Brief(1)
H.B. 2056 would require the Kansas Corporation Commission to charge and collect an application fee of $250 from companies seeking certificates of convenience and necessity to provide competitive local services or long distance telecommunications services in Kansas.
Background
H.B. 2056 was requested by the Kansas Corporation Commission. In testimony supporting the bill, Tom Day, Information Resource Specialist, Kansas Corporation Commission, explained that imposition of an application fee for certificates of convenience and necessity would serve as a deterrent to "fly-by-night" companies. Following passage of the 1996 Federal and Kansas Telecommunication Acts, the Commission has been receiving applications from businesses interested in providing competitive local services and long distance reseller services in Kansas. Under existing law, the costs incurred by Commission staff to process applications from these companies is assessed against all jurisdictional utilities. No testimony was presented in opposition to the bill.
The House Committee made a technical amendment to the bill and increased the application fee from $100, reflected in the introduced version, to $250.
The Division of the Budget's fiscal note indicated receipts of fees in both FY 1999 and FY 2000, totaling $8,000 to $10,000 each year, based on imposition of a fee of $100 per applicant. The House Committee's amendment would result in total fee receipts of $20,000 to $25,000. Both projections assume 80 to 100 applicants in FY 1999 and in FY 2000.
1. *Supplemental notes are prepared by the Legislative Research Department and do not express legislative intent. The supplemental note and fiscal note for this bill may be accessed on the Internet at http://www.ink.org/public/legislative/bill_search.html.