SESSION OF 2002

SUPPLEMENTAL NOTE ON HOUSE BILL NO. 2750

As Recommended by House Committee on

Agriculture

Brief*

       HB 2750 would amend several sections of law dealing with the costs and expenses associated with animals taken into custody or destroyed because of contagious or infectious diseases. With respect to unpaid costs associated with taking animals into custody, the bill would make the State of Kansas responsible, or if funds were available from the federal government, then those funds would be used. Under current law, counties would be responsible. Another section of law dealing with destroyed animals would make the Livestock Commissioner responsible for appraisal and would delete the requirement that the appraisal be done in conjunction with the chairman of the county board of county commissioners where the animals were destroyed. In these cases, under current law, the county would have paid for one-half of the appraised value. Finally, the bill would eliminate language that currently requires a report of the value of animals destroyed if they are affected with foot-and-mouth disease to go to the local board of county commissioners and requires the county to pay for the animals destroyed or to be destroyed. The bill would require the State of Kansas to pay unless indemnity is available from the federal government.

Background

       This bill was introduced at the request of the Livestock Commissioner. At the hearing on the bill the Commissioner was the only conferee. The conferee stated that for many years the boards of county commissioners have been included in the statutes regarding the appraisal and disposition of animals held and taken because of disease quarantine. He stated that, in the past, the county commissioners were involved in the appraisal and indemnity because of their knowledge of livestock values and their ability to cover indemnity costs. The Commissioner did not believe this was the case today.

       The fiscal note on the bill states that the Animal Health Department cannot estimate the fiscal effect this bill would have. However, any costs incurred by the agency as a result of housing and caring for quarantined animals could be absorbed. The note does state that in most cases, the federal government would provide full or partial funding for indemnity payments, depending on the disease, the species, and if such animals are involved in interstate commerce. The note states that the agency believes that the diseases that would most likely create a statewide problem would be foot-and-mouth disease and "mad cow" disease. In a worst-case scenario, a foot-and-mouth disease outbreak on the same scale as the outbreak that occurred in Great Britain last year would result in $750.0 million in indemnity payments. Currently, the federal government would provide funding for indemnity payments related to foot-and-mouth disease. In the event of an outbreak of "mad cow" disease, the funding required for indemnity payments would be substantially less. This is because "mad cow" disease spreads much slower than foot-and-mouth disease, providing the Department with more time to react. The agency estimates that in the event of a large outbreak of any disease, an additional $500,000 would be needed for six months worth of lodging, travel, and overtime. The agency would not be able to absorb these costs. Any fiscal effect resulting from enactment of HB 2750 is not accounted for in The FY 2003 Governor’s Budget Report.


*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.kslegislature.org/cgi-bin/index.cgi