Division of the Budget Landon State Office Building Phone: (785) 296-2436 900 SW Jackson Street, Room 504 adam.c.proffitt@ks.gov Topeka, KS 66612 http://budget.kansas.gov Adam Proffitt, Director Laura Kelly, Governor Division of the Budget February 1, 2023 The Honorable Kellie Warren, Chairperson Senate Committee on Judiciary 300 SW 10th Avenue, Room 346-S Topeka, Kansas 66612 Dear Senator Warren: SUBJECT: Fiscal Note for SB 74 by Senate Committee on Judiciary In accordance with KSA 75-3715a, the following fiscal note concerning SB 74 is respectfully submitted to your committee. SB 74 would allow any person, other than an attorney permitted to charge a contingent fee representing a party, that has a right to receive compensation that is contingent on and sourced from any proceeds of that civil action, by settlement, judgement, or otherwise, is jointly liable with the party whom they have an agreement for costs assessed under KSA 60-2002 and for any monetary sanction imposed under KSA 60-211(c), 60-226(f)(3), or 60-237(d)(3). The bill would add a new provision related to discovery that requires third-party agreements, except as stipulated or ordered by the court, to be provided to the opposing party without waiting for a discovery request. The bill would also specify that third parties who have a funding agreement subject to disclosure under KSA 60-226(b)(3)(B) must reasonably compensate a person who is neither a party nor a party’s officer for the cost of responding to a subpoena to produce designated documents, electronically stored information, or tangible things, to permit the inspection of premises, or to appear at a deposition. Reasonable costs would include costs of identifying, collecting, reviewing, and producing the requested materials; measurable costs of disruption to the nonparty’s normal business operations; costs of travel to appear at a deposition; and fees charged by outside counsel directly related to compliance with the subpoena. The Honorable Kellie Warren, Chairperson Page 2—SB 74 The Office of Judicial Administration indicates enactment of SB 74 could have a fiscal effect on the operations of the Judicial Branch because there could be additional litigation; however, the Office estimates any fiscal effect would be negligible. Sincerely, Adam Proffitt Director of the Budget cc: Vicki Jacobsen, Judiciary