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AN ACT concerning the state corporation commission; relating to
  assessment of expenses by the state corporation commission; con-
  cerning time to issue certain orders; amending K.S.A. 66-1502 and
  66-1503 and K.S.A. 1996 Supp. 66-118b and 77-529 and repealing
  the existing section sections.
Be it enacted by the Legislature of the State of Kansas:
  Section 1.  K.S.A. 66-1502 is hereby amended to read as follows: 66-
1502. (a) Whenever, in order to carry out the duties imposed upon it by
law, the state corporation commission, in a proceeding upon its own mo-
tion, on complaint, or upon an application to it, shall deem it necessary
to investigate any public utility or common carrier or make appraisals of
the property of any public utility, such public utility or common carrier,
in case the expenses reasonably attributable to such investigation or ap-
praisal exceed the sum of $100, including both direct and indirect ex-
penses incurred by the commission or its staff or by the citizens' utility
ratepayer board, shall pay such expenses which shall be assessed, begin-
ning from the date of a proceeding upon its own motion, on complaint or
upon an application to it is filed, against such public utility or common
carrier by the commission, except that no such public utility or common
carrier shall be assessed for payment of such expenses, unless prior to the
incurring of any such expense. Such expenses shall be assessed be-
ginning on the date that the proceeding is filed or beginning three
business days after the commission gives the public utility or com-
mon carrier notice of the assessment by United States mail, which-
ever is later. The state corporation commission shall give such public
utility or common carrier notice and opportunity for a hearing in accor-
dance with the provisions of the Kansas administrative procedure act. At
such hearing, the public utility or common carrier may be heard as to the
necessity of such investigation or appraisal and may show cause, if any,
why such investigation or appraisal should not be made or why the costs
thereof should not be assessed against such public utility or common
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carrier. The finding of the commission as to the necessity of the investi-
gation or appraisal and the assessment of the expenses thereof shall be
conclusive, except that no such public utility or common carrier shall be
liable for payment of any such expenses incurred by such state corporation
commission or citizens' utility ratepayer board in connection with any
proceeding before or within the jurisdiction of the interstate commerce
commission or other any federal regulatory body.
  The commission shall ascertain the expenses of any such investigation
or appraisal and by order assess such expenses against the public utility
or common carrier investigated or whose property is appraised in such
proceeding, and shall render a bill therefor, by registered United States
mail, to the public utility or common carrier, either at the conclusion of
the investigation or appraisal, or from time to time during such investi-
gation or appraisal. Such bill shall constitute notice of such assessment
and demand of payment thereof. Upon a bill rendered to such public
utility or common carrier, within 15 days after the mailing thereof, such
public utility or common carrier shall pay to the commission the amount
of the assessment for which it is billed. Such payment when made shall
be transmitted by the commission to the state treasurer, who shall credit
the same to the appropriations made for the use of such commission or
for the use of the citizens' utility ratepayer board. The total amount, in
any one state fiscal year for which any public utility or common carrier
shall be assessed under the provisions of this section shall not exceed  3/5
of 1% of its gross operating revenues derived from intrastate operations
as reflected in the last annual report filed with the commission pursuant
to K.S.A. 66-123, and amendments thereto, prior to the beginning of the
commission's fiscal year. actual expenses, including both direct and in-
direct expenses incurred by the commission or its staff or by the citizens'
utility ratepayer board (1) For a public utility or common carrier
that derives no operating revenues from intrastate operations, ac-
tual expenses, including direct and indirect expenses incurred by
the commission or the commission's staff or by the citizens' utility
ratepayer board; and (2) for any other public utility or common
carrier, 3/5 of 1% of its gross operating revenues derived from intra-
state operations as reflected in the last annual report filed with the
commission pursuant to K.S.A. 66-123, and amendments thereto,
prior to the beginning of the commission's fiscal year. The commis-
sion may render bills in one fiscal year for costs incurred within a previous
fiscal year.
  When such expenses are incurred by the commission in order to carry
out the duties imposed upon it by law, the state corporation commission,
in a proceeding upon its own motion, on complaint or upon an application
to it, shall deem it necessary to investigate certain electric cooperative
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public utilities subject to commission jurisdiction pursuant to K.S.A. 66-
104b(b) and 66-104d(f) and amendments thereto, such electric coopera-
tive public utilities shall be assessed the same as all public utilities and
common carriers under the jurisdiction of the state corporation commis-
sion pursuant to K.S.A. 66-104 and amendments thereto.
  (b)  The commission, in accordance with the procedures pre-
scribed by subsection (a), may assess against an entity that is not
subject to assessment pursuant to subsection (a) actual expenses of
any services extended, filings processed or actions certified by the
commission for the entity.'';
  Sec. 2.  K.S.A. 66-1503 is hereby amended to read as follows:
66-1503. (a) (1) The state corporation commission shall determine
within 15 days after each quarter-year for each such quarter-year,
the total amount of its expenditures during such period of time
and the total amount of expenditures of the citizens' utility rate-
payer board during such period of time. The total amount shall
include the salaries of members and employees and all other lawful
expenditures of the commission and the board, including all ex-
penditures in connection with investigations or appraisals made
under the provisions of K.S.A. 66-1502, and amendments thereto,
except that there shall not be included in such total amount of
expenditures for the purpose of this section the expenditures dur-
ing such period of time which are otherwise provided for by fees
and assessments made under other existing laws for the regulation
of motor carriers or for administering the oil proration and the oil
and gas conservation laws.
  (2)  From the amount determined under paragraph (1) of this
subsection, the commission shall deduct (A) all amounts collected
under K.S.A. 66-1502, and amendments thereto, during such pe-
riod of time and (B) the amounts of all fees collected during such
period of time under the provisions of subsection (b)(1) of K.S.A.
66-1a01, and amendments thereto.
  (3)  To the remainder after making the deductions under par-
agraph (2) of this subsection, the commission shall add such
amount as in its judgment may be required to satisfy any deficiency
in the prior assessment period's assessment and to provide for an-
ticipated increases in necessary expenditures for the current as-
sessment period.
  (b)  The amount determined under subsection (a) shall be as-
sessed by the commission against the several all public utilities and
common carriers subject to the jurisdiction of the commission in
proportion to their respective and shall not exceed, during any fiscal year,
the greater of $400 or 0.2% of the respective utility's or common carrier's
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gross operating revenues derived from intrastate operation as re-
flected in the last annual report filed with the commission pursuant
to K.S.A. 66-123, and amendments thereto, prior to the beginning
of the commission's fiscal year, except that the assessment during any
fiscal year shall not exceed .2% of such gross operating revenues or made
available to the commission upon request. Such assessment shall be
paid to the commission within 15 days after the notice of assess-
ment has been mailed to such public utilities and common carriers,
which notice of assessment shall constitute demand of payment
thereof.
  (c)  The commission shall remit all moneys received by or for it
for the assessment imposed under this section to the state treas-
urer at least monthly. Upon receipt of each such remittance, the
state treasurer shall deposit the entire amount thereof in the state
treasury. Twenty percent of each such deposit shall be credited to
the state general fund and the balance shall be credited to the
public service regulation fund.
  Sec. 3.  K.S.A. 1996 Supp. 66-118b is hereby amended to read
as follows: 66-118b. No cause of action arising out of any order or
decision of the commission shall accrue in any court to any party
unless such party shall petition for reconsideration in accordance
with the provisions of K.S.A. 77-529 and amendments thereto, ex-
cept that the commission shall have 30 days to issue an order on recon-
sideration. No party shall, in any court, urge or rely upon any
ground not set forth in the petition. An order made after recon-
sideration, abrogating, changing or modifying the original order
or decision, shall have the same force and effect as an original
order or decision, including the obligation to file a petition for
reconsideration, as provided in this section, as a condition prece-
dent to filing an action for review thereof. The time for filing an
appeal of any order or decision in a proceeding shall run from the
date that all petitions for reconsideration in such proceeding have
been denied or such petitions for reconsideration are deemed de-
nied pursuant to subsection (b) of K.S.A. 77-529 and amendments
thereto.
  Sec. 4.  K.S.A. 1996 Supp. 77-529 is hereby amended to read
as follows: 77-529. (a) Any party, within 15 days after service of a
final order, may file a petition for reconsideration with the agency
head, stating the specific grounds upon which relief is requested.
The filing of the petition is not a prerequisite for seeking admin-
istrative or judicial review except as provided in K.S.A. 44-1010
and 44-1115, and amendments thereto, concerning orders of the
Kansas human rights commission, K.S.A. 55-606 and 66-118b, and
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amendments thereto, concerning orders of the corporation com-
mission and K.S.A. 74-2426, and amendments thereto, concerning
orders of the board of tax appeals.
  (b)  Within 20 days after the filing of the petition, the agency
head shall render a written order denying the petition, granting
the petition and dissolving or modifying the final order, or grant-
ing the petition and setting the matter for further proceedings.
The petition may be granted, in whole or in part, only if the agency
head states, in the written order, findings of fact, conclusions of
law and policy reasons for the decision if it is an exercise of the
state agency's discretion, to justify the order. In proceedings be-
fore the Kansas corporation commission, the petition is deemed to
have been denied if the agency head does not dispose of it within
20 30 days after the filing of the petition.
  An order under this section shall be served on the parties in the
manner prescribed by K.S.A. 77-531 and amendments thereto.
  (c)  Any order rendered upon reconsideration or any order de-
nying a petition for reconsideration shall state the agency officer
to receive service of a petition for judicial review on behalf of the
agency.
  (d)  For the purposes of this section, ``agency head'' shall in-
clude a presiding officer designated in accordance with subsection
  (g) of K.S.A. 77-514, and amendments thereto.
  Sec. 2 5.  K.S.A. 66-1502 is and 66-1503 and K.S.A. 1996 Supp.
66-118b and 77-529 are hereby repealed.
  Sec. 3 6.  This act shall take effect and be in force from and after its
publication in the statute book.