CHAPTER 140 HOUSE Substitute for Substitute for SENATE BILL No. 139
      An Act concerning motor vehicles; amending K.S.A. 8-116a, 8-133, 8-172 and 79-5105a
      and K.S.A. 1997 Supp. 8-135, 8-142, 8-145, 8-170 and 8-1,146 and K.S.A. 1996 Supp.
      8-134a, as amended by section 3 of chapter 119 of the 1997 Session Laws of Kansas,
      and 79-5101, as amended by section 4 of chapter 119 of the 1997 Session Laws of Kansas,
      and repealing the existing sections.

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

Section 1. On and after January 1, 1999, K.S.A. 1996 Supp. 8-134a,
as amended by section 3 of chapter 119 of the 1997 Session Laws of
Kansas, is hereby amended to read as follows: 8-134a. (a) Except as pro-
vided in subsection (c), On and after January 1, 1998 1999, any truck or
truck tractor registered for a gross weight of 20,000 12,000 pounds or
less, motorcycles, motorized bicycles and recreational vehicles, as defined
in K.S.A. 1996 1997 Supp. 79-5118, and amendments thereto, shall be
registered or reregistered in accordance with the provisions of subsections
(b) and (c) of K.S.A. 8-134, and amendments thereto. The provisions of
this section shall not apply to vehicles registered on an apportioned basis
as part of a fleet under the provisions of K.S.A. 8-1,100 to 8-1,123, inclu-
sive, and amendments thereto, or vehicles registered under the provisions
of K.S.A. 8-166 et seq., and amendments thereto.

(b) The division of vehicles, in order to initiate a system of registering
or reregistering vehicles included in subsection (a) during any month of
a calendar year, may register or reregister such vehicles for less than a
twelve-month period, prorating the annual registration fee and taxes im-
posed under K.S.A. 79-5101 et seq., and amendments thereto, when in
the director's opinion such tends to fulfill the purpose of the monthly
registration of this section. The secretary of revenue may adopt rules and
regulations for the administration of this section and to carry out the
purpose of the act of which this section is a part.

Sec. 2. On and after January 1, 1999, K.S.A. 1996 Supp. 79-5101, as
amended by section 4 of chapter 119 of the 1997 Session Laws of Kansas,
is hereby amended to read as follows: 79-5101. As used in this act the
term ``motor vehicle'' means and includes all motor vehicles required to
be registered under the provisions of article 1 of chapter 8 of the Kansas
Statutes Annotated and amendments thereto, except:

(a) Motor vehicles assessed and taxed by the director of property
valuation under the provisions of chapter 79, article 6a, of the Kansas
Statutes Annotated, and amendments thereto;

(b) motor vehicles of public service companies whose property is as-
sessed by the director of property valuation under the provisions of article
5a of chapter 79 of the Kansas Statutes Annotated, and amendments
thereto;

(c) motor vehicles registered for a gross weight of more than 20,000
12,000 pounds;

(d) motor vehicles owned by a car rental company upon which the
tax imposed under K.S.A. 1996 1997 Supp. 79-5117 and amendments
thereto, has been paid;

(e) recreational vehicles, as defined by K.S.A. 1996 1997 Supp. 79-
5118, and amendments thereto; and

(f) motor vehicles which are exempted from property taxation under
the provisions of the Kansas Statutes Annotated or the Kansas constitu-
tion.

Sec. 3. On and after January 1, 1999, K.S.A. 79-5105a is hereby
amended to read as follows: 79-5105a. Notwithstanding any other pro-
vision of law to the contrary, for tax year 1998, and for each tax year
thereafter, the amount of personal property tax imposed upon motor ve-
hicles having a gross vehicle weight of more than 12,000 pounds but less
than 20,001 pounds, shall be computed in accordance with the provisions
of K.S.A. 79-5101 et seq., and amendments thereto, but shall be required
to be paid at the time required by K.S.A. 79-2004a, and amendments
thereto, and the provisions of such section shall be applicable to the col-
lection thereof.

New Sec. 4. In the event of the death of any person issued distinctive
license plates under the provisions of K.S.A. 8-161, 8-177a or 8-177c, or
K.S.A. 1997 Supp. 8-1,140, 8-1,145 or 8-1,146, and amendments thereto,
the surviving spouse or other family member, if there is no surviving
spouse, shall be entitled to possession of any such distinctive license
plates. Such license plates shall not be displayed on any vehicle unless
otherwise authorized by statute.

New Sec. 5. There is hereby created in the state treasury, the re-
possessed certificates of title fee fund. All moneys credited to the repos-
sessed certificates of title fee fund shall be used by the department of
revenue only for the purposes of funding the administration and opera-
tions, including personnel associated with the processing of certificates
of title for repossessed vehicles. All expenditures from the repossessed
certificates of title fee fund shall be made in accordance with appropri-
ation acts, upon warrants of the director of accounts and reports issued
pursuant to vouchers approved by the secretary of the department of
revenue.

Sec. 6. K.S.A. 8-116a is hereby amended to read as follows: 8-116a.
(a) When an application is made for a vehicle which has been assembled,
reconstructed, reconstituted or restored from one or more vehicles, or
the proper identification number of a vehicle is in doubt, the procedure
in this section shall be followed. The owner of the vehicle shall request
the Kansas highway patrol to check the vehicle. At the time of such check
the owner shall supply the highway patrol with information concerning
the history of the various parts of the vehicle. Such information shall be
supplied by affidavit of the owner, if so requested by the highway patrol.
If the highway patrol is satisfied that the vehicle contains no stolen parts,
it shall assign an existing or new identification number to the vehicle and
direct the places and manner in which the identification number is to be
located and affixed or implanted. A charge of $10 per hour or part thereof,
with a minimum charge of $10, shall be made to the owner of a vehicle
requesting check under this subsection, and such charge shall be paid
prior to the check under this section. When a check has been made under
subsection (b), not more than 60 days prior to a check of the same vehicle
identification number, requested by the owner of the vehicle to obtain a
regular certificate of title in lieu of a nonhighway certificate of title, no
charge shall be made for such second check.

(b) From and after the effective date of this act, Any person making
application for any original Kansas title for a used vehicle which, at the
time of making application, is titled in another jurisdiction, as a condition
precedent to obtaining any Kansas title, shall have such vehicle checked
by the Kansas highway patrol for verification that the vehicle identification
number shown on the foreign title is genuine and agrees with the iden-
tification number on the vehicle. Checks under this section may include
inspection for possible violation of K.S.A. 8-611 K.S.A. 21-3757, and
amendments thereto or other evidence of possible fraud. The verification
shall be made upon forms prescribed by the division of vehicles which
shall contain such information as the secretary of revenue shall require
by rules and regulations. A charge of $10 per hour or part thereof, with
a minimum charge of $10, shall be made for checks under this subsection.
When a vehicle is registered in another state, but is financed by a Kansas
financial institution and is repossessed in another state and such vehicle
will not be returned to Kansas, the check required by this subsection (b)
shall not be required to obtain a valid Kansas title or registration.

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

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

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

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

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

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

Sec. 7. K.S.A. 8-133 is hereby amended to read as follows: 8-133.
The license plate assigned to the vehicle shall be attached to the rear
thereof and shall be so displayed during the current registration year or
years, and no Kansas registration plate for any other year shall appear on
the front of the vehicle, except that the license plate issued for a truck
tractor shall be attached to the front of the truck tractor and a model year
license plate may be attached to the front of an antique vehicle, in ac-
cordance with K.S.A. 8-172, and amendments thereto. Beginning in 1985
and thereafter two personalized license plates may be issued for passenger
vehicles and trucks licensed for a gross weight of not more than 16,000
pounds. One such personalized license plate shall be displayed on the
rear of the vehicle and the other shall be displayed on the front of the
vehicle, but no registration decal shall be issued for any plate affixed to
the front of a vehicle pursuant to K.S.A. 8-134, and amendments thereto.
Every license plate shall at all times be securely fastened to the vehicle
to which it is assigned so as to prevent the plate from swinging, and at a
height not less than 12 inches from the ground, measuring from the bot-
tom of such plate, in a place and position to be clearly visible, and shall
be maintained free from foreign materials and in a condition to be clearly
legible. During any period in which the construction of license plates has
been suspended pursuant to the provisions of K.S.A. 8-132, and amend-
ments thereto, the plate, tag, token, marker or sign assigned to such ve-
hicle shall be attached to and displayed on such vehicle in such place,
position, manner and condition as shall be prescribed by the director of
vehicles.

Sec. 8. K.S.A. 1997 Supp. 8-135 is hereby amended to read as fol-
lows: 8-135. (a) Upon the transfer of ownership of any vehicle registered
under this act, the registration of the vehicle and the right to use any
license plate thereon shall expire and thereafter there shall be no transfer
of any registration, and the license plate shall be removed by the owner
thereof. Except as provided in K.S.A. 8-172, and amendments thereto,
and section 4, it shall be unlawful for any person, other than the person
to whom the license plate was originally issued, to have possession
thereof. When the ownership of a registered vehicle is transferred, the
original owner of the license plate may register another vehicle under the
same number, upon application and payment of a fee of $1.50, if such
other vehicle does not require a higher license fee. If a higher license fee
is required, then the transfer may be made upon the payment of the
transfer fee of $1.50 and the difference between the fee originally paid
and that due for the new vehicle.

(b) Subject to the provisions of subsection (a) of K.S.A. 8-198, and
amendments thereto, upon the transfer or sale of any vehicle by any
person or dealer, or upon any transfer in accordance with K.S.A. 1997
Supp. 59-3511, and amendments thereto, the new owner thereof, within
30 days, inclusive of weekends and holidays, from date of such transfer
shall make application to the division for registration or reregistration of
the vehicle, but no person shall operate the vehicle on any highway in
this state during the thirty-day period without having applied for and
obtained temporary registration from the county treasurer or from a
dealer. After the expiration of the thirty-day period, it shall be unlawful
for the owner or any other person to operate such vehicle upon the high-
ways of this state unless the vehicle has been registered as provided in
this act. For failure to make application for registration as provided in
this section, a penalty of $2 shall be added to other fees. When a person
has a current motorcycle or passenger vehicle registration and license
plate, including any registration decal affixed thereto, for a vehicle and
has sold or otherwise disposed of the vehicle and has acquired another
motorcycle or passenger vehicle and intends to transfer the registration
and the license plate to the motorcycle or passenger vehicle acquired, but
has not yet had the registration transferred in the office of the county
treasurer, such person may operate the motorcycle or passenger vehicle
acquired for a period of not to exceed 30 days by displaying the license
plate on the rear of the vehicle acquired. If the acquired vehicle is a new
vehicle such person also must carry the assigned certificate of title or
manufacturer's statement of origin when operating the acquired vehicle,
except that a dealer may operate such vehicle by displaying such dealer's
dealer license plate.

(c) Certificate of title: No vehicle required to be registered shall be
registered or any license plate or registration decal issued therefor, unless
the applicant for registration shall present satisfactory evidence of own-
ership and apply for an original certificate of title for such vehicle. The
following paragraphs of this subsection shall apply to the issuance of a
certificate of title for a nonhighway vehicle, as defined in K.S.A. 8-197,
and amendments thereto, except to the extent such paragraphs are made
inapplicable by or are inconsistent with K.S.A. 8-198, and amendments
thereto.

(1) An application for certificate of title shall be made by the owner
or the owner's agent upon a form furnished by the division and shall state
all liens or encumbrances thereon, and such other information as the
division may require. Notwithstanding any other provision of this section,
no certificate of title, other than a duplicate title, shall be issued for a
vehicle having any unreleased lien or encumbrance thereon, unless the
transfer of such vehicle has been consented to in writing by the holder
of the lien or encumbrance. Such consent shall be in a form approved by
the division. In the case of members of the armed forces of the United
States while the United States is engaged at war with any foreign nation
and for a period of six months next following the cessation of hostilities,
such application may be signed by the owner's spouse, parents, brother
or sister. The county treasurer shall use reasonable diligence in ascer-
taining whether the facts stated in such application are true, and if sat-
isfied that the applicant is the lawful owner of such vehicle, or otherwise
entitled to have the same registered in such applicant's name, shall so
notify the division, who shall issue an appropriate certificate of title. The
certificate of title shall be in a form approved by the division, and shall
contain a statement of any liens or encumbrances which the application
shows, and such other information as the division determines.

(2) The certificate of title shall contain upon the reverse side a form
for assignment of title to be executed by the owner before a notary public
or some other officer authorized to administer an oath. This assignment
shall contain a statement of all liens or encumbrances on the vehicle at
the time of assignment. The certificate of title shall also contain on the
reverse side blank spaces so that an abstract of mileage as to each owner
will be available. The seller at the time of each sale shall insert the mileage
on the form filed for application or reassignment of title, and the division
shall insert such mileage on the certificate of title when issued to pur-
chaser or assignee. The signature of the purchaser or assignee is required
on the form filed for application or reassignment of title, acknowledging
the odometer certification made by the seller, except that vehicles which
are 10 model years or older and trucks with a gross vehicle weight of
more than 16,000 pounds shall be exempt from the mileage acknowledg-
ment requirement of the purchaser or assignee. Such title shall indicate
whether the vehicle for which it is issued has been titled previously as a
nonhighway vehicle. In addition, the reverse side shall contain two forms
for reassignment by a dealer, stating the liens or encumbrances thereon.
The first form of reassignment shall be used only when a dealer sells the
vehicle to another dealer. The second form of reassignment shall be used
by a dealer when selling the vehicle to another dealer or the ultimate
owner of the vehicle. The reassignment by a dealer shall be used only
where the dealer resells the vehicle, and during the time that the vehicle
remains in the dealer's possession for resale, the certificate of title shall
be dormant. When the ownership of any vehicle passes by operation of
law, or repossession upon default of a lease, security agreement, or ex-
ecutory sales contract, the person owning such vehicle, upon furnishing
satisfactory proof to the county treasurer of such ownership, may procure
a certificate of title to the vehicle. When a vehicle is registered in another
state and is repossessed in another state, the owner of such vehicle shall
not be entitled to obtain a valid Kansas title or registration, except that
when a vehicle is registered in another state, but is financed originally by
a financial institution chartered in the state of Kansas or when a financial
institution chartered in Kansas purchases a pool of motor vehicle loans
from the resolution trust corporation or a federal regulatory agency, and
the vehicle is repossessed in another state, such Kansas financial institu-
tion shall be entitled to obtain a valid Kansas title or registration. In
addition to any other fee required for the issuance of a certificate of title,
any applicant obtaining a certificate of title for a repossessed vehicle shall
pay a fee of $3.

(3) Dealers shall execute, upon delivery to the purchaser of every new
vehicle, a manufacturer's statement of origin stating the liens and encum-
brances thereon. Such statement of origin shall be delivered to the pur-
chaser at the time of delivery of the vehicle or at a time agreed upon by
the parties, not to exceed 30 days, inclusive of weekends and holidays.
The agreement of the parties shall be executed on a form approved by
the division. In the event delivery of title cannot be made personally, the
seller may deliver the manufacturer's statement of origin by restricted
mail to the address of purchaser shown on the purchase agreement. The
manufacturer's statement of origin may include an attachment containing
assignment of such statement of origin on forms approved by the division.
Upon the presentation to the division of a manufacturer's statement of
origin, by a manufacturer or dealer for a new vehicle, sold in this state, a
certificate of title shall be issued if there is also an application for regis-
tration, except that no application for registration shall be required for a
travel trailer used for living quarters and not operated on the highways.

(4) The fee for each original certificate of title shall be $7 until July
1, 1999, and $3.50 thereafter, in addition to the fee for registration of
such vehicle, trailer or semitrailer. The certificate of title shall be good
for the life of the vehicle, trailer or semitrailer while owned or held by
the original holder of the certificate of title.

(5) Upon sale and delivery to the purchaser of every vehicle subject
to a purchase money security interest as defined in K.S.A. 84-9-107, and
amendments thereto, the dealer or secured party may complete a notice
of security interest and when so completed, the purchaser shall execute
the notice, in a form prescribed by the division, describing the vehicle
and showing the name and address of the secured party and of the debtor
and other information the division requires. The dealer or secured party,
within 15 days of the sale and delivery, may mail or deliver the notice of
security interest, together with a fee of $2.50, to the division. The notice
of security interest shall be retained by the division until it receives an
application for a certificate of title to the vehicle and a certificate of title
is issued. The certificate of title shall indicate any security interest in the
vehicle. Upon issuance of the certificate of title, the division shall mail or
deliver confirmation of the receipt of the notice of security interest, the
date the certificate of title is issued and the security interest indicated, to
the secured party at the address shown on the notice of security interest.
The proper completion and timely mailing or delivery of a notice of se-
curity interest by a dealer or secured party shall perfect a security interest
in the vehicle described on the date of such mailing or delivery. The
county treasurers shall mail a copy of the title application to the Kansas
lienholder. Each county treasurer shall charge the Kansas lienholder a
$1.50 service fee for processing and mailing a copy of the title application
to the Kansas lienholder.

(6) It shall be unlawful for any person to operate in this state a vehicle
required to be registered under this act, or to transfer the title to any
such vehicle to any person or dealer, unless a certificate of title has been
issued as herein provided. In the event of a sale or transfer of ownership
of a vehicle for which a certificate of title has been issued, which certif-
icate of title is in the possession of the transferor at the time of delivery
of the vehicle, the holder of such certificate of title shall endorse on the
same an assignment thereof, with warranty of title in a form prescribed
by the division and printed thereon and the transferor shall deliver the
same to the buyer at the time of delivery to the buyer of the vehicle or
at a time agreed upon by the parties, not to exceed 30 days, inclusive of
weekends and holidays, after the time of delivery. The agreement of the
parties shall be executed on a form provided by the division. The require-
ments of this paragraph concerning delivery of an assigned title are sat-
isfied if the transferor mails to the transferee by restricted mail the as-
signed certificate of title within the 30 days, and if the transferor is a
dealer, as defined by K.S.A. 8-2401, and amendments thereto, such trans-
feror shall be deemed to have possession of the certificate of title if the
transferor has made application therefor to the division. The buyer shall
then present such assigned certificate of title to the division at the time
of making application for registration of such vehicle. A new certificate
of title shall be issued to the buyer, upon payment of the fee of $7 until
July 1, 1999, and $3.50 thereafter. If such vehicle is sold to a resident of
another state or country, the dealer or person making the sale shall notify
the division of the sale and the division shall make notation thereof in the
records of the division. When a person acquires a security agreement on
a vehicle subsequent to the issuance of the original title on such vehicle,
such person shall require the holder of the certificate of title to surrender
the same and sign an application for a mortgage title in form prescribed
by the division. Upon such surrender such person shall immediately de-
liver the certificate of title, application, and a fee of $7 until July 1, 1999,
and $3.50 thereafter, to the division. Upon receipt thereof, the division
shall issue a new certificate of title showing the liens or encumbrances so
created, but not more than two liens or encumbrances may be shown
upon a title. When a prior lienholder's name is removed from the title,
there must be satisfactory evidence presented to the division that the lien
or encumbrance has been paid. When the indebtedness to a lienholder,
whose name is shown upon a title, is paid in full, such lienholder within
10 days after written demand by restricted mail, shall furnish to the holder
of the title a release of lien or execute such a release in the space provided
on the title. For failure to comply with such a demand the lienholder shall
be liable to the holder of the title for $100 and also shall be liable for any
loss caused to the holder by such failure. When the indebtedness to a
lienholder, whose name is shown upon a title, is collected in full, such
lienholder, within 30 days, shall furnish notice to the holder of title that
such indebtedness has been paid in full and that such title may be pre-
sented to the lienholder at any time for release of lien.

(7) It shall be unlawful for any person to buy or sell in this state any
vehicle required to be registered, unless, at the time of delivery thereof
or at a time agreed upon by the parties, not to exceed 30 days, inclusive
of weekends and holidays, after the time of delivery, there shall pass
between the parties a certificate of title with an assignment thereof. The
sale of a vehicle required to be registered under the laws of this state,
without assignment of the certificate of title, is fraudulent and void, unless
the parties shall agree that the certificate of title with assignment thereof
shall pass between them at a time other than the time of delivery, but
within 30 days thereof. The requirements of this paragraph concerning
delivery of an assigned title shall be satisfied if (i) the seller mails to the
purchaser by restricted mail the assigned certificate of title within 30 days,
or (ii) if the transferor is a dealer, as defined by K.S.A. 8-2401, and amend-
ments thereto, such seller shall be deemed to have possession of the
certificate of title if such seller has made application therefor to the di-
vision, or (iii) if the transferor is a dealer and has assigned a title pursuant
to paragraph (9) of this subsection (c).

(8) In cases of sales under the order of a court of a vehicle required
to be registered under this act, the officer conducting such sale shall issue
to the purchaser a certificate naming the purchaser and reciting the facts
of the sale, which certificate shall be prima facie evidence of the own-
ership of such purchaser for the purpose of obtaining a certificate of title
to such motor vehicle and for registering the same. Any such purchaser
shall be allowed 30 days, inclusive of weekends and holidays, from the
date of sale to make application to the division for a certificate of title
and for the registering of such motor vehicle.

(9) Any dealer who has acquired a vehicle, the title for which was
issued under the laws of and in a state other than the state of Kansas,
shall not be required to obtain a Kansas certificate of title therefor during
the time such vehicle remains in such dealer's possession and at such
dealer's place of business for the purpose of sale. The purchaser or trans-
feree shall present the assigned title to the division of vehicles when
making application for a certificate of title as provided in subsection (c)(1).

(10) Motor vehicles may be held and titled in transfer-on-death form.

(11) Notwithstanding the provisions of this act with respect to time
requirements for delivery of a certificate of title, or manufacturer's state-
ment of origin, as applicable, any person who chooses to reaffirm the sale
in writing on a form approved by the division which advises them of their
rights pursuant to paragraph (7) of subsection (c) and who has received
and accepted assignment of the certificate of title or manufacturer's state-
ment of origin for the vehicle in issue may not thereafter void or set aside
the transaction with respect to the vehicle for the reason that a certificate
of title or manufacturer's statement of origin was not timely delivered,
and in such instances the sale of a vehicle shall not be deemed to be
fraudulent and void for that reason alone.

Sec. 9. K.S.A. 1997 Supp. 8-142 is hereby amended to read as fol-
lows: 8-142. It shall be unlawful for any person to commit any of the
following acts and except as otherwise provided, violation is subject to
penalties provided in K.S.A. 8-149, and amendments thereto:

First: To operate, or for the owner thereof knowingly to permit the
operation, upon a highway of any vehicle, as defined in K.S.A. 8-126, and
amendments thereto, which is not registered, or for which a certificate
of title has not been issued or which does not have attached thereto and
displayed thereon the license plate or plates assigned thereto by the di-
vision for the current registration year, including any registration decal
required to be affixed to any such license plate pursuant to K.S.A. 8-134,
and amendments thereto, subject to the exemptions allowed in K.S.A. 8-
135, 8-198 and 8-1751a, and amendments thereto.

Second: To display or cause or permit to be displayed, or to have in
possession, any registration receipt, certificate of title, registration license
plate, registration decal, accessible parking placard or accessible parking
identification card knowing the same to be fictitious or to have been
canceled, revoked, suspended or altered. A violation of this part Second
shall constitute an unclassified misdemeanor punishable by a fine of not
less than $100 and forfeiture of the item. A mandatory court appearance
shall be required of any person violating this part Second. This part Sec-
ond shall not apply to the possession of: (a) Model year license plates
displayed on antique vehicles as allowed under K.S.A. 8-172, and amend-
ments thereto; or (b) distinctive license plates allowed under section 4.

Third: To lend to or knowingly permit the use by one not entitled
thereto any registration receipt, certificate of title, registration license
plate or registration decal issued to the person so lending or permitting
the use thereof.

Fourth: To fail or refuse to surrender to the division, upon demand,
any registration receipt, certificate of title, registration license plate or
registration decal which has been suspended, canceled or revoked.

Fifth: To use a false or fictitious name or address in any application for
a certificate of title, the registration of any vehicle or for any renewal or
duplicate thereof, or knowingly to make a false statement or knowingly
to conceal a material fact or otherwise commit a fraud in any such appli-
cation.

Sixth: For the owner of a motor vehicle to file application for the reg-
istration thereof, in any county other than the county in which the owner
of the vehicle resides or has a bona fide place of business, which place is
not an office or facility established or maintained solely for the purpose
of obtaining registration.

Seventh: To operate on the highways of this state a vehicle or combi-
nation of vehicles whose weight with cargo is in excess of the gross weight
for which the truck or truck tractor propelling the same is registered,
except as provided by K.S.A. 8-143, and amendments thereto, and sub-
sections (a) to (f), inclusive, of K.S.A. 8-1911, and amendments thereto.
Such gross weight shall not be required to be in excess of the limitations
described by K.S.A. 8-1908 and 8-1909, and amendments thereto, for
such vehicle or combination of vehicles of which it is a part. Any person
or owner who operates a vehicle in this state with a registration in violation
of subsection (2) of K.S.A. 8-143, and amendments thereto, shall be re-
quired to pay the additional fee equal to the fee required by the applicable
registration fee schedule, less the amount of the fee required for the gross
weight for which the vehicle is registered to obtain the proper registration
therewith. A fine of $75 shall be assessed for all such gross weight reg-
istration violations.

Eighth: To operate a local truck or truck tractor which is registered for
a gross weight of more than 12,000 pounds as a common or contract
carrier outside a radius of three miles beyond the corporate limits of the
city in which such vehicle was based when registered and licensed or to
operate any other local truck or truck tractor licensed for a gross weight
of more than 12,000 pounds outside a radius of 25 miles beyond the
corporate limits of the city in which such vehicle was based when regis-
tered and licensed, except as provided in subsection (2) of K.S.A. 8-143
or 8-143i, and amendments thereto.

Ninth: To operate on the highways of this state a farm truck or farm
trailer other than to transport: (a) Agricultural products produced by such
owner; (b) commodities purchased by the owner for use on the farm
owned or rented by the owner of such vehicles; (c) commodities for re-
ligious or educational institutions being transported by the owner of such
vehicles for charity and without compensation of any kind, except as pro-
vided in subsection (c) of K.S.A. 66-1,109, and amendments thereto; or
(d) sand, gravel, slag stone, limestone, crushed stone, cinders, black top,
dirt or fill material to a township road maintenance or construction site
of the township in which the owner of such truck resides.

Tenth: To operate a farm truck or truck tractor used in combination
with a trailer or semitrailer for a gross weight which does not include the
empty weight of the truck or truck tractor or of the combination of any
truck or truck tractor and any type of trailer or semitrailer, plus the max-
imum weight of cargo which will be transported on or with the same; and
such farm truck or farm truck tractor used to transport a gross weight of
more than 54,000 pounds shall have durably lettered on the side of the
motor vehicle the words ``farm vehicle--not for hire.''

Eleventh: To operate on the highways of this state any truck or truck
tractor without the current quarter of license fees being paid thereon.

Twelfth: To operate on the highways of this state a truck or truck tractor
without carrying in the cab a copy of the registration receipt for such
vehicle or without having painted or otherwise durably marked on said
vehicle on both sides thereof, the gross weight for which said vehicle is
licensed and the name and address of the owner thereof, except as pro-
vided in K.S.A. 8-143e, and amendments thereto.

Thirteenth: To operate on the highways of this state a farm trailer car-
rying more than 6,000 pounds without being registered and the registra-
tion fees paid thereon.

Fourteenth: To operate more than 6,000 miles in any calendar year any
truck or truck tractor which has been registered and licensed to operate
not more than 6,000 miles in such calendar year, as provided in subsection
(2) of K.S.A. 8-143, and amendments thereto, unless the additional fee
required by said subsection (2) has been paid.

Fifteenth: For any owner who has registered a truck or truck tractor
on the basis of operating not more than 6,000 miles to fail to keep the
records required by the director of vehicles, or to fail to comply with rules
and regulations of the secretary of revenue relating to such registration.

Sixteenth: To operate a vehicle or combination of vehicles on the na-
tional system of interstate and defense highways with a gross weight
greater than permitted by the laws of the United States Congress.

Sec. 10. K.S.A. 1997 Supp. 8-145 is hereby amended to read as fol-
lows: 8-145. (a) All registration and certificates of title fees shall be paid
to the county treasurer of the county in which the applicant for registra-
tion resides or has an office or principal place of business within this state,
and the county treasurer shall issue a receipt in triplicate, on blanks fur-
nished by the division of vehicles, one copy of which shall be filed in the
county treasurer's office, one copy shall be delivered to the applicant and
the original copy shall be forwarded to the director of vehicles.

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

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

(c) The county treasurer shall remit the remainder of all such fees
collected, together with the original copy of all applications, to the sec-
retary of revenue. Except as provided in subsection (d), all such fees
remitted to the secretary of revenue shall be deposited with the state
treasurer and credited to the state highway fund.

(d) (1) On July 1, 1996, through June 30, 1997, $2.35 of each certif-
icate of title fee collected and remitted to the secretary of revenue, shall
be deposited with the state treasurer and credited to the Kansas highway
patrol motor vehicle fund, and $1.15 of each certificate of title fee col-
lected and remitted to the secretary of revenue, shall be deposited with
the state treasurer and credited to the VIPS/CAMA technology hardware
fund.

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

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

Sec. 11. K.S.A. 1997 Supp. 8-170 is hereby amended to read as fol-
lows: 8-170. (a) Upon the transfer of ownership of any vehicle registered
under the foregoing provisions of this act, its registration and right to use
the license plates thereon shall expire and thereafter there shall be no
transfer of any registration, and the license plates shall be removed by
the owner thereof and it shall be unlawful for any person other than the
person to whom such license plates were originally issued to have the
same in possession. In case of a transfer of ownership of a registered
vehicle the original owner of the license plates may register another an-
tique vehicle under the same license plate designation, upon application
therefor and the payment of a fee of $1.50. On and after January 1, 2000,
any model year license plate transferred shall comply with the provisions
of subsection (c) of K.S.A. 8-172, and amendments thereto.

(b) Upon the transfer and sale of a registered vehicle by any person,
the new owner thereof, before using a vehicle on the highways of this
state, shall make application to the division for registration of the vehicle.

(c) Certificate of title:

(1) Application for certificate of title on an antique vehicle shall be
made by the owner or the owner's agent upon a blank form to be fur-
nished by the division and shall contain such information as the division
shall determine necessary. The division may waive any information re-
quested on the form if it is not available. The application together with a
bill of sale for the antique vehicle shall be accepted as prima facie evi-
dence that the applicant is the owner of the vehicle. The certificate of
title shall be delivered to the applicant. The certificate shall contain the
words ``antique vehicle.''

(2) The certificate of title shall contain upon the reverse side a form
for assignment of title to be executed by the owner before a notary public
or some other officer authorized to administer an oath. A certificate of
title may be issued under the provisions of this act without an application
for registration.

(3) The fee for each original certificate of title so issued shall be $7
until July 1, 1999, and $3.50 thereafter. The certificate of title shall be
good for the life of the antique vehicle, so long as the same is owned or
held by the original holder of the certificate of title, and shall not have to
be renewed. In the event of a sale or transfer of ownership of an antique
vehicle for which a certificate of title has been issued, the holder of such
certificate of title shall endorse on the same an assignment thereof, with
warranty of title in form printed thereon, as prescribed by the director,
and the transferor must deliver the same to the buyer at the time of
delivery of the vehicle. The buyer shall then present such certificate of
title, assigned as aforesaid, to the director or an authorized agent of the
director, whereupon a new certificate of title shall be issued to the buyer,
the fee therefor being $7 until July 1, 1999, and $3.50 thereafter.

Sec. 12. K.S.A. 8-172 is hereby amended to read as follows: 8-172.
(a) Except as provided in subsection (c), license plates issued for antique
vehicles shall be distinctive and shall contain the words ``Kansas'' and
``antique'' and there shall be no year date thereon. The numbering system
shall consist of combinations of not more than seven letters of the alpha-
bet or numerals or a combination of such letters and numerals. The com-
binations of such letters and numerals shall be at the direction of the
director of vehicles, except that any person owning an antique vehicle,
other than an antique motorcycle, may make application for a special
combination of letters and numerals not exceeding seven. Antique mo-
torcycle license plates shall be the same as other antique vehicle license
plates, except the numbering system shall consist of not more than five
letters of the alphabet or numerals or a combination of letters and nu-
merals. Such application shall be made in a manner prescribed by the
director of vehicles and shall be accompanied by a special combination
fee of $40. Unless the combination of letters or numerals designated by
the applicant have been assigned to another antique vehicle registered in
this state, or unless the combination of letters or numerals designated by
the applicant have a profane, vulgar, lewd or indecent meaning or con-
notation, as determined by the director, the division shall assign such
combination of letters to the applicant's vehicle.

(b) In addition to the fees required under subsection (b) of K.S.A. 8-
167, and amendments thereto, and subsection (a) or (c) of this section,
the registration fee for any antique vehicle shall be $40 and once paid
shall not be required to be renewed.

(c) On and after January 1, 2000, in lieu of the license plate issued
under subsection (a), a person who owns an antique vehicle who wants
to display a model year license plate on the vehicle shall make application
in a manner prescribed by the director of vehicles, including the execution
of an affidavit setting forth that the model year license plate the person
wants to display on the person's antique vehicle is a legible and serviceable
license plate that originally was issued by this state. Such license plate
shall be inscribed with the date of the year corresponding to the model
year when the vehicle was manufactured. Duplicate numbers for any year
shall not be allowed for any model year license plate under the provisions
of this subsection. The model year license plate fee shall be $40.

(d) In addition to the license plates authorized under subsection (a)
or (c), a person who owns an antique vehicle may display a model year
license plate originally issued by the state of Kansas on the front of an
antique vehicle. Such license plate shall be inscribed with the date of the
year corresponding to the model year when the vehicle was manufactured.

Sec. 13. K.S.A. 1997 Supp. 8-1,146 is hereby amended to read as
follows: 8-1,146. (a) On and after January 1, 1998, Any owner of one or
more passenger vehicles or trucks of a gross weight of 12,000 pounds or
less, who is a resident of the state of Kansas, and who submits satisfactory
proof to the director of vehicles, in accordance with rules and regulations
adopted by the secretary of revenue, that such person has proof of having
served and is designated as a veteran, and has had an honorable discharge
from the United States army, navy, air force, marine corps or, coast guard
or merchant marines, upon compliance with the provisions of this section,
may be issued one distinctive license plate for each such passenger vehicle
or truck designating such person as an United States military veteran.
Such license plates shall be issued for the same period of time as other
license plates upon proper registration and payment of the regular license
fee as provided in K.S.A. 8-143, and amendments thereto.

(b) Any person who is a veteran of the United States army, navy, air
force, marine corps or, coast guard or merchant marines may make ap-
plication for such distinctive license plates, not less than 60 days prior to
such person's renewal of registration date, on a form prescribed and fur-
nished by the director of vehicles, and any applicant for the distinctive
license plates shall furnish the director with proof as the director shall
require that the applicant is a veteran of the United States army, navy,
air force, marine corps or, coast guard or merchant marines. Application
for the registration of a passenger vehicle or truck and issuance of the
license plates under this section shall be made by the owner in a manner
prescribed by the director of vehicles upon forms furnished by the direc-
tor.

(c) No registration of distinctive license plates issued under the au-
thority of this section shall be transferable to any other person.

(d) Renewals of registration under this section shall be made an-
nually, upon payment of the fee prescribed in subsection (a), in the man-
ner prescribed in subsection (b) of K.S.A. 8-132, and amendments
thereto. No renewal of registration shall be made to any applicant until
such applicant has filed with the director a form as provided in subsection
(b). If such form is not filed, the applicant shall be required to comply
with K.S.A. 8-143, and amendments thereto, and return the distinctive
license plates to the county treasurer of such person's residence.

Sec. 14. K.S.A. 8-116a, 8-133 and 8-172 and K.S.A. 1997 Supp. 8-
135, 8-142, 8-145, 8-170 and 8-1,146 are hereby repealed.

Sec. 15. On and after January 1, 1999, K.S.A. 79-5105a and K.S.A.
1996 Supp. 8-134a, as amended by section 3 of chapter 119 of the 1997
Session Laws of Kansas, and 79-5101, as amended by section 4 of chapter
119 of the 1997 Session Laws of Kansas, are hereby repealed.

Sec. 16. This act shall take effect and be in force from and after its
publication in the statute book.

Approved April 23, 1998

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