The Senate was called to order by Vice-President Alicia Salisbury.
The roll was called with forty senators present.
Invocation by Chaplain Fred S. Hollomon:
Heavenly Father,
About this time in every session
We take a needed pause
To get together and have some fun;
We call it the ``Land of Blahs.''
We poke some fun at familiar folks;
We point out some of their flaws.
We spoof and roast and take a dig
While visiting the ``Land of Blahs.''
The proceeds from the tickets sold
Go to a worthy cause. . . .
Two non-profits get some help
When we attend the ``Land of Blahs.''
So thanks for performers who keep the show clean
And earn our grateful applause,
For offering their talent to bless needy folks
And providing the ``Land of Blahs.''
I pray in the name of Christ,
AMEN
INTRODUCTION OF BILLS AND CONCURRENT RESOLUTIONS
The following bill was introduced and read by title:
SB 691, An act concerning delinquent payments for sale of cable television services, by
Committee on Federal and State Affairs.
REFERENCE OF BILLS AND CONCURRENT RESOLUTIONS
The following bills and resolution were referred to Committees as indicated:
Energy and Natural Resources: HB 2499; HCR 5048.
Federal and State Affairs: SB 690; HB 2886.
CHANGE OF REFERENCE
The Vice-President withdrew HB 2837 from the calendar under the heading of General
Orders, and rereferred the bill to the Committee on Education.
MESSAGE FROM THE HOUSE
Announcing passage of Substitute HB 2210.
Also, passage of SB 149, as amended, 270, as amended.
The House accedes to the request of the Senate for a conference on SB 485 and has
appointed Representatives Mayans, Morrison and Henry as conferees on the part of the
House.
INTRODUCTION OF HOUSE BILLS AND CONCURRENT RESOLUTIONS
Substitute HB 2210 was thereupon introduced and read by title.
CONSIDERATION OF MOTIONS TO CONCUR OR NONCONCUR
Senator Praeger moved the Senate concur in house amendments to SB 198.
On roll call, the vote was: Yeas 40, nays 0, present and passing 0; absent or not voting 0.
On motion of Senator Ranson the Senate nonconcurred in the House amendments to Sub.SB573 and requested a conference committee be appointed.
The Vice-President appointed Senators Salisbury, Ranson and Barone as a conference
committee on the part of the Senate.
REMOVE FROM CONSENT CALENDAR
An objection having been made to HB 2806 appearing on the Consent Calendar, the
Vice-President directed the bill be removed and placed on the calendar under the heading
of General Orders.
REPORTS OF STANDING COMMITTEES
Committee on Assessment and Taxation recommends HB 2684 be passed and, be-
cause the committee is of the opinion that the bill is of a noncontroversial nature, be placed
on the consent calendar.
Also SB 603 be amended on page 2, in line 16, before ``(G)'' by inserting ``or''; in line
18, by striking all after the semicolon; by striking all in lines 19 and 20;
On page 4, in line 21, by striking all after the first ``of''; by striking all in line 22; in line
23, by striking all before the period and inserting ``seven years from the startup date of such
project''; also, in line 23, by striking ``section'' and and inserting ``paragraph (6)''; in line 30,
by striking all after ``(2)''; by striking all in lines 31 through 40 and inserting ``''Base pro-
duction`` means the average monthly amount of production for the twelve-month period
immediately prior to the production enhancement project beginning date, minus the
monthly rate of production decline for the well or project for each month beginning 180
days prior to the project beginning date. The monthly rate of production decline shall be
equal to the average extrapolated monthly decline rate for the well or project for the twelve-
month period immediately prior to the production enhancement project beginning date.
Such monthly rate of production decline shall be continued as the decline that would have
occurred except for the enhancement project. The calculation of the base production
amount shall be evidenced by an affidavit and supporting documentation filed by the ap-
plying taxpayer with the state corporation commission.
(3) ``Workover'' means any downhole operation in an existing oil or gas well that is
designed to sustain, restore or increase the production rate or ultimate recovery of oil or
gas, including but not limited to acidizing, reperforation, fracture treatment, sand/paraf-
fin/scale removal or other wellbore cleanouts, casing repair, squeeze cementing, initial in-
stallation, or enhancement of artificial lifts including plunger lifts, rods, pumps, submersible
pumps and coiled tubing velocity strings, downsizing existing tubing to reduce well loading,
downhole commingling, bacteria treatments, polymer treatments, upgrading the size of
pumping unit equipment, setting bridge plugs to isolate water production zones, or any
combination of the aforementioned operations; ``workover'' shall not mean the routine main-
tenance, routine repair, or like for-like replacement of downhole equipment such as rods,
pumps, tubing packers or other mechanical device.``; in line 41, by striking ``(3)'' and in-
serting ``(4)''; also, in line 41, after ``means'' by inserting ``performing or causing to be
performed''; in line 42, by striking all after ``(i)''; by striking all in line 43;
On page 5, by striking all in lines 1 through 12 and inserting ``workover;''; in line 13,
before the semicolon by inserting ``, except recompletions in formations and zones subject
to a state corporation commission proration order''; in line 16, by striking ``initial installa-
tion,''; in line 20, by striking all after ``project''; by striking all in lines 21 and 22; in line 23,
by striking all before the semicolon; in line 27, by striking ``secretary of revenue in con-
junction with the''; by striking all in lines 32 and 33; in line 34, by striking all before ``criteria''
and inserting ``criteria for determining the share of incremental production attributable to
each well when a production enhancement project includes a group of wells,''; after line 36,
by inserting the following:
``(C) Any taxpayer applying for an exemption pursuant to this paragraph (6) shall make
application to the director of taxation. Such application shall be accompanied by a state
corporation commission certification that the production for which an exemption is sought
results from a qualified production enhancement project and certification of the base pro-
duction for the enhanced wells or group of wells, and the rate of decline to be applied to
that base production. The secretary of revenue shall provide credit for any taxes paid be-
tween the project startup date and the certification of qualifications by the commission.
(D) The exemptions provided for in this paragraph (6) shall not apply for 12 months
beginning July 1 of the year subsequent to any calendar year during which: (1) In the case
of oil, the secretary of revenue determines that the weighted average price of Kansas oil at
the wellhead has exceeded $20.00 per barrel; or (2) in the case of natural gas the secretary
of revenue determines that the weighted average price of Kansas gas at the wellhead has
exceeded $2.50 per Mcf.``; in line 37, by striking ``(C)'' and inserting ``(E)'' and the bill be
passed as amended.
Committee on Commerce recommends HB 2731 be passed.
Also HB 2591, as amended by House Committee of the Whole, be amended on page 1,
following the enacting clause by inserting a new section as follows:
``Section 1. K.S.A. 1997 Supp. 44-503 is hereby amended to read as follows: 44-503.
(a) Where any person (in this section referred to as principal) undertakes to execute any
work which is a part of the principal's trade or business or which the principal has contracted
to perform and contracts with any other person (in this section referred to as the contractor)
for the execution by or under the contractor of the whole or any part of the work undertaken
by the principal, the principal shall be liable to pay to any worker employed in the execution
of the work any compensation under the workers compensation act which the principal
would have been liable to pay if that worker had been immediately employed by the prin-
cipal; and where compensation is claimed from or proceedings are taken against the prin-
cipal, then in the application of the workers compensation act, references to the principal
shall be substituted for references to the employer, except that the amount of compensation
shall be calculated with reference to the earnings of the worker under the employer by
whom the worker is immediately employed. For the purposes of this subsection, a worker shall not include an individual who is a self-employed subcontractor.
(b) Where the principal is liable to pay compensation under this section, the principal
shall be entitled to indemnity from any person who would have been liable to pay compen-
sation to the worker independently of this section, and shall have a cause of action under
the workers compensation act for indemnification.
(c) Nothing in this section shall be construed as preventing a worker from recovering
compensation under the workers compensation act from the contractor instead of the prin-
cipal.
(d) This section shall not apply to any case where the accident occurred elsewhere than
on, in or about the premises on which the principal has undertaken to execute work or which
are otherwise under the principal's control or management, or on, in or about the execution
of such work under the principal's control or management.
(e) A principal contractor, when sued by a worker of a subcontractor, shall have the
right to implead the subcontractor.
(f) The principal contractor who pays compensation to a worker of a subcontractor shall
have the right to recover over against the subcontractor in the action under the workers
compensation act if the subcontractor has been impleaded.
(g) Notwithstanding any other provision of this section, in any case where the contractor
(1) is an employer who employs employees in an employment to which the act is applicable,
or has filed a written statement of election with the director to accept the provisions of the
workers compensation act pursuant to subsection (b) of K.S.A. 44-505, and amendments
thereto, to the extent of such election, and (2) has secured the payment of compensation as
required by K.S.A. 44-532, and amendments thereto, for all persons for whom the contractor
is required to or elects to secure such compensation, as evidenced by a current certificate
of workers compensation insurance, by a certification from the director that the contractor
is currently qualified as a self-insurer under that statute, or by a certification from the
commissioner of insurance that the contractor is maintaining a membership in a qualified
group-funded workers compensation pool, then, the principal shall not be liable for any
compensation under this or any other section of the workers compensation act for any person
for which the contractor has secured the payment of compensation which the principal
would otherwise be liable for under this section and such person shall have no right to file
a claim against or otherwise proceed against the principal for compensation under this or
any other section of the workers compensation act. In the event that the payment of com-
pensation is not secured or is otherwise unavailable or in effect, then the principal shall be
liable for the payment of compensation. No insurance company shall charge a principal a
premium for workers compensation insurance for any liability for which the contractor has
secured the payment of compensation.
(h) (1) For purposes of this section, any individual who is an owner-operator and the
exclusive driver of a motor vehicle that is leased or contracted to a licensed motor carrier
shall not be considered to be a contractor within the meaning of this section or an employee
of the licensed motor carrier within the meaning of subsection (b) of K.S.A. 44-508, and
amendments thereto, and the licensed motor carrier shall not be considered to be a principal
within the meaning of this section or an employer of the owner-operator within the meaning
of subsection (a) of K.S.A. 44-508, and amendments thereto, if the owner-operator is cov-
ered by an occupational accident insurance policy and is not treated under the terms of the
lease agreement or contract with the licensed motor carrier as an employee for purposes of
the federal insurance contribution act, 26 U.S.C. § 3101 et seq., the federal social security
act, 42 U.S.C. § 301 et seq., the federal unemployment tax act, 26 U.S.C. § 3301 et seq.,
and the federal statutes prescribing income tax withholding at the source, 26 U.S.C. § 3401
et seq.
(2) As used in this subsection:
(A) ``Motor vehicle'' means any automobile, truck trailer, semitrailer, tractor, motor bus
or any other self-propelled or motor-driven vehicle used upon any of the public highways
of Kansas for the purpose of transporting persons or property;
(B) ``licensed motor carrier'' means any person, firm, corporation or other business
entity that holds a certificate of convenience and necessity, a contract carrier permit, or an
interstate license as a common, contract or exempt carrier from the state corporation com-
mission or is required to register motor carrier equipment pursuant to 49 U.S.C. § 11506;
and
(C) ``owner-operator'' means an individual who is the owner of a single motor vehicle
that is driven exclusively by the owner under a lease agreement or contract with a licensed
motor carrier.'';
And by renumbering sections accordingly;
Also on page 1, in line 18, by striking ``Section'' and inserting ``Sec.'';
On page 7, preceding line 1, by inserting a new section as follows:
``Sec. 4. K.S.A. 1997 Supp. 44-510b is hereby amended to read as follows: 44-510b.
Where death results from injury, compensation shall be paid as provided in K.S.A. 44-510
and amendments thereto, and as follows:
(a) If an employee leaves any dependents wholly dependent upon the employee's earn-
ings at the time of the accident, all compensation benefits under this section shall be paid
to such dependent persons. Such dependents shall be paid weekly compensation, except as
otherwise provided in this section, in a total sum to all such dependents, equal to 662/3% of
the average gross weekly wage of the employee at the time of the accident, computed as
provided in K.S.A. 44-511 and amendments thereto, but in no event shall such weekly
benefits exceed, nor be less than, the maximum and minimum weekly benefits provided in
K.S.A. 44-510c and amendments thereto, subject to the following:
(1) If the employee leaves a surviving legal spouse or a wholly dependent child or
children, or both, who are eligible for benefits under this section, then all death benefits
shall be paid to such surviving spouse or children, or both, and no benefits shall be paid to
any other wholly or partially dependent persons.
(2) A surviving legal spouse shall be paid compensation benefits for life or until remar-
riage, except as otherwise provided in this section.
(3) Any wholly dependent child of the employee shall be paid compensation, except as
otherwise provided in this section, until such dependent child becomes 18 years of age,
except that any such dependent child who is not physically or mentally capable of earning
wages in any type of substantial and gainful employment, or who is enrolled as a full-time
student in an accredited institution of higher education or vocational education shall be paid
compensation until such dependent child becomes 23 years of age.
(4) If the employee leaves no legal spouse or dependent children eligible for benefits
under this section but leaves other dependents wholly dependent upon the employee's
earnings, such other dependents shall receive weekly compensation benefits as provided in
this subsection until death, remarriage or so long as such other dependents do not receive
more than 50% of their support from any other earnings or income or from any other source,
except that the maximum benefits payable to all such other dependents, regardless of the
number of such other dependents, shall not exceed a maximum amount of $18,500.
(b) Upon the remarriage of a surviving legal spouse receiving compensation under this
section, the benefits being paid to such spouse shall terminate, except that upon such re-
marriage 100 weeks of benefits at the highest rate paid to such spouse under this section
shall be paid to such spouse in one lump sum, except that such lump-sum payment shall be
subject to the maximum amount of compensation payable under this section as prescribed
by subsection (h) (i).
(c) Where the employee leaves a surviving legal spouse and dependent children who
were wholly dependent upon the employee's earnings and are eligible for benefits under
this section 1/2 of the maximum weekly benefits payable shall be apportioned to such spouse
and 1/2 to such dependent children.
(d) If an employee does not leave any dependents who were wholly dependent upon
the employee's earnings at the time of the accident but leaves dependents, other than a
spouse or children, in part dependent on the employee's earnings, such percentage of a sum
equal to three times the employee's average yearly earnings but not exceeding $18,500 but
not less than $2,500, as such employee's average annual contributions which the employee
made to the support of such dependents during the two years preceding the date of the
accident, bears to the employee's average yearly earnings during the contemporaneous two-
year period, shall be paid in compensation to such dependents, in weekly payments as
provided in subsection (a), not to exceed $18,500 to all such dependents.
(e) If an employee does not leave any dependents, either wholly or partially dependent upon the employee, a lump-sum payment of $25,000 shall be made to the legal heirs of such employee in accordance with Kansas law. However under no circumstances shall such pay- ment escheat to the state. Notwithstanding the provisions of this subsection, no such payment shall be required if the employer has procured a life insurance policy, with beneficiaries designated by the employee, providing coverage in an amount not less than $18,500.
(e) (f) The administrative law judge, except as otherwise provided in this section, shall
have the power and authority to apportion and reapportion the compensation allowed under
this section, either to wholly dependent persons or partially dependent persons, in accord-
ance with the degree of dependency as of the date of the accident, except that the weekly
payment of compensation to any and all dependents shall not exceed the maximum weekly
benefits provided in subsection (a).
(f) (g) In all cases of death compensable under this section, the employer shall pay the
reasonable expense of burial not exceeding $4,300 $5,000.
(g) (h) The marriage or death of any dependent shall terminate all compensation, under
this section, to such dependent, but shall not increase or decrease the compensation allowed
to any other dependents except that, upon the marriage or death of the surviving legal spouse
or a dependent child, the compensation payable to such spouse or child shall be reappor-
tioned to those, among the surviving legal spouse and dependent children, who remain
eligible to receive compensation under this section.
(h) (i) Notwithstanding any other provision in this section to the contrary, the maximum
amount of compensation benefits payable under this section to any and all dependents by
the employer shall not exceed a total amount of $200,000 and when such total amount has
been paid the liability of the employer for any further compensation under this section to
dependents, other than minor children of the employee, shall cease except that the payment
of compensation under this section to any minor child of the employee shall continue for
the period of the child's minority at the weekly rate in effect when the employer's liability
is otherwise terminated under this subsection and shall not be subject to termination under
this subsection until such child becomes 18 years of age.
(i) (j) A surviving spouse shall submit an annual statement to the employer and to the
director, in such form and containing such information relating to eligibility for compen-
sation under this section as may be required by rules and regulations of the director. If such
spouse fails to submit such an annual statement, the employer may notify the director of
such failure and the director shall notify such spouse of such failure by certified mail with
return receipt. If such spouse fails to submit the annual statement or fails to reasonably
provide the required information within 30 days after receipt of the notice from the director,
all compensation benefits paid under this section to such spouse shall be suspended until
such statement is submitted in proper form to the employer and the director.'';
And by renumbering sections accordingly;
On page 9, by striking all in lines 33 through 43;
On page 10, by striking all in lines 1 through 9, and inserting a new section as follows:
``Sec. 6. K.S.A. 44-570 is hereby amended to read as follows: 44-570. (a) Every In the event that subsection (e) of K.S.A. 44-510b is inapplicable, every employer in the state of
Kansas operating a trade or business under the provisions of the workmen's workers com-
pensation 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 workmen's workers
compensation act.
(b) The commissioner of insurance shall remit all moneys received under this section
to the state treasurer. Upon receipt of any 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 requires a refund
thereof, the commissioner of insurance is hereby authorized to refund such payment to the
employer, or if insured, to the employer's insurance carrier.'';
And by renumbering sections accordingly;
Also on page 10, in line 10, by striking ``44-559'' and inserting ``44-570''; also in line 10,
following ``Supp.'', by inserting ``44-503,''; in line 11, following ``44-508'', by inserting ``,
44-510b'';
On page 1, in the title, in line 13, following the semicolon, by inserting ``death benefits;'';
also in line 13, by striking ``44-559'' and inserting ``44-570''; in line 14, following ``Supp.'',
by inserting ``44-503,''; also in line 14, following ``44-508'' by inserting ``, 44-510b''; and the
bill be passed as amended.
HB 2799 be amended on page 1, following the enacting clause by inserting two new
sections as follows:
``Section 1. K.S.A. 1997 Supp. 44-510 is hereby amended to read as follows: 44-510.
Except as otherwise provided therein, medical compensation under the workers compen-
sation act shall be as follows:
(a) It shall be the duty of the employer to provide the services of a health care provider,
and such medical, surgical and hospital treatment, including nursing, medicines, medical
and surgical supplies, ambulance, crutches, and apparatus, and transportation to and from
the home of the injured employee to a place outside the community in which such employee
resides, and within such community if the director in the director's discretion so orders,
including transportation expenses computed in accordance with subsection (a) of K.S.A. 44-
515 and amendments thereto, as may be reasonably necessary to cure and relieve the em-
ployee from the effects of the injury.
(1) The director shall appoint, subject to the approval of the secretary, a specialist in
health services delivery, who shall be referred to as the medical administrator. The medical
administrator shall be a person licensed to practice medicine and surgery in this state and
shall be in the unclassified service under the Kansas civil service act. The medical admin-
istrator, subject to the direction of the director, shall have the duty of overseeing the pro-
viding of health care services to employees in accordance with the provisions of the workers
compensation act, including but not limited to:
(A) Preparing, with the assistance of the advisory panel, the fee schedule for health care
services as set forth in this section;
(B) developing, with the assistance of the advisory panel, the utilization review program
for health care services as set forth in this section;
(C) developing procedures for appeals and review of disputed charges or services ren-
dered by health care providers under this section;
(D) developing a system for collecting and analyzing data on expenditures for health
care services by each type of provider under the workers compensation act; and
(E) carrying out such other duties as may be delegated or directed by the director or
secretary.
(2) The director shall prepare and adopt rules and regulations, which establish a sched-
ule of maximum fees for medical, surgical, hospital, dental, nursing, vocational rehabilitation
or any other treatment or services provided or ordered by health care providers and ren-
dered to employees under the workers compensation act. The schedule shall include pro-
visions and review procedures for exceptional cases involving extraordinary medical proce-
dures or circumstances and shall include costs and charges for medical records and
testimony.
(3) The schedule of maximum fees shall be reasonable, shall promote health care cost
containment and efficiency with respect to the workers compensation health care delivery
system, and shall be sufficient to ensure availability of such reasonably necessary treatment,
care and attendance to each injured employee to cure and relieve the employee from the
effects of the injury.
(4) (A) In every case, all fees, transportation costs, charges under this section and all
costs and charges for medical records and testimony shall be subject to approval by the
director and shall be limited to such as are fair, reasonable and necessary. The schedule of
maximum fees shall be revised as necessary at least every two years by the director to assure
that the schedule is current, reasonable and fair.
(B) There is hereby created an advisory panel to assist the director in establishing a
schedule of maximum fees as required by this section. The panel shall consist of the com-
missioner of insurance and seven members appointed as follows: (i) One person shall be
appointed by the Kansas medical society, (ii) one member shall be appointed by the Kansas
association of osteopathic medicine, (iii) one member shall be appointed by the Kansas
hospital association, (iv) one member shall be appointed by the Kansas chiropractic asso-
ciation, and (v) three members appointed by the secretary. One member appointed by the
secretary shall be a representative of employers recommended to the secretary by the Kansas
chamber of commerce and industry. One member appointed by the secretary shall be a
representative of employees recommended to the secretary by the Kansas AFL-CIO. One
member appointed by the secretary shall be a representative of entities providing vocational
rehabilitation services pursuant to K.S.A. 44-510g and amendments thereto. Each appointed
member shall be appointed for a term of office of two years which shall commence on July
1 of the year of appointment.
(C) All fees and other charges paid for such treatment, care and attendance, including
treatment, care and attendance provided by any health care provider, hospital or other entity
providing health care services, shall not exceed the amounts prescribed by the schedule of
maximum fees established under this section or the amounts authorized pursuant to the
provisions and review procedures prescribed by the schedule for exceptional cases. A health
care provider, hospital or other entity providing health care services shall be paid either
such health care provider, hospital or other entity's usual charge for the treatment, care and
attendance or the maximum fees as set forth in the schedule, whichever is less. In reviewing
and approving the schedule of maximum fees, the director shall consider the following:
(i) The levels of fees for similar treatment, care and attendance imposed by other health
care programs or third-party payors in the locality in which such treatment or services are
rendered;
(ii) the impact upon cost to employers for providing a level of fees for treatment, care
and attendance which will ensure the availability of treatment, care and attendance required
for injured employees;
(iii) the potential change in workers compensation insurance premiums or costs attrib-
utable to the level of treatment, care and attendance provided; and
(iv) the financial impact of the schedule of maximum fees upon health care providers
and health care facilities and its effect upon their ability to make available to employees
such reasonably necessary treatment, care and attendance to each injured employee to cure
and relieve the employee from the effects of the injury.
(D) Members of the advisory panel attending meetings of the advisory panel, or at-
tending a subcommittee of the advisory panel authorized by the advisory panel, shall be
paid subsistence allowances, mileage and other expenses as provided in K.S.A. 75-3223 and
amendments thereto.
(5) Any contract or any billing or charge which any health care provider, vocational
rehabilitation service provider, hospital, person, or institution enters into with or makes to
any patient for services rendered in connection with injuries covered by the workers com-
pensation act or the fee schedule adopted under this section, which is or may be in excess
of or not in accordance with such act or fee schedule, is unlawful, void and unenforceable
as a debt.
(6) The director shall have jurisdiction to hear and determine all disputes as to such
charges and interest due thereon and shall prescribe procedural rules to be followed by the
parties to such disputes. In the event of any controversy arising under this section, payments
shall not be delayed for any amounts not in dispute or controversy. Acceptance by any
provider of services of a payment amount under this section which is less than the full
amount charged for the services, shall not affect the right to have a review of the claim for
the outstanding or remaining amounts. In the event of a dispute as to such charges, the
health care provider, hospital, institution, person or other provider under this section may
appear and be represented in the action under the workers compensation act.
(7) If the director finds, after utilization review and peer review, that a provider or
facility has made excessive charges or provided or ordered unjustified treatment, services,
hospitalization or visits, the provider or facility shall not receive payment pursuant to this
section from an insurance carrier, employer or employee for the excessive fees or unjustified
treatment, services, hospitalization or visits and such provider or facility shall repay any fees
or charges collected therefor.
(8) Not later than December 31, 1993, the director shall develop and implement, or
contract with a qualified entity to develop and implement, utilization review and peer review
procedures relating to the services rendered by providers and facilities, which services are
paid for in whole or in part pursuant to the workers compensation act. The director may
contract with one or more private foundations or organizations to provide utilization review,
as appropriate, of entities providing health care services or vocational rehabilitation services,
or both, pursuant to the workers compensation act.
(9) By accepting payment pursuant to this section for treatment or services rendered
to an injured employee, a health care provider or health care facility shall be deemed to
consent to submitting all necessary records to substantiate the nature and necessity of the
service or charge and other information concerning such treatment to utilization review and
peer review under this section. Such health care provider shall comply with any decision of
the director pursuant to subsection (a)(10).
(10) If it is determined by a peer review committee that a provider improperly overu-
tilized or otherwise rendered or ordered unjustified treatment or services or that the fees
for such treatment or services were excessive, the director may order the provider to show
cause why the provider should not be required to repay the amount which was paid for
rendering or ordering such treatment or services and shall provide the provider a hearing
thereon if requested. If a hearing is not requested within 30 days of receipt of the order
and the director decides to proceed with the matter, a hearing shall be conducted and if a
prima facie case is established a final order shall be issued by the director. If the final order
is adverse to a health care provider, the director shall provide a report to the licensing board
of the health care provider with full documentation of any such determination, except that
no such report shall be provided until after judicial review if the order is appealed. Any
order of the director under this section shall be subject to review by the board.
(11) Except as provided by K.S.A. 60-437 and amendments thereto or this section, all
reports, information, statements, memoranda, proceedings, findings and records which re-
late to utilization review or peer review conducted pursuant to this section, including any
records of peer review committees, shall be privileged and shall not be subject to discovery,
subpoena, or other means of legal compulsion for release to any person or entity and shall
not be admissible in evidence in any judicial or administrative proceeding, except those
proceedings authorized pursuant to this section. In any proceedings where there is an ap- plication by an employee, employer, insurance carrier or workers compensation fund for a hearing pursuant to K.S.A. 44-534a, and amendments thereto, for a change of medical ben- efits which has been filed after a health care provider, employer, insurance carrier or the workers compensation fund has made application to the medical services section of the division for the resolution of a dispute or matter pursuant to the provisions of K.S.A. 44- 510, and amendments thereto, all reports, information, statements, memoranda, proceedings, findings and records which relate to utilization review and peer review including the records of contract reviewers, records of peer review committees and findings and records of the medical services section of the division shall be admissible at the hearing before the admin- istrative law judge on the issue of the medical benefits to which an employee is entitled.
(12) A provider or facility may not improperly charge or overcharge a workers compen-
sation insurer or charge for services which were not provided, for the purpose of obtaining
additional payment.
(13) Any violation of the provisions of this section which is willful or which demonstrates
a pattern of improperly charging or overcharging workers compensation insurers constitutes
grounds for the director to impose a civil fine not to exceed $5,000. Any civil fine imposed
under this section shall be subject to review in accordance with the act for judicial review
and civil enforcement of agency actions in the district court for Shawnee county. All moneys
received for civil fines imposed under this section shall be deposited in the state treasury
to the credit of the workers compensation fund.
(14) As used in this subsection (a), unless the context or the specific provisions require
otherwise, ``provider'' means any health care provider or vocational rehabilitation service
provider, and ``facility'' means any facility providing health care services or vocational re-
habilitation services, or both, including any hospital.
(b) Any health care provider, nurse, physical therapist, any entity providing medical,
physical or vocational rehabilitation services or providing reeducation or training pursuant
to K.S.A. 44-510g and amendments thereto, medical supply establishment, surgical supply
establishment, ambulance service or hospital who accept the terms of the workers compen-
sation act by providing services or material thereunder shall be bound by the fees approved
by the director and no injured employee or dependent of a deceased employee shall be
liable for any charges above the amounts approved by the director. If the employer has
knowledge of the injury and refuses or neglects to reasonably provide the services of a health
care provider required by this section, the employee may provide the same for such em-
ployee, and the employer shall be liable for such expenses subject to the regulations adopted
by the director. No action shall be filed in any court by a health care provider or other
provider of services under this section for the payment of an amount for medical services
or materials provided under the workers compensation act and no other action to obtain or
attempt to obtain or collect such payment shall be taken by a health care provider or other
provider of services under this section, including employing any collection service, until
after final adjudication of any claim for compensation for which an application for hearing
is filed with the director under K.S.A. 44-534 and amendments thereto. In the case of any
such action filed in a court prior to the date an application is filed under K.S.A. 44-534 and
amendments thereto, no judgment may be entered in any such cause and the action shall
be stayed until after the final adjudication of the claim. In the case of an action stayed
hereunder, any award of compensation shall require any amounts payable for medical serv-
ices or materials to be paid directly to the provider thereof plus an amount of interest at
the rate provided by statute for judgments. No period of time under any statute of limitation,
which applies to a cause of action barred under this subsection, shall commence or continue
to run until final adjudication of the claim under the workers compensation act.
(c) (1) If the director finds, upon application of an injured employee, that the services
of the health care provider furnished as provided in subsection (a) and rendered on behalf
of the injured employee are not satisfactory, the director may authorize the appointment of
some other health care provider. In any such case, the employer shall submit the names of
three health care providers that are not associated in practice together. The injured em-
ployee may select one from the list who shall be the authorized treating health care provider.
If the injured employee is unable to obtain satisfactory services from any of the health care
providers submitted by the employer under this subsection (c)(1), either party or both parties
may request the director to select a treating health care provider.
(2) Without application or approval, an employee may consult a health care provider of
the employee's choice for the purpose of examination, diagnosis or treatment, but the em-
ployer shall only be liable for the fees and charges of such health care provider up to a total
amount of $500. The amount allowed for such examination, diagnosis or treatment shall not
be used to obtain a functional impairment rating. Any medical opinion obtained in violation
of this prohibition shall not be admissible in any claim proceedings under the workers
compensation act.
(d) An injured employee whose injury or disability has been established under the work-
ers compensation act may rely, if done in good faith, solely or partially on treatment by
prayer or spiritual means in accordance with the tenets of practice of a church or religious
denomination without suffering a loss of benefits subject to the following conditions:
(1) The employer or the employer's insurance carrier agrees thereto in writing either
before or after the injury;
(2) the employee submits to all physical examinations required by the workers compen-
sation act;
(3) the cost of such treatment shall be paid by the employee unless the employer or
insurance carrier agrees to make such payment;
(4) the injured employee shall be entitled only to benefits that would reasonably have
been expected had such employee undergone medical or surgical treatment; and
(5) the employer or insurance carrier that made an agreement under paragraph (1) or
(3) of this subsection may withdraw from the agreement on 10 days' written notice.
(e) In any employment to which the workers compensation act applies, the employer
shall be liable to each employee who is employed as a duly authorized law enforcement
officer, ambulance attendant, mobile intensive care technician or firefighter, including any
person who is serving on a volunteer basis in such capacity, for all reasonable and necessary
preventive medical care and treatment for hepatitis to which such employee is exposed
under circumstances arising out of and in the course of employment.
(f) No person shall be subject to civil liability for libel, slander or any other relevant tort
cause of action by virtue of performing utilization review or peer review under contract with
the director pursuant to subsection (a)(7).
Sec. 2. K.S.A. 44-513a is hereby amended to read as follows: 44-513a. (a) Whenever a
minor person shall be entitled to compensation under the provisions of the workmen's workers compensation act, in an amount not to exceed two thousand dollars ($2,000), the director administrative law judge is authorized to direct such compensation to be paid to the natural guardian of such minor person, or to the minor himself, provided that if a conservator shall have been appointed for such minor person the payment shall be directed to such conservator. Before ordering such a payment, the director shall inquire into the advisability thereof, and if he finds that there is no manifest disadvantage to the minor person therefrom, he shall order such payment to be made to the natural guardian, or to the minor himself in accordance with K.S.A. 59-3001 et seq., and amendments thereto.
(b) In the event the director is of the opinion that payment of such compensation should not be made to the natural guardian, or to such minor, he shall direct to whom payment shall be made. The payment of compensation pursuant to an order or directive made by the director under authority of the workmen's compensation act shall exclude and satisfy all other claims and causes of action of such minor person for the injury or death for which the compensation award is made.'';
And by renumbering sections accordingly;
Also on page 1, in line 14, by striking ``Section'' and inserting ``Sec.'';
On page 2, following line 13, by inserting new material to read as follows:
``Sec. 4. K.S.A. 1997 Supp. 44-5,117 is hereby amended to read as follows: 44-5,117.
(a) Upon the request of any party to a workers compensation claim and the acceptance of
the other party, the director of workers compensation shall schedule the parties for a me-
diation conference. The purpose of the mediation shall be to assist the parties in reaching
agreement on any disputed issues in a workers compensation claim. If the director is advised
that one party does not wish to participate in the mediation, the director is authorized to
encourage that party to participate.
(b) Mediation conferences shall be conducted by mediators appointed by the director.
Such mediators shall be qualified as mediators pursuant to the dispute resolution act, K.S.A.
5-501 et seq., and amendments thereto, and any relevant rules of the Kansas supreme court
as authorized pursuant to K.S.A. 5-510, and amendments thereto.
(c) Persons with final settlement authority for each party shall be present, in person or by video conference, at the mediation conference.
(d) All mediation conferences shall be conducted by a mediator in accordance with the
dispute resolution act, K.S.A. 5-501, and amendments thereto.
(e) The director shall widely disseminate information about the mediation conference
procedure.
Sec. 5. K.S.A. 1997 Supp. 44-5,120 is hereby amended to read as follows: 44-5,120. (a)
The director of workers compensation is hereby authorized and directed to establish a
system for monitoring, reporting and investigating suspected fraud or abuse by any persons
who are not licensed or regulated by the commissioner of insurance in connection with
securing the liability of an employer under the workers compensation act or in connection
with claims or benefits thereunder. The commissioner of insurance is hereby authorized
and directed to establish a system for monitoring, reporting and investigating suspected
fraud or abuse by any persons who are licensed or regulated by the commissioner of insur-
ance in connection with securing the liability of an employer under the workers compen-
sation act or in connection with claims thereunder.
(b) This section applies to:
(1) Persons claiming benefits under the workers compensation act;
(2) employers subject to the requirements of the workers compensation act;
(3) insurance companies including group-funded self-insurance plans covering Kansas
employers and employees;
(4) any person, corporation, business, health care facility that is organized either for
profit or not-for-profit and that renders medical care, treatment or services in accordance
with the provisions of the workers compensation act to an injured employee who is covered
thereunder; and
(5) attorneys and other representatives of employers, employees, insurers or other en-
tities that are subject to the workers compensation act.
(c) The commissioner of insurance may examine the workers compensation records of
insurance companies or self-insurers as necessary to ensure compliance with the workers
compensation act. Each insurance company providing workers compensation insurance in
Kansas, the company's agents, and those entities that the company has contracted to provide
review services or to monitor services and practices under the workers compensation act
shall cooperate with the commissioner of insurance, and shall make available to the com-
missioner any records or other necessary information requested by the commissioner. The
commissioner of insurance shall conduct an examination authorized by this subsection in
accordance with the provisions of K.S.A. 40-222 and 40-223 and amendments thereto.
(d) Fraudulent or abusive acts or practices for purposes of the workers compensation
act include, but are not limited to, willfully, knowingly or intentionally:
(1) Collecting from an employee, through a deduction from wages or a subsequent fee,
any premium or other fee paid by the employer to obtain workers compensation insurance
coverage;
(2) misrepresenting to an insurance company or the insurance department, the classi-
fication of employees of an employer, or the location, number of employees, or true identity
of the employer with the intent to lessen or reduce the premium otherwise chargeable for
workers compensation insurance coverage;
(3) lending money to the claimant during the pendency of the workers compensation
claim by an attorney representing the claimant, but this provision shall not prohibit the
attorney from assisting the claimant in obtaining financial assistance from another source,
except that (A) the attorney shall not have a financial interest, directly or indirectly, in the
source from which the loan or other financial assistance is secured and (B) the attorney shall
not be personally liable in any way for the credit extended to the claimant;
(4) obtaining, denying or attempting to obtain or deny payments of workers compen-
sation benefits for any person by:
(A) Making a false or misleading statement;
(B) misrepresenting or concealing a material fact;
(C) fabricating, altering, concealing or destroying a document; or
(D) conspiring to commit an act specified by clauses (A), (B) or (C) of this subsection
(d)(4);
(5) bringing, prosecuting or defending an action for compensation under the workers
compensation act or requesting initiation of an administrative violation proceeding that, in
either case, has no basis in fact or is not warranted by existing law or a good faith argument
for the extension, modification or reversal of existing law;
(6) breaching a provision of an agreement approved by the director;
(7) withholding amounts not authorized by the director from the employee's or legal
beneficiary's weekly compensation payment or from advances from any such payment;
(8) entering into a settlement or agreement without the knowledge and consent of the
employee or legal beneficiary;
(9) taking a fee or withholding expenses in excess of the amounts authorized by the
director;
(10) refusing or failing to make prompt delivery to the employee or legal beneficiary of
funds belonging to the employee or legal beneficiary as a result of a settlement, agreement,
order or award;
(11) misrepresenting the provisions of the workers compensation act to an employee,
an employer, a health care provider or a legal beneficiary;
(12) instructing employers not to file required documents with the director;
(13) instructing or encouraging employers to violate the employee's right to medical
benefits under the workers compensation act;
(14) failing to tender promptly full death benefits if a clear and legitimate dispute does
not exist as to the liability of the insurance company, self-insured employer or group-funded
self-insurance plan;
(15) failing to confirm medical compensation benefits coverage to any person or facility
providing medical treatment to a claimant if a clear and legitimate dispute does not exist as
to the liability of the insurance carrier, self-insured employer or group-funded self-insurance
plan;
(16) failing to initiate or reinstate compensation when due if a clear and legitimate
dispute does not exist as to the liability of the insurance company, self-insured employer or
group-funded self-insurance plan;
(17) misrepresenting the reason for not paying compensation or terminating or reducing
the payment of compensation;
(18) refusing to pay compensation as and when the compensation is due;
(19) refusing to pay any order awarding compensation; and
(20) refusing to timely file required reports or records under the workers compensation
act; and
(21) for a health care provider to submit a charge for health care that was not furnished.
(e) Whenever the director or the commissioner of insurance has reason to believe that
any person has engaged or is engaging in any fraudulent or abusive act or practice in con-
nection with the conduct of Kansas workers compensation insurance, claims, benefits or
services in this state, that such fraudulent or abusive act or practice is not subject to possible
proceedings under K.S.A. 40-2401 through 40-2421 and amendments thereto by the com-
missioner of insurance, and that a proceeding by the director or the commissioner of in-
surance, in the case of any person licensed or regulated by the commissioner, with respect
thereto would be in the interest of the public, the director or the commissioner of insurance,
in the case of any person licensed or regulated by the commissioner, shall issue and serve
upon such person a summary order or statement of the charges with respect thereto and
shall conduct a hearing thereon in accordance with the provisions of the Kansas adminis-
trative procedure act. Complaints filed with the director or the commissioner of insurance
may be dismissed by the director or the commissioner of insurance on their own initiative,
and shall be dismissed upon the written request of the complainant, if the director or
commissioner of insurance has not conducted a hearing or taken other administrative action
dismissing the complaint within 180 days of the filing of the complaint. Any such dismissal
of a complaint in accordance with this section shall constitute final action by the director or
commissioner of insurance which shall be deemed to exhaust all administrative remedies
under K.S.A. 44-5,120 and amendments thereto for the purpose of allowing subsequent
filing of the matter in court by the complainant. Dismissal of a complaint in accordance
with this section shall not be subject to appeal or judicial review.
(f) If, after such hearing, the director or the commissioner of insurance, in the case of
any person licensed or regulated by the commissioner, determines that the person charged
has engaged in any fraudulent or abusive act or practice, any costs incurred as a result of
conducting any administrative hearing authorized under the provisions of this section may
be assessed against the person or persons found to have engaged in such acts. In an appro-
priate case to reimburse costs incurred, such costs may be awarded to a complainant. As
used in this subsection, ``costs'' include witness fees, mileage allowances, any costs associated
with reproduction of documents which become a part of the hearing record and the expense
of making a record of the hearing.
(g) If, after such hearing, the director or the commissioner of insurance, in the case of
any person licensed or regulated by the commissioner, determines that the person or persons
charged have engaged in a fraudulent or abusive act or practice the director or the com-
missioner of insurance, in the case of any person licensed or regulated by the commissioner,
shall issue an order or summary order requiring such person to cease and desist from
engaging in such act or practice and, in the exercise of discretion, may order any one or
more of the following:
(1) Payment of a monetary penalty of not more than $1,000 $2,000 for each and every
act constituting the fraudulent or abusive act or practice, but not exceeding an aggregate
penalty of $2,500 for any six-month $20,000 in a one-year period;
(2) redress of the injury by requiring the refund of any premiums paid by and requiring
the payment of any moneys withheld from, any employee, employer, insurance company or
other person or entity adversely affected by the act constituting a fraudulent or abusive act
or practice;
(3) repayment of an amount equal to the total amount that the person received as
benefits or any other payment under the workers compensation act and any amount that
the person otherwise benefited as a result of an act constituting a fraudulent or abusive act
or practice, with interest thereon determined so that such total amount, plus any accrued
interest thereon, bears interest, from the date of the payment of benefits or other such
payment or the date the person was benefited, at the current rate of interest prescribed by
law for judgments under subsection (e)(1) of K.S.A. 16-204 and amendments thereto per
month or fraction of a month until repayment.
(h) After the expiration of the time allowed for filing a petition for review of an order
issued under this section, if no such petition has been duly filed within such time, the director
at any time, after notice and opportunity for hearing in accordance with the provisions of
the Kansas administrative procedure act, may reopen and alter, modify or set aside, in whole
or in part, any order issued under this section, whenever in the director's opinion conditions
of fact or of law have so changed as to require such action or if the public interest so requires.
(i) Upon the order of the director or the commissioner of insurance, in the case of any
person licensed or regulated by the commissioner, after notice and hearing in accordance
with the provisions of the Kansas administrative procedure act, any person who violates a
cease and desist order of the director or the commissioner of insurance, in the case of any
person licensed or regulated by the commissioner, issued under this section may be subject,
at the discretion of the director or the commissioner of insurance, in the case of any person
licensed or regulated by the commissioner, to a monetary penalty of not more than $10,000
for each and every act or violation, but not exceeding an aggregate penalty of $50,000 for
any six-month period in addition to any penalty imposed pursuant to subsection (g).
(j) Any civil fine imposed under this section shall be subject to review in accordance
with the act for judicial review and civil enforcement of agency actions in the district court
in Shawnee county.
(k) All moneys received under this section for costs assessed, which are not awarded to
a complainant, or monetary penalties imposed shall be deposited in the state treasury and
credited to the workmen's workers compensation fee fund.
(l) Any person who refers a possibly fraudulent or abusive practice to any state or governmental investigative agency, shall be immune from civil or criminal liability arising from the supply or release of such referral as long as such referral is made in good faith with the belief that a fraudulent or abusive practice has, is or will occur and said referral is not made by the person or persons who are in violation of the workers compensation act in order to avoid criminal prosecution or administrative hearings.
Sec. 6. K.S.A. 1997 Supp. 44-5,125 is hereby amended to read as follows: 44-5,125. (a)
(1) Any person who obtains or attempts to obtain any payment of compensation under the
workers compensation act for such person or who denies or attempts to deny the obligation
to make any payment of workers compensation benefits; who obtains or attempts to obtain
a more favorable workers compensation benefit rate or insurance premium rate than that
to which such person is otherwise entitled; who prevents, reduces, avoids or attempts to
prevent, reduce or avoid the payment of any compensation under the workers compensation
act; or who fails to communicate a settlement offer or similar information to a claimant
under the workers compensation act, by, in any such case, knowingly or intentionally: (A)
Making a false or misleading statement, (B) misrepresenting or concealing a material fact,
or (C) fabricating, altering, concealing or destroying a document; (D) is employed while receiving temporary total disability benefits or permanent total disability benefits to which they are not entitled; and
(2) any person who conspires with another person to commit any act described by clause paragraph (1) of this subsection (a), shall be guilty of:
(A) A class A nonperson misdemeanor, if the amount received as a benefit or other
payment under the workers compensation act as a result of such act or the amount that the
person otherwise benefited monetarily as a result of a violation of this subsection (a) is $500
or less; or
(B) a severity level 9, nonperson felony, if such amount is more than $500. but less than $25,000;
(C) a severity level 7, nonperson felony, if the amount is more than $25,000, but less than $50,000;
(D) a severity level 6, nonperson felony if the amount is more than $50,000, but less than $100,000; or
(E) a severity level 5, nonperson felony if the amount is more than $100,000.
(b) Any person who knowingly and intentionally presents a false certificate of insurance that purports that the presenter is insured under the workers compensation act, shall be guilty of a level 8, nonperson felony.
(c) A health care provider under the workers compensation act who knowingly and intentionally submits a charge for health care that was not furnished, shall be guilty of a level 9, nonperson felony.
(d) Any person who obtains or attempts to obtain a more favorable workers compen- sation insurance premium rate than that to which the person is entitled, who prevents, reduces, avoids or attempts to prevent, reduce or avoid the payment of any compensation under the workers compensation act, or who fails to communicate a settlement offer or similar information to a claimant under the workers compensation act, by, in any such case knowingly or intentionally: (1) Making a false or misleading statement; (2) misrepresenting or concealing a material fact; (3) fabricating, concealing or destroying a document; or (4) conspiring with another person or persons to commit the acts described in clause (1), (2) or (3) of this subsection shall be guilty of a level 9, nonperson felony.
(b) (e) Any person who has received any amount of money as a benefit or other payment
under the workers compensation act as a result of a violation of subsection (a) or (c) and
any person who has otherwise benefited monetarily as a result of a violation of subsection
(a) or (c) shall be liable to repay an amount equal to the amount so received by such person
or the amount by which such person has benefited monetarily, with interest thereon. Any
such amount, plus any accrued interest thereon, shall bear interest at the current rate of
interest prescribed by law for judgments under subsection (e)(1) of K.S.A. 16-204 and
amendments thereto per month or fraction of a month until repayment of such amount,
plus any accrued interest thereon. The interest shall accrue from the date of overpayment
or erroneous payment of any such amount or the date such person benefited monetarily.
(c) (f) Any person aggrieved by a violation of subsection (a), (b), (c) or (d) shall have a
cause of action against any other person to recover any amounts of money erroneously paid
as benefits or any other amounts of money paid under the workers compensation act, and
to seek relief for other monetary damages, for which liability has accrued under this section
against such other person. Relief under this subsection is to be predicated upon exhaustion
of administrative remedies available in K.S.A. 44-5,120 and amendments thereto.
(d) (g) Nothing in this section shall prohibit an employer from exercising a right to
reimbursement under K.S.A. 44-534a, 44-556 or 44-569a and amendments thereto.'';
And by renumbering sections accordingly;
Also on page 2, in line 14, following ``K.S.A.'', by inserting ``44-513a and K.S.A.''; also in
line 14, by striking ``44-559a is'' and inserting ``44-510, 44-559, 44-5,117, 44-5,120 and 44-
5,125 are'';
On page 1, in the title, in line 10, following ``K.S.A.'', by inserting ``44-513a and K.S.A.'';
also in line 10, by striking ``44-559a'' and inserting ``44-510, 44-559, 44-5,117, 44-5,120 and
44-5,125''; in line 11, by striking ``section'' and inserting ``sections''; and the bill be passed
as amended.
Committee on Elections and Local Government recommends Substitute for HB 2662 be passed.
Also HB 2759, as amended by House Committee of the Whole, be amended on page 1,
in line 37, following ``description'' by inserting ``and a map''; in line 39, by striking ``names
and addresses of any qual-''; in line 40, by striking all before ``therein'' and inserting ``the
street addresses of all real estate located'';
On page 2, by striking all in lines 29 through 43;
On page 3, by striking all in lines 1 through 14;
By renumbering sections accordingly;
In the title, by striking all in lines 13, 14 and 15 and inserting:
``AN ACT concerning city elections; relating to qualified electors.''; and the bill be passed
as amended.
Committee on Federal and State Affairs recommends SB 689 be amended on page
2, by striking all in line 43;
On page 3, by striking all in lines 1 through 43;
On page 4, by striking all in lines 1 through 7;
By renumbering sections accordingly;
Also on page 4, in line 8, by striking ``, 76-1904 and 76-1951''; in line 11, by striking
``statute book'' and inserting ``Kansas register'';
In the title, in line 10, by striking all following the semicolon; in line 11, by striking all
preceding ``relating''; in line 13, by striking ``, 76-1904 and 76-1951''; and the bill be passed
as amended.
Committee on Public Health and Welfare recommends Sub. HB 2630, as amended
by House Committee of the Whole, be passed.
Also HB 2724, as amended by House Committee of the Whole, be amended on page 1,
in line 38, by striking ``bureau'' and inserting ``administration'';
On page 2, in line 37, by striking ``remove''; by striking all in lines 38 through 43;
On page 3, by striking all in lines 1, 2 and 3; in line 4, by striking all before the period
and inserting ``coronal polish teeth as defined by rules and regulations of the board''; by
striking all in lines 23 through 25;
On page 4, in line 13, by striking ``, indirect''; in line 18, before ``As'' by inserting: ``The
board shall designate by rules and regulations the procedures which may be performed by
a dental hygienist under direct supervision and the procedures which may be performed
under general supervision of a licensed dentist.''; also in line 18, by striking all after ``(1)'';
by striking all in lines 19 and 20; in line 21, by striking ``; (2) ``direct'' and inserting ``Direct'';
in line 24, by striking ``(3)'' and inserting ``(2)''; also in line 24, after ``a'' by inserting ``Kansas'';
in line 36, by striking ``(3)'' and inserting ``(2)'';
On page 5, in line 7, after the semicolon, by inserting ``and''; in line 9, by striking ``; and'';
in line 10, by striking all before the period;
On page 6, by striking all in lines 3 through 18 and inserting in lieu thereof the following:
``Sec. 4. K.S.A. 1997 Supp. 65-1466 is hereby amended to read as follows: 65-1466. (a)
Notwithstanding any other provision of the dental practices act, a not-for-profit corporation
having the status of an organization under 26 United States Code Annotated 501(c)(3) which
is also a facility qualified under subsection (b) of K.S.A. 65-431 and amendments thereto to
select and employ professional personnel, an indigent health care clinic as defined by the
rules and regulations of the secretary of health and environment, a federally qualified health
center, or a local health department may employ or otherwise contract with a person licensed
under the dental practices act to provide dental services to dentally indigent persons.
(b) Dentally indigent persons are those persons who are: (1) Determined to be a mem-
ber of a family unit earning at or below 200% of poverty income guidelines based on the
annual update of ``poverty income guidelines'' published in the federal register by the United
States department of health and human services and are not indemnified against costs arising
from medical and hospital care or dental care by a policy of accident and sickness insurance
or an employee health benefits plan; or (2) eligible for medicaid; or (3) qualified for Indian
health services. This subsection shall not be construed to prohibit an entity under subsection
(a) which enters into an arrangement with a licensee under the dental practices act for
purposes of providing services to dentally indigent persons pursuant to subsection (a) from
defining ``dentally indigent persons'' more restrictively than such term is defined under this
subsection.
(c) A licensee under the dental practices act who enters into an arrangement with an
entity under subsection (a) to provide dental services pursuant to subsection (a): (1) Shall
not be subject to having the licensee's license certificate suspended or revoked by the board
solely as a result of such arrangement; and (2) may not permit another person who is not licensed in Kansas as a dentist, and is not otherwise competent, to engage in the clinical practice of dentistry. No entity under subsection (a) or any other person may direct or interfere or attempt to direct or interfere with a licensed dentist's professional judgment and competent practice of dentistry.
(d) A dentist who is classified as ``retired'' by the Kansas dental board is not required
to pay the annual renewal fee or comply with the dental continuing education requirements
if the dentist elects to provide dental services to the indigent through one of the entities
specified in subsection (a). A ``retired'' dentist providing such services shall be required to
comply with the annual renewal requirements of the Kansas dental board.
(e) The Kansas dental board may adopt rules and regulations as necessary to carry out the provisions of this section.
(e) (f) This section shall be part of and supplemental to the dental practices act. The provisions of this section shall expire on July 1, 1998.
Sec. 5. K.S.A. 1997 Supp. 74-1404 is hereby amended to read as follows: 74-1404. (a)
In order to accomplish the purpose and to provide for the enforcement of this act, there is
hereby created the Kansas dental board. The board shall be vested with authority to carry
out the purposes and enforce the provisions of this act. Prior to January 1, 1999, the board
shall consist of the following: (1) Three licensed and qualified resident dentists; (2) one
licensed and qualified resident dental hygienist; and (3) one representative of the general
public. On January 1, 1999, the Kansas dental board, as such board existed on December 31, 1998, is hereby abolished. On January 1, 1999, there is hereby established a new Kansas dental board which shall consist of nine members, as follows:
(1) Two licensed dentists appointed by the governor;
(2) four licensed dentists elected by licensed dentists, one from each congressional dis- trict, as provided in subsection (e);
(3) two licensed dental hygienists appointed by the governor; and
(4) one representative of the general public appointed by the governor.
(b) At least 30 days before the expiration of any the term, other than that of the member appointed from the general public or a member who is a dental hygienist of a licensed dentist appointed by the governor, the Kansas dental association or its successor shall submit
to the governor a list of three names of persons of recognized ability who have the qualifi-
cations prescribed for the dentist board members member. At least 30 days before the
expiration of the term of the a dental hygienist member of the board, the Kansas dental
hygiene association shall submit to the governor a list of three names of persons of recog-
nized ability who have the qualifications prescribed for the dental hygienist member. The
governor shall consider such list of persons in making the appointment to the board.
(c) The members appointed by the governor shall be appointed by the governor in the
manner hereinafter prescribed for terms of four years and until their successors are ap-
pointed and qualified. The members elected to the board shall be elected for terms of four years and until their successors are elected and qualified. On and after the effective date of this act, no person shall be elected or appointed for more than two consecutive four-year terms. No person in any way connected with a dental supply or dental laboratory business
shall be eligible for election or appointment to the board. No person shall be eligible for election or appointment to the board who has been convicted of a violation of any of the
provisions of this or any other prior dental practice act or who has been convicted of a
felony. A dentist who is an officer of the Kansas dental association shall not be eligible for appointment or election to the Kansas dental board. A dental hygienist who is an officer of the Kansas dental hygienists association shall not be eligible for appointment or election to the Kansas dental board. No dentist or dental hygienist shall be appointed to the board and no dentist shall be elected to the board who has not been engaged in the active practice of
dentistry or dental hygiene in the state of Kansas for at least five years next preceding
appointment or election. Whenever a vacancy occurs in the position of a member appointed to the board, it shall be filled by appointment for the remainder of the unexpired term in
the same manner as an original appointment is made. Whenever a vacancy occurs in the position of a member elected to the board, it shall be filled by election as provided by rules and regulations of the board under subsection (e).
(b) (d) Upon the expiration of terms of office of members appointed to the board,
successors shall be appointed in the same manner as original appointments for terms of four
years. Upon the expiration of terms of office of members elected to the board, successors shall be elected for terms of four years as provided by rules and regulations of the board under subsection (e).
(e) Within 60 days after the effective date of this act, the Kansas dental board shall adopt rules and regulations providing the requirements and procedures for the election of members of the board by licensed dentists as provided in subsection (a) and for the filling of any vacancy involving such elected member of the board. In establishing the procedures for the election of members of the board, the Kansas dental board shall provide for the election by licensed dentists of one licensed dentist from each congressional district. Elections may be conducted by mail ballot.'';
And by renumbering sections accordingly;
Also on page 6, in line 36, by striking ``and'' where it appears for the last time and inserting
a comma; in line 37, before ``are'' by inserting ``, 65-1466 and 74-1404'';
On page 1, in the title, in line 13, before ``amending'' by inserting ``concerning dental
services for dentally indigent persons;''; in line 14, by striking ``and'' where it appears for
the first time and inserting a comma; also in line 14, after ``65-1456'' by inserting ``, 65-1466
and 74-1404''; and the bill be passed as amended.
HB 2832, as amended by House Committee, be amended on page 1, in line 36, by
striking ``not less than 5% of the''; also in line 36, after ``county'' by inserting: ``equal in
number to not less than 5% of the electors of the county who voted for the office of the
secretary of state in the last preceding election'';
On page 2, in line 5, after ``resolution'' by inserting ``providing for the change''; in line 8,
by striking ``not less than 5% of the''; in line 9, after ``county'' where it appears for the first
time, by inserting: ``equal in number to not less than 5% of the electors of the county who
voted for the office of the secretary of state in the last preceding election''; in line 23, by
striking ``selected'' where it appears for the first time and inserting ``appointed''; also in line
23, by striking ``the'' and inserting ``an appointed''; also in line 23, by striking ``selected''
where it appears for the last time, and inserting ``appointed''; in line 24, before ``not'' by
inserting ``: (1)''; in line 26, before the period, by inserting: ``; and (2) a majority of the
members of the board are not appointed at the same time. Members elected to serve on
an elected board of any county hospital shall be elected for staggered terms so that not all
terms of office of such members expire at the same time''; after line 39, by inserting the
following:
``(g) The commission may adopt a resolution changing the terms of office of some or
all members of an elected board so that the members of the board are elected in even-
numbered years. When making the change under this subsection, the commission may
extend or shorten the length of a term of an existing member of an elected board for a
period not to exceed one year from the date such member's term otherwise would expire.
The resolution providing for the change shall be published at least once each week for two
consecutive weeks in the official county newspaper. If within 30 days following the last
publication of such resolution, a petition against such resolution signed by qualified electors
of the county equal in number to not less than 5% of the electors of the county who voted
for the office of the secretary of state in the last preceding election is filed with the county
election officer, such resolution shall not be effective until submitted to and approved by a
majority of the qualified electors of the county voting at an election called and held thereon.
The question of changing the terms of office of some or all members of an elected board
so that the members of the board are elected in even-numbered years shall be submitted
to a vote of the qualified electors of the county at a regular county primary or county general
election or, if no regular county election is to be held within six months from the date of
adoption of the resolution, at a special election called for the purpose of submitting such
question. Such question shall not be submitted to the electors of the county at any election
more than once in any year.'';
And by relettering subsections accordingly;
Also on page 2, in line 41, by striking all after ``commission''; in line 42, by striking ``board'';
and the bill be passed as amended.
HB 2835 be amended on page 1, in line 16, by striking ``as necessary to perform dialysis''
and inserting ``relating to treatment of a person with chronic kidney failure receiving dial-
ysis''; in line 23, by striking ``, as ordered by a physician; or'' and inserting a semicolon; in
line 24, preceding the semicolon, by inserting: ``; or (iii) a medicare approved renal dialysis
facility for administering or delivering to a person with chronic kidney failure''; after line
31, by inserting the following:
``(d) As used in this section, ``physician'' means a person licensed to practice medicine
and surgery.'';
Also on page 1, in line 32, by striking ``(d)'' and inserting ``(e)''; after line 33, by inserting
the following:
``Sec. 2. (a) A medicare approved renal dialysis facility which keeps prescription drugs
as a part of the services provided by such facility shall obtain a registration from the board
as a renal dialysis facility pharmacy. Application for such registration shall be made in ac-
cordance with procedures established by the board. All fees applicable to registration of a
pharmacy, and the renewal of such registration, shall apply to the registration of a renal
dialysis facility pharmacy.
(b) A registered renal dialysis facility pharmacy shall be supervised by a pharmacist
consultant. The pharmacist consultant shall act as the pharmacist in charge. If a pharmacist
consultant is not available to a registered renal dialysis facility pharmacy, the board shall
provide or make arrangements for a pharmacist to act as a pharmacist consultant for such
pharmacy and in the interim shall assist such pharmacy in locating a suitable pharmacist
consultant.
(c) A renal dialysis facility pharmacy which is part of a medicare approved renal dialysis
facility shall be deemed to be in compliance with rules and regulations of the state board
of pharmacy, except that the board may adopt rules and regulations applicable to such
pharmacy which establish labeling requirements for prescription medications delivered by
such pharmacy.
(d) This section shall be part of and supplemental to the pharmacy act of the state of
Kansas.'';
And by renumbering the remaining section accordingly;
Also on page 1, in line 35, by striking ``statute book'' and inserting ``Kansas register''; and
the bill be passed as amended.
Committee on Transportation and Tourism recommends HB 2899, as amended by
House Committee, be amended on page 1, in line 22, by striking ``each of the following''
and inserting ``, including, but not limited to the''; and the bill be passed as amended.
Committee on Utilities recommends HCR 5035 be amended on page 1, in line 13, by
striking ``the'' where it appears for the second time; by striking all of line 14; in line 15, by
striking all preceding the semicolon and inserting ``there should be competition in retail
sales of electricity within the state and the time period for implementation of competition'';
in line 17, by striking ``deregu-''; in line 18, by striking all preceding the semicolon and
inserting ``a federal mandate''; in line 24, by striking ``dereg-''; in line 25, by striking all
preceding ``in'' and inserting ``competition in retail sales of electricity''; in line 27, by striking
``deregulation'' and inserting ``competition in retail sales of electricity''; in line 36, by striking
all preceding ``and'' and inserting ``mandate competition in retail sales of electricity'';
In the title, in line 10, by striking all preceding ``and'' and inserting ``to mandate com-
petition in retail sales of electricity''; and the concurrent resolution be adopted as amended.
Committee on Ways and Means recommends HB 2877 be amended on page 1, in
line 13, preceding ``Section'' by inserting ``New''; after line 37, by inserting the following:
``New Sec. 2. (a) The state board of regents is hereby authorized and empowered, for
and on behalf of the university of Kansas, to sell and convey all of the rights, title and interest
in the following described real estate, and any improvements thereon, located in Douglas
county, Kansas: All of lots 15, 17, 19, New Hampshire Street, City of Lawrence, Kansas,
and a portion of Lot 13 New Hampshire Street more particularly described in a quitclaim
deed dated July 27, 1965, between the United States of America, grantor, and the state
board of regents, state of Kansas, for its use and for the use of the university of Kansas,
grantee.
(b) Conveyance of such rights, title and interest in such real estate, and any improve-
ments thereon, shall be executed in the name of the state board of regents by its chairperson
and executive officer. The deed for such conveyance may be by warranty deed or by quit-
claim deed as determined to be in the best interests of the state by the state board of regents
in consultation with the attorney general. Any proceeds from sale of such real estate, and
any improvements thereon, shall be deposited in the state treasury to the credit of an
appropriate account of the restricted fees fund of the university of Kansas.
(c) No sale and conveyance of real estate and improvements thereon as authorized by
this section shall be made by the state board of regents until the deeds and conveyances
have been reviewed and approved by the attorney general and, if a warranty deed is to be
the instrument of conveyance, a title review has been performed or title insurance has been
obtained and the title opinion or the certificate of title insurance, as the case may be, has
been approved by the attorney general.
New Sec. 3. (a) The secretary of social and rehabilitation services is hereby authorized
to sell and convey on behalf of the state of Kansas in the manner provided by this act the
following described real estate: The southwest Quarter of Section 24; Township 22, Range
13 in Stafford County, Kansas. The above described property being that which was willed
to the state of Kansas by Otto Hitz following the life estate created for Delmar Lee Hitz.
(b) When the real estate described in subsection (a) is sold, the proceeds thereof, after
deduction of the expenses of such sale and the cost of the survey and the appraisal of the
real estate, shall be deposited in the state treasury to the credit of the Winfield properties
special revenue fund.
New Sec. 4. (a) The secretary of social and rehabilitation services is hereby authorized
to sell and convey on behalf of the state of Kansas in the manner provided by this act the
following described real estate: A part of Section 3, Township 15, Range 3; however, the
city has approved a preliminary plat in which the subject property will be legally described
as, ``Lots 15, 16, 17, and 18, in Block 12, Schilling Subdivision No. 5, City of Salina, Saline
County, Kansas.''
(b) When the real estate described in subsection (a) is sold, the proceeds thereof, after
deduction of the expenses of such sale and the cost of the survey and the appraisal of the
real estate, shall be deposited in the state treasury to the credit of the social welfare fund.
New Sec. 5. (a) Before any property shall be sold under the provisions of this act, the
real estate described in sections 3 and 4 shall be appraised by three disinterested appraisers
who shall be appointed as provided in K.S.A. 75-3043a, and amendments thereto. Such
appraisals shall be in writing and filed with the secretary of social and rehabilitation services,
and the cost of the appraisals may be paid from the proceeds of the sales. Upon the filing
of such appraisals, the secretary of social and rehabilitation services shall advertise for public
auction or sealed bids on the real estate described in sections 3 and 4 for not less than three
consecutive weeks by publication in the Kansas register. Subject to the approval of the
governor, such sales shall be made to the highest responsible bidder whose bid is submitted
within 30 days after the last publication of such notice. The secretary of social and rehabil-
itation services or the governor may reject any and all bids, and in case all bids are rejected,
bids may be called for again as in the first instance. Each bid shall be accompanied by a
certified check in the amount of 5% of such bid which sum shall be forfeited in case of
default by any bidder whose bid is accepted.
(b) Upon acceptance of any such bid, a deed conveying such real estate shall be executed
and duly acknowledged by the secretary before an officer authorized by law to take ac-
knowledgments. Such deed shall contain a recital of all proceedings in compliance with this
act, and such recital shall be prima facie evidence that the proceedings were had in the
manner and form recited. Such deed shall be approved as to form by the attorney general.
New Sec. 6. Notwithstanding any of the provisions contained in subsection (d) of K.S.A.
1997 Supp. 39-708c, and amendments thereto, the secretary of social and rehabilitation
services may lease office or business space for a period exceeding 10 years if the proposed
lease has been presented to the joint committee on state building construction for advice
and consultation.
Sec. 7. K.S.A. 74-3322 is hereby amended to read as follows: 74-3322. (a) The state
forestry, fish and game commission is hereby empowered and directed to convey by quit-
claim deed, without consideration, to the city of Oberlin, Kansas, all of the following de-
scribed real estate located in Decatur county, Kansas, to wit:
All that part of the E1/2 SE1/4 Sec. 31 and all that part of the W1/2 W1/2 SW1/4 Sec. 32,
Twp. 2, South, Range 28, West 6th P.M. lying North of the C.B.&Q. Railroad Right-of-
Way. Containing 112 acres more or less.
The SW1/4 NW1/4 Sec. 32, Twp. 2 South, Range 28 West 6th P.M. Also a tract of land
out of the SW1/4 NE1/4 Sec. 31, Twp. 2 South, Range 28 West 6th P.M. more particularly
described as follows: Beginning at the southeast corner of the SW1/4 NE1/4 of said Sec. 31,
thence north parallel with the East line of Sec. 31, 405 feet, thence in a southwesterly
direction 114°13' a distance of 1003 feet to intersect the south line of said NE1/4, this point
being 396 feet east of the southwest corner of the NE1/4, thence east along the south line
of the NE1/4 924 feet to place of beginning.
The E1/2 NE1/4 Sec. 31, Twp. 2 South, Range 28 West 6th P.M. except a tract of land
described as follows: Beginning at a point 1072.5 feet west of the Northeast corner of the
NE1/4 thence south parallel with the East line of the NE1/4 1485 feet, thence West at right
angles 247.5 feet, thence north parallel with the east line of said NE1/4 1485 feet, thence
East at right angles and along the north line of said NE1/4 247.5 feet to place of beginning;
total acreage conveyed 116.1 acres more or less.
A tract of land out of the NW1/4 SE1/4 Sec. 31, Twp. 2 South, Range 28 West 6th P.M.
more particularly described as follows: Commencing at the Northeast corner of the NW1/4
SE1/4 Sec. 31, Twp. 2 South, Range 28, West 6th P.M., thence west along the north line of
said NW1/4 SE1/4 56 rods; thence south at right angles 70 rods, thence east at right angles
56 rods, thence north along the East line of said NW1/4 SE1/4 70 rods to the place of begin-
ning, containing about 24 1/2 acres more or less.
A tract of land out of the NW1/4 SE1/4 Sec. 31, Twp. 2 South, Range 28 West 6th P.M.
more particularly described as follows: Beginning at the Northwest corner of the SE1/4 of
said Sec. 31, thence East along said half section line 24 rods, thence south at right angles
70 rods, thence West at right angles and parallel with the North line of said SE1/4 24 rods,
thence North along the half section line 70 rods to place of beginning. Containing 10.5 acres
more or less.
NW1/4 NW1/4; E1/2 NW1/4; W1/2 W1/2 NE1/4 Sec. 32, Twp. 2, Range 28, West of the 6th
P.M.
A tract of land described as follows: Beginning at the Southwest corner of the SW1/4 of
Sec. 29, Twp. 2 South, Range 28 West 6th P.M. thence North along and upon the West
line of said SW1/4 95 feet, thence East at right angles and parallel with the South line of
said SW1/4 575 feet, thence in a northeasterly direction at an angle of 27°15' left 490 feet,
thence North at an angle of 29°15' left 639 feet, thence East at an angle of 46°30' right 1288
feet to the East line of said SW1/4, thence South along and upon the East line of said SW1/4
855 feet to the Southeast corner of the SW1/4; thence West along and upon the South line
of said SW1/4 2640 feet to place of beginning.
A tract of land out of the SE1/4 Sec. 29, Twp. 2 South, Range 28, West 6th P.M. more
particularly described as follows: Beginning at the Southwest corner of the SE1/4 of Sec. 29,
in Twp. 2, Range 28, West 6th P.M. thence North along the half section line 855 feet,
thence East at right angle and parallel with South line of said Section 1019 feet, thence
South at right angle and parallel with East line of said Section 855 feet, thence West along
the South line of said section 1019 feet to place of beginning, containing 20 acres more or
less.
A tract of land out of the NE1/4 of Sec. 32, Twp. 2, Range 28 West of the 6th P.M.
described as follows: Beginning at a point 1224.7 feet north of the southeast corner of the
W1/2 W1/2 NE1/4 of said Sec. 32, thence northeasterly at an angle of 59°23' right, 170.6 feet,
thence north at an angle of 61°54' left, 123.3 feet, thence northwesterly at an angle of 25°48'
left, 298.5 feet, to the east line of the W1/2 W1/2 NE1/4 of said Sec. 32, thence south 473.9
feet, along said line to point of beginning. Containing .98 acre more or less.
(b)All oil, gas and other minerals are reserved in the state of Kansas forestry, fish and game commission, and further that the entire area shall remain open for public recreation including hunting as established by regulation by the forestry, fish and game commission and that no entrance fee or service fee shall be charged for the use of the area at any time except that the governing body of said city may charge reasonable fees for the use of any golf course established within said area. All moneys raised from such fees shall be placed in a special fund and used only for the purpose of paying all or any part of the cost of supervising, maintaining or improving said golf course. The instruments of conveyance of
such real estate authorized by this act shall be executed in the name of the state forestry,
fish and game commission by its chairman and secretary.
(c) As soon as is practicable after the effective date of this act, the secretary of wildlife and parks shall convey by quit claim deed, without consideration, any title or interest of the department of wildlife and parks in the property described in subsection (a).
Sec. 8. K.S.A. 74-3322 is hereby repealed.'';
And by renumbering the remaining section accordingly;
In the title, in line 9, after ``ACT'' by inserting ``concerning interests in certain real prop-
erty;''; in line 10, after ``Kansas'' by inserting: ``; authorizing the state board of regents to
sell and convey certain real property located in Douglas county, Kansas; authorizing the
secretary of social and rehabilitation services to sell and convey certain real property and to
enter into certain leases; concerning certain real property in the county of Decatur, Kansas;
amending K.S.A. 74-3322 and repealing the existing section''; and the bill be passed as
amended.
COMMITTEE OF THE WHOLE
On motion of Senator Emert, the Senate resolved itself into Committee of the Whole
Senate for consideration of bills on the calendar under the heading of General Orders with
Senator Jordan in the chair.
On motion of Senator Jordan the following report was adopted:
Recommended that SB 501; HB 2760, 2783 be passed.
Also, SB 108,375; HB 2534; Sub. HB 2640; HB 2685, 2743 be amended by adoption
of the committee amendments, and the bills be passed as amended.
The committee report on Sub. SB 322 recommending a substitute bill be adopted and Sub. SB 322 be amended by motion of Senator Jones on page 6, in line 11, by striking ``On
and after January 1, 1999, every'' and inserting ``Every''; in line 12, following ``license'' by
inserting ``which will be effective on and after January 1, 1999,''; in line 14, following the
period, by inserting ``The application fee for a license issued during calendar year 1998,
shall not exceed $120.'';
On page 12, in line 1, following ``permit'' by inserting ``which will be effective on and
after January 1, 1999,''; in line 4, following the period, by inserting ``The application fee for
a firearm permit issued during calendar year 1998, shall not exceed $10.'';
On page 14, in line 8, by striking ``and'' and inserting ``. Applications for a firearm training
certificate which will be effective on and after January 1, 1999, shall be''; in line 9, following
the period, by inserting ``The fee for a firearm training certificate issued during calendar
year 1998, shall not exceed $25.'', and the substitute bill be passed as amended.
SB 581 be amended by motion of Senator Oleen on page 2, in line 11, by striking all
after ``petition''; in line 12, by striking all before the comma;
On page 3, by striking all in line 15 and inserting:
``Sec. 2. K.S.A. 41-102 is hereby amended to read as follows: 41-102. As used in this
act, unless the context clearly requires otherwise:
(a) ``Alcohol'' means the product of distillation of any fermented liquid, whether recti-
fied or diluted, whatever its origin, and includes synthetic ethyl alcohol but does not include
denatured alcohol or wood alcohol.
(b) ``Alcoholic liquor'' means alcohol, spirits, wine, beer and every liquid or solid, pat-
ented or not, containing alcohol, spirits, wine or beer and capable of being consumed as a
beverage by a human being, but shall not include any cereal malt beverage.
(c) ``Beer'' means a beverage, containing more than 3.2% alcohol by weight, obtained
by alcoholic fermentation of an infusion or concoction of barley, or other grain, malt and
hops in water and includes beer, ale, stout, lager beer, porter and similar beverages having
such alcoholic content.
(d) ``Caterer'' has the meaning provided by K.S.A. 41-2601, and amendments thereto.
(e) ``Cereal malt beverage'' has the meaning provided by K.S.A. 41-2701, and amend-
ments thereto.
(f) ``Club'' has the meaning provided by K.S.A. 41-2601, and amendments thereto.
(g) ``Director'' means the director of alcoholic beverage control of the department of
revenue.
(h) ``Distributor'' means the person importing or causing to be imported into the state,
or purchasing or causing to be purchased within the state, alcoholic liquor for sale or resale
to retailers licensed under this act or cereal malt beverage for sale or resale to retailers
licensed under K.S.A. 41-2702, and amendments thereto.
(i) ``Domestic beer'' means beer which contains not more than 8% alcohol by weight
and which is manufactured from agricultural products grown in this state.
(j) ``Domestic fortified wine'' means wine which contains more than 14%, but not more than 20% alcohol by volume and which is manufactured from agricultural products grown in this state without rectification.
(j) (k) ``Domestic table wine'' means wine which contains not more than 14% alcohol
by volume and which is manufactured without rectification or fortification from agricultural
products grown in this state.
(k) (l) ``Drinking establishment'' has the meaning provided by K.S.A. 41-2601, and
amendments thereto.
(l) (m) ``Farm winery'' means a winery licensed by the director to manufacture, store
and sell domestic table wine and domestic fortified wine.
(m) (n) ``Manufacture'' means to distill, rectify, ferment, brew, make, mix, concoct,
process, blend, bottle or fill an original package with any alcoholic liquor, beer or cereal
malt beverage.
(n) (o) (1) ``Manufacturer'' means every brewer, fermenter, distiller, rectifier, wine
maker, blender, processor, bottler or person who fills or refills an original package and others
engaged in brewing, fermenting, distilling, rectifying or bottling alcoholic liquor, beer or
cereal malt beverage.
(2) ``Manufacturer'' does not include a microbrewery or a farm winery.
(o) (p) ``Microbrewery'' means a brewery licensed by the director to manufacture, store
and sell domestic beer.
(p) (q) ``Minor'' means any person under 21 years of age.
(q) (r) ``Nonbeverage user'' means any manufacturer of any of the products set forth
and described in K.S.A. 41-501, and amendments thereto, when the products contain alcohol
or wine, and all laboratories using alcohol for nonbeverage purposes.
(r) (s) ``Original package'' means any bottle, flask, jug, can, cask, barrel, keg, hogshead
or other receptacle or container whatsoever, used, corked or capped, sealed and labeled by
the manufacturer of alcoholic liquor, to contain and to convey any alcoholic liquor. Original
container does not include a sleeve.
(s) (t) ``Person'' means any natural person, corporation, partnership, trust or association.
(t) (u) ``Primary American source of supply'' means the manufacturer, the owner of
alcoholic liquor at the time it becomes a marketable product or the manufacturer's or
owner's exclusive agent who, if the alcoholic liquor cannot be secured directly from such
manufacturer or owner by American wholesalers, is the source closest to such manufacturer
or owner in the channel of commerce from which the product can be secured by American
wholesalers.
(u) (v) (1) ``Retailer'' means a person who sells at retail, or offers for sale at retail,
alcoholic liquors.
(2) ``Retailer'' does not include a microbrewery or a farm winery.
(v) (w) ``Sale'' means any transfer, exchange or barter in any manner or by any means
whatsoever for a consideration and includes all sales made by any person, whether principal,
proprietor, agent, servant or employee.
(w) (x) ``Salesperson'' means any natural person who:
(1) Procures or seeks to procure an order, bargain, contract or agreement for the sale
of alcoholic liquor or cereal malt beverage; or
(2) is engaged in promoting the sale of alcoholic liquor or cereal malt beverage, or in
promoting the business of any person, firm or corporation engaged in the manufacturing
and selling of alcoholic liquor or cereal malt beverage, whether the seller resides within the
state of Kansas and sells to licensed buyers within the state of Kansas, or whether the seller
resides without the state of Kansas and sells to licensed buyers within the state of Kansas.
(x) (y) ``Secretary'' means the secretary of revenue.
(y) (z) (1) ``Sell at retail'' and ``sale at retail'' refer to and mean sales for use or con-
sumption and not for resale in any form and sales to clubs, licensed drinking establishments,
licensed caterers or holders of temporary permits.
(2) ``Sell at retail'' and ``sale at retail'' do not refer to or mean sales by a distributor, a
microbrewery, a farm winery, a licensed club, a licensed drinking establishment, a licensed
caterer or a holder of a temporary permit.
(z) (aa) ``To sell'' includes to solicit or receive an order for, to keep or expose for sale
and to keep with intent to sell.
(aa) (bb) ``Sleeve'' means a package of two or more 50-milliliter (3.2-fluid-ounce) con-
tainers of spirits.
(bb) (cc) ``Spirits'' means any beverage which contains alcohol obtained by distillation,
mixed with water or other substance in solution, and includes brandy, rum, whiskey, gin or
other spirituous liquors, and such liquors when rectified, blended or otherwise mixed with
alcohol or other substances.
(cc) (dd) ``Supplier'' means a manufacturer of alcoholic liquor or cereal malt beverage
or an agent of such manufacturer, other than a salesperson.
(dd) (ee) ``Temporary permit'' has the meaning provided by K.S.A. 41-2601, and amend-
ments thereto.
(ee) (ff) ``Wine'' means any alcoholic beverage obtained by the normal alcoholic fer-
mentation of the juice of sound, ripe grapes, fruits, berries or other agricultural products,
including such beverages containing added alcohol or spirits or containing sugar added for
the purpose of correcting natural deficiencies.
Sec. 3. K.S.A. 41-308a is hereby amended to read as follows: 41-308a. (a) A farm winery
license shall allow:
(1) The manufacture of domestic table wine and domestic fortified wine and the storage
thereof;
(2) the sale of wine, manufactured by the licensee, to licensed wine distributors, retail-
ers, clubs, drinking establishments and caterers;
(3) the sale, on the licensed premises in the original unopened container to consumers
for consumption off the licensed premises, of wine manufactured by the licensee;
(4) the serving on the licensed premises of samples of wine manufactured by the licensee
or imported under subsection (f), if the premises are located in a county where the sale of
alcoholic liquor is permitted by law in licensed drinking establishments; and
(5) if the licensee is also licensed as a club or drinking establishment, the sale of domestic
wine, domestic fortified wine and other alcoholic liquor for consumption on the licensed
premises as authorized by the club and drinking establishment act.
(b) Upon application and payment of the fee prescribed by K.S.A. 41-310, and amend-
ments thereto, by a farm winery licensee, the director may issue not to exceed two winery
outlet licenses to the farm winery licensee. A winery outlet license shall allow:
(1) The sale, on the licensed premises in the original unopened container to consumers
for consumption off the licensed premises, of wine manufactured by the licensee; and
(2) the serving on the licensed premises of samples of wine manufactured by the licensee
or imported under subsection (f), if the premises are located in a county where the sale of
alcoholic liquor is permitted by law in licensed drinking establishments.
(c) Not less than 60% of the products utilized in the manufacture of domestic table
wine and domestic fortified wine by a farm winery shall be grown in Kansas except when a
lesser proportion is authorized by the director based upon the director's findings and judg-
ment. The label of domestic wine and domestic fortified wine shall indicate that a majority
of the products utilized in the manufacture of the wine at such winery were grown in Kansas.
(d) A farm winery having a capacity of 50,000 gallons per year or more which sells wine
to any distributor shall be required to comply with all provisions of article 4 of chapter 41
of the Kansas Statutes Annotated and of K.S.A. 41-701 through 41-705 and 41-709, and
amendments thereto, in the same manner and subject to the same penalties as a manufac-
turer.
(e) A farm winery or winery outlet may sell domestic wine and domestic fortified wine
in the original unopened container to consumers for consumption off the licensed premises
at any time between 6 a.m. and 12 midnight on any day except Sunday and between 12
noon and 6 p.m. on Sunday. If authorized by subsection (a), a farm winery may serve samples
of domestic wine, domestic fortified wine and wine imported under subsection (f) and serve
and sell domestic wine, domestic fortified wine and other alcoholic liquor for consumption
on the licensed premises at any time when a club or drinking establishment is authorized
to serve and sell alcoholic liquor. If authorized by subsection (b), a winery outlet may serve
samples of domestic wine, domestic fortified wine and wine imported under subsection (f)
at any time when the winery outlet is authorized to sell domestic wine and domestic fortified wine.
(f) The director may issue to the Kansas state fair or any bona fide group of grape
growers or wine makers a permit to import into this state small quantities of wines. Such
wine shall be used only for bona fide educational and scientific tasting programs and shall
not be resold. Such wine shall not be subject to the tax imposed by K.S.A. 41-501,and
amendments thereto. The permit shall specifically identify specifically the brand and type
of wine to be imported, the quantity to be imported, the tasting programs for which the
wine is to be used and the times and locations of such programs. The secretary shall adopt
rules and regulations governing the importation of wine pursuant to this subsection and the
conduct of tasting programs for which such wine is imported.
(g) A farm winery license or winery outlet license shall apply only to the premises
described in the application and in the license issued and only one location shall be described
in the license.
(h) No farm winery or winery outlet shall:
(1) Employ any person under the age of 18 years in connection with the manufacture,
sale or serving of any alcoholic liquor;
(2) permit any employee of the licensee who is under the age of 21 years to work on
the licensed premises at any time when not under the on-premise supervision of either the
licensee or an employee of the licensee who is 21 years of age or over;
(3) employ any person under 21 years of age in connection with mixing or dispensing
alcoholic liquor; or
(4) employ any person in connection with the manufacture or sale of alcoholic liquor if
the person has been convicted of a felony.
(i) Whenever a farm winery or winery outlet licensee is convicted of a violation of the
Kansas liquor control act, the director may revoke the licensee's license and order forfeiture
of all fees paid for the license, after a hearing before the director for that purpose in ac-
cordance with the provisions of the Kansas administrative procedure act.
(j) This section shall be part of and supplemental to the Kansas liquor control act.
Sec. 4. K.S.A. 41-102, 41-302 and 41-308a are hereby repealed.'';
By renumbering sections accordingly;
In the title, in line 10, by striking all after ``K.S.A.'' and inserting ``41-102, 41-302 and 41-
308a and repealing the existing sections.'', and the bill be passed as amended.
The committee report on Sub. SB 675 recommending a substitute bill be adopted and Sub. SB 675 be amended by motion of Senator Salisbury on page 10, line 6, by striking
``KSA 74-8921'' and inserting ``section 4'', and the substitute bill be passed as amended.
The following amendment offered to Sub. SB 675 by Senator Steineger was rejected:
On page 31, in line 7, by striking ``Kansas register'' and inserting ``statute book''.
HB 2626 be amended by motion of Senator Emert on page 8, after line 36, by inserting
the following section:
``Sec. 3. K.S.A. 60-1615 is hereby amended to read as follows: 60-1615. (a) Investigation and report. In contested custody proceedings, the court may order an investigation and
report concerning custodial arrangements for the child. The investigation and report may
be made by court services officers or any consenting person or agency employed by the
court for that purpose. The court may use the department of social and rehabilitation serv-
ices to make the investigation and report if no other source is available for that purpose.
The costs for making the investigation and report may be assessed as court costs in the case
as provided in article 20 of chapter 60 of the Kansas Statutes Annotated, and amendments
thereto.
(b) Consultation. In preparing the report concerning a child, the investigator may con-
sult any person who may have information about the child and the potential custodial ar-
rangements. Upon order of the court, the investigator may refer the child to professional
personnel for diagnosis. The investigator may consult with and obtain information from
medical, psychiatric or other expert persons who have served the child in the past. If the
requirements of subsection (c) are fulfilled, the investigator's report may be received in
evidence at the hearing.
(c) Use of report and investigator's testimony. The court shall make the investigator's
report available prior to the hearing to counsel or to any party not represented by counsel. Upon motion of either party, the report may be made available to such party unless the court finds that such distribution would be harmful to either party, the child or other wit- nesses. Any party to the proceeding may call the investigator and any person whom the
investigator has consulted for cross-examination. In consideration of the mental health or
best interests of the child, the court may approve a stipulation that the interview records
not be divulged to the parties.'';
And by renumbering sections accordingly;
Also on page 8, in line 37, after ``60-1607'' by inserting ``and 60-1615'';
On page 1, in the title, in line 10, by striking ``relating to''; also in line 10, after the
semicolon, by inserting ``dissemination of child placement investigator's report;''; also in line
10, after ``60-1607'' by inserting ``and 60-1615''.
Also on page 1, after line 13, by inserting the following section:
``Section 1. K.S.A. 23-201 is hereby amended to read as follows: 23-201. (a) The prop-
erty, real and personal, which any person in this state may own at the time of the person's
marriage, and the rents, issues, profits or proceeds thereof, and any real, personal or mixed
property which shall come to a person by descent, devise or bequest, and the rents, issues,
profits or proceeds thereof, or by gift from any person except the person's spouse, shall
remain the person's sole and separate property, notwithstanding the marriage, and not be
subject to the disposal of the person's spouse or liable for the spouse's debts.
(b) All property owned by married persons, including the present value of any vested
or unvested military retirement pay, or, for divorce or separate maintenance actions com- menced on or after July 1, 1998, professional goodwill to the extent that it is marketable for that particular professional, whether described in subsection (a) or acquired by either spouse
after marriage, and whether held individually or by the spouses in some form of co-own-
ership, such as joint tenancy or tenancy in common, shall become marital property at the
time of commencement by one spouse against the other of an action in which a final decree
is entered for divorce, separate maintenance, or annulment. Each spouse has a common
ownership in marital property which vests at the time of commencement of such action, the
extent of the vested interest to be determined and finalized by the court, pursuant to K.S.A.
60-1610 and amendments thereto.'';
And by renumbering sections accordingly;
On page 8, in line 37, before ``60-1607'' by inserting ``23-201 and'';
On page 1, in the title, in line 9, by striking ``civil procedure'' and inserting ``domestic
relations''; also in line 9, after ``to'' by inserting ``marital property;''; in line 10, by striking
``relating to''; also in line 10, before ``60-1607'' by inserting ``23-201 and'', and the bill be
passed as amended.
SB 591 be passed over and retain a place on the calendar.
On motion of Senator Emert the Senate adjourned until 1:30 p.m., Wednesday, March
25, 1998.