives appointed by the minority leader of the house of
23       representatives;
24             (2) one member of the senate appointed by the president of the sen-
25       ate and one member of the senate appointed by the minority leader of
26       the senate;
27             (3) a member of the staff of the state corporation commission des-
28       ignated by the chairperson of the commission;
29             (4) a representative of the citizens' utility ratepayer board designated
30       by the chairperson of the board; and
31             (5) nine members appointed by the governor as follows: (A) A resi-
32       dential electric customer; (B) a commercial electric customer; (C) an in-
33       dustrial electric customer; (D) a representative of electric cooperatives;
34       (E) a representative of investor owned utilities; (F) a representative of
35       municipally owned and operated electric utilities; (G) a representative of
36       the oil industry; (H) a representative of the natural gas industry; and (I)
37       a representative of the renewable energy resource industry.
38             (b) Members of the commission appointed pursuant to subsections
39       (a)(1) and (a)(2) shall serve for terms coinciding with their legislative
40       terms. Members of the commission appointed pursuant to subsections
41       (a)(3) and (a)(4) shall serve at the pleasure of the appointing authority.
42       Members appointed pursuant to subsection (a)(5) shall serve for terms of
43       four years except that, of such members first appointed, the governor
44       shall designate three to serve for terms of four years, three for terms of
45       three years and three for terms of two years.
46             (c) The commission shall elect a chairperson from among its mem-
47       bers and may elect such other officers as the commission determines
48       appropriate to carry out the provisions of this act.
49             (d) The commission shall meet on call of the chairperson of the com-
50       mission or on request of a majority of the members of the commission.
51             (e) Commission members appointed pursuant to subsections (a)(1),
52       (a)(2) and (a)(5) shall receive compensation, mileage and other expenses
53       as provided by K.S.A. 75-3223 and amendments thereto for each day of
54       actual attendance at any meeting of the commission or any subcommittee
55       meeting approved by the commission. Commission members designated
56       pursuant to subsections (a)(3) and (a)(4) shall receive amounts provided
57       by subsection (e) of K.S.A. 75-3223 and amendments thereto for each
58       day of actual attendance at any meeting of the commission or any sub-
59       committee meeting approved by the commission.
60             Sec.  3. (a) The commission shall appoint an executive director who
61       shall be in the unclassified service under the Kansas civil service act and
62       may employ such other personnel and enter into such contracts for serv-
63       ices as necessary to carry out the provisions of this act.
64             (b) The Kansas energy commission shall be attached to the state cor-
65       poration commission in accordance with this section and all budgeting,
66       purchasing and related management functions of the board shall be pro-
67       vided by the state corporation commission. The state corporation com-
68       mission shall include the budget estimates of the Kansas energy commis-
69       sion, as approved by the Kansas energy commission, with the budget
70       estimates for the state corporation commission that are submitted to the
71       division of the budget under K.S.A. 75-3717 and amendments thereto.
72             Sec.  4. The commission shall:
73             (a) Develop a proposed energy policy for the state of Kansas and
74       submit the proposed policy to the governor and to the legislature for
75       adoption in statute;
76             (b) make recommendations to the governor and the legislature re-
77       garding implementation of the energy policy adopted by the legislature;
78             (c) forecast future statewide energy needs;
79             (d) recommend to the governor and the legislature measures to pro-
80       mote energy efficiency and conservation and take appropriate action to
81       implement those measures as authorized by law;
82             (e) develop and maintain an energy resource database to track energy
83       production and consumption in the state of Kansas;
84             (f) assume the powers and duties conferred on the state corporation
85       commission pursuant to K.S.A. 66-616 through 66-622, and amendments
86       thereto; and
87             (g) perform such other duties as provided by law.
88             Sec.  5. (a) There is hereby imposed on and after July 1, 1999, a sur-
89       charge in the form of a tax on the sale of electricity sold in this state. The
90       tax shall be at a rate of $.0001 per kilowatt hour of electricity sold. The
91       tax shall be paid by the consumer to the retail electric supplier and it shall
92       be the duty of the supplier to collect from the consumer the full amount
93       of the tax imposed.
94             (b) The tax imposed by this section shall be in addition to all other
95       state and local sales or excise taxes.
96             (c) The secretary of revenue shall remit daily the taxes paid under
97       this act to the state treasurer, who shall deposit the entire amount in the
98       state treasury to the credit of the energy planning fund created by section
99       6 and amendments thereto. For the purpose of this section, the proceeds
100       of the tax shall include all funds collected and received by the director of
101       taxation pursuant to this section, including interest and penalties on de-
102       linquent taxes.
103             (d) Every retail electric supplier liable for the payment of taxes im-
104       posed by this section shall report the taxes for the same periods and at
105       the same time as the returns that the retailer files under the Kansas
106       retailers' sales tax act, as prescribed by K.S.A. 79-3607 and amendments
107       thereto. Each retail electric supplier shall report the tax imposed by this
108       act on a form prescribed by the secretary of revenue.
109             (e) All taxes imposed by this section and not paid at or before the
110       time taxes are due from the retail electric supplier under the Kansas
111       retailers' sales tax act shall be deemed delinquent and shall bear interest
112       at the rate prescribed by subsection (a) of K.S.A. 79-2968 and amend-
113       ments thereto from the due date until paid. In addition, there is hereby
114       imposed upon all amounts of such taxes remaining due and unpaid after
115       the due date a penalty on the unpaid balance of the taxes due in the
116       amounts and percentages prescribed by K.S.A. 79-3615 and amendments
117       thereto.
118             (f) Whenever any taxpayer or person liable to pay tax imposed by this
119       section refuses or neglects to pay the tax, the amount of the tax, including
120       any interest or penalty, shall be collected in the manner provided by law
121       for collection of delinquent taxes under the Kansas retailers' sales tax act.
122             (g) Insofar as not inconsistent with this act, the provisions of the Kan-
123       sas retailers' sales tax act shall apply to the tax imposed by this section.
124             (h) The secretary of revenue is hereby authorized to administer and
125       enforce the provisions of this section and to adopt such rules and regu-
126       lations as may be necessary to carry out the responsibilities of the sec-
127       retary of revenue under this section.
128             Sec.  6. (a) There is hereby created in the state treasury the energy
129       planning fund. The fund shall be administered by the executive director
130       of the commission. Revenue from the following sources shall be deposited
131       in the state treasury and credited to the fund:
132             (1) Any proceeds from the tax imposed by this act;
133             (2) any interest attributable to investment of moneys in the fund; and
134             (3) moneys received by the state in the form of gifts, grants, reim-
135       bursements or appropriations from any source intended to be used for
136       the purposes of this act.
137             (b) Moneys in the energy planning fund shall be expended only to
138       fund the operation of the commission and to implement the provisions
139       of this act.
140             (c) On or before the 10th day of each month, the director of accounts
141       and reports shall transfer from the state general fund to the energy plan-
142       ning fund interest earnings based on:
143             (1) The average daily balance of moneys in the energy planning fund
144       for the preceding month; and
145             (2) the net earnings rate of the pooled money investment portfolio
146       for the preceding month.
147             (d) All expenditures from the energy planning fund shall be made in
148       accordance with appropriation acts upon warrants of the director of the
149       accounts and reports issued pursuant to vouchers approved by the exec-
150       utive director of the commission for the purposes set forth in this section.
151        Sec.  7. This act shall take effect and be in force from and after its
152       publication in the statute book.