SESSION OF 2024
CONFERENCE COMMITTEE REPORT BRIEF
HOUSE BILL NO. 2562
As Agreed to April 2, 2024
Brief*
HB 2562 would create the Protect Vulnerable Adults from Financial Exploitation Act and
make amendments to the Kansas Uniform Securities Act (KUSA) relating to reporting of
instances of suspected financial exploitation, grounds for discipline, and civil and administrative
immunity in certain instances; create the Kansas Contract for Deed Act and authorize the
Kansas Real Estate Commission to issue cease-and-desist orders when the Commission has
determined a person is practicing without a valid broker’s or salesperson’s license; and make
any restrictive covenant on real property in violation of the Kansas Acts Against Discrimination
(KAAD) void and unenforceable.
Protect Vulnerable Adults from Financial Exploitation Act (New Sections 1–9)
Definitions
The bill would establish several definitions within the Act, including:
●“Agent,” would be assigned its definition from the KUSA and would mean an
individual, other than a broker-dealer, who represents a broker-dealer in effecting or
attempting to effect purchases or sales of securities or represents an issuer in
effecting or attempting to effect purchases or sales of the issuer’s securities;
●“Broker-dealer,” also would be assigned its definition from the KUSA and would mean
a person engaged in the business of effecting transactions in securities for the
account of others or for the person’s own account; [Note: Under this uniform act,
“broker-dealer” does not include an agent; an issuer; certain banks, savings
institutions, or trusts that meet specified conditions in the federal Securities Exchange
Act of 1934; an international banking institution; or persons excluded by a rule or
order adopted under the KUSA.]
●“Eligible adult” would mean an elder person or dependent adult as defined in a statute
in the Kansas Criminal Code pertaining to the mistreatment of a dependent adult and
the mistreatment of an elder person;
____________________
*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 - 2562 ○Under the Criminal Code provisions, an elder adult means a person 60 years of
age or older; and
○A dependent adult means an individual 18 years of age or older who is unable to
protect the individual’s own interest;
– This term also includes an individual who is (1) a resident of an adult care
home; (2) an adult cared for in a private residence; (3) an individual kept,
cared for, treated, boarded, confined, or otherwise accommodated in a
medical care facility; (4) an individual with intellectual disability or a
developmental disability receiving services through a community facility for
people with intellectual disability or residential facility; (5) an individual with
a developmental disability receiving services provided by a community
service provider as provided in the Developmental Disability Reform Act; or
(6) an individual kept, cared for, treated, boarded, confined, or otherwise
accommodated in a state psychiatric hospital or state institution for people
with intellectual disability;
●“Financial exploitation” would mean the unlawful or improper use, control, or
withholding of an eligible adult’s property, income, resources, or trust funds by any
other person or entity to obtain or use an eligible adult’s property, income, resources,
or trust funds in a manner that is not for the profit of or advantage of the eligible adult;
This term would include, but not be limited to:
○Use of deception, intimidation, coercion, extortion, or undue influence by a
person or entity to obtain or use an eligible adult’s property, income, resources,
or trust funds in a manner for the profit of or to the advantage of such person or
entity;
○Breach of a fiduciary duty, including, but not limited to, the misuse of a power of
attorney, trust, or a guardianship or conservator appointment, as it relates to
property, income, resources, or trust funds of the eligible adult; or
○Obtainment or use of an eligible adult’s property, income, resources, or trust
funds, without lawful authority, by a person or entity who knows or clearly should
know that the eligible adult lacks the capacity to consent to the release or use of
such eligible adult’s property, income, resources, or trust funds;
●“Investment adviser” would be assigned its definition from the KUSA and would mean
a person that, for compensation, engages in the business of advising others, either
directly or through publications or writings, as to the value of securities or the
advisability of investing in, purchasing, or selling securities or that, for compensation
and as a part of a regular business, issues or promulgates analyses or reports
concerning securities. The term includes a financial planner or other person that, as
an integral component of other financially related services, provides investment
advice to others for compensation as part of a business or that holds itself out as
providing investment advice to others for compensation.
○Under the KUSA, “investment adviser” does not include an investment adviser
representative; a lawyer, accountant, engineer, or teacher whose performance of
investment advice is solely incidental to the practice of the person’s profession;
a broker-dealer or its agents whose performance of investment advice is solely
incidental to the conduct of business as a broker-dealer and that does not
receive special compensation for the investment advice; a publisher of a bona
fide newspaper, news magazine, or business or financial publication of general
2 - 2562 and regular circulation; a federally regulated investment adviser; a bank, savings
institution, or trust company; any other person excluded by the federal
Investment Advisers Act of 1940 from the definition of investment adviser; or any
other person excluded by rule adopted or order issued under the KUSA;
●“Protective agencies” would mean the state Securities Commissioner (Commissioner)
and the Kansas Department for Children and Families (DCF); and
●“Qualified person,” would mean any agent, broker-dealer, investment adviser,
investment adviser representative, or person who serves in a supervisory,
compliance, or legal capacity for a broker-dealer or investment adviser.
The bill would also define the terms “act,” “commissioner,” “investment adviser
representative,” and “person reasonably associated with the eligible adult.”
Governmental Disclosures; Immunity for Such Disclosures
The bill would provide that if a qualified person reasonably believes that financial
exploitation of an eligible adult may have occurred, may have been attempted, or is being
attempted, the broker-dealer or investment adviser shall promptly report the matter as permitted
or required by law. [Note: KSA 38-1431 requires certain persons or entities to report instances
when the person or entity has reasonable cause to suspect or believe that an adult is in need of
protective services or being harmed as a result of abuse, neglect, or financial exploitation. Bank
trust officers and other officers of financial institutions are required to make such reports. That
act does not currently include those defined persons in the bill that are subject to regulation
under the KUSA and the Commissioner.]
The bill would also provide that a qualified person who, in good faith and exercising
reasonable care, makes a disclosure of information as required by the bill’s provisions (section
3), shall be immune from administrative and civil liability that might otherwise arise from such
disclosure or for any failure to notify the eligible adult of this disclosure.
Third-party Disclosures; Immunity for Such Disclosures
The bill would provide that any person who, in good faith and exercising reasonable care,
makes a disclosure of information as required by the bill’s provisions (section 3) may notify any
person reasonably associated with the eligible adult of the disclosure, unless the qualified
person suspects that such person reasonably associated with the eligible adult has committed
or attempted financial exploitation of such eligible adult.
The bill would also provide that a qualified person who, in good faith and exercising
reasonable care, complies with the bill’s provisions (section 5) shall be immune from any
administrative and civil liability that might otherwise arise from such disclosure.
3 - 2562 Delaying of Transactions and Disbursements; Immunity for Delaying
The bill would permit a broker-dealer or investment adviser to delay a transaction
associated with or a disbursement from an account of an eligible adult or an account on which
the eligible adult is a beneficiary if:
●A qualified person reasonably believes, after initiating an internal review of the
requested transaction or disbursement and the suspected financial exploitation, that
the requested transaction or disbursement may further the financial exploitation of an
eligible adult; and
●The broker-dealer or investment adviser:
○Immediately, and within two business days after the date for the request to delay
the transaction or disbursement, provides written notification of the delay and
the reason for such delay to all parties authorized to transact business on the
account, unless such qualified person reasonably believes that any such party is
engaged in suspected or attempted financial exploitation of the eligible adult;
○Immediately, and within two business days after the requested transaction or
disbursement is delayed, notifies the protective agencies; and
○Continues such internal review of the suspected or attempted financial
exploitation of the eligible adult, as necessary, and reports the result of this
investigation to the protective agencies upon request.
The bill would also provide that any authorized delay of a transaction or disbursement
would expire on the soonest of:
●A determination by the broker-dealer or investment adviser that the transaction or
disbursement will not result in financial exploitation of the adult; or
●Fifteen business days following the date on which the broker-dealer or investment
adviser first delayed the transaction or disbursement, unless either of the protective
agencies requests that the broker-dealer or investment adviser extend the delay;
○If the delay is extended, it shall expire not more than 25 business days after the
date on which the transaction or disbursement was first delayed if not terminated
sooner or further extended by either of the protective agencies or a court of
competent jurisdiction.
The bill would permit a court of competent jurisdiction to enter an order extending the delay
of the transaction or disbursement of may order other protective relief based on the petition of
either of the protective agencies, the broker-dealer or investment adviser that initiated the delay,
or another interested party.
Immunity. The bill would provide that a broker-dealer or investment adviser that, in good
faith and exercising reasonable care, complies with the bill’s provisions (section 7), shall be
immune from any administrative and civil liability that might otherwise arise from such delay of a
transaction or disbursement in accordance with this act.
4 - 2562 Records
The bill would require a broker-dealer or investment adviser to provide access to or copies
of records that are relevant to the suspected or attempted financial exploitation of an eligible
adult to the protective agencies or to law enforcement agencies, either as part of a referral to
the protective agencies or to law enforcement agencies, or upon request of either protective
agency or law enforcement agency pursuant to an investigation. The records could include
historical records and records relating to the most recent transaction or transactions that may
constitute financial exploitation of an eligible adult.
The bill would specify that no record made available to the Commissioner or other
agencies under this act will be considered a public record under the Kansas Open Records Act
(KSA 45-215 et seq.). The provisions pertaining to confidentiality of public records will expire on
July 1, 2029, unless the Legislature reviews and acts to continue such provisions.
The bill would require the protective agencies, notwithstanding any provision of law to the
contrary, to respond to reasonable inquiries from the notifying qualified person and allow
disclosure to the notifying qualified person of the general status or final disposition of any
investigation that arose from a report made by such qualified person.
The bill would further state that nothing in this act shall limit or otherwise impede the
authority of the Commissioner to access or examine the books and records of broker-dealers
and investment advisers as otherwise provided by law.
Kansas Contract for Deed Act (New Sections 10–13)
The bill would enact the Kansas Contract for Deed Act. Under the Act, a seller would be
prohibited from executing a contract for deed with a buyer if the seller does not hold title to the
property. The bill would require the seller to maintain fee simple title to the property free from
certain encumbrances, and it would establish that any violation of provisions pertaining to the
execution of a contract for deed would be deemed a deceptive act or practice under the Kansas
Consumer Protection Act.
The bill would require a buyer who fails to cure a default within a specified time frame to
record a release of a recorded affidavit of equitable interest or contract for deed and vacate the
premises. The bill would also provide the seller with remedies should the buyer fail to satisfy
such requirements.
Definitions
The bill would define terms applicable to the Act, including:
●“Contract for deed,” to mean an executory agreement in which the seller agrees to
convey title to real property to the buyer and the buyer agrees to pay the purchase
price in five or more subsequent payments, exclusive of a down payment, while the
seller retains title to the property as security for the buyer’s obligation. The term would
specifically exclude option contracts for the purchase of real property; and
5 - 2562 ●“Property,” to mean real property located in Kansas upon which there is located or will
be located a structure designed principally for occupancy of one to four families that
is or will be occupied by the buyer as the buyer’s principal place of residence.
The bill would also define the terms “buyer” and “seller” for this purpose.
Recording of Contract for Deed
The bill would provide that any contract for deed or affidavit of equitable interest may be
recorded by any interested person in the office of the county register of deeds where the
property is located.
Clearing Title Upon Buyer Default; Seller’s Remedies
The bill would provide that, following the notice of the intent to forfeit and the opportunity to
cure the default as outlined in the bill, the buyer would have 15 calendar days to:
●Record a release of affidavit of equitable interest or contract for deed, if such affidavit
or contract were recorded; and
●Vacate the premises under contract, if applicable.
If the buyer fails to satisfy the above conditions, the bill would provide that such buyer
would be responsible for the seller’s reasonable attorney fees, costs, and expenses for the
removal of the affidavit of equitable interest or contract for deed from the title and eviction of the
buyer from the premises, if applicable.
Seller to Hold Title to the Property; Exceptions
The bill would prohibit a seller from executing a contract for deed if the seller does not hold
fee simple title to the property, free from any mortgage, lien, or other encumbrances (liability),
subject to certain exceptions specified in the bill:
●Due to the conduct of the buyer;
●With the agreement of the buyer as a condition of a loan obtained to make
improvements to the property; or
●By the seller prior to the execution of the contract for deed if:
○The seller disclosed the liability to the buyer;
○The seller continues to make timely payments on the outstanding liability;
○The seller disclosed the contract for deed to a party of interest to the liability;
and
○The seller satisfies and obtains a release of the liability not later than the date of
the final contract for deed payment by the buyer, unless the buyer assumes the
liability as part of such contract.
6 - 2562 Violations of the specified title liability prohibitions would be considered a deceptive act and
be subject to enforcement under the Kansas Consumer Protection Act.
Contract for Deed: Buyer’s Rights
The bill would provide that a buyer’s rights under a contract for deed would not be forfeited
or canceled except as specified in the bill. However, under the bill, a contract could provide for
forfeiture of buyer’s rights. Additionally, the bill would contain a statement that the provisions on
a buyer’s rights could not be construed to limit the power of a district court to require equitable
foreclosure proceedings.
A buyer’s rights would not be forfeited until the buyer has been notified of the intent to
forfeit and has been given a right to cure the default and has not done so within the time period
allowed. A notice of default and intent to forfeit would be required to:
●Reasonably identify the contract and describe the property covered by it;
●Specify the terms and conditions of the contract with which the buyer has not
complied; and
●Notify the buyer that the contract will be forfeited unless the buyer performs the terms
and conditions within the following time periods:
○30 days from completed service of notice if the buyer has paid less than 50
percent of the purchase price; or
○90 days from completed service of notice if the buyer has paid 50 percent or
more of the purchase price.
The bill would require such notice be served on the buyer in person, delivered directly to
the buyer’s residence, or delivered by certified or priority mail to the buyer’s residence with
return receipt requested.
Restrictive Covenants (New Section 14)
The bill would also make any restrictive covenant on real property on any deed, plat,
declaration, restriction, covenant, or other conveyance in violation of the KAAD void and
unenforceable. The bill would allow for the owner of the real property to release such covenants
from their property by recording a certificate of release of prohibited covenants with the Register
of Deeds. The certificate of release would be subject to recording fees set by the county. The
certificate of release would be required to have the following information:
●The name of the current owner of the real property;
●A legal description of the real property;
●The volume and page or the document number in which the original document
containing the restrictive covenant is recorded;
●A brief description of the restrictive covenant; and
7 - 2562 ●The citation to the location of the restrictive covenant in the original document.
Reporting of Instances of Suspected Financial Exploitation
The bill would amend provisions in the KUSA applying to discipline of applicants and
registrants to add criteria to the criteria provided for grounds for discipline, which includes
censure; a bar or suspension with a broker-dealer or investment adviser registered in the state;
and a civil penalty up to $25,000 for each violation. The bill also would add a knowing failure to
make a report required under the Protect Vulnerable Adults from Financial Exploitation Act or
knowingly causing such report to not be made within the previous ten years.
Cease-And-Desist Orders
The bill would amend law pertaining to real estate brokers and salespersons to provide
recourse against individuals practicing without a license. If the Kansas Real Estate Commission
determines a person has practiced without a valid broker’s or salesperson’s license issued by
the Commission, the Commission may issue a cease-and-desist order in accordance with the
Kansas Administrative Procedure Act against such unlicensed person or associated association,
corporation, limited liability company, limited liability partnership, partnership, professional
corporation, or trust.
Homeowners Associations
The bill would amend the Kansas Acts Against Discrimination to indicate that, when a
board of directors of an association removes a restrictive covenant in violation of the KAAD, the
recording of the amended document would be subject to county recording fees.
The bill would allow a city or county to adopt a resolution to record a certificate of release
of prohibited covenants (certificate) if the homeowners association that established the
prohibited covenant is not active and unable to release the prohibited covenants. The resolution
could also remove more than one prohibited covenant. The bill would not require the signature
or consent of any affected property owner to record a certificate.
The bill would not affect the validity of any property interest recorded within the original or
redacted plat and would state no city or county would incur any liability arising from the
recording of a certificate. The bill would also state that no fee could be charged to record a
certificate, and any record of a certificate would be exempt from land surveys.
Conference Committee Action
The Conference Committee agreed to HB 2562, as passed by the Senate, and further
agreed to insert the contents of HB 2101, as amended by the Senate Committee, regarding
contract for deed protections and cease-and-desist orders for unlicensed real estate practices.
The Conference Committee also agreed to insert the contents of HB 2376, as passed by the
House, regarding discrimination in restrictive covenants. The Conference Committee further
amended HB 2562 to restore the effective date of publication in the statute book.
8 - 2562 Background
This Conference Committee report contains provisions of HB 2562, HB 2101, and HB
2376. Background information for each bill follows.
HB 2562 (Protect Vulnerable Adults from Financial Exploitation Act)
HB 2562 was introduced by the House Committee on Financial Institutions and Pensions
at the request of a representative of the Kansas Insurance Department (Department).
[Note: In January 2016, the North American Securities Administrators Association (NASAA)
approved its Model Act to Protect Vulnerable Adults from Financial Exploitation (Model Act).
According to testimony by a representative of the Department at the hearing on HB 2562, as of
March 2024, 41 jurisdictions have state laws that informed, or are inspired by, the Model Act.]
House Committee on Financial Institutions and Pensions
In the House Committee hearing, proponent testimony was provided by representatives of
the Department, AARP Kansas, the Kansas Association of Area Agencies on Aging and
Disabilities (K4AD), and the National Association of Insurance and Financial Advisers of
Kansas. The Department representative indicated the bill is integrated with existing regulatory
and criminal protections and would give financial professionals addition tools to promote their
clients’ best interests when they are subjected to unlawful financial exploitation. The bill would
make it easier for these professionals to report financial exploitation and grant ability to slow
down a requested transaction or disbursement to allow time for verification of its legitimacy.
Proponents addressed concerns regarding the need to enact additional safeguards to address
certain risks and influences on vulnerable persons.
Written-only proponent testimony was submitted by representatives of AE Wealth
Management, LLC and AE Financial Services, LLC; DCF; the Kansas Council on
Developmental Disabilities; NASAA; the Public Investors Advocate Bar Association; and the
Securities Industry and Financial Markets Association. These proponents highlighted the
concerns of financial exploitation and the need for tools to permit a “report and hold,” allowing
investment entities to report and place temporary holds on suspicious transactions and
disbursements. The DCF testimony expressed concern about a provision pertaining to reporting
the status of an investigation or the results of an investigation and current notification and
reporting requirements on the agency.
No other testimony was provided.
Senate Committee on Financial Institutions and Insurance
In the Senate Committee hearing, proponent testimony was provided by representatives
of the Department, AARP Kansas, DCF, K4AD, and the National Association of Insurance and
Financial Advisers of Kansas. The Department representative indicated the bill is based on
model law from NASAA, which has been adopted in 41 other states, including Missouri,
Nebraska, Ohio, and Oklahoma. The Department representative noted the legislation seeks to
protect from financial exploitation elder persons and other adults who need and already have
9 - 2562 other extra protections under Kansas law, such as residents of adult care homes and individuals
with intellectual or developmental disabilities. The Department representative noted the bill
would give financial professionals additional tools to promote their clients’ best interests when
subjected to unlawful financial exploitation, make it easier to report financial exploitation, and
grant the ability to slow down a requested transaction or disbursement to allow time for
verification of its legitimacy. Proponents addressed the need to enact additional safeguards to
protect vulnerable persons from certain risks and influences.
Written-only proponent testimony was submitted by a representative of AE Wealth
Management, LLC, AE Financial Services, LLC, and Advisors Excel; and representatives of the
Public Investors Advocate Bar Association; and the Securities Industry and Financial Markets
Association.
No other testimony was provided.
The Senate Committee amended the bill to change the effective date to publication in the
Kansas Register. [Note: The Conference Committee did not retain this amendment.]
HB 2101 (Kansas Contract for Deed Act)
HB 2101 was introduced by the House Committee on Financial Institutions and Pensions
at the request of Representative Hoheisel.
House Committee on Financial Institutions and Pensions
In the House Committee hearing on January 29, 2024, proponent testimony was provided
by Representative Probst, an attorney, a citizen lobbyist, and three private citizens. The
proponents stated that the bill would add protections to a currently unregulated aspect of the
residential housing market. The citizen lobbyist, formerly a member of the Judicial Council
Advisory Committee, testified that the bill is the result and recommendation of that committee’s
2020 study. The attorney and the private citizens he represented in a case of convicted fraud
described the misrepresentations made in a rent-to-own contract and protections the bill would
afford to assist other buyers in similar situations.
Written-only neutral testimony was provided by the Kansas Judicial Council, which
included the report of the Judicial Council Advisory Committee on 2020 HB 2600 and noted a
discrepancy between the committee recommendation and HB 2101.
No other testimony was provided.
The House Committee amended the bill to insert additional criteria by which a seller could
qualify for an exemption from the liability prohibition, which would require that the seller disclose
the contract for deed to the liability interest holder and require that the seller obtain a release of
any outstanding liabilities on the property prior to the buyer’s final payment. [Note: The
Conference Committee retained this amendment.]
10 - 2562 Senate Committee on Financial Institutions and Insurance
In the Senate Committee hearing, proponent testimony was provided by Representative
Probst and a representative of the Kansas Association of Realtors. The proponents stated the
bill would provide reasonable protections from predatory practices in residential contract for
deed transactions in what is currently an unregulated aspect of the residential housing market.
Written-only neutral testimony was provided by the Kansas Judicial Council, which
included the report of the Judicial Council Advisory Committee on 2020 HB 2600.
No other testimony was provided.
The Senate Committee amended the bill to:
●Require a buyer, after failing to cure a default within the allotted time, to record a
release of a recorded affidavit of equitable interest or contract for deed and vacate the
premises within 15 calendar days [Note: The Conference Committee retained this
amendment.];
●Provide remedies for the seller when a buyer defaults and subsequently fails to
record a release and vacate the premises [Note: The Conference Committee retained
this amendment.]; and
●Insert provisions contained in Sub. for HB 2598 that would authorize the Commission
to issue cease-and-desist orders on a person practicing without a valid broker’s or
salesperson’s license. [Note: The Conference Committee retained this amendment.
See the supplemental note on Sub. for HB 2598 for additional information.]
HB 2376 (Restrictive Covenants)
HB 2376 was introduced by the House Committee on Local Government at the request of
Representative Penn.
House Committee on Local Government
In the House Committee hearing on February 15, 2023, Representative Penn and a
representative of the Kansas Association of Realtors presented proponent testimony. The
proponents generally stated the bill would provide homeowners a long-overdue tool to remove
racially restrictive covenants.
Written-only proponent testimony was provided by representatives of the Kansas
Association of Counties, Kansas Register of Deeds Association, Sedgwick County, and Unified
Government of Wyandotte County and Kansas City, Kansas.
Neutral testimony was provided by a representative of the League of Municipalities.
Written-only neutral testimony was submitted by a representative of the Community
Associations Institute.
11 - 2562 Opponent testimony was provided by representatives of Kansas Interfaith Action and the
City of Roeland Park. The opponents generally stated enactment of the bill would open the door
to housing discrimination against people for military status, sexual orientation, and gender
identity who are not protected classes under KAAD.
Written-only opponent testimony was provided by representatives of the African American
Affairs Commission; American Civil Liberties Union of Kansas; Center of Daring; cities of
Mission, Overland Park, Roeland Park, and Wichita; Equality Kansas; M-Care Healthcare; and
Voter Rights Network of Wyandotte County.
The House Committee amended the bill to remove a section prohibiting cities or counties
from adopting or enforcing any ordinance, resolution, or regulation related to discrimination that
is more restrictive than the KAAD and to add a Legislative finding regarding the 1968 Fair
Housing Act. [Note: The Conference Committee retained this amendment.]
Fiscal Information
HB 2562 (Protect Vulnerable Adults from Financial Exploitation Act)
According to the fiscal note prepared by the Division of the Budget on HB 2562, as
introduced, enactment of the bill would have no effect on several state agencies and some
effect as outlined by the Office of Judicial Administration. The fiscal note also addresses the
bill’s fiscal effect on local governments.
The Kansas Insurance Department states that even though the bill would increase reports
of financial exploitation of elder and dependent adults, the agency has sufficient resources to be
able to receive and investigate the reports. Therefore, the bill would not have a fiscal effect on
the agency.
The Department for Children and Families (DCF) states that the bill would not have a fiscal
effect but could result in premature applications for Medicaid. DCF currently works with the
Department of Health and Environment Medicaid eligibility staff when vulnerable adults have
been victims of financial exploitation, which occurs in approximately 125 cases per year. This is
current practice, and therefore no additional expenditures are anticipated.
The Office of Judicial Administration states that the bill could increase the number of cases
filed in district courts because it authorizes certain civil or administrative court actions. The bill
would allow for judicial review and administrative action for the failure-to-report violations, which
would increase the time spent by district court judicial and nonjudicial personnel in processing,
researching, and hearing cases. The bill could also result in the collection of docket fees that
would be deposited into the State General Fund. However, the agency cannot estimate the
overall fiscal effect of the bill.
The Office of the Attorney General states the bill would not have a fiscal effect on the
agency.
Any fiscal effect associated with enactment of the bill is not reflected in The FY 2025
Governor’s Budget Report.
12 - 2562 The Kansas Association of Counties indicates that the bill would not have a fiscal effect on
counties unless current resources are not adequate to handle additional prosecution and court
needs. The League of Kansas Municipalities states the bill would not have a fiscal effect on
cities.
HB 2101 (Kansas Contract for Deed Act)
According to the fiscal note prepared by the Division of the Budget on HB 2101, as
introduced, the Judicial Branch states that enactment of the bill could increase the number of
cases filed in district courts due to the violations of the Kansas Consumer Protection Act. This
would increase the time spent by district court judicial and nonjudicial personnel in processing,
researching, and hearing cases. The bill could also result in the collection of docket fees that
would be deposited into the State General Fund. However, a precise fiscal effect cannot be
estimated.
The Office of the Attorney General states that any additional cases generated from the bill
would be absorbed within existing resources. The Abstracters’ Board of Examiners states that
the bill would not have a fiscal effect.
Any fiscal effect associated with the bill is not reflected in The FY 2024 Governor’s Budget
Report.
The Kansas Association of Counties indicates that enactment of the bill could have an
impact on counties if current resources are not adequate to handle prosecutions and court
needs. Therefore, a fiscal effect cannot be determined. The League of Kansas Municipalities
states that the bill would not have a fiscal effect.
HB 2376 (Restrictive Covenants)
According to the fiscal note prepared by the Division of the Budget on HB 2376, as
introduced, the Kansas Human Rights Commission and Kansas Association of Counties
indicate enactment of the bill would not have a fiscal effect. The League of Kansas
Municipalities indicates the bill would have negligible effect.
Financial institutions; consumer protection; financial exploitation; real estate; contract for deed; restrictive covenants; discrimination;
cease-and-desist; Protect Vulnerable Adults from Financial Exploitation Act; Kansas Contract for Deed Act
ccrb_hb2562_01_04022024.odt
13 - 2562