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The KBA Advocate is the weekly KBA legislative newsletter that contains up-to-date information on legislation that impacts your practice. It is only published when the legislature is in session and is sent to all KBA members electronically via the KBA Weekly.

 

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Rocky Start

Posted By Joseph N. Molina III, Tuesday, January 16, 2018

The Kansas Legislature returned last Monday, Jan. 8, 2017. While the first week is usually uneventful, this year things got off to a rocky start.

First, a report came out that Rep. Steve Alford (R-Ulysses) made racially charged comments during a townhall discussion in Western Kansas. See: http://bit.ly/2qKhYgC; See also: http://bit.ly/2CJvIK4.

There is actual video footage of the exchange up on YouTube now. See; http://bit.ly/2CSpw6G. Rep. Alford resigned both of his committee chairmanships and issued a formal apology.

Second, Missouri Governor Eric Greiten admitted to an affair before he was elected. The report goes on to allege that Greiten attempted to use personal sensitive photos to blackmail his mistress. See: http://bit.ly/2CPoIeP; See also: http://bit.ly/2mkYn1g. There are Missouri legislators calling on Greiten to resign.

Third, Kansas Governor Sam Brownback gave the annual State of the State address on Tuesday evening.  Many thought Lt. Gov. Jeff Coyler would be giving the speech since Brownback was in line for a U.S. Senate-confirmed Ambassadorship. The US Senate vote never came, so Gov. Brownback was obligated to give the speech. He focused on K12 spending and recommended adding $600 million over five years to school funding. He also stated he wanted to add 150 school counselors a year for 5 years as well.He stated that this could be done with no new taxes.

You can watch the State of the State address here: http://bit.ly/2ExDabE

 
 

Republican leadership responded quickly to the $600 million proposal and the governor’s budget, and it was not kind. Sen. Ty Masterson (R-Andover) is quoted as saying “I’m not sure what the logic is behind this” proposal. Rep. J.R. Claeys went even further tweeting “The governor has waved the white flag of surrender from the dome, and tossed every ally he had left under the bus... Then put the bus in reverse... Then lit fire to the bus.” Senate President Susan Wagle also made comments criticizing the governor’s plans. See: https://twitter.com/APjdhanna.

For more news of the budget proposal please see:

This will be a hard sell for many conservatives. How they plan on approaching the governor’s recommendation and the court’s deadline remains to be seen, but this is not a good start.

Fourth, there is a growing concern about transparency in the Capitol regarding bill introductions. In the past, it was not uncommon for a bill to be introduced without a known sponsor (which means if you were not in the room when the bill was requested, you would never know who requested it.) On some occasions, conceptual bill would be introduced without a sponsor, making it hard to track the origin of any one proposal.

This year many committees are altering rules to allow more transparency into the bill introduction process. This is true for House Judiciary and House Federal and State Law Committees. This will be helpful going forward, but it is not without controversy. For instance, last Wednesday, two democrats objected to the introduction of a bill citing transparency concerns because they did not know what exactly was in the bill.  This was the first time I ever witnessed an objection to merely introducing a proposal. The committee debated the objection and voted on the objection, ruling to allow the bill to be introduced. This is a highly unusual process for bill introductions. However, it happened again on Wednesday when a legislator objected to the introduction on a budget proposal from the Governor’s Office in a different committee. It will be interesting to see if this pattern holds, and we see more objections to bills being introduced.

Fifth—committee hearings start next week. We will see hearings on SB 181, dealing with fines and fees; SB 199, dealing with appeal bonds; and a few carryover bills from 2017. The KBA continues to track legislation of interest to its members and you can find it here: https://www.ksbar.org/bill_tracking

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Quick Start

Posted By Joseph N. Molina III, Tuesday, January 9, 2018
Updated: Monday, January 8, 2018

The Kansas Legislature returned Monday, January 8, 2018. Traditionally, the first week is rather uneventful. The primary goal of legislators and committees is to acquaint themselves with chamber rules, committee assignments and new staff members. However, this year, committees began meeting and hearing proposals almost immediately. For instance, the House is already considering K12 spending initiatives while the Senate grapples with other K12 issues.

There are also two pre-filed bills aimed at gun laws. One, HB 2442, introduced by Rep. Vic Miller (D-Topeka), would prohibit “bump stock” attachments for semiautomatic firearms such as the one used in the Las Vegas mass shooting this past summer. The other, HB 2243, introduced by Rep. Boog Highberger (D-Lawrence), would create a new crime of abandoning a firearm.

The Office of Judicial Administration also introduced a pre-filed bill, SB 261, which transfers the duty of property appraisals from a judicial administrator to the director of property valuation.

It is also important to remember that 2018 session is an outbound year which means that bills introduced during the 2017 session carry over and can still be granted hearings and passed through the normal legislative process.                                                                                                                                                                                   

The KBA will continue to monitor the following bills: 

House

·       HB 2126  ADR & Meditation in Trust instruments
·       HB 2127  Transfer on Death Deed
 ·       HB 2186  Enacting the uniform arbitration act of 2000

Senate

·       SB 157  Kansas Highway Patrol, Immigration agreement
·       SB 158  Prohibiting sanctuary policies by cities, counties and state agencies

To stay informed on the 2018 Legislative Session, you can visit www.kslegislature.org
There you can find bills, meeting times/dates, committee rosters and ways to contact your legislator. You can also find a helpful session planner.

At the KBA website – www.ksbar.org – you can find the 2018 Bill Tracking Chart, legislative testimony and an interactive legislative map.

Look for weekly KBA Advocate every Tuesday. This blog will summarize the previous legislative week. Also, please follow us at @KansasBarLeg for live twitter reactions to the 2018 session.

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10th Annual Kansas Bar Association Fall Legislative Conference

Posted By Joseph N. Molina III, Tuesday, October 10, 2017
Updated: Tuesday, October 10, 2017

10th Annual Kansas Bar Association
Fall Legislative Conference

Friday, November 3, 2017

Kansas Law Center
1200 SW Harrison Street 
Topeka, Kansas  66612

Special Guests

Prof. Burdett A. Loomis – The University of Kansas
Prof. Michael Smith Ph.D. – Emporia State University
Bryan Lowry, Lead Political Reporter – Kansas City Star

Schedule of Events

2p.m. – 2:50 p.m.
1 free-hour of CLE presented by
Penny Moylan – Office of the Disciplinary Administrator
“The Pitfalls of Practicing out of a Lincoln Town Car”

3 p.m. – 4:30 p.m.
Legislative Conference

4:30 p.m. – 6 p.m.
Cocktail Reception

Special thanks and appreciation to our Reception Hosts:

Alderson, Alderson, Weiler, Conklin, Burghart & Crow, LLC
John Peterson & Bill Brady/Capitol Strategies ♦ Kansas Bankers Association
Sneed Law Firm, LLC ♦ Whitney B. Damron, P.A.
E. "Tuck" Duncan/Kansas Wine & Spirits Wholesalers Association
Foulston Siefkin LLP

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You're Invited to the KBA Roadshow

Posted By Joseph N. Molina III, Tuesday, September 19, 2017
Updated: Monday, September 18, 2017

KBA Roadshow to SW Bar
Greetings!
 
You're invited to the upcoming Kansas Bar Association CLE in Liberal and Dodge City . These programs consist of a FREE two-hour CLE which includes a legislative update and an hour of ETHICS, with lunch provided by the KBA.

KBA membership is NOT required.
Dates and Locations
Click "Register Today" button below to register for either CLE program
September 27th
Seward County Community College ,
Rm SW 229C
1801 N Kansas Ave,
Liberal, KS 67901

11 am - Registration/Lunch
September 28th
Rebein Law Offices,
810 W Frontview St., Ste 1
Dodge City, KS 67801


11 am - Registration/Lunch
Registration deadline is September 25th to help us with a proper lunch count.
We look forward to seeing you there!
Questions?
Contact
Joseph Molina
Legislative Services Director
Direct: (785) 861-8836
Main: (785) 234-5696
CLE logo white
Kansas Bar Association
1200 SW Harrison St.
Topeka, KS 66612
 

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KBA Roadshow Heads to Western Kansas!

Posted By Joseph N. Molina III, Tuesday, August 29, 2017
Updated: Monday, August 28, 2017


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KBA Lawyer to Legislator CLE

Posted By Joseph N. Molina III, Monday, July 3, 2017
Updated: Wednesday, July 5, 2017

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Sine Die Means Goodbye

Posted By Joseph N. Molina III, Tuesday, June 27, 2017
Updated: Monday, June 26, 2017

The Kansas Legislature formally adjourned Sine Die yesterday bringing the total days in the Capitol to 114, tying the record for the longest session in Kansas history. However, the end did not come without some rumbling of a veto override of the governor’s veto of two provisions consolidating certain aspects of KanCare. The Governor made the line-item veto when signing the state budget on Sunday. The line item veto focused specifically on modifications to the Medicaid services for Kansans with disabilities. The Governor said in a statement that the language was overly broad, and the administration wanted to work with stakeholders before any changes were made.  See; http://kansaspublicradio.org/kpr-news/governor-brownback-signs-kansas-budget-blasts-spending-levels

This veto drew a quick response from Rep. Jim Ward who supports the consolidation on some KanCare systems and believes the legislature has a vital role in overseeing services provided to the most vulnerable Kansans.

These two line-item vetoes bring the veto tally to six for the session, two tax bills, three KanCare-type proposals and one on lottery vending machines. The legislature was only able to override the tax proposal. To override, the Senate needed to have 27 votes and the House needed 84. The prospects were unlikely.

Despite the two line-item vetoes, the Governor did sign off on the state budget, although a bit begrudgingly. The Governor stated that “I am signing the budget, despite my concerns about excessive spending, to avoid a break in core functions of government and to provided state workers with well-deserved pay increases.” Gov. Brownback believes the budget is bloated in areas and failed to make any of the consolidations/cuts championed by the efficiency study. See; http://www2.ljworld.com/news/2017/jun/25/kansas-gov-brownback-signs-156-billion-state-budge/

Now that the 2017 Legislative Session has ended for the year, everyone will hold their breath to see if the Kansas Supreme Court upholds the recently passed school finance bill. The court stayed its June 30th deadline and will hear arguments on July 18th @ 9 a.m. See; http://www.kscourts.org/Kansas-Courts/General-Information/2017-News-Releases/062017.pdf

How the court rules will determine if a special session is needed. Some in the Capitol believe that the court will uphold the first-year funding but find the second year inadequate. This would give the legislature the summer off, but would leave a seriously pressing issue to be decided in 2018—an election year.

For more information on the session, please visit www.kslegislature.org or the KBA website at www.ksbar.org.

Thanks for reading!

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2017 Legislature By the Numbers

Posted By Joseph N. Molina III, Tuesday, June 20, 2017
Updated: Tuesday, June 20, 2017

The 2017 Legislative session will officially close on June 26th when both chambers adjourn Sine die. This will bring the running day total to 114 days, tied for the longest in Kansas history. So, what did we get for these 114 days?

The Kansas Legislature passed a budget that will fund FY 2017, FY 2018, and FY 2019 supplemental expenditures for most state agencies and FY 2018 and FY 2019 capital improvements for selected state agencies. See; http://cjonline.com/news/local/2017-06-18/kansas-tax-hike-hailed-fix-doesn-t-quite-balance-budget

The bill, Senate sub for HB 2002, has an all fund total of $15.6 billion over the three-year span and $6.4 billion for just FY18.  The bill makes the following expenditures:

-          Adds $141.4 million to KPERS;

-          Adds a 2.5 % raise for all employees with less than five years of service and 5.0 percent adjustment for state employees who have not had a pay adjustment in five years; and a 2.5 percent adjustment for judges and non-judicial staff in FY 2018;

-          Add $20.3 million for Home and Community Based Services;

-          Add $10.5 million for community health centers;

-          Add $4.6 million for Osawatomie state hospital;

-          Add $1.1 million for KS BIDS Habeas Corpus proceedings.

The legislature passed a tax plan, SB 30, that will cover the expenses listed above. Over the next two years the tax plan is expected to increase revenues by $1.2 billion dollars.

The bill is expected to increase SGF receipts as follows: ● FY 2018—$591.0 million; ● FY 2019—$633.0 million; FY 2020—$617.4 million; ● FY 2021—$584.4 million; and ● FY 2022—$590.3 million.

The plan accomplishes this with the following adjustments:

-          Three tiers of income tax: 3.1%, 5.25% & 5.7%.

-          Eliminate Glide Path to Zero

-          Elimination business pass-through exemption (LLC Exemption).

-          STAR Bond authority extended for 3 years; 1-year moratorium on new projects.

-          Medical, mortgage interest and property tax deductibility reinstated; 3-year phase in.

-          Child care tax credit reinstated.

 

The bill is retroactive to January 1, 2017 with modified rates for this year: 2.9%, 4.9% & 5.2%. The new income brackets are as follows:

 

-          $0-$30,000 3.10%

-          $30,000 - $60,000 5.25%

-          $60,000+ 5.70%

 

Interestingly, Moody’s Credit Rating upgraded Kansas Bond rating to stable after the tax plan passed.  See; http://www.kansascity.com/news/politics-government/article155202759.html

 

The legislature also passed a new school finance plan.  this plan resembles the old formula and rescinds the block grant approached passed some years ago.  The basics of the new formula include:

-          Base Aid for Student Excellence (BASE) per pupil spending of $4,006 for school year 2017-2018, $4,128 for school year 2018- 2019, and adjusted each year thereafter according to the average percentage increase in the Consumer Price Index (CPI) for all urban consumers for the Midwest region during the three immediately preceding school years.

-          A 33% cap on the Local Option Budget (LOB) by a resolution of the school board when the BASE is less than $4490.

-          The Kansas Supreme Court will hear testimony on the new school finance formula on July 18th. Schools will remain open. See; http://www.kansas.com/news/politics-government/article157057109.html

All tolled the Kansas Legislature introduced 688 bills, 93 Resolutions and 24 Concurrent Resolutions.  The legislature passed 111 bills, the governor signed 108 bills, vetoed 2 tax bills and allowed 1 bill (conceal carry) to become law without his signature. This works out to just of 18% of all bills introduced became law.

You can review all bills passed to date (6.20.17) here:

http://www.kslegresearch.org/KLRD-web/Publications/SummaryofLegislation/PreliminarySummaries/2017-preliminary-summary.pdf

http://www.kslegresearch.org/KLRD-web/Publications/SummaryofLegislation/PreliminarySummaries/2017-preliminary-summary-supp-I.pdf

http://www.kslegresearch.org/KLRD-web/Publications/SummaryofLegislation/PreliminarySummaries/2017-preliminary-summary-supp-II.pdf

 

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Veto Session Day 90+23 = END

Posted By Joseph N. Molina III, Tuesday, June 13, 2017
Updated: Saturday, June 10, 2017

 

The Kansas Legislative Session ended this past weekend but not before tying the record for longest session in Kansas history. The session was extended due to tax, budget and school finance issues. Both chambers passed a tax plan and then began work on the budget.

 

TAX PLAN

The tax plan (CCR for SB 30) passed in the House Chamber first on a vote of 69-52 while the Senate was nearly there when they adopted the bill 26-14. The tax plan will raise $591 million in FY 2018, and $633 million in FY 2019, but it will run into some issues four years out.

 

Key components of the tax package are as follows:

- Three tiers of income tax: 3.1%, 5.25% and 5.7%.

- Eliminate Glide Path to Zero

- Eliminate the business pass-through exemption (LLC Exemption).

- STAR Bond authority extended for 3 years; 1-year moratorium on new projects.

- Medical, mortgage interest and property tax deductibility reinstated; 3-year phase in.

- Child care tax credit reinstated.

 

The bill is retroactive to January 1, 2017 with modified rates for this year: 2.9%, 4.9% & 5.2%.

 

The new income brackets are as follows:

$0-$30,000 3.10%

$30,000 - $60,000 5.25%

$60,000+ 5.70%

 

Late Monday night (June 5th), as the Senate was about to vote on SB 30, the Governor issued a statement that he would veto the measure upon receipt. True to his word, he vetoed the bill midday Tuesday.

To override a gubernatorial veto, both chambers must garner 2/3 majority of its members. The Senate requires 27 votes, and the House requires 84.

 

The governor's Tax Plan Veto was overridden by the Senate on a 27-13 count and by an 88-31 vote in the House.

 

JUDICIAL BUDGET

Regarding the judicial branch, I am happy to report that HB 2041—extending the judicial branch surcharge fund—was approved by the Governor on May 26th. As approved, bill also contained provisions from HB 2053, dealing with debts owed the courts and the process for collecting those debts. 

 

HB 2041 (supp. note)  |   Extending the judicial branch surcharge fee, courts costs and fees

 

In addition, the judicial branch requested an extension of the DUI reinstatement fee to help fund its budget. The court receives a percentage of the fees collected for reinstatement of a driver’s license following a DUI conviction. Annually, this amounts to nearly $950K. The House passed this bill on April 7th on a 72-52 vote. The conference committee added necessary language to HB 2041 raising the fee from $59 to $100, so the court will receive its increase of $41 per reinstatement, that will go toward nonjudicial personnel salary fund.

 

The remaining judicial budget issues concern personnel increases. The Omnibus Budget Conference Committee came to an agreement around midnight on Friday, June 9th to provide all state employees a pay increase of 2.5%. This is a move in the right direction, but it is far from the $20 million requested by the Judicial Branch, and its off by 9% from the original House position.

 

SB 189   Appropriations for FY17, FY18 & FY19

 

With the passage of the state budget, the Kansas Legislature ended a 113-day session. If you count Sine Die, the largely ceremonial final day of the legislative session, the 2017 session ties the record. The legislature dealt with some awfully large items this year including rolling back the 2012 tax policy, closing the LLC loophole, drafting a new school finance plan, creating a foster care task force and addressing human trafficking laws, to name a few. What consequences legislators face remain to be seen, but the election is only 17 months away.

 

Special thanks to the hardworking staff of the Kansas Revisor’s Office, Legislative Research, Post Audit, IT, Legislative Coordinating Council and Administrative Services. We couldn’t do it without these dedicated public employees, nor would we want to.

 

ONLINE RESOURCES

 

Kansas Bar Association

The KBA Legislative homepage:                                                     http://www.ksbar.org/?legislative

 

Kansas Legislature

The official state website for the Kansas Legislature:                     www.kslegislature.org

 

Governor Sam Brownback                                                                          

The website for Gov. Brownback and Lt. Gov. Jeff Colyer:             http://www.kansas.gov/

 

Attorney General Derek Schmidt

The website for Attorney General Derek Schmidt:                          http://ag.ks.gov/

 

 

Legislative Summary Part I - http://www.kslegresearch.org/KLRD-web/Publications/SummaryofLegislation/PreliminarySummaries/2017-preliminary-summary.pdf

 

Legislative Summary Part II - http://www.kslegresearch.org/KLRD-web/Publications/SummaryofLegislation/PreliminarySummaries/2017-preliminary-summary-supp-I.pdf

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Veto Session = Day 90+19

Posted By Joseph N. Molina III, Tuesday, June 6, 2017
Updated: Tuesday, June 6, 2017

Things can happen instantly in the Kansas Capitol and after 108 days of gridlock on taxes and school finance both chambers were able to push through both measures last night. The House acted first on both items passing school finance bill (CCR for SB 19) 67-55. The Senate adopted the same CCR for SB 19 on a 23-17 count. This measure adds around $295 million to K12 over the next two fiscal years. for many this is still not enough to satisfy the Kansas Supreme Court but others are willing to let this ride and make the court strike it down.

See; Kansas-house-senate-adopt-school-finance-bill-after-tax - cjonline.com

See also’ The-Latest:-Kansas-House-approves-$1.2B-income-tax-increase - www.apnews.com

The Tax plan (CCR for SB 30) followed a parallel path by getting passed in the House Chamber first on a not close to veto-proof majority of 69-52 while the Senate is nearly there when they adopted the bill 26-14.  The tax bill will raise almost $1.2 BILLION over the next two years but run into some issues four years out. The Senate passed the bill at 12:20 am this morning, less than a minute later Gov. Brownback issued a press release stating he intends to Veto the entire bill. This will force both chambers to attempt a Veto Override for the third time this session. The House garnered 84 votes on a different tax plan in the Spring but the Senate fell 3 votes shy. Then in April the House failed to override the Governor’s Medicaid expansion veto. How this override attempt progresses will determine if we spend the next week or so drafting a new plan that can either get 84/27 to override or something with a lot less taxes that gets us to 63/21/1.

See; Brownback-declares-intent-veto-600-million-annual-tax-hike-passed - cjonline.com

See also; Brownback vows veto of tax increases approved by Legislature - kansas.com

The House Appropriations committee spent better part of last Thursday discussing tobacco securitization. There were two bills discussed, HB 2429 and HB 2430. Th first bill provided the framework for selling bonds based on the revenue generated from the tobacco Master Settlement Agreement while the second bill gave direction on where the funds would be used and for what time.

The shorthand is the state of Kansas will provide to a financing company $18 million per year for 30 years ($540 million total) in exchange for $320 million in FY18. That $320 million will be used to payback KPERS ($90 million +8%) & pay down KPERs in FY18. Thereby lowering the overall budget shortfall. The $18 million taken from tobacco settlement was originally earmarked for Children Initiative Fund and Key Funding. This $18 million will be replenished using fund received from the increase on sales tax on cigarette sales. This is a complex and controversial budget maneuver and it appears to have very little support. The main proponents were conservatives from both chambers and the KS Chamber of Commerce.

See; HB2430 - kslegislature.org

Both chambers also pushed thru a concealed carry bill that exempted some state hospitals from the July 1st mandate to either have security in place or allow concealed carry users to enter the premises. The bill exempts public hospitals, mental health centers and adult care homes to ban firearms. Colleges and universities are still subject to the July 1st requirement.

See; Kansas-gun-rights-group-gears-concealed-carry-debate - ljworld.com

Finally, Sen. David Haley announced his candidacy for Kansas City, KS Mayor. He will challenge incumbent Mark Holland in the August primary. Should Sen. Haley win the election the Kansas Senate will be left without a member having any type of formal legal training.

See; Kansas-senator-david-haley-joins-race-kansas-city-kansas-mayor#stream/0 - KCUR.org

 

 

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