February 19, 1998


Journal of the House


TWENTY-SEVENTH DAY
______
Hall of the House of Representatives, Topeka, KS,
Thursday, February 19, 1998, 11:00 a.m. 
 The House met pursuant to adjournment with Speaker pro tem Wagle in the chair.

 The roll was called with 123 members present.

 Rep. Lloyd was excused on verified illness.

 Rep. Phil Kline was excused on excused absence by the Speaker.

 Prayer by guest chaplain, the Rev. Michael K. Stubbs of Nordic Missions, Emporia, and
guest of Rep. P. Long:

      Dear Heavenly Father,

       Today I pray that the presence of your Spirit would be in this house and rest upon
      the conscience and mind of every Representative present. In your Holy Word we
      see how You influenced King Cyrus to enact a law You desired. You made Your will
      known to him. Help each one present to realize that he or she must give an account
      one day for every decision made. Now is the time to work with integrity, and serve
      with a clear conscience. Remind each Representative to trust You for wisdom. I pray
      each one here would leave a godly legacy. Lord God, Father of our only Savior, Jesus
      Christ, turn each man and woman's heart in this room toward truth, honesty and
      your incorruptible will. Give them the will and desire to do right. And may each one
      who does not know your Son Jesus Christ as Savior and Lord today, invite Him into
      their heart to rule. Amen.

INTRODUCTION OF BILLS AND CONCURRENT RESOLUTIONS

 The following bill was introduced and read by title:

 HB 2981, An act concerning state officers and employees; relating to overtime; amending
K.S.A. 75-5515 and 75-5537 and repealing the existing sections, by Committee on Federal
and State Affairs.

HOUSE CONCURRENT RESOLUTION NO. 5042--

By Committee on Health and Human Services


A CONCURRENT RESOLUTION establishing a task force on providers of mental health
services to study the providing of treatment for persons with mental disorders.
    Be it resolved by the House of Representatives of the State of Kansas, the Senate concurring
therein: That a task force on providers of mental health services be established to study
the laws and rules and regulations relating to the providing of treatment for persons with
mental disorders; to review specifically the scope of practice of licensed psychologists, li-
censed social workers, licensed professional counselors, licensed marriage and family ther-
apists and licensed masters level psychologists; to review the various acts administered by
the behavioral sciences regulatory board to determine if consolidation of statutes is possible;
to review qualifications of providers of mental health services and recommend minimum
qualifications needed in order for a mental health licensee to be permitted to diagnose
mental disorders; to recommend minimum standards for mental health providers to practice
in an independent setting; to review the statutory and administrative definitions of ``direc-
tion'' and ``supervision''; to review ways of fostering interdisciplinary cooperation; to study
referral patterns among providers and multi-disciplinary approaches to delivering mental
health services and such other matters relating thereto as the task force deems appropriate;
and

    Be it further resolved: That the task force shall consist of 13 members appointed as
follows:  Two members appointed by the President of the Senate, two members appointed
by the Speaker of the House of Representatives, one member appointed by the minority
leader of the Senate, one member appointed by the minority leader of the House of Rep-
resentatives, seven members appointed by the Legislative Coordinating Council, one of
whom is a medical doctor specializing in psychiatry, one of whom is a licensed psychologist,
one of whom is a licensed social worker, one of whom is a licensed professional counselor,
one of whom is a licensed marriage and family therapist and one of whom is a licensed
masters level psychologist and one representative of a managed care organization; and

    Be it further resolved: That of the members of the task force who are licensed by the
behavioral sciences regulatory board two of whom shall be engaged in teaching persons in
the profession in which such members are licensed by such board; and

    Be it further resolved: That the first meeting of the task force shall be called by the first
person appointed by the Legislative Coordinating Council; and

    Be it further resolved: That the task force shall elect the chairperson and vice-chair-
person from among the legislator members of the task force; and

    Be it further resolved: That staffing shall be available from the legislative research de-
partment and the revisor of statutes office if authorized by the legislative coordinating coun-
cil; and

    Be it further resolved: That members of the task force shall receive reimbursement for
attending meetings of the task force as authorized by the Legislative Coordinating Council
consistent with the provisions of K.S.A. 46-1209 and amendments thereto; and

    Be it further resolved: That the task force prepare and submit an interim report and
recommendations to the 1999 legislature and shall submit a final report and recommen-
dations to the 2000 legislature.

REFERENCE OF BILLS AND CONCURRENT RESOLUTIONS

 The following bills and resolutions were referred to committees as indicated:

 Agriculture: HB 2978, 2979.

 Appropriations: HB 2980; SB 464, 495, 497.

 Business, Commerce and Labor: HB 2977.

 Education: HB 2975 (separately).

 Federal and State Affairs: HB 2975 (separately); SB 428.

 Governmental Organization and Elections: SB 451.

 Health and Human Services: SB 484.

 Judiciary: HB 2976.

 Taxation: HB 2974.

 Transportation: SB 542.

CHANGE OF REFERENCE

 Speaker pro tem Wagle announced the withdrawal of HB 2958 from Committee on
Judiciary and referral to Committee on Federal and State Affairs.

 Also, the withdrawal of HB 2968 from Committee on Transportation and referral to
Committee on Federal and State Affairs.

CONSENT CALENDAR

 Objection was made to HB 2705; HCR 5024 appearing on the Consent Calendar; the
bill and resolution were placed on the calendar under the heading of General Orders.

 No objection was made to HB 2813 appearing on the Consent Calendar for the first day.

 No objection was made to HB 2787 appearing on the Consent Calendar for the third
day. The bill was advanced to Final Action on Bills and Concurrent Resolutions.

FINAL ACTION ON BILLS AND CONCURRENT RESOLUTIONS

  HB 2787, An act repealing K.S.A. 19-1214; concerning the register of deeds, was con-
sidered on final action.

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

 Yeas: Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Beggs, Benlon, Boston, Burroughs,
Campbell, Carmody, Compton, Cook, Correll, Cox, Crow, Dahl, Dean, Dillon, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Franklin,
Freeborn, Geringer, Gilbert, Gilmore, Glasscock, Grant, Gregory, Haley, Hayzlett, Hel-
gerson, Henderson, Henry, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins, Jen-
nison, Johnson, Johnston, Kejr, Kirk, Klein, Phill Kline, Krehbiel, Kuether, Landwehr, Lane,
Larkin, M. Long, P. Long, Mason, Mayans, Mays, McClure, McCreary, McKechnie, Mc-
Kinney, Minor, Mollenkamp, Morrison, Myers, Neufeld, Nichols, O'Connor, O'Neal, Os-
borne, Packer, Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers,
Presta, Ray, Reardon, Reinhardt, Ruff, Samuelson, Sawyer, Schwartz, Shallenburger, Sharp,
Shore, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tanner, Thi-
mesch, Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber, Weiland, Wells, Wel-
shimer, Wempe, Wilk, Wilson.

 Nays: Garner.

 Present but not voting: None.

 Absent or not voting: Phil Kline, Lloyd.

 The bill passed.

 HB 2282, An act concerning civil procedure; relating to proof of service; amending K.S.A.
60-312 and repealing the existing section, was considered on final action.

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

 Yeas: Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Beggs, Benlon, Boston, Burroughs,
Campbell, Carmody, Compton, Cook, Correll, Cox, Crow, Dahl, Dean, Dillon, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Franklin,
Freeborn, Garner, Geringer, Gilbert, Gilmore, Glasscock, Grant, Gregory, Haley, Hayzlett,
Helgerson, Henderson, Henry, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jennison, Johnson, Johnston, Kejr, Kirk, Klein, Phill Kline, Krehbiel, Kuether, Landwehr,
Lane, Larkin, M. Long, P. Long, Mason, Mayans, Mays, McClure, McCreary, McKechnie,
McKinney, Minor, Mollenkamp, Morrison, Myers, Neufeld, Nichols, O'Connor, O'Neal,
Osborne, Packer, Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers,
Presta, Ray, Reardon, Reinhardt, Ruff, Samuelson, Sawyer, Schwartz, Sharp, Shore, Show-
alter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tanner, Thimesch, Toelkes,
Toplikar, Vickrey, Vining, Wagle, Weber, Weiland, Wells, Welshimer, Wempe, Wilk, Wil-
son.

 Nays: Shallenburger, Tomlinson.

 Present but not voting: None.

 Absent or not voting: Phil Kline, Lloyd.

 The bill passed.

 HB 2312, An act concerning crimes and punishment; relating to battery against a law
enforcement officer; amending K.S.A. 1997 Supp. 21-3413 and repealing the existing sec-
tion, was considered on final action.

 On roll call, the vote was: Yeas 123; Nays 0; Present but not voting: 0; Absent or not
voting: 2.

 Yeas: Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Beggs, Benlon, Boston, Burroughs,
Campbell, Carmody, Compton, Cook, Correll, Cox, Crow, Dahl, Dean, Dillon, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Franklin,
Freeborn, Garner, Geringer, Gilbert, Gilmore, Glasscock, Grant, Gregory, Haley, Hayzlett,
Helgerson, Henderson, Henry, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jennison, Johnson, Johnston, Kejr, Kirk, Klein, Phill Kline, Krehbiel, Kuether, Landwehr,
Lane, Larkin, M. Long, P. Long, Mason, Mayans, Mays, McClure, McCreary, McKechnie,
McKinney, Minor, Mollenkamp, Morrison, Myers, Neufeld, Nichols, O'Connor, O'Neal,
Osborne, Packer, Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers,
Presta, Ray, Reardon, Reinhardt, Ruff, Samuelson, Sawyer, Schwartz, Shallenburger, Sharp,
Shore, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tanner, Thi-
mesch, Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber, Weiland, Wells, Wel-
shimer, Wempe, Wilk, Wilson.

 Nays: None.

 Present but not voting: None.

 Absent or not voting: Phil Kline, Lloyd.

 The bill passed, as amended.

 HB 2676, An act relating to mobile and manufactured homes; providing for the dispo-
sition of valueless mobile and manufactured homes, was considered on final action.

 On roll call, the vote was: Yeas 96; Nays 27; Present but not voting: 0; Absent or not
voting: 2.

 Yeas: Adkins, Alldritt, Allen, Ballard, Ballou, Beggs, Benlon, Boston, Carmody, Compton,
Cook, Cox, Crow, Dahl, Dean, Dillon, Dreher, Edmonds, Empson, Faber, Farmer, Findley,
Flaharty, Flora, Flower, Freeborn, Garner, Geringer, Gilbert, Gilmore, Glasscock, Gregory,
Helgerson, Henry, Holmes, Horst, Huff, Humerickhouse, Hutchins, Jennison, Johnson,
Johnston, Kejr, Kirk, Klein, Krehbiel, Kuether, Landwehr, Lane, Larkin, Mason, Mayans,
Mays, McCreary, McKinney, Minor, Mollenkamp, Morrison, Myers, Nichols, O'Connor,
O'Neal, Osborne, Palmer, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray,
Reinhardt, Ruff, Samuelson, Sawyer, Shore, Shriver, Shultz, Sloan, Stone, Storm, Swenson,
Tanner, Thimesch, Toelkes, Tomlinson, Toplikar, Vining, Wagle, Weber, Weiland, Wells,
Welshimer, Wempe, Wilk, Wilson.

 Nays: Aurand, Burroughs, Campbell, Correll, Feuerborn, Franklin, Grant, Haley, Hay-
zlett, Henderson, Howell, Phill Kline, M. Long, P. Long, McClure, McKechnie, Neufeld,
Packer, Pauls, Presta, Reardon, Schwartz, Shallenburger, Sharp, Showalter, Spangler, Vick-
rey.

 Present but not voting: None.

 Absent or not voting: Phil Kline, Lloyd.

 The bill passed.

 HB 2729, An act concerning cities; relating to the abatement of certain nuisances; amend-
ing K.S.A. 12-1617e and K.S.A. 1997 Supp. 12-1617f and repealing the existing sections,
was considered on final action.

 On roll call, the vote was: Yeas 107; Nays 16; Present but not voting: 0; Absent or not
voting: 2.

 Yeas: Adkins, Alldritt, Allen, Aurand, Ballard, Beggs, Benlon, Boston, Burroughs, Camp-
bell, Carmody, Compton, Cook, Correll, Cox, Crow, Dahl, Dean, Dillon, Dreher, Edmonds,
Empson, Faber, Farmer, Findley, Flaharty, Flora, Flower, Franklin, Garner, Geringer, Gil-
bert, Gilmore, Glasscock, Grant, Gregory, Haley, Hayzlett, Helgerson, Henderson, Henry,
Holmes, Horst, Huff, Humerickhouse, Hutchins, Jennison, Johnson, Johnston, Kirk, Kreh-
biel, Kuether, Lane, Larkin, M. Long, Mason, Mayans, Mays, McClure, McCreary, Mc-
Kechnie, McKinney, Minor, Mollenkamp, Morrison, Myers, Neufeld, Nichols, O'Connor,
O'Neal, Osborne, Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Powell, Powers, Ray,
Reardon, Reinhardt, Ruff, Samuelson, Sawyer, Schwartz, Sharp, Shore, Showalter, Shriver,
Shultz, Sloan, Spangler, Stone, Storm, Tanner, Thimesch, Toelkes, Tomlinson, Toplikar,
Vining, Wagle, Weiland, Wells, Welshimer, Wempe, Wilk, Wilson.

 Nays: Ballou, Feuerborn, Freeborn, Howell, Kejr, Klein, Phill Kline, Landwehr, P. Long,
Packer, Pottorff, Presta, Shallenburger, Swenson, Vickrey, Weber.

 Present but not voting: None.

 Absent or not voting: Phil Kline, Lloyd.

 The bill passed, as amended.

 HB 2743, An act concerning the Kansas underground utility damage prevention act;
amending K.S.A. 1997 Supp. 66-1802 and 66-1810 and repealing the existing sections, was
considered on final action.

 On roll call, the vote was: Yeas 123; Nays 0; Present but not voting: 0; Absent or not
voting: 2.

 Yeas: Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Beggs, Benlon, Boston, Burroughs,
Campbell, Carmody, Compton, Cook, Correll, Cox, Crow, Dahl, Dean, Dillon, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Franklin,
Freeborn, Garner, Geringer, Gilbert, Gilmore, Glasscock, Grant, Gregory, Haley, Hayzlett,
Helgerson, Henderson, Henry, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jennison, Johnson, Johnston, Kejr, Kirk, Klein, Phill Kline, Krehbiel, Kuether, Landwehr,
Lane, Larkin, M. Long, P. Long, Mason, Mayans, Mays, McClure, McCreary, McKechnie,
McKinney, Minor, Mollenkamp, Morrison, Myers, Neufeld, Nichols, O'Connor, O'Neal,
Osborne, Packer, Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers,
Presta, Ray, Reardon, Reinhardt, Ruff, Samuelson, Sawyer, Schwartz, Shallenburger, Sharp,
Shore, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tanner, Thi-
mesch, Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber, Weiland, Wells, Wel-
shimer, Wempe, Wilk, Wilson.

 Nays: None.

 Present but not voting: None.

 Absent or not voting: Phil Kline, Lloyd.

 The bill passed, as amended.

 HB 2760, An act concerning the department of transportation; authorizing the secretary
to pay employees for the theft of certain tools or equipment; amending K.S.A. 1997 Supp.
68-416 and repealing the existing section, was considered on final action.

 On roll call, the vote was: Yeas 102; Nays 21; Present but not voting: 0; Absent or not
voting: 2.

 Yeas: Alldritt, Allen, Aurand, Ballard, Beggs, Boston, Burroughs, Campbell, Carmody,
Compton, Cook, Correll, Cox, Crow, Dean, Dillon, Dreher, Edmonds, Empson, Faber,
Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Franklin, Freeborn, Geringer, Gil-
bert, Gilmore, Glasscock, Grant, Hayzlett, Helgerson, Henderson, Henry, Holmes, Horst,
Howell, Huff, Humerickhouse, Hutchins, Jennison, Johnson, Johnston, Kejr, Kirk, Phill
Kline, Krehbiel, Kuether, Lane, Larkin, M. Long, P. Long, Mason, Mays, McClure, Mc-
Creary, McKechnie, McKinney, Minor, Mollenkamp, Morrison, Myers, Nichols, O'Connor,
O'Neal, Osborne, Packer, Palmer, Pauls, E. Peterson, J. Peterson, Powell, Presta, Ray,
Reardon, Reinhardt, Ruff, Samuelson, Sawyer, Shallenburger, Sharp, Shore, Showalter,
Shultz, Sloan, Spangler, Stone, Storm, Tanner, Thimesch, Toelkes, Toplikar, Vining, Wagle,
Weiland, Wells, Welshimer, Wempe, Wilk.

 Nays: Adkins, Ballou, Benlon, Dahl, Garner, Gregory, Haley, Klein, Landwehr, Mayans,
Neufeld, Phelps, Pottorff, Powers, Schwartz, Shriver, Swenson, Tomlinson, Vickrey, Weber,
Wilson.

 Present but not voting: None.

 Absent or not voting: Phil Kline, Lloyd.

 The bill passed.

 SB 256, An act concerning law enforcement; relating to university police officers; juris-
diction; amending K.S.A. 76-726 and K.S.A. 1997 Supp. 22-2401a and repealing the existing
sections, was considered on final action.

 On roll call, the vote was: Yeas 87; Nays 36; Present but not voting: 0; Absent or not
voting: 2.

 Yeas: Adkins, Alldritt, Allen, Ballard, Beggs, Benlon, Burroughs, Carmody, Compton,
Correll, Cox, Dahl, Dean, Dillon, Dreher, Edmonds, Empson, Farmer, Feuerborn, Findley,
Flaharty, Flower, Garner, Gilmore, Glasscock, Grant, Gregory, Henry, Holmes, Horst,
Huff, Humerickhouse, Johnson, Johnston, Kejr, Kirk, Klein, Phill Kline, Krehbiel, Kuether,
Lane, Larkin, M. Long, McClure, McKechnie, McKinney, Minor, Mollenkamp, Morrison,
Myers, Neufeld, O'Connor, O'Neal, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell,
Powers, Ray, Reardon, Reinhardt, Ruff, Samuelson, Sawyer, Sharp, Showalter, Shriver,
Shultz, Sloan, Spangler, Stone, Storm, Tanner, Thimesch, Toelkes, Tomlinson, Vickrey,
Vining, Wagle, Weber, Weiland, Wells, Welshimer, Wilk, Wilson.

 Nays: Aurand, Ballou, Boston, Campbell, Cook, Crow, Faber, Flora, Franklin, Freeborn,
Geringer, Gilbert, Haley, Hayzlett, Helgerson, Henderson, Howell, Hutchins, Jennison,
Landwehr, P. Long, Mason, Mayans, Mays, McCreary, Nichols, Osborne, Packer, Palmer,
Presta, Schwartz, Shallenburger, Shore, Swenson, Toplikar, Wempe.

 Present but not voting: None.

 Absent or not voting: Phil Kline, Lloyd.

 The bill passed, as amended.

 On motion of Rep. Jennison, the House went into Committee of the Whole, with Rep.
Mason in the chair.

COMMITTEE OF THE WHOLE

 On motion of Rep. Mason, Committee of the Whole report, as follows, was adopted:

 Recommended that committee report to HB 2724 be adopted; also, on motion of Rep.
Hutchins to amend, the motion did not prevail.

 Also, on motion of Rep. Horst HB 2724 be amended on page 2, in line 41, after ``to'' by
inserting ``adequate''; also in line 41, by striking ``on'' and inserting ``in''; in line 42, by striking
``of the''; also in line 42, before the comma, by inserting ``above the gum line, polishing teeth
and recognition of periodontal disease'';

 Also, on motion of Rep. Flaharty to amend HB 2724, the motion did not prevail. Also,
on motion of Rep. Storm to amend, the motion did not prevail.

 Also, roll call was demanded on motion to recommend HB 2724 favorably for passage.

 On roll call, the vote was: Yeas 85; Nays 38; Present but not voting: 0; Absent or not
voting: 2.

 Yeas: Aurand, Ballard, Beggs, Boston, Campbell, Compton, Cook, Correll, Crow, Dahl,
Dean, Dillon, Edmonds, Empson, Faber, Feuerborn, Findley, Flora, Freeborn, Garner,
Geringer, Gilbert, Gilmore, Glasscock, Grant, Gregory, Haley, Hayzlett, Helgerson, Hen-
derson, Henry, Holmes, Horst, Howell, Humerickhouse, Jennison, Kejr, Kirk, Klein, Phill
Kline, Kuether, Landwehr, M. Long, P. Long, Mason, Mayans, Mays, McCreary, Mc-
Kechnie, McKinney, Minor, Mollenkamp, Myers, Nichols, O'Connor, O'Neal, Osborne,
Packer, Palmer, E. Peterson, J. Peterson, Pottorff, Powell, Presta, Ray, Ruff, Samuelson,
Sawyer, Schwartz, Shallenburger, Sharp, Shore, Showalter, Shriver, Shultz, Stone, Toelkes,
Vining, Wagle, Weiland, Wells, Welshimer, Wempe, Wilk, Wilson.

 Nays: Adkins, Alldritt, Allen, Ballou, Benlon, Burroughs, Carmody, Cox, Dreher, Farmer,
Flaharty, Flower, Franklin, Huff, Hutchins, Johnson, Johnston, Krehbiel, Lane, Larkin,
McClure, Morrison, Neufeld, Pauls, Phelps, Powers, Reardon, Reinhardt, Sloan, Spangler,
Storm, Swenson, Tanner, Thimesch, Tomlinson, Toplikar, Vickrey, Weber.

 Present but not voting: None.

 Absent or not voting: Phil Kline, Lloyd.

 The motion prevailed and HB 2724 be passed as amended.

REPORTS OF STANDING COMMITTEES

    The Committee on Business, Commerce and Labor recommends HB 2591 be
amended on page 6, after line 39, by inserting a new section as follows:

    ``Sec. 3. K.S.A. 1997 Supp. 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 appropriate, including the immu-
nities provided by K.S.A. 44-501 and amendments thereto.

    (b) Every employer shall secure the payment of compensation to the employer's em-
ployees 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 compensation 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 com-
pensation for the employer's self; (3) by maintaining a membership in a qualified group-
funded workers compensation 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 required 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 failure 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 administra-
tive 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 em-
ployer 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, how-
ever, the director shall enforce the provisions of this section for failure of the subcontractor
to secure compensation for any other employee of the subcontractor as otherwise provided
by law.

    (e) (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.

    (f) (g) All moneys received under this section for costs assessed or monetary penalties
imposed shall be deposited in the state treasury and credited to the workers compensation
fund.

    (g) (h) (1) Every insurance carrier writing workers' compensation insurance for any
employment covered under the workers compensation 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 coverage,
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 com-
pensation to the employer's employees.

    (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 employer changes from a group-funded workers compen-
sation pool to insuring through an insurance carrier or becoming a self-insurer, such notice
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 subsection (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).

    (h) (i) As used in this section, ``qualified group-funded workers compensation 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.

    (i) (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 continuous 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 consecutive 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 calculating 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.

    (j) (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 requirements 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.'';

    And by renumbering the existing sections accordingly;

    Also on page 6, in line 40, by striking ``and'' and inserting a comma; also in line 40, after
``44-508'', by inserting ``and 44-532'';

    In the title, in line 10, by striking ``and'' and inserting a comma; in line 11, after ``and'',
by inserting ``44-532 and''; and the bill be passed as amended.

    The Committee on Economic Development recommends SB 416, as amended by
Senate Committee of the Whole, be amended on page 1, in line 21, by striking ``1993'' and
inserting ``1997''; following line 42, by inserting the following:

    ``New Sec. 2. For purposes of calculating any tax due under K.S.A. 40-253 and amend-
ments thereto from a taxpayer not organized under the laws of this state, the credit allowed
by section 1 or K.S.A. 40-2813 and amendments thereto shall be treated as a tax paid under
K.S.A. 40-252 and amendments thereto.'';

    And by renumbering sections accordingly;

    On page 3, following line 41, by inserting the following:

    ``New Sec. 5. For purposes of calculating any tax due under K.S.A. 40-253 and amend-
ments thereto from a taxpayer not organized under the laws of this state, the credit allowed
by section 3 or K.S.A. 1997 Supp. 74-50,132 and amendments thereto shall be treated as a
tax paid under K.S.A. 40-252 and amendments thereto.'';

    And by renumbering sections accordingly;

    On page 4, following line 40, by inserting the following:

    ``New Sec. 7. For purposes of calculating any tax due under K.S.A. 40-253 and amend-
ments thereto from a taxpayer not organized under the laws of this state, the credit allowed
under subsection (a) of K.S.A. 79-32,153 shall be treated as a tax paid under K.S.A. 40-252
and amendments thereto.'';

    On page 12, following line 11, by inserting the following:

    ``New Sec. 10. For purposes of calculating any tax due under K.S.A. 40-253 and amend-
ments thereto from a taxpayer not organized under the laws of this state, the credits allowed
under K.S.A. 79-32,160a and amendments thereto shall be treated as a tax paid under K.S.A.
40-252 and amendments thereto.'';

    And by renumbering sections accordingly; and the bill be passed as amended.

 The Committee on Federal and State Affairs recommends HB 2463 be passed.

    The Committee on Federal and State Affairs recommends HB 2739 be amended on
page 1, in line 14, after ``documents'' by inserting ``or personal identification number''; and
the bill be passed as amended.

    The Committee on Governmental Organization and Elections recommends HB
2769 be amended on page 1, by striking all in lines 13 through 20 and inserting:

    ``Section 1. K.S.A. 19-3516 is hereby amended to read as follows: 19-3516. (a) Any water
district board may issue and sell revenue bonds to finance the cost of acquisition, construc-
tion, reconstruction, alteration, repair, improvement, extension or enlargement of any such
water supply and distribution system. The board shall fix by resolution such rates, fees and
charges for the services furnished by such water supply and distribution system as may be
reasonable and necessary and provide for the manner of collecting and disbursing such
revenues subject to the limitations hereinafter contained.

    Revenues derived from the operation of any such water supply and distribution system
shall be deposited in a responsible bank within the county in which the greatest portion of
such water district is located and the deposits shall be governed by article 14 of chapter 9
of the Kansas Statutes Annotated and shall not be used except for the purpose of: (1) Paying
wages and salaries of all officers and employees, (2) paying the cost of operation, (3) paying
the cost of maintenance, extension and improvement of such water supply and distribution
system, (4) providing an adequate depreciation fund, and (5) creating reasonable reserves
for such purposes. All revenues over and above those necessary for the above enumerated
purposes shall be placed in a reserve fund which, together with any moneys not currently
needed which have been set aside for the purposes described in (4) and (5) above, may be
invested in accordance with the provisions of K.S.A. 10-122, and amendments thereto, or
K.S.A. 10-131, and amendments thereto. Such reserve fund shall be used solely for im-
proving, extending or enlarging the district's water system or for the retirement of revenue
bonds issued hereunder and the payment of interest thereon. Such revenue bonds are
hereby made a lien on the water supply and distribution system and on the revenues pro-
duced from such water supply and distribution system but shall not be general obligations
of the issuing water district. Such revenue bonds shall not be taken into account or in any
way be a limitation upon the power of the water district to issue bonds for any other purpose.
All revenue bonds issued under this act shall be signed by the chairperson of the issuing
water district board and attested by the secretary and shall contain recitals stating the au-
thority under which such bonds are issued; that they are issued in conformity with the
provisions, restrictions and limitations of that authority; that such bonds are to be paid by
the issuing water district from the revenues derived from the rates, fees or charges herein
mentioned and not from any other fund or source; that the same have been registered in
the office of the county clerk of the various counties in which the issuing water district is
located and in the office of the treasurer of the state of Kansas, respectively; and that such
bonds are negotiable. All such bonds, when registered and issued, as herein provided, shall
import absolute verity, and shall be conclusive in favor of all persons purchasing such bonds,
that all proceedings and conditions precedent have been had and performed to authorize
the issuance thereof. The provisions of K.S.A. 10-112, and amendments thereto, shall not
apply to any bonds issued under this act.

    (b) Revenue bonds issued under this act shall mature not later than 40 years after the
date of the bonds; may be subject to redemption prior to maturity, with or without premium,
at such times and upon such conditions as may be provided by the water district board; and
shall bear interest at a rate not to exceed the maximum rate of interest prescribed by K.S.A.
10-1009, and amendments thereto. The board may sell such bonds in such manner and for
such price as it determines will best effect the purposes of this act. In no case where revenue
bonds are issued under this act shall the total amount received therefrom be in excess of
the actual cost of the plan or program which includes, in addition to all expenses incurred
in the acquiring of a water supply and distribution system, all expenses incurred prior to
and including the bond election, the no-fund warrants outstanding under the provisions of
K.S.A. 19-3505a, and amendments thereto, and unpaid at the time such revenue bonds are
issued and all costs of operation and maintenance of such water supply and distribution
system estimated to be necessary for a period of two years immediately following the ac-
quisition of such system and the amount necessary to pay the salaries of the water district
board due from the date the first member of the first board is elected. Whenever any such
water district board has sufficient revenues to pay the operational and maintenance cost
and the board members' salaries, then such expenses shall be paid out of such revenues and
any surplus funds remaining from the sale of revenue bonds shall be transferred to the
revenue bond sinking fund of the water district. No water district or county in which a
portion of such water district lies shall have any right or authority to levy taxes to pay any
of the principal of or interest on any such bonds or any judgment against the issuing water
district on account thereof, and the provisions of K.S.A. 10-113, and amendments thereto,
shall not apply to any bonds issued hereunder. All water district boards created by this act
by appropriate resolution shall make provisions for the payment of such bonds by fixing
rates, fees and charges, for the use of all services rendered by such water district, which
rates, fees and charges shall be sufficient to pay the wages and salaries of all officers and
employees and the costs of operation, improvement and maintenance of the water supply
and distribution system; to provide an adequate depreciation fund and an adequate sinking
fund to retire such bonds and pay the interest thereon when due; and to create reasonable
reserves for such purposes. Such fees, rates or charges shall be sufficient to allow for mis-
cellaneous and emergency or unforeseen expenses. The resolution of the water district board
authorizing the issuance of revenue bonds may establish limitations upon the issuance of
additional revenue bonds payable from the revenues of the district's water supply and dis-
tribution system or upon the rights of the holders of such additional bonds and may provide
that additional revenue bonds shall stand on a parity as to the revenues of the water district
and in all other respects with revenue bonds previously issued on such conditions as specified
by the board in such resolution. Such resolution may include other agreements, covenants
or restrictions deemed necessary or advisable by the district board to effect the efficient
operation of the district's system and to safeguard the interests of the holders of the revenue
bonds and to secure the payment of the bonds and the interest thereon.

    (c) The water district board shall cause an audit to be made annually by a licensed
municipal public accountant or by a certified public accountant of the operations of any
water supply and distribution system created hereunder for which revenue bonds have been
issued by any water district, and, if the audit discloses that proper provision has not been
made for all of the requirements of this section, the water district board shall proceed
promptly to cause rates to be charged for the water supply and distribution services rendered
which will adequately provide for the requirements set out herein. Within 30 days after the
completion of such audit, a copy of the audit shall be filed with the county clerks of the
various counties in which such water district is located, and such audit shall be open to
public inspection.

    (d) The water district board, by a majority vote of the members thereof, may contract
for repairs, alterations, extensions or improvements of the water supply and distribution
system and issue revenue bonds to pay the cost thereof without submitting to a vote of the
electors of such water district the proposal to contract for the making of such repairs,
alterations, extension and improvements and to issue revenue bonds to pay the costs thereof.
All contracts for any construction of all or part of the water system, or for repairs, extensions,
enlargements or improvements to any such water supply and distribution system created
under this act, the cost of which exceeds $25,000 shall be awarded on a public letting by
the water district board to the lowest responsible bidder, and in the manner provided by
K.S.A. 19-214, 19-215 and 19-216, and amendments thereto, except that the required notice
of letting contracts shall be seven days if the cost does not exceed $100,000 and 30 days if
the cost exceeds $100,000. Whenever the board finds that an unforeseen occurrence or
condition has created a public exigency requiring immediate delivery of materials or per-
formance of services, it may declare an emergency and shorten or entirely dispense with
the bidding procedure.

    (e) Where goods for use by the water district can be more advantageously acquired by
lease-purchase or financing leases than by full initial payment of the purchase price or
conventional leasing that is neither a sale nor creates a security interest, the water district
board, by a majority vote of the members thereof, may approve the use of lease-purchases
or financing leases or authorize the general manager to make such determinations and ap-
provals within any limitations designed by the board.

    Sec. 2. K.S.A. 19-3516 is hereby repealed.

    Sec. 3. This act shall take effect and be in force from and after its publication in the
statute book.'';

    In the title, in line 10, preceding the period, by inserting ``; amending K.S.A. 19-3516 and
repealing the existing section''; and the bill be passed as amended.

 The Committee on Health and Human Services recommends HB 2835 be passed and,
becuase the committee is of the opinion that the bill is of a noncontroversial nature, be
placed on the consent calendar.

 Upon unanimous consent, the House referred back to the regular order of business,
Introduction of Bills and Concurrent Resolutions.

INTRODUCTION OF BILLS AND CONCURRENT RESOLUTIONS

 The following bill was introduced and read by title:

 HB 2982, An act concerning workers compensation; relating to death benefits provided
thereunder; amending K.S.A. 1997 Supp. 44-510b and repealing the existing section, by
Committee on Taxation.

REPORT ON ENGROSSED BILLS

 HB 2231, 2312, 2729, 2743 reported correctly engrossed February 18, 1998.

 On motion of Rep. Jennison, the House adjourned until 10:00 a.m., Friday, February 20,
1998.

CHARLENE SWANSON, Journal Clerk. 
JANET E. JONES, Cheif Clerk.