Kansas 2023 2023-2024 Regular Session

Kansas House Bill HB2147 Comm Sub / Analysis

                    SESSION OF 2023
CONFERENCE COMMITTEE REPORT BRIEF
 HOUSE BILL NO. 2147
As Agreed to April 4, 2023
Brief*
HB 2147 would create and amend law to change procedures regarding purchase of a 
vehicle that had been towed. It also would amend the Uniform Act Regulating Traffic on 
Highways to add law to prohibit counterfeit airbags and to amend law to authorize certain 
ground effect lighting on vehicles.
Selling an Abandoned or Towed Vehicle 
The bill would create law to require a public agency or towing or wrecking service lawfully 
selling an abandoned or towed motor vehicle to provide a certification to the purchaser that 
statutory recovery, storage, notification, and verification requirements associated with 
abandoned or towed vehicles have been satisfied, and that vehicle identification number 
inspection requirements have been met, beginning January 1, 2024.
The certification of compliance would allow the purchaser of such a vehicle to apply for and 
receive a certificate of title free and clear of liens, security interests, and encumbrances.
The bill would require the certification to be completed on a form and in a manner 
approved by the Secretary of Revenue or the Secretary’s designee, and would be subject to a 
fee of $20 to be paid by the public agency or towing or wrecking service, to be retained by the 
county treasurer, Division of Vehicles of the Department of Revenue, or contractor that 
processes the certification of compliance form. The bill would specify the fee could be passed 
on to a purchaser or the vehicle’s original owner upon reclamation.
The bill would amend statutes regarding sale of a vehicle that has been abandoned or 
towed to require a notice to the owner or lienholder of a towed vehicle to be mailed within 15 
calendar days, rather than 10 days, after receipt of verification of the last owner and any 
lienholders.
The bill would also make conforming amendments to continuing law.
____________________
*Conference committee report briefs are prepared by the Legislative Research Department and do not express 
legislative intent. No summary is prepared when the report is an agreement to disagree. Conference committee 
report briefs may be accessed on the Internet at http://www.kslegislature.org/klrd 
1 - 2147  Counterfeit Airbags
The bill would create the crime of knowingly or intentionally manufacturing, importing, 
distributing, selling, offering for sale, installing, or reinstalling a device intended to replace a 
supplemental restraint system component in a vehicle if the device is counterfeit, a 
nonfunctional airbag, or an object not designed in accordance with federal safety regulations for 
the make, model, and year of the vehicle.
Violation would be a class A nonperson misdemeanor.
The bill would define four terms:
●“Airbag,” to mean an inflatable occupant restraint system device that is part of a 
supplemental restraint system in a vehicle;
●“Counterfeit supplemental restraint system component,” to mean a replacement 
component displaying a mark identical or substantially similar to the genuine mark of 
a motor vehicle manufacturer or parts supplier without authorization from that 
manufacturer or supplier;
●“Nonfunctional airbag,” to mean a replacement airbag that was previously deployed 
or damaged, has an electric fault that is detected by the vehicle’s diagnostic systems, 
includes a part or object installed in the vehicle to mislead the owner into believing 
that a functional airbag has been installed, or is an airbag prohibited by federal law; 
and
●“Supplemental restraint system,” to mean a passive inflatable vehicle occupant crash 
protection system designed for use in conjunction with active restraint systems (i.e., 
seat belts) that includes each airbag, installed according to the vehicle manufacturer’s 
design, and all components required to ensure the airbag operates as designed and 
meeting federal safety standards.
The bill would add these provisions to the Uniform Act Regulating Traffic on Highways.
Ground Effect Lighting
The bill would authorize equipping a motor vehicle with any type of ground effect lighting 
rather than only neon ground effect lighting, as authorized by current law. The bill would make 
conforming amendments to specify that no portion of the bulb or lighting fixture, rather than 
neon tubes, could be visible and would make conforming amendments to the definition of 
“ground effect lighting,” which is lighting that illuminates the ground below the vehicle.
Conference Committee Action
The Conference Committee agreed to the provisions of HB 2147 as amended by the 
Senate with amendments to change the effective date to January 1, 2024, and publication in the 
statute book and, in two statutes, to require a notice to the owner or lienholder of a towed 
vehicle to be mailed within 15 calendar days, rather than 10 days, after receipt of verification of 
the last owner and any lienholders. The Conference Committee also agreed to add the contents 
2 - 2147  of SB 106 as amended by the House, regarding counterfeit airbags and vehicle ground effect 
lighting.
Background
The Conference Committee report combines provisions of HB 2147 with amendments, SB 
106, and SB 143, which the House Committee had added to SB 106.
HB 2147 (Selling an Abandoned or Towed Vehicle)
The bill was introduced by the House Committee on Transportation at the request of 
Representative Awerkamp.
House Committee on Transportation
In the House Committee hearing, proponent testimony was provided by Representative 
Awerkamp and by representatives of A & A Auto and Truck Parts, Denton Auto Salvage, and the 
Division of Vehicles, Kansas Department of Revenue. The proponents generally stated the bill 
would allow salvage vehicle dealers to more easily comply with federal requirements regarding 
titles for “end of life” vehicles and prevent additional costs and administrative burdens 
associated with the sale and disposal of abandoned or towed vehicles for which information 
required to obtain a title was not obtained correctly prior to their auction.
Opponent testimony was provided by a representative of the Kansas Motor Carriers 
Association, who stated the bill would shift the time, expense, and administrative burden from 
salvage dealers to the towing company or public agency providing towing service, and many of 
the vehicles that would be affected by the bill are not worth that effort and expense from the 
perspective of the towing and recovery service providers.
Written-only opponent testimony was provided by a representative of Sunflower Tow 
Service.
The House Committee amended the bill to provide for the certification of compliance 
procedures and remove provisions of the bill as introduced. It also amended the effective date 
to January 1, 2024. [Note: The Conference Committee retained these amendments.]
[Note: The bill, as introduced, would have required parties towing and storing abandoned 
vehicles to have such vehicles titled prior to selling them.]
House Committee of the Whole
The House Committee of the Whole amended the bill to specify the certification of 
compliance fee would be retained by the entity that processed the certification. [Note: The 
Conference Committee retained this amendment.]
3 - 2147  Senate Committee on Transportation
In the Senate Committee hearing, proponent testimony was provided by Representative 
Awerkamp and by representatives of A & A Auto and Truck Parts, Denton Auto Salvage, and the 
Kansas Motor Carriers Association. The proponents described the situations the bill would 
address and the work to achieve compromise on its provisions. No other testimony was 
provided.
The Senate Committee amended the bill to change the effective date from January 1, 
2024, and publication in the statute book to January 1, 2024, and publication in the Kansas 
Register. [Note: The Conference Committee did not retain this amendment.]
SB 106 (Counterfeit Airbags)
The bill was introduced by the Senate Committee on Transportation at the request of a 
representative of the Alliance for Automotive Innovation.
Senate Committee on Transportation
In the Senate Committee hearing, a representative of American Honda Motor Company 
provided proponent testimony. Written-only proponent testimony was provided by 
representatives of the Alliance for Automotive Innovation, Automotive Anti-Counterfeiting 
Council, Coalition Against Insurance Fraud, and Kansas Automobile Dealers Association. 
Proponents generally stated counterfeit airbags pose significant safety risks to consumers.
No other testimony was provided.
The Senate Committee amended the bill to make it effective upon publication in the 
Kansas Register. [Note: The Conference Committee did not retain this amendment.]
House Committee on Transportation
In the House Committee hearing, a representative of American Honda Motor Company 
provided proponent testimony. Written-only proponent testimony was provided by 
representatives of the Alliance for Automotive Innovation, Coalition Against insurance Fraud, 
Kansas Automobile Dealers Association, and National Insurance Crime Bureau. Proponents 
generally stated counterfeit airbags pose significant safety risks to consumers and are used to 
defraud consumers and insurance companies.
No other testimony was provided.
The House Committee amended the bill to add the contents of SB 143, a bill pertaining to 
vehicle ground effect lighting. [Note: The Conference Committee agreed to retain this 
amendment.]
4 - 2147  SB 143 (Ground Effect Lighting)
The bill was introduced by the Senate Committee on Transportation at the request of a 
representative of the Johnson County Sheriff’s Office.
Senate Committee on Transportation
In the Senate Committee hearing, a representative of the Johnson County Sheriff’s Office 
provided proponent testimony. The conferee stated the technology used for these lights has 
changed, and the bill would make it clear that any ground effect lighting must follow statutory 
requirements.
No other testimony was provided.
The Senate Committee recommended the bill be placed on the Consent Calendar.
[Note: Continuing law states ground effect lighting may not flash or be any shade of red.]
House Committee on Transportation
In the House Committee hearing, a representative of the Johnson County Sheriff’s Office 
provided proponent testimony. The conferee stated the technology used for these lights has 
changed, and the bill would make it clear that any ground effect lighting must follow statutory 
requirements.
No other testimony was provided.
Fiscal Information
HB 2147 (Selling an Abandoned or Towed Vehicle)
According to the fiscal note prepared by the Division of the Budget on HB 2147, as 
introduced, the bill would have no fiscal effect on the Department of Revenue.
A fiscal note on the amended bill was not available when the House Committee, the 
Senate Committee, or the Conference Committee took action on the bill.
SB 106 (Counterfeit Airbags)
According to the fiscal note prepared by the Division of the Budget on SB 106, as 
introduced, the Office of Judicial Administration indicates enactment of the bill could increase 
the number of cases filed in district court because it would create a new crime, which would 
increase the workload of judicial and nonjudicial personnel and could require more supervision 
of offenders by court services officers. Enactment also could result in collection of supervision 
fees, docket fees, and fines. However, a fiscal effect cannot be determined because the number 
of additional cases cannot be estimated.
5 - 2147  The Kansas Department of Transportation indicates enactment of the bill would increase 
revenues to the Traffic Records Enhancement Fund and the Seat Belt Safety Fund from fines 
collected, but any increase is expected to be negligible.
Any fiscal effect associated with enactment of the bill is not reflected in The FY 2024 
Governor’s Budget Report.
SB 143 (Ground Effect Lighting)
According to the fiscal note prepared by the Division of the Budget on SB 143, the 
Department of Revenue indicates enactment of the bill would have no fiscal effect.
Motor vehicles; abandoned vehicles; towed vehicles; vehicle title; airbag; counterfeit; consumer protection; vehicle lights; ground 
effect lighting; uniform act regulating traffic on highways
ccrb_hb2147_01_0000.odt
6 - 2147