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 9  AN ACT concerning the abolishment of the Kansas state grain inspection
10    department; reviving K.S.A. 34-101; amending K.S.A. 34-101, as re-
11    vived by section 2 of this act and repealing the existing section; also
12    repealing K.S.A. 34-101, as amended by section 10 of 1997 Substitute
13    for Senate Bill No. 317 and section 9 of 1997 Substitute for Senate
14    Bill No. 317.
15
16  Be it enacted by the Legislature of the State of Kansas:
17    New Section 1.  On and after September 1, 1997, the secretary of
18  agriculture may adopt rules and regulations necessary for the administra-
19  tion and enforcement of the provisions of 1997 Substitute for Senate Bill
20  No. 317, and amendments thereto.
21    Sec. 2.  On and after August 1, 1997, K.S.A. 34-101 is hereby revived
22  to read as follows: 34-101. (a) A state department of record to be desig-
23  nated as the Kansas state grain inspection department is hereby estab-
24  lished. Such department shall have exclusive control of the official sam-
25  pling, inspection, grading, weighing and protein analysis and the
26  certification of grades, weights, and protein content of all grain at all
27  places where inspection stations are now or may hereafter be established.
28  The certificates issued by the department shall be conclusive evidence to
29  all parties interested and shall form the basis of all settlements between
30  the buyer and seller, unless an appeal is taken therefrom, in the manner
31  provided by law, and all freight charges shall be based on the official state
32  weights.
33    (b)  The department shall have supervision and regulation of all ware-
34  houses operated under the Kansas public warehouse laws relating to stor-
35  age of grain. Such department is authorized and empowered by and with
36  the consent of the governor to establish, maintain and operate inspection
37  stations covering all or any part of its service at great railway terminals
38  and points where organized grain markets are regularly maintained, and
39  at other points where operating costs are guaranteed by special arrange-
40  ments with the industries served, or the managing officers in charge.
41  Where great railroad terminals lie partly within the state of Kansas and
42  partly in an adjoining state and a larger part of the department's service
43  at such terminal is for the account of firms having offices in such adjoining
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 1  state, it shall be lawful for the department to maintain and operate an
 2  inspection station covering part or all of its services in such adjoining state.
 3  No sampling or weighing of grain shall be done by the department outside
 4  of the state of Kansas, except as provided in K.S.A. 34-101d, and amend-
 5  ments thereto. Such stations shall be located as conveniently to the in-
 6  terest served as practicable. The owner may direct that such owner's grain
 7  may not be inspected by writing or stamping upon the bill of lading
 8  thereof, ``no inspection desired'' or words to that effect.
 9    (c)  The department shall have the authority to cooperate with any
10  local, state or national organization or agency, whether voluntary or cre-
11  ated by the law of any state, or by national law, engaged in work or
12  activities similar to the work and activities of the department, and to enter
13  into contracts and agreements with such organizations or agencies for
14  carrying on a joint campaign of development, education and publicity.
15    (d)  No provision of this section shall be construed to prohibit or pre-
16  vent either the secretary of the state board of agriculture or the state
17  sealer or any of their respective authorized representatives from inspect-
18  ing any weighing or measuring device or otherwise performing any of
19  their duties pursuant to any provision of chapter 83 of Kansas Statutes
20  Annotated, and amendments thereto.
21    Sec. 3.  On and after September 1, 1997, K.S.A. 34-101, as revived
22  by section 2 of this act, is hereby amended to read as follows: 34-101. (a)
23  A state department of record to be designated as the Kansas state grain
24  inspection department is hereby established. Such department shall have
25  exclusive control of the official sampling, inspection, grading, weighing
26  and protein analysis and the certification of grades, weights, and protein
27  content of all grain at all places where inspection stations are now or may
28  hereafter be established. The certificates issued by the department shall
29  be conclusive evidence to all parties interested and shall form the basis
30  of all settlements between the buyer and seller, unless an appeal is taken
31  therefrom, in the manner provided by law, and all freight charges shall
32  be based on the official state weights.
33    (b)  The department of agriculture shall have supervision and regu-
34  lation of all warehouses operated under the Kansas public warehouse laws
35  relating to storage of grain. Such department is authorized and empow-
36  ered by and with the consent of the governor to establish, maintain and
37  operate inspection stations covering all or any part of its service at great
38  railway terminals and points where organized grain markets are regularly
39  maintained, and at other points where operating costs are guaranteed by
40  special arrangements with the industries served, or the managing officers
41  in charge. Where great railroad terminals lie partly within the state of
42  Kansas and partly in an adjoining state and a larger part of the depart-
43  ment's service at such terminal is for the account of firms having offices
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 1  in such adjoining state, it shall be lawful for the department to maintain
 2  and operate an inspection station covering part or all of its services in
 3  such adjoining state. No sampling or weighing of grain shall be done by
 4  the department outside of the state of Kansas, except as provided in
 5  K.S.A. 34-101d, and amendments thereto. Such stations shall be located
 6  as conveniently to the interest served as practicable. The owner may di-
 7  rect that such owner's grain may not be inspected by writing or stamping
 8  upon the bill of lading thereof, ``no inspection desired'' or words to that
 9  effect.
10    (c) (b)  The department of agriculture shall have the authority to co-
11  operate with any private entity or organization or local, state or national
12  organization or agency, whether voluntary or created by the law of any
13  state, or by national law, engaged in work or activities similar to the work
14  and activities of the department, and to enter into contracts and agree-
15  ments with such entities, organizations or agencies for carrying on a joint
16  campaign of development, education and publicity.
17    (d) (c)  No provision of this section shall be construed to prohibit or
18  prevent either the secretary of the state board of agriculture or the state
19  sealer or any of their respective or any authorized representatives from
20  inspecting any weighing or measuring device or otherwise performing any
21  of their the secretary's duties pursuant to any provision of chapter 83 of
22  Kansas Statutes Annotated, and amendments thereto.
23    (d) (1)  There is hereby created the warehouse fee fund in the state
24  treasury. The secretary shall remit all moneys received by or for the sec-
25  retary from fees, charges or penalties to the state treasurer at least
26  monthly. Upon receipt of any such remittance the state treasurer shall
27  deposit the entire amount thereof in the state treasury and credited to the
28  warehouse fee fund. All expenditures from such fund shall be made in
29  accordance with appropriation acts upon warrants of the director of ac-
30  counts and reports issued pursuant to vouchers approved by the secretary
31  or by a person or persons designated by the secretary.
32    (2)  On or before the 10th of each month, the director of accounts and
33  reports shall transfer from the state general fund to the warehouse fee
34  fund interest earnings based on:
35    (A)  The average daily balance of moneys in the warehouse fee fund
36  for the preceding month; and
37    (B)  the net earnings rate of the pooled money investment portfolio for
38  the preceding month.
39    Sec. 4.  On and after August 1, 1997, K.S.A. 34-101, as amended by
40  section 10 of 1997 Substitute for Senate Bill No. 317 and section 9 of
41  1997 Substitute for Senate Bill No. 317 are hereby repealed.
42    Sec. 5.  On and after September 1, 1997, K.S.A. 34-101, as revived
43  by section 2 of this act is hereby repealed.
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 1    Sec. 6.  This act shall take effect and be in force from and after August
 2  1, 1997, its publication in the statute book and the issuance by the grain
 3  inspection, packers and stockyards administration, pursuant to the United
 4  States grain standards act, of the official agency designation of an entity
 5  that is not the state of Kansas grain inspection department.