Ch. 132             1997 Session Laws of Kansas             725

Chapter 132

SENATE BILL No. 333

An Act concerning the state corporation commission; powers and duties; assessment of
expenses; time to issue certain orders; granting of exemptions from certain filing require-
ments; issuance of certain certificates; duties and authority relating to energy efficiency
standards for buildings; changes in rates and schedules of public utilities and common
carriers; regulation of natural gas gathering systems and services; amending K.S.A. 66-
1,191, 66-1,234, 66-1502 and 66-1503 and K.S.A. 1996 Supp. 55-150, 66-101d, 66-101e,
66-117, 66-118b, 66-125, 66-1,192, 66-1,204, 66-1,205, 66-1,219, 66-1,220, 66-1,235 and
77-529 and repealing the existing sections; also repealing K.S.A. 66-131a.

Be it enacted by the Legislature of the State of Kansas:

Section 1. On and after July 1, 1997, 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 motion, 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 appraisal exceed the sum of $100, including both
direct and indirect expenses incurred by the commission or its staff or by
the citizens' utility ratepayer board, shall pay such expenses which shall
be assessed against such public utility or common carrier by the com-
mission, 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 beginning on the date
that the proceeding is filed or beginning three business days after the
commission gives the public utility or common carrier notice of the as-
sessment by United States mail, whichever is later.
The state corporation
commission shall give such public utility or common carrier notice and
opportunity for a hearing in accordance with the provisions of the Kansas
administrative procedure act. At such hearing, the public utility or com-
mon 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 carrier. The finding of the com-
mission as to the necessity of the investigation or appraisal and the as-
sessment 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

726             1997 Session Laws of Kansas             Ch. 132

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 the
following: (1) For a public utility or common carrier that is under the
jurisdiction of the commission and has not filed an annual report 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
direct and indirect expenses incurred by the commission or the commis-
sion'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 under the jurisdiction of
the commission, 0.6% of the public utility's or common carrier's
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 fis-
cal year. The commission may render bills in one fiscal year for costs
incurred within a previous fiscal year.

(b) The commission, in accordance with the procedures prescribed by
subsection (a), may assess against an entity, other than a residential or
small commercial ratepayer, 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. On and after July 1, 1997, 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 ratepayer board
during such period of time. The total amount shall include the salaries of
members and employees and all other lawful expenditures of the com-
mission and the board, including all expenditures in connection with in-
vestigations 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 expend-
itures during such period of time which are otherwise provided for by
fees and assessments made under other existing laws for the regulation

Ch. 132             1997 Session Laws of Kansas             727

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 sub-
section, the commission shall deduct (A) all amounts collected under
K.S.A. 66-1502, and amendments thereto, during such period 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 paragraph
(2) of this subsection, the commission shall add such amount as in its
judgment may be required to satisfy any deficiency in the prior assess-
ment period's assessment and to provide for anticipated increases in nec-
essary expenditures for the current assessment period.

(b) The amount determined under subsection (a) shall be assessed
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 $100 or 0.2% of the respective utility's or common carrier's
gross op-
erating revenues derived from intrastate operation 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, 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 assessment 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 treasurer 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. On and after July 1, 1997, 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 accor-
dance with the provisions of K.S.A. 77-529 and amendments thereto,
except 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 reconsideration, 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

728             1997 Session Laws of Kansas             Ch. 132

condition precedent 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 denied
pursuant to subsection (b) of K.S.A. 77-529 and amendments thereto.

Sec. 4. On and after July 1, 1997, 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 administrative
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 com-
mission, K.S.A. 55-606 and 66-118b, and amendments thereto, concern-
ing orders of the corporation commission 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 granting 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 before 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 denying 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 include a
presiding officer designated in accordance with subsection (g) of K.S.A.
77-514, and amendments thereto.

Sec. 5. On and after July 1, 1997, K.S.A. 1996 Supp. 66-101d is
hereby amended to read as follows: 66-101d. It shall be the duty of the
commission, either upon complaint or upon its own initiative, to
The
commission, upon its own initiative, may
investigate all schedules of rates
and rules and regulations of electric public utilities. If after investigation
and hearing the commission finds that such rates or rules and regulations
are unjust, unreasonable, unjustly discriminatory or unduly preferential,
the commission shall have the power to establish and order substituted
therefor such rates and such rules and regulations as are just and reason-
able.

If after investigation and hearing it is found that any regulation, meas-

Ch. 132             1997 Session Laws of Kansas             729

urement, practice, act or service complained of is unjust, unreasonable,
unreasonably inefficient or insufficient, unduly preferential, unjustly dis-
criminatory, or otherwise in violation of this act or of the orders of the
commission, or if it is found that any service is inadequate or that any
reasonable service cannot be obtained, the commission shall have the
power to substitute therefor such other regulations, measurements, prac-
tices, service or acts, and to make such order respecting any such changes
in such regulations, measurements, practices, service or acts as are just
and reasonable. When, in the judgment of the commission, public ne-
cessity and convenience require, the commission shall have the power to
establish just and reasonable concentration or other special rates, charges
or privileges, but all such rates, charges and privileges shall be open to
all users of a like kind of service under similar circumstances and condi-
tions.

Hearings shall be conducted in accordance with the provisions of the
Kansas administrative procedure act, unless, in the case of a general in-
vestigation, for good cause, the commission orders otherwise
.

Sec. 6. On and after July 1, 1997, K.S.A. 1996 Supp. 66-101e is
hereby amended to read as follows: 66-101e. Upon a complaint in writing
made against any electric public utility governed by this act that any of
the rates or rules and regulations of such electric public utility are in any
respect unreasonable, unfair, unjust, unjustly discriminatory or unduly
preferential, or both, or that any regulation, practice or act whatsoever
affecting or relating to any service performed or to be performed by such
electric public utility for the public, is in any respect unreasonable, unfair,
unjust, unreasonably inefficient or insufficient, unjustly discriminatory or
unduly preferential, or that any service performed or to be performed by
such electric public utility for the public is unreasonably inadequate, in-
efficient, unduly insufficient or cannot be obtained, the commission shall
may proceed, with or without notice, to make such investigation as it
deems necessary.

The commission may, upon its own motion, and without any complaint
being made, proceed to make such investigation, but
No order changing
such rates, rules and regulations, practices or acts complained of shall be
made or entered by the commission without a formal public hearing, of
which due notice shall be given by the commission to such electric public
utility or to such complainant or complainants, if any, in accordance with
the provisions of the Kansas administrative procedure act. Any public
investigation or hearing which the commission shall have power to make
or to hold may be made or held before any one or more commissioners.
All investigations, hearings, decisions and orders made by a commissioner
shall be deemed the investigations, hearings, decisions and orders of the
commission, when approved by the commission.

The commission shall have power to require electric public utilities to

730             1997 Session Laws of Kansas             Ch. 132

make such improvements and do such acts as are or may be required by
law to be done by any such electric public utility.

Sec. 7. On and after July 1, 1997, K.S.A. 66-1,191 is hereby amended
to read as follows: 66-1,191. It shall be the duty of the commission, either
upon complaint or upon its own initiative, to
The commission, upon its
own initiative, may
investigate all rates, joint rates, tolls, charges and
exactions, classifications or schedules of rates or joint rates and rules and
regulations of telecommunications public utilities. If after full hearing and
investigation the commission finds that such rates, joint rates, tolls,
charges or exactions, classifications or schedules of rates or joint rates or
rules and regulations are unjust, unreasonable, unjustly discriminatory or
unduly preferential, the commission shall have the power to fix and order
substituted therefor such rates, tolls, charges, exactions, classifications or
schedules of rates or joint rates and such rules and regulations as are just
and reasonable.

If upon any investigation it is found that any regulation, measurement,
practice, act or service complained of is unjust, unreasonable, unreason-
ably inefficient or insufficient, unduly preferential, unjustly discrimina-
tory, or otherwise in violation of this act or of the orders of the commis-
sion, or if it is found that any service is inadequate or that any reasonable
service cannot be obtained, the commission may substitute therefor such
other regulations, measurements, practices, service or acts, and make
such order respecting any such changes in such regulations, measure-
ments, practices, service or acts as are just and reasonable. When, in the
judgment of the commission, public necessity and convenience require,
the commission may establish just and reasonable concentration or other
special rates, charges or privileges, but all such rates, charges and privi-
leges shall be open to all users of a like kind of service under similar
circumstances and conditions. Hearings shall be conducted in accordance
with the provisions of the Kansas administrative procedure act, unless, in
the case of a general investigation, for good cause, the commission orders
otherwise.

Sec. 8. On and after July 1, 1997, K.S.A. 1996 Supp. 66-1,192 is
hereby amended to read as follows: 66-1,192. (a) Upon a complaint in
writing made against any telecommunications public utility governed by
this act, by any mercantile, agricultural or manufacturing organization or
society, or by any body politic or municipal organization, or by any tax-
payer, firm, corporation or association,
that any of the rates or joint rates,
tolls, charges, rules, regulations, classifications or schedules of such tele-
communications public utility are in any respect unreasonable, unfair,
unjust, unjustly discriminatory or unduly preferential, or both, or that any
regulation, practice or act whatsoever affecting or relating to any service
performed or to be performed by such telecommunications public utility
for the public, is in any respect unreasonable, unfair, unjust, unreasonably

Ch. 132             1997 Session Laws of Kansas             731

inefficient or insufficient, unjustly discriminatory or unduly preferential,
or that any service performed or to be performed by such telecommu-
nications public utility for the public is unreasonably inadequate, ineffi-
cient, unduly insufficient or cannot be obtained, the commission shall
may proceed, with or without notice, to make such investigation as it
deems necessary.

The commission may, upon its own motion, and without any complaint
being made, proceed to make such investigation, but
No order changing
such rates, joint rates, tolls, charges, rules, regulations and classifications,
schedules, practices or acts complained of shall be made or entered by
the commission without a formal public hearing in accordance with the
provisions of the Kansas administrative procedure act, of which due notice
shall be given by the commission to such telecommunications public util-
ity or to such complainant or complainants, if any. Any public investigation
or hearing which the commission shall have power to make or to hold
may be made or held before any one or more commissioners. All inves-
tigations, hearings, decisions and orders made by a commissioner shall be
deemed the investigations, hearings, decisions and orders of the com-
mission, when approved by the commission.

(b) The commission shall have power to require telecommunications
public utilities to make such improvements and do such acts as are or
may be required by law to be done by any such telecommunications
public utility.

Sec. 9. On and after July 1, 1997, K.S.A. 1996 Supp. 66-1,204 is
hereby amended to read as follows: 66-1,204. It shall be the duty of the
commission, either upon complaint or upon its own initiative, to
The
commission, upon its own initiative, may
investigate all schedules of rates
and rules and regulations of natural gas public utilities. If after investi-
gation and hearing the commission finds that such rates or rules and
regulations are unjust, unreasonable, unjustly discriminatory or unduly
preferential, the commission shall have the power to establish and order
substituted therefor such rates and such rules and regulations as are just
and reasonable.

If after investigation and hearing it is found that any regulation, meas-
urement, practice, act or service complained of is unjust, unreasonable,
unreasonably inefficient or insufficient, unduly preferential, unjustly dis-
criminatory, or otherwise in violation of this act or of the orders of the
commission, or if it is found that any service is inadequate or that any
reasonable service cannot be obtained, the commission may substitute
therefor such other regulations, measurements, practices, service or acts,
and make such order respecting any such changes in such regulations,
measurements, practices, service or acts as are just and reasonable. When,
in the judgment of the commission, public necessity and convenience
require, the commission may establish just and reasonable concentration

732             1997 Session Laws of Kansas             Ch. 132

or other special rates, charges or privileges, but all such rates, charges
and privileges shall be open to all users of a like kind of service under
similar circumstances and conditions. Hearings shall be conducted in ac-
cordance with the provisions of the Kansas administrative procedure act,
unless, in the case of a general investigation, for good cause, the commis-
sion orders otherwise.

Sec. 10. On and after July 1, 1997, K.S.A. 1996 Supp. 66-1,205 is
hereby amended to read as follows: 66-1,205. (a) Upon a complaint in
writing made against any natural gas public utility governed by this act
that any rates or rules and regulations of such natural gas public utility
are in any respect unreasonable, unfair, unjust, unjustly discriminatory or
unduly preferential, or both, or that any rule and regulation, practice or
act whatsoever affecting or relating to any service performed or to be
performed by such natural gas public utility for the public, is in any re-
spect unreasonable, unfair, unjust, unreasonably inefficient or insuffi-
cient, unjustly discriminatory or unduly preferential, or that any service
performed or to be performed by such natural gas public utility for the
public is unreasonably inadequate, inefficient, unduly insufficient or can-
not be obtained, the commission shall may proceed, with or without no-
tice, to make such investigation as it deems necessary.

The commission, upon its own motion and without any complaint being
made, may proceed to make such investigation, but
No order changing
such rates, rules and regulations, practices or acts complained of shall be
made or entered by the commission without a formal public hearing in
accordance with the provisions of the Kansas administrative procedure
act, of which due notice shall be given by the commission to such natural
gas public utility or to such complainant or complainants, if any. Any
public investigation or hearing which the commission shall have power to
make or to hold may be made or held before any one or more commis-
sioners. All investigations, hearings, decisions and orders made by a com-
missioner shall be deemed the investigations, hearings, decisions and or-
ders of the commission, when approved by the commission.

(b) The commission shall have power to require natural gas public
utilities to make such improvements and do such acts as are or may be
required by law to be done by any such natural gas public utility.

Sec. 11. On and after July 1, 1997, K.S.A. 1996 Supp. 66-1,219 is
hereby amended to read as follows: 66-1,219. It shall be the duty of the
commission, either upon complaint or upon its own initiative, to
The
commission, upon its own initiative, may
investigate all rates, joint rates,
tolls, charges and exactions, classifications or schedules of rates or joint
rates and rules and regulations of common carriers, except a motor carrier
holding a certificate of public service. If after full hearing and investiga-
tion the commission finds that such rates, joint rates, tolls, charges or
exactions, classifications or schedules of rates or joint rates or rules and

Ch. 132             1997 Session Laws of Kansas             733

regulations are unjust, unreasonable, unjustly discriminatory or unduly
preferential, the commission shall have the power to fix and order sub-
stituted therefor such rates, tolls, charges, exactions, classifications or
schedules of rates or joint rates and such rules and regulations as are just
and reasonable.

If upon any investigation it is found that any such regulation, measure-
ment, practice, act or service complained of is unjust, unreasonable, un-
reasonably inefficient or insufficient, unduly preferential, unjustly dis-
criminatory, or otherwise in violation of this act or of the orders of the
commission, or if it is found that any service is inadequate or that any
reasonable service cannot be obtained, the commission may substitute
therefor such other regulations, measurements, practices, service or acts,
and make such order respecting any such changes in such regulations,
measurements, practices, service or acts as are just and reasonable. When,
in the judgment of the commission, public necessity and convenience
require, the commission may establish just and reasonable concentration
or other special rates, charges or privileges, but all such rates, charges
and privileges shall be open to all users of a like kind of service under
similar circumstances and conditions. Hearings shall be conducted in ac-
cordance with the provisions of the Kansas administrative procedure act,
unless, in the case of a general investigation, for good cause, the commis-
sion orders otherwise.

Sec. 12. On and after July 1, 1997, K.S.A. 1996 Supp. 66-1,220 is
hereby amended to read as follows: 66-1,220. (a) Upon a complaint in
writing made against any common carrier, except a motor carrier holding
a certificate of public service, governed by this act, by any mercantile,
agricultural or manufacturing organization or society, or by any body pol-
itic or municipal organization, or by any taxpayer, firm, corporation or
association,
that any of the rates or joint rates, fares, tolls, charges, rules,
regulations, classifications or schedules of such common carrier are in any
respect unreasonable, unfair, unjust, unjustly discriminatory or unduly
preferential, or both, or that any regulation, practice or act whatsoever
affecting or relating to any service performed or to be performed by such
common carrier for the public, is in any respect unreasonable, unfair,
unjust, unreasonably inefficient or insufficient, unjustly discriminatory or
unduly preferential, or that any service performed or to be performed by
such common carrier for the public is unreasonably inadequate, ineffi-
cient, unduly insufficient or cannot be obtained, the commission shall
may proceed, with or without notice, to make such investigation as it
deems necessary.

The commission, upon its own motion, and without any complaint be-
ing made, may proceed to make such investigation, but
No order changing
such rates, joint rates, tolls, charges, rules, regulations and classifications,
schedules, practices or acts complained of shall be made or entered by

734             1997 Session Laws of Kansas             Ch. 132

the commission without a formal public hearing in accordance with the
provisions of the Kansas administrative procedure act, of which due notice
shall be given by the commission to such common carrier or to such
complainant or complainants, if any. Any public investigation or hearing
which the commission shall have power to make or to hold may be made
or held before any one or more commissioners. All investigations, hear-
ings, decisions and orders made by a commissioner shall be deemed the
investigations, hearings, decisions and orders of the commission, when
approved by the commission.

(b) The commission shall have power to require common carriers,
except a motor carrier holding a certificate of public service, to make such
improvements and do such acts as are or may be required by law to be
done by any such common carrier.

Sec. 13. On and after July 1, 1997, K.S.A. 66-1,234 is hereby
amended to read as follows: 66-1,234. It shall be the duty of the com-
mission, either upon complaint or upon its own initiative, to
The com-
mission, upon its own initiative, may
investigate all rates, joint rates, tolls,
charges and exactions, classifications or schedules of rates or joint rates
and rules and regulations of miscellaneous public utilities. If after full
hearing and investigation the commission finds that such rates, joint rates,
tolls, charges or exactions, classifications or schedules of rates or joint
rates or rules and regulations are unjust, unreasonable, unjustly discrim-
inatory or unduly preferential, the commission shall have the power to
fix and order substituted therefor such rates, tolls, charges, exactions,
classifications or schedules of rates or joint rates and such rules and reg-
ulations as are just and reasonable.

If upon any investigation it is found that any regulation, measurement,
practice, act or service complained of is unjust, unreasonable, unreason-
ably inefficient or insufficient, unduly preferential, unjustly discrimina-
tory, or otherwise in violation of this act or of the orders of the commis-
sion, or if it is found that any service is inadequate or that any reasonable
service cannot be obtained, the commission may substitute therefor such
other regulations, measurements, practices, service or acts, and make
such order respecting any such changes in such regulations, measure-
ments, practices, service or acts as are just and reasonable. When, in the
judgment of the commission, public necessity and convenience require,
the commission may establish just and reasonable concentration, com-
modity, transit or other special rates, charges or privileges, but all such
rates, charges and privileges shall be open to all users of a like kind of
service under similar circumstances and conditions. Hearings shall be
conducted in accordance with the provisions of the Kansas administrative
procedure act, unless, in the case of a general investigation, for good cause,
the commission orders otherwise.

Sec. 14. On and after July 1, 1997, K.S.A. 1996 Supp. 66-1,235 is

Ch. 132             1997 Session Laws of Kansas             735

hereby amended to read as follows: 66-1,235. (a) Upon a complaint in
writing made against any miscellaneous public utility governed by this act,
by any mercantile, agricultural or manufacturing organization or society,
or by any body politic or municipal organization, or by any taxpayer, firm,
corporation or association,
that any of the rates or joint rates, tolls,
charges, rules, regulations, classifications or schedules of such miscella-
neous public utility are in any respect unreasonable, unfair, unjust, un-
justly discriminatory or unduly preferential, or both, or that any regula-
tion, practice or act whatsoever affecting or relating to any service
performed or to be performed by such miscellaneous public utility for
the public, is in any respect unreasonable, unfair, unjust, unreasonably
inefficient or insufficient, unjustly discriminatory or unduly preferential,
or that any service performed or to be performed by such miscellaneous
public utility for the public is unreasonably inadequate, inefficient, unduly
insufficient or cannot be obtained, the commission shall may proceed,
with or without notice, to make such investigation as it deems necessary.

The commission may, upon its own motion, and without any complaint
being made, proceed to make such investigation, but
No order changing
such rates, joint rates, fares, tolls, charges, rules, regulations and classi-
fications, schedules, practices or acts complained of shall be made or
entered by the commission without a formal public hearing in accordance
with the provisions of the Kansas administrative procedure act, of which
due notice shall be given by the commission to such miscellaneous public
utility or to such complainant or complainants, if any. Any public inves-
tigation or hearing which the commission shall have power to make or to
hold may be made or held before any one or more commissioners. All
investigations, hearings, decisions and orders made by a commissioner
shall be deemed the investigations, hearings, decisions and orders of the
commission, when approved by the commission.

(b) The commission shall have power to require miscellaneous public
utilities to make such improvements and do such acts as are or may be
required by law to be done by any such miscellaneous public utility.

New Sec. 15. (a) The state corporation commission shall have the
authority to exempt any public utility or common carrier over which the
commission has jurisdiction from the requirements of publishing and fil-
ing with the commission copies of schedules of rates, joint rates, tolls,
charges, classifications and divisions of rates for jurisdictional services
affecting Kansas customers and charged for any such service that is not
subject to price regulation. After a public utility or common carrier service
has been exempted from such requirements, the commission may require
such public utility or common carrier to publish and file with the com-
mission tariffs for such service when necessary to protect consumers from
fraudulent business practices or practices that are inconsistent with the

736             1997 Session Laws of Kansas             Ch. 132

public interest, convenience and necessity or when the commission oth-
erwise deems necessary.

(b) The provisions of this section shall take effect on and after July
1, 1997.

Sec. 16. On and after July 1, 1997, K.S.A. 1996 Supp. 66-125 is
hereby amended to read as follows: 66-125. (a) Any investor-owned elec-
tric public utility incorporated in the state of Kansas having a total capi-
talization in excess of $1 billion dollars
may issue stocks, certificates,
bonds, notes or other evidences of indebtedness, payable at periods of
more than 12 months after the date thereof, when necessary for the ac-
quisition of property, for the purpose of carrying out its corporate powers,
the construction, completion, extension or improvements of its facilities,
for the improvements or maintenance of its service, for the discharge or
lawful refunding of its obligations, or for such other purposes as may be
authorized by law. Prior to any such issuance, there shall be secured from
the commission a certificate stating the amount, character, purposes and
terms on which such stocks, certificates, bonds, notes or other evidences
of indebtedness are proposed to be issued, as set out in the application
for such certificate. In lieu of securing a certificate from the commission,
if the issuance requires a registration statement to be filed with the se-
curities and exchange commission or such utility obtains an authorization
or approval of such issuance from another state or federal agency, the
public utility may file with the state corporation commission a copy of the
information filed with the securities and exchange commission or such
other agency.

(b) The proceedings for obtaining such certificate from the commis-
sion and the conditions of its being issued shall be as follows:

(1) In case the stocks, certificates, bonds, notes or other evidences of
indebtedness are to be issued for money only, the public utility or com-
mon carrier shall file with the commission a statement, signed and verified
by the president or other chief officer of the company having knowledge
of the facts, showing:

(A) The amount and character of the proposed stocks, certificates,
bonds, notes or other evidences of indebtedness;

(B) the general purposes for which they are to be issued;

(C) the terms on which they are to be issued;

(D) the total assets and liabilities of the public utility or common
carrier; and

(E) that the capital sought to be secured by the issuance of such
stocks, certificates, bonds, notes or other evidences of indebtedness is
necessary and required for such purposes and will be used therefor.

(2) In case stocks, certificates, bonds, notes or other evidences of
indebtedness are to be issued partly or wholly for property or services or
other consideration than money, the public utility or common carrier shall

Ch. 132             1997 Session Laws of Kansas             737

file with the commission a statement, signed and verified by the president
or other chief officer having knowledge of the facts, showing:

(A) The amount and character of the stocks, certificates, bonds, notes
or other evidences of indebtedness proposed to be issued;

(B) the general purposes for which they are to be issued;

(C) a general description and an estimated value of the property or
services for which they are to be issued;

(D) the terms on which they are to be issued or exchanged;

(E) the amount of money, if any, to be received for the same in
addition to such property, services or other consideration;

(F) the total assets and liabilities of the public utility or common
carrier; and

(G) that the capital sought to be secured by the issuance of such
stocks, certificates, bonds, notes or other evidences of indebtedness is
necessary and required for such purposes and will be used therefor.

(c) The commission may also require the public utility or common
carrier to furnish such further statements of facts as may be reasonable
and pertinent to the inquiry. Upon full compliance by the applicant with
the provisions of this section the commission shall forthwith issue a cer-
tificate stating the amount, character, purposes and terms upon which
such stocks, certificates, bonds, notes or other evidences of indebtedness
are proposed to be issued, as set out in the application for such certificate.
Any issue of stocks, certificates, bonds, notes or other evidences of in-
debtedness not payable within one year, which shall be issued by such
public utility or common carrier contrary to the provisions of this act shall
be voidable by the commission, except as provided in subsection (d).

(d) The provisions of this section shall not apply to motor carriers, as
defined in K.S.A. 66-1,108, and amendments thereto or any public utility
except as provided in subsection (a). Any issue of stocks, certificates,
bonds, notes or other evidences of indebtedness not payable within one
year, which were issued by a motor carrier prior to the effective date of
this act without obtaining a certificate from the commission shall be
deemed valid.

New Sec. 17. (a) The American Society of Heating and Air Condi-
tioning Engineers/Illuminating Society of North America 1989 90-1 Stan-
dard or Code (ASHRAE/IES 90.1-89) is hereby adopted as the applicable
thermal efficiency standard for new commercial and industrial structures
in this state.

(b) The state corporation commission has no authority to adopt or
enforce energy efficiency standards for residential, commercial or indus-
trial structures.

(c) Nothing in this section shall be construed to preclude a city or
county from adopting or enforcing thermal efficiency standards for struc-
tures within the jurisdiction of such city or county.

738             1997 Session Laws of Kansas             Ch. 132

New Sec. 18. (a) Except as provided by subsection (b), the person
building or selling a previously unoccupied new residential structure shall
disclose to the buyer information regarding the thermal efficiency of the
structure on a form prepared and disseminated by the state corporation
commission, which form shall be substantially as follows:

``ENERGY EFFICIENCY DISCLOSURE

This residence (mark one of the following):

______ 1. Has been built to meet the energy efficiency standards of the Model Energy
Code of 1993

______ 2. Has been built to include the following energy efficiency elements:
(1) Insulation values (R-value of insulation installed) for each of the following:

Ceiling with attic above R-value ______

Cathedral ceiling R-value ______

Opaque walls R-value ______

Floors over unheated spaces R-value ______

Floors over outside air R-value ______

Foundation type:
Slab-on-grade ______
Crawlspace ______
Basement and percent of basement walls underground ______
(2) Thermal properties of windows and doors for each of the following:

Entry door(s) R-value ______

Sliding door(s) R-value ______

Other exterior doors R-value ______

Garage to house door R-value ______

Window U-value (determined from NFRC rating label or default table) ______
(3) HVAC equipment efficiency levels:

Heating systems:
Gas fired forced air furnace AFUE rating ______
Electric heat pump HSPF rating ______

Air conditioning systems:
Electric unit SEER rating ______
Electric heat pump EER rating ______
Ground source heat pump EER rating ______

Duct insulation levels: Insulation R-value of ducts outside envelope ______

Thermostat:
Manual control type ______
Automatic set-back type ______
(4) Water heating efficiency levels:
Water heater fuel type ______
Water heater capacity ______
NAECA energy factor ______''

(b) If a structure is subject to both the national manufactured housing
construction and safety standards act (42 U.S.C. 5403) and the federal
trade commission regulation on labeling and advertising of home insula-
tion, 16 CFR section 460.16, both as in effect on the effective date of this
act, the builder or seller may disclose, instead of the information required

Ch. 132             1997 Session Laws of Kansas             739

by subsection (a), the information regarding such structure that is re-
quired to be disclosed pursuant to such federal act and regulation.

Sec. 19. On and after July 1, 1997, K.S.A. 1996 Supp. 66-117 is
hereby amended to read as follows: 66-117. (a) Unless the state corpo-
ration commission otherwise orders, no common carrier or public utility
over which the commission has control shall make effective any changed
rate, joint rate, toll, charge or classification or schedule of charges, or any
rule or regulation or practice pertaining to the service or rates of such
public utility or common carrier except by filing the same with the com-
mission at least 30 days prior to the proposed effective date. The com-
mission, for good cause, may allow such changed rate, joint rate, toll,
charge or classification or schedule of charges, or rule or regulation or
practice pertaining to the service or rates of any such public utility or
common carrier to become effective on less than 30 days' notice. If the
commission allows a change to become effective on less than 30 days'
notice, the effective date of the allowed change shall be the date estab-
lished in the commission order approving such change, or the date of the
order if no effective date is otherwise established. Any such proposed
change shall be shown by filing with the state corporation commission a
schedule showing the changes, and such changes shall be plainly indicated
by proper reference marks in amendments or supplements to existing
tariffs, schedules or classifications, or in new issues thereof.

(b) Whenever any common carrier or public utility governed by the
provisions of this act files with the state corporation commission a sched-
ule showing the changes desired to be made and put in force by such
public utility or common carrier, the commission either upon complaint
or upon its own motion, may give notice and hold a hearing upon such
proposed changes. Pending such hearing, the commission may suspend
the operation of such schedule and defer the effective date of such change
in rate, joint rate, toll, charge or classification or schedule of charges, or
any rule or regulation or practice pertaining to the service or rates of any
such public utility or common carrier by delivering to such public utility
or common carrier a statement in writing of its reasons for such suspen-
sion.

(c) The commission shall not delay the effective date of the proposed
change in rate, joint rate, toll, charge or classification or schedule of
charges, or in any rule or regulation or practice pertaining to the service
or rates of any such public utility or common carrier, more than 240 days
beyond the date the public utility or common carrier filed its application
requesting the proposed change. If the commission does not suspend the
proposed schedule within 30 days of the date the same is filed by the
public utility or common carrier, such proposed schedule shall be deemed
approved by the commission and shall take effect on the proposed effec-
tive date. If the commission has not issued a final order on the proposed

740             1997 Session Laws of Kansas             Ch. 132

change in any rate, joint rate, toll, charge or classification or schedule of
charges, or any rule or regulation or practice pertaining to the service or
rates of any such public utility or common carrier, within 240 days after
the carrier or utility files its application requesting the proposed change,
then the schedule shall be deemed approved by the commission and the
proposed change shall be effective immediately, except that (1) for pur-
poses of the foregoing provisions regarding the period of time within
which the commission shall act on an application, any amendment to an
application for a proposed change in any rate, which increases the amount
sought by the public utility or common carrier or substantially alters the
facts used as a basis for such requested change of rate, shall, at the option
of the commission, be deemed a new application and the 240-day period
shall begin again from the date of the filing of the amendment, and (2)
if hearings are in process before the commission on a proposed change
requested by the public utility or common carrier on the last day of such
240-day period, such period shall be extended to the end of such hearings
plus 20 days to allow the commission to prepare and issue its final order,
and, (3) nothing in this subsection shall preclude the public utility or
common carrier and the commission from agreeing to a waiver or an
extension of the 240-day period
.

(c) (d) Except as provided in subsection (b) (c), no change shall be
made in any rate, toll, charge, classification or schedule of charges or joint
rates, or in any rule or regulation or practice pertaining to the service or
rates of any such public utility or common carrier, without the consent
of the commission. Within 30 days after such changes have been author-
ized by the state corporation commission or become effective as provided
in subsection (b) (c), copies of all tariffs, schedules and classifications, and
all rules and regulations, except those determined to be confidential un-
der rules and regulations adopted by the commission, shall be filed in
every station, office or depot of every such public utility and every com-
mon carrier in this state, for public inspection.

(d) (e) Upon a showing by a public utility before the state corporation
commission at a public hearing and a finding by the commission that such
utility has invested in projects or systems that can be reasonably expected
(1) to produce energy from a renewable resource other than nuclear for
the use of its customers, (2) to cause the conservation of energy used by
its customers, or (3) to bring about the more efficient use of energy by
its customers, the commission may allow a return on such investment
equal to an increment of from 1/2% to 2% plus an amount equal to the
rate of return fixed for the utility's other investment in property found
by the commission to be used or required to be used in its services to the
public. The commission may also allow such higher rate of return on
investments by a public utility in experimental projects, such as load man-
agement devices, which it determines after public hearing to be reason-
ably designed to cause more efficient utilization of energy and in energy

Ch. 132             1997 Session Laws of Kansas             741

conservation programs or measures which it determines after public hear-
ing provides a reduction in energy usage by its customers in a cost-effec-
tive manner.

(e) (f) Whenever, after the effective date of this act, an electric public
utility, a natural gas public utility or a combination thereof, files tariffs
reflecting a surcharge on the utility's bills for utility service designed to
collect the annual increase in expense charged on its books and records
for ad valorem taxes, such utility shall report annually to the state cor-
poration commission the changes in expense charged for ad valorem taxes.
For purposes of this section, such amounts charged to expense on the
books and records of the utility may be estimated once the total property
tax payment is known. If found necessary by the commission or the utility,
the utility shall file tariffs which reflect the change as a revision to the
surcharge. Upon a showing that the surcharge is applied to bills in a
reasonable manner and is calculated to substantially collect the increase
in ad valorem tax expense charged on the books and records of the utility,
or reduce any existing surcharge based upon a decrease in ad valorem tax
expense incurred on the books and records of the utility, the commission
shall approve such tariffs within 30 days of the filing. Any over or under
collection of the actual ad valorem tax increase charged to expense on
the books of the utility shall be either credited or collected through the
surcharge in subsequent periods. The establishment of a surcharge under
this section shall not be deemed to be a rate increase for purposes of this
act. The net effect of any surcharges established under this section shall
be included by the commission in the establishment of base rates in any
subsequent rate case filed by the utility.

(f) (g) Except as to the time limits prescribed in subsection (b) (c),
proceedings under this section shall be conducted in accordance with the
provisions of the Kansas administrative procedure act.

Sec. 20. On and after July 1, 1997, K.S.A. 1996 Supp. 55-150 is
hereby amended to read as follows: 55-150. As used in this act unless the
context requires a different meaning:

(a) ``Commission'' means the state corporation commission.

(b) ``Contractor'' means any person who acts as agent for an operator
as a drilling, plugging, service rig or seismograph contractor in such op-
erator's oil and gas, cathodic protection, gas gathering or underground
natural gas storage operations.

(c) ``Fresh water'' means water containing not more than 1,000 mil-
ligrams per liter, total dissolved solids.

(d) ``Gas gathering system'' means a natural gas pipeline system used
primarily for transporting natural gas from a wellhead, or a metering point
for natural gas produced by one or more wells, to a point of entry into a
main transmission line, but shall not mean or include: (1) the gathering
of natural gas produced from wells owned and operated by the gatherer

742             1997 Session Laws of Kansas             Ch. 132

and where the gathering system is used exclusively for its own private
purposes; (2)
Lead lines from the wellhead to the connection with the
gathering system which are owned by the producing entity person; and
(3) (2) gathering systems used exclusively for injection and withdrawal
from natural gas storage fields
under the jurisdiction of the federal energy
regulatory commission
.

(e) ``Operator'' means a person who is responsible for the physical
operation and control of a well, gas gathering system or underground
natural gas storage facility.

(f) ``Person'' means any natural person, partnership, governmental or
political subdivision, firm, association, corporation or other legal entity.

(g) ``Rig'' means any crane machine used for drilling or plugging
wells.

(h) ``Usable water'' means water containing not more than 10,000
milligrams per liter, total dissolved solids.

(i) ``Well'' means a hole drilled or recompleted for the purpose of:

(1) Producing oil or gas;

(2) injecting fluid, air or gas in the ground in connection with the
exploration for or production of oil or gas;

(3) obtaining geological information in connection with the explora-
tion for or production of oil or gas by taking cores or through seismic
operations;

(4) disposing of fluids produced in connection with the exploration
for or production of oil or gas;

(5) providing cathodic protection to prevent corrosion to lines; or

(6) injecting or withdrawing natural gas.

New Sec. 21. On and after July 1, 1997, the term ``public utility'' as
used in K.S.A. 66-104, and amendments thereto, and the term ``common
carriers'' as used in K.S.A. 66-105, and amendments thereto, shall not
include any gas gathering system, as defined in K.S.A. 55-150, and amend-
ments thereto.

New Sec. 22. (a) As used in sections 22 through 30:

(1) ``Gas gathering services'' means the gathering or preparation of
natural gas for transportation, whether such services are performed for
hire or in connection with the purchase of natural gas by the person
gathering or preparing the gas or a marketer affiliated with the person
gathering or preparing the gas. ``Gas gathering services'' does not include
the gathering of natural gas by an owner or operator of gathering facilities
who: (A) Does not hold such facilities out for hire on or after the effective
date of this act; or (B) does not purchase the gas for resale.

(2) Other terms have the meanings provided by K.S.A. 55-150, and
amendments thereto.

(b) The provisions of sections 22 through 30 shall be part of and
supplemental to chapter 55 of the Kansas Statutes Annotated.

Ch. 132             1997 Session Laws of Kansas             743

(c) This section shall take effect and be in force on and after July 1,
1997.

New Sec. 23. (a) Each person offering gas gathering services in this
state shall file with the commission copies of: (1) Rates paid for natural
gas purchased at the wellhead by the person offering gas gathering serv-
ices; (2) all rates charged for gas gathering services offered by such per-
son; and (3) such data related to the characteristics of the gas purchased
or gathered by the person offering gas gathering services and such infor-
mation regarding the terms and duration of the contract as the commis-
sion determines necessary. The commission shall adopt rules and regu-
lations prescribing the form and times of filing of such rates, data and
information. The commission shall not be required to analyze, publish or
disseminate such rates, data and information except to the extent other-
wise required by law.

(b) Upon notice and an opportunity to be heard in accordance with
the provisions of the Kansas administrative procedure act, the commission
may impose an administrative fine on any person for failure to file any
rate, data or information as required by this section and rules and regu-
lations of the commission. Such fine shall not exceed $10,000 for each
day the rate, data or information remains unfiled as required or an ag-
gregate amount of $250,000, whichever is less.

(c) Rates, data and information filed pursuant to this section shall not
be used by the commission to order a change in any rate except in a
proceeding pursuant to section 25.

(d) Rates, data and information filed pursuant to this section shall not
be subject to K.S.A. 66-1220a, and amendments thereto.

(e) This section shall take effect and be in force on and after July 1,
1997.

New Sec. 24. (a) Persons offering gas gathering services in this state,
or facilities essential to provision of such services, shall provide, in a man-
ner that is just, reasonable, not unjustly discriminatory and not unduly
preferential, access to any person seeking such services or facilities.

(b) Persons performing gas gathering services shall engage in prac-
tices in connection with such services, and charge fees for such services,
that are just, reasonable, not unjustly discriminatory and not unduly pref-
erential.

(c) This section shall take effect and be in force on and after July 1,
1997.

New Sec. 25. (a) The commission, in its discretion, may at any time
review a fee, term or practice being used by a person offering gas gath-
ering services to ascertain whether a violation of section 24 has occurred.
Upon such review, the commission may initiate a proceeding to deter-
mine whether a violation of section 24 has occurred. Upon notice and an
opportunity for hearing in accordance with the Kansas administrative pro-

744             1997 Session Laws of Kansas             Ch. 132

cedure act, the commission shall have authority to order the remediation
of any violation of section 24 that the commission finds has occurred.

(b) Any consumer of gas gathering services, any person seeking direct
purchase of natural gas at the wellhead or any royalty owner, may request
the commission to investigate and initiate proceedings to review a fee,
term or practice being used by a person offering gas gathering services.
As a condition to formal commission action, the person requesting com-
mission action must first file a complaint that includes:

(1) A statement that the complainant has presented the complaint, in
writing, to the person offering gas gathering services and included a re-
quest for a meeting with such person to discuss the matter;

(2) a copy of the document described in subsection (b)(1);

(3) a statement that the requested meeting took place or the person
offering gas gathering services refused to meet with the complainant;

(4) detailed factual statement indicating how the fee, term or practice
violates section 24;

(5) a statement of the precise remedy being requested that will make
the fee, term or practice consistent with the provisions of section 24;

(6) if the complainant is a producer of natural gas, a copy of the
analysis of the complainant's natural gas, including the nitrogen, carbon
dioxide, hydrogen sulfide, water and other contaminant content; the
amount of volume; and the amount of pressure at the wellhead; and

(7) if available, a map showing the location of the affected wells and
all gas gathering systems in the area.

(c) The commission may resolve the complaint by use of an informal
procedure established by the commission pursuant to rules and regula-
tions adopted by the commission or the commission may conduct a formal
hearing and take evidence as necessary to determine the merits of the
complaint. If the commission uses an informal procedure and the com-
plaint is not resolved within 60 days after the complaint is filed, the com-
mission shall conduct a formal hearing on the complaint. The hearing
shall be conducted and notice given in accordance with the Kansas ad-
ministrative procedure act. Upon such hearing, the commission shall have
authority to order the remediation of any violations of section 24, to the
extent necessary for remediation as to the aggrieved person with respect
to the particular violation.

(d) In evaluating a fee or term, or in establishing a reasonable fee or
term, the commission is not required to engage in cost-of-service rate-
making or any other form of ratemaking. Instead, the commission can
employ any form of analysis and remedy that is designed to accomplish
the goals of this act while respecting the legitimate property interests of
the person offering the gas gathering services.

(e) Any natural gas producer using the gas gathering facilities of a
person engaged in activities described in subsection (a)(1)(A) or (B) of
section 22 may request the commission to investigate and initiate pro-

Ch. 132             1997 Session Laws of Kansas             745

ceedings to review the fees, terms and practices of the person engaged
in such activities. The commission shall conduct such investigation and
proceeding in the same manner as provided by this section for complaints
filed pursuant to subsection (b) and may order the remediation of any
violation of subsection (b) of section 24 that the commission finds would
exist except for the exemption provided by subsection (a)(1)(A) or (B) of
section 22.

(f) The commission shall maintain a publicized telephone number to
facilitate the filing of informal complaints pursuant to subsection (b) or
(e).

(g) The commission shall adopt such rules and regulations as the com-
mission determines reasonably necessary to prevent abuse of the com-
plaint procedure provided for by this section. Such rules and regulations
shall include provisions to prevent delay of the proceedings that may
damage a party's ability to pursue or defend the complaint.

New Sec. 26. (a) The commission may adopt such rules and regu-
lations as the commission determines necessary to improve access to gas
gathering services or to improve market competition or protect the public
interest in such services.

(b) This section shall take effect and be in force on and after July 1,
1997.

New Sec. 27. (a) The commission may exempt natural gas sold di-
rectly to a consumer from the wellhead before the gas enters a gathering
system from rate averaging or pricing systems that apply to gas sold from
a gas gathering system.

(b) This section shall take effect and be in force on and after July 1,
1997.

New Sec. 28. (a) In any retail natural gas service area where the
commission has granted a certificate of convenience and necessity to sell
natural gas at retail from a gas gathering system, the commission may
issue other certificates of convenience and necessity to make such sales
in such area. A person purchasing natural gas or gas gathering services
from a person offering gas gathering services in a retail natural gas service
area where the commission has issued more than one certificate of con-
venience and necessity shall not be assessed an exit fee for electing to
purchase natural gas or gas gathering services from another person of-
fering gas gathering services.

(b) This section shall take effect and be in force on and after July 1,
1997.

New Sec. 29. (a) Nothing in sections 22 through 28 shall be con-
strued, or authorize the commission, to amend any contractual obligations
between the person offering gas gathering services and the complainant
unless the commission determines, after investigation, notice and hearing,
that such contractual obligations are unjust, unreasonable, unjustly dis-

746             1997 Session Laws of Kansas             Ch. 132

criminatory or unduly preferential and adversely impact the public wel-
fare.

(b) This section shall take effect and be in force on and after July 1,
1997.

New Sec. 30. If a public utility providing service from a gas gathering
system determines that such utility lacks sufficient services or facilities to
serve the needs of any person wishing to utilize such utility's services
within such utility's certificated service area during any calendar year,
such utility, not later than November 1 preceding the beginning of such
calendar year, shall give notice thereof to the commission and to each
person that such utility determines it will be unable to serve.

New Sec. 31. If any provisions of this act or the application of this
act to any person or circumstances is held invalid, the invalidity does not
affect other provisions or applications of this act that can be given effect
without the invalid provisions or application. To this end the provisions
of this act are severable.

Sec. 32. K.S.A. 66-131a is hereby repealed.

Sec. 33. On and after July 1, 1997, K.S.A. 66-1,191, 66-1,234, 66-
1502 and 66-1503 and K.S.A. 1996 Supp. 55-150, 66-101d, 66-101e, 66-
117, 66-118b, 66-125, 66-1,192, 66-1,204, 66-1,205, 66-1,219, 66-1,220,
66-1,235 and 77-529 are hereby repealed.

Sec. 34. This act shall take effect and be in force from and after its
publication in the Kansas register.

Approved April 24, 1997.

Published in the Kansas Register: May 8, 1997.