Kansas 2025-2026 Regular Session

Kansas Senate Bill SB184 Compare Versions

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11 Session of 2025
22 SENATE BILL No. 184
33 By Committee on Agriculture and Natural Resources
44 2-4
55 AN ACT concerning the environment; relating to the Kansas drycleaner
66 environmental response act; amending such act to change the penalties
77 for violations thereof; modifying the deductible rate for corrective
88 actions, the environmental surcharge rate and the solvent fee; updating
99 the delinquency penalty related to environmental surcharges and
1010 solvent fees; amending K.S.A. 65-34,142, 65-34,144, 65-34,147, 65-
1111 34,148, 65-34,150, 65-34,151 and 65-34,154 and repealing the existing
1212 sections.
1313 Be it enacted by the Legislature of the State of Kansas:
1414 Section 1. K.S.A. 65-34,142 is hereby amended to read as follows:
1515 65-34,142. As used in this act:
1616 (a) "Chlorinated drycleaning solvent" means any drycleaning solvent
1717 which that contains a compound which that has a molecular structure
1818 containing the element chlorine.
1919 (b) "Corrective action" means those activities described in subsection
2020 (a) of K.S.A. 65-34,148(a), and amendments thereto.
2121 (c) "Corrective action plan" means a plan approved by the secretary
2222 to perform corrective action at a drycleaning facility.
2323 (d) "Department" means the department of health and environment.
2424 (e) "Drycleaning facility" means a commercial establishment that
2525 operates, or has operated in the past, in whole or in part for the purpose of
2626 cleaning garments or other fabrics utilizing a process that involves any use
2727 of drycleaning solvents. "Drycleaning facility" includes all contiguous
2828 land, structures and other appurtenances and improvements on the land
2929 used in connection with a drycleaning facility but does not include prisons
3030 or governmental entities.
3131 (f) "Drycleaning solvent" means any and all nonaqueous solvents
3232 used or to be used in the cleaning of garments and other fabrics at a
3333 drycleaning facility and includes, but is not limited to, perchloroethylene,
3434 also known as tetrachloroethylene, and petroleum-based solvents, and the
3535 products into which such solvents degrade.
3636 (g) "Drycleaning unit" means a machine or device which that utilizes
3737 drycleaning solvents to clean garments and other fabrics and includes any
3838 associated piping and ancillary equipment and any containment system.
3939 (h) "Fund" means the drycleaning facility release trust fund.
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7676 (i) "Immediate response to a release" means containment and control
7777 of a known release in excess of that meets or exceeds a reportable quantity
7878 and notification to the department within 48 hours of any known release in
7979 excess of that meets or exceeds a reportable quantity.
8080 (j) "Owner" means any person who owns or leases, or has owned or
8181 leased, a drycleaning facility and who is or has been responsible for the
8282 operation of drycleaning operations at such drycleaning facility.
8383 (k) "Person" means an individual, trust, firm, joint venture,
8484 consortium, joint-stock company, corporation, partnership, association or
8585 limited liability company. Person does not include any governmental
8686 organization.
8787 (l) "Release" means any spill, leak, emission, discharge, escape, leak
8888 or disposal of drycleaning solvent from a drycleaning facility into the soils
8989 or waters of the state.
9090 (m) "Reportable quantity" means a known release of a chlorinated
9191 drycleaning solvent in excess of that meets or exceeds one quart over a 24-
9292 hour period or a known release of a nonchlorinated drycleaning solvent in
9393 excess of that meets or exceeds one gallon over a 24-hour period.
9494 (n) "Retailer" means any business that:
9595 (1)  Is registered for purposes of the Kansas retailers' sales tax act and
9696 provides drycleaning, or drycleaning and laundry, services to final
9797 consumers; or
9898 (2)  has provided a drycleaning, or drycleaning and laundry, facility
9999 with a resale exemption certificate and is responsible for charging and
100100 collecting retailers' sales tax from final consumers of drycleaning or
101101 laundry services.
102102 (o) "Secretary" means the secretary of health and environment.
103103 Sec. 2. K.S.A. 65-34,144 is hereby amended to read as follows: 65-
104104 34,144. (a) It shall be unlawful for any person to:
105105 (1) Operate a drycleaning facility in violation of this act, rules and
106106 regulations adopted pursuant to this act or orders of the secretary pursuant
107107 to this act;
108108 (2) prevent or hinder a properly identified officer or employee of the
109109 department or other authorized agent of the secretary from entering,
110110 inspecting, sampling or responding to a release as authorized by this act;
111111 (3) knowingly make any false material statement or representation in
112112 any record, report or other document filed, maintained or used for the
113113 purpose of compliance with this act;
114114 (4) knowingly destroy, alter or conceal any record required to be
115115 maintained by this act or rules and regulations adopted under this act;
116116 (5) willfully allow a release or knowingly fail to make an immediate
117117 response to a release in accordance with this act and rules and regulations
118118 pursuant to this act.
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162162 (b) The director of the division of environment, upon a finding that a
163163 person has violated a provision of subsection (a), may impose on such
164164 person an administrative penalty in an amount not to exceed $500 for
165165 every violation.
166166 (c) In assessing an administrative penalty under this section, the
167167 director of the division of environment shall consider, when applicable, the
168168 following factors:
169169 (1) The extent to which the violation presents a hazard to human
170170 health;
171171 (2) the extent to which the violation has or may have an adverse
172172 effect on the environment;
173173 (3) the amount of the reasonable costs incurred by the state in
174174 detection and investigation of the violation; and
175175 (4) the economic savings realized by the person in not complying
176176 with the provision for which a violation is chargedExcept as otherwise
177177 provided, a violation of K.S.A. 65-34,145(a), and amendments thereto,
178178 shall constitute an unlawful act pursuant to K.S.A. 65-3441, and
179179 amendments thereto, and subject to enforcement actions under K.S.A. 65-
180180 3445, and amendments thereto, and assessment penalties under K.S.A. 65-
181181 3446, and amendments thereto. Any order or decision of the director of the
182182 division of environment or the secretary finding violations pursuant to this
183183 section shall be subject to notice and opportunity for a hearing pursuant
184184 to K.S.A. 65-34,153, and amendments thereto.
185185 Sec. 3. K.S.A. 65-34,147 is hereby amended to read as follows: 65-
186186 34,147. It is the intent of the legislature that, to the maximum extent
187187 possible, moneys in the fund be utilized to address contamination resulting
188188 from releases of drycleaning solvents. The department is directed to
189189 administer the Kansas drycleaner environmental response act under the
190190 following criteria:
191191 (a) To the maximum extent possible, the department itself should deal
192192 with contamination from drycleaning facilities utilizing moneys in the
193193 fund. The department should discourage other units of government, both
194194 federal and local, including the United States environmental protection
195195 agency, from becoming involved in contamination problems resulting from
196196 releases from drycleaning facilities.
197197 (b) The department should make every reasonable effort to keep sites
198198 where drycleaning solvents are involved off of the national priorities list,
199199 as defined in 40 C.F.R. 300.5.
200200 (c) The department should not seek out contaminated drycleaning
201201 facility sites because of the existence of the fund or the other provisions of
202202 this act. The moneys are made available for use as sites are discovered in
203203 the normal course of the business of the agency.
204204 (d) Careful consideration should be given to interim or early
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248248 corrective action which that may result in an overall reduction of risk to
249249 human health and the environment and in the reduction of total costs of
250250 corrective action at a site. Such interim or early corrective action should
251251 receive consideration by the department as a high priority.
252252 (e)(d) The department, in its discretion, may use innovative
253253 technology to perform corrective action.
254254 Sec. 4. K.S.A. 65-34,148 is hereby amended to read as follows: 65-
255255 34,148. (a) Whenever a release poses a threat to human health or the
256256 environment, the department, consistent with rules and regulations adopted
257257 by the secretary pursuant to subsections (d) and (e) of K.S.A. 65-34,143(d)
258258 and (e), and amendments thereto, shall expend moneys available in the
259259 fund to provide for the:
260260 (1) Investigation and assessment of a the release from a drycleaning
261261 facility, including costs of investigations and assessments of contamination
262262 which that may have moved off the drycleaning facility;
263263 (2) necessary or appropriate emergency action, including but not
264264 limited to treatment, restoration or replacement of drinking water supplies,
265265 to assure ensure that the human health or safety is not threatened by a
266266 release or potential release;
267267 (3) remediation of releases from drycleaning facilities, including
268268 contamination which that may have moved off of the drycleaning facility,
269269 which and such remediation shall consist of clean up of affected soil,
270270 groundwater and surface waters, using the most cost effective cost-
271271 effective alternative that is technologically feasible and reliable, provides
272272 adequate protection of human health and environment and to the extent
273273 practical minimizes environmental damage;
274274 (4) operation and maintenance of corrective action;
275275 (5) monitoring of releases from drycleaning facilities including
276276 contamination which that may have moved off of the drycleaning facility;
277277 (6) payment of reasonable costs incurred by the secretary in
278278 providing field and laboratory services;
279279 (7) reasonable costs of restoring property, as nearly close as
280280 practicable to the conditions that existed prior to the activities associated
281281 with the investigation of a the release or, clean up or remediation activities;
282282 (8) removal and proper disposal of wastes generated by a the release
283283 of a drycleaning solvent; and
284284 (9) payment of costs of corrective action conducted by the department
285285 or by other entities other than the department but approved by the
286286 department, whether or not such corrective action is set out in a corrective
287287 action plan, provided, however, that reimbursement for corrective action
288288 costs incurred before the effective date of this act shall be limited to
289289 $100,000 per site that have received approval by the department to
290290 conduct such corrective action, whether or not such corrective action is
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334334 set out in a corrective action plan.
335335 (b) Nothing in subsection (a) shall be construed to authorize the
336336 department to obligate moneys in the fund for the payment of any costs
337337 which that are not integral to corrective action for a release of drycleaning
338338 solvents from a drycleaning facility. Moneys from the fund shall not be
339339 used:
340340 (1)  For corrective action at sites that are contaminated by solvents
341341 normally used in drycleaning operations where the contamination did not
342342 result from the operation of a drycleaning facility;
343343 (2)  for corrective action at sites, other than drycleaning facilities, that
344344 are contaminated by drycleaning solvents which that were released while
345345 being transported to or from a drycleaning facility by a party other than the
346346 owner of such drycleaning facility or the owner's agents or employees;
347347 (3)  to pay any costs associated with any fine or penalty brought
348348 against a drycleaning facility owner under state or federal law; or
349349 (4)  to pay any costs related to corrective action at a drycleaning
350350 facility that has been included by the United States environmental
351351 protection agency on the national priorities list or at any facility which that
352352 is a hazardous waste disposal facility, as defined in K.S.A. 65-3430, and
353353 amendments thereto.
354354 (c) Nothing in this act shall be construed to restrict the department
355355 from:
356356 (1) Modifying, in the discretion of the secretary, the priority status of
357357 a site where warranted under the system of priorities established pursuant
358358 to subsection (d) of K.S.A. 65-34,143(d), and amendments thereto; or
359359 (2) temporarily postponing completion of corrective action for which
360360 moneys from the fund are being expended whenever such postponement is
361361 deemed necessary in order to make moneys available for corrective action
362362 at a site with a higher priority.
363363 (d) At any multisource site, the secretary shall utilize the moneys in
364364 the fund to pay for the proportionate share of the liability for corrective
365365 action costs which that is attributable to a release from one or more
366366 drycleaning facilities and for that proportionate share of the liability only.
367367 (e) At any multisource site, the secretary is authorized to make a
368368 determination of determine the relative liability of the fund for costs of
369369 corrective action, expressed as a percentage of the total cost of corrective
370370 action at a site, whether known or unknown. The secretary shall issue an
371371 order establishing such percentage of liability. Such order shall be binding
372372 and shall control the obligation of the fund until or unless amended by the
373373 secretary. In the event of an appeal from such order, such percentage of
374374 liability shall be controlling for costs incurred during the pendency of the
375375 appeal.
376376 (f) Any authorized officer, employee or agent of the department, or
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420420 any person under order or contract with the department, may enter onto
421421 any property or premises, at reasonable times and upon written notice to
422422 the owner or occupant, to take corrective action where the secretary
423423 determines that such action is necessary to protect the public human health
424424 or the environment. If consent is not granted by the person in control of a
425425 site or suspected site regarding any request made by any officer, employee
426426 or agent of the department, or any person under order or contract with the
427427 department, under the provisions of this section, the secretary may issue an
428428 order directing compliance with the request. The order may be issued after
429429 such notice and opportunity for consultation as is reasonably appropriate
430430 under the circumstances.
431431 (g) Notwithstanding the other provisions of this act, in the discretion
432432 of the secretary, an owner may be responsible for up to 100% of the costs
433433 of corrective action attributable to such the owner or operator if the
434434 secretary finds, after notice and an opportunity for a hearing in accordance
435435 with the Kansas administrative procedure act, that:
436436 (1) Requiring the owner to bear such responsibility will not prejudice
437437 another owner or person who is eligible, under the provisions of this act, to
438438 have corrective action costs paid by the fund; and
439439 (2) the owner:
440440 (A) Caused a release by willful or wanton actions and such release
441441 was caused by operating practices contrary to those generally in use at the
442442 time of the release;
443443 (B) is in arrears for moneys owed pursuant to this act, after notice and
444444 an opportunity to correct the arrearage;
445445 (C) substantially obstructs the efforts of the department to carry out
446446 its obligations under this act, provided, however, except that the exercise
447447 of legal rights shall not constitute a substantial obstruction;
448448 (D) caused or allowed the release because of a material violation of
449449 the performance standards established in this act or the rules and
450450 regulations adopted by the secretary under this act; or
451451 (E) has more than once failed to report or failed to take an immediate
452452 response to a release, knowing or having reason to know of such release.
453453 For purposes of this subsection (g), unless a transfer is made solely to
454454 take advantage of this provision, purchasers of stock or other indicia of
455455 ownership and other successors in interest shall not be considered to be the
456456 same owner or operator as the seller or transferor of such stock or indicia
457457 of ownership even though there may be no change in the legal identity of
458458 the owner or operator. To the extent that an owner is responsible for
459459 corrective action costs under this subsection, such owner shall not be
460460 entitled to the exemption set out in subsection (c) of K.S.A. 65-34,149(c),
461461 and amendments thereto.
462462 (h) The fund shall not be liable for the payment of costs in excess of
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506506 $5,000,000 for corrective action at any contaminated drycleaning site. For
507507 purposes of this subsection, "contaminated drycleaning site" means the
508508 areal extent of soil or, groundwater or surface water contamination with
509509 drycleaning solvents.
510510 (i) There shall be a deductible of $5,000 of corrective action costs
511511 incurred because of a release from a drycleaning facilityOn and after July
512512 1, 2025, any owner or other person applying for reimbursement from the
513513 fund for costs incurred or anticipated to be incurred for performing
514514 corrective actions shall submit a $10,000 deductible due with submission
515515 of such application to the department. Nothing herein shall prohibit the
516516 department from taking corrective action because the department cannot
517517 obtain the deductible.
518518 Sec. 5. K.S.A. 65-34,150 is hereby amended to read as follows: 65-
519519 34,150. (a) Subject to the provisions of K.S.A. 65-34,152, and
520520 amendments thereto, there is hereby imposed an environmental surcharge
521521 in the form of a gross receipts tax for the privilege of engaging in the
522522 business of laundering and drycleaning garments and other household
523523 fabrics in this state. The tax shall be at a rate of 2.5% 5% of the gross
524524 receipts received from drycleaning or laundering services. The tax shall be
525525 paid by the consumer to the retailer, and it shall be the duty of the retailer
526526 to collect from the consumer the full amount of the tax imposed or an
527527 amount as nearly as possible or practicable to the average thereof.
528528 (b) Gross receipts otherwise taxable pursuant to this section shall be
529529 exempt from the tax imposed by this section if they arise from:
530530 (1) Services rendered through a coin-operated device, whether
531531 automatic or manually operated, available for use by the general public;
532532 (2) the laundering without use of drycleaning solvents of uniforms,
533533 linens or other textiles for commercial purposes, including any rental of
534534 uniforms, linens or dust control materials; or
535535 (3) charges or services to entities that qualify for exemption from
536536 retailers' sales tax on laundering and drycleaning services pursuant to
537537 K.S.A. 79-3606, and amendments thereto.
538538 (c) The tax imposed by this section shall be imposed on the same tax
539539 base as the Kansas retailers' sales tax and shall be in addition to all other
540540 state and local sales or excise taxes.
541541 (d) The secretary of revenue shall remit the taxes paid under this act
542542 to the state treasurer in accordance with the provisions of K.S.A. 75-4215,
543543 and amendments thereto. Upon receipt of each such remittance, the state
544544 treasurer shall deposit the entire amount in the state treasury to the credit
545545 of the fund. For the purpose of this section, the proceeds of the tax shall
546546 include all funds collected and received by the director of taxation
547547 pursuant to this section, including interest and penalties on delinquent
548548 taxes.
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592592 (e) Every retailer liable for the payment of taxes imposed by this
593593 section shall report the taxes for the same periods and at the same time as
594594 the returns that the retailer files under the Kansas retailers' sales tax act, as
595595 prescribed by K.S.A. 79-3607, and amendments thereto. Each retailer shall
596596 report the tax imposed by this act on a form prescribed by the secretary of
597597 revenue.
598598 (f) (1) All taxes imposed by this section and not paid at or before the
599599 time taxes are due from the retailer under the Kansas retailers' sales tax act
600600 shall be deemed delinquent and shall bear interest at the rate prescribed by
601601 subsection (a) of K.S.A. 79-2968(a), and amendments thereto, from the
602602 due date until paid. In addition, there is hereby imposed upon all amounts
603603 of such taxes remaining due and unpaid after the due date a penalty on the
604604 unpaid balance of the taxes due in the amounts and percentages prescribed
605605 by K.S.A. 79-3615, and amendments thereto.
606606 (2) The secretary of revenue shall report any such delinquency to the
607607 secretary at least once each calendar year in accordance with K.S.A. 75-
608608 5133, and amendments thereto.
609609 (3) The secretary or the director of the division of environment, upon
610610 finding that a person has violated any provision of this section, may
611611 impose a penalty, in addition to any other penalty provided by law. Such
612612 penalty shall not exceed $10,000 per violation that shall constitute an
613613 actual and substantial economic deterrent to the violation for which it is
614614 assessed and, in the case of a continuing violation, every month that such
615615 violation continues shall be deemed a separate violation.
616616 (4) The secretary or the director of the division of environment may
617617 collect any delinquent taxes, including any interest or penalty assessed
618618 pursuant to this act, upon issuance of an order requiring payment of the
619619 amount due subject to K.S.A. 65-34,153, and amendments thereto.
620620 (g) Whenever any taxpayer or person liable to pay tax imposed by
621621 this section refuses or neglects to pay the tax, the amount of the tax,
622622 including any interest or penalty, shall be collected in the manner provided
623623 by law for collection of delinquent taxes under the Kansas retailers' sales
624624 tax act.
625625 (h) Insofar as not inconsistent with this act, the provisions of the
626626 Kansas retailers' sales tax act shall apply to the tax imposed by this
627627 section.
628628 (i) The secretary of revenue is hereby authorized to administer and
629629 enforce the provisions of this section and to adopt such rules and
630630 regulations as may be necessary to carry out the responsibilities of the
631631 secretary of revenue under this section.
632632 Sec. 6. K.S.A. 65-34,151 is hereby amended to read as follows: 65-
633633 34,151. (a) Subject to the provisions of K.S.A. 65-34,152, and
634634 amendments thereto, there is hereby imposed a fee on the purchase or
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678678 acquisition of drycleaning solvent by any owner of a drycleaning facility.
679679 The fee shall be paid to the director of taxation by the person who
680680 distributes the solvent.
681681 (b) The amount of the fee imposed by this section on each gallon of
682682 drycleaning solvent shall be an amount equal to the product of the solvent
683683 factor for the drycleaning solvent and the fee rate of $3.50 plus .25 added
684684 on January 1 of each calendar year, beginning in 1996, until the fee rate
685685 reaches a maximum of $5.50 per gallon.
686686 (c) The solvent factor for each drycleaning solvent is as follows:
687687 Drycleaning solvent Solvent Factor
688688 Perchloroethylene 1.00
689689 Chlorofluorocarbon-113 1.00
690690 1,1,1-trichloroethane 1.00
691691 Other chlorinated drycleaning solvents 1.00
692692 Any nonchlorinated drycleaning solvent 0.10
693693 (d) In the case of a fraction of a gallon, the fee imposed by this
694694 section shall be the same fraction of the fee imposed on a whole gallon.
695695 (e) No person who distributes drycleaning solvent shall sell any such
696696 solvent for use in a drycleaning facility unless such person first obtains the
697697 registration number of the owner of such facility.
698698 (f) The secretary of revenue shall remit the fees paid pursuant to this
699699 section to the state treasurer in accordance with the provisions of K.S.A.
700700 75-4215, and amendments thereto. Upon receipt of each such remittance,
701701 the state treasurer shall deposit the entire amount in the state treasury to
702702 the credit of the fund. For the purpose of this section, the proceeds of the
703703 fee shall include all funds collected and received by the director of
704704 taxation pursuant to this section, including interest and penalties on
705705 delinquent fees.
706706 (g) Subject to rules and regulations adopted pursuant to this section,
707707 the fees imposed by this act shall be paid to the director of taxation for the
708708 same reporting period and on the same reporting date as the purchaser or
709709 user of the solvent reports Kansas retailers' sales tax, as prescribed in
710710 K.S.A. 79-3607, and amendments thereto. The fees imposed by this
711711 section shall be reported on a form prescribed by the secretary of revenue.
712712 (h) (1) Subject to rules and regulations adopted pursuant to this
713713 section, all fees imposed under the provisions of this section and not paid
714714 on or before the 25th day of the month succeeding the reporting period in
715715 which the solvent was purchased shall be deemed delinquent and shall
716716 bear interest at the rate prescribed by subsection (a) of K.S.A. 79-2928
717717 K.S.A. 79-2968, and amendments thereto, from the due date until paid. In
718718 addition, there is hereby imposed upon all amounts of such fees remaining
719719 due and unpaid after the due date a penalty on the unpaid balance of the
720720 fees due in the amounts and percentages prescribed by K.S.A. 79-3615,
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764764 and amendments thereto.
765765 (2) The secretary of revenue shall report any such delinquency o the
766766 secretary at least once each calendar year in accordance with K.S.A. 75-
767767 5133, and amendments thereto.
768768 (3) The secretary or the director of the division of environment, upon
769769 finding that a person has violated any provision of K.S.A. 65-34,151, and
770770 amendments thereto, may impose a penalty not to exceed $10,000 per
771771 violation. Such penalty shall constitute an actual and substantial economic
772772 deterrent to the violation for which such penalty is assessed and, in the
773773 case of a continuing violation, every day that such violation continues
774774 shall be deemed a separate violation.
775775 (4) The secretary or the director of the division of environment may
776776 collect any delinquent fee, including any interest or penalty assessed
777777 pursuant to this act, upon issuance of an order requiring payment of the
778778 amount due subject to K.S.A. 65-34,153, and amendments thereto.
779779 (i) Whenever any person liable to pay the fee imposed by this section
780780 refuses or neglects to pay the fee, the amount of the fee, including any
781781 interest or penalty, shall be collected in the manner provided by law for
782782 collection of delinquent taxes under the Kansas retailers' sales tax act or
783783 this act.
784784 (j) Insofar as not inconsistent with this act, the provisions the Kansas
785785 retailers' sales tax act shall apply to the fees imposed by this section.
786786 (k) The secretary of revenue is hereby authorized to administer and
787787 enforce the provisions of this section and to adopt such rules and
788788 regulations as may be necessary to carry out the responsibilities of the
789789 secretary of revenue under this section.
790790 Sec. 7. K.S.A. 65-34,154 is hereby amended to read as follows: 65-
791791 34,154. On or before the first day of the regular legislative session each
792792 year, the secretary shall submit to the members of the standing committee
793793 on energy agriculture and natural resources of the senate and to the
794794 members of the standing committee on environment agriculture and
795795 natural resources of the house of representatives, or any successor
796796 committees, a report regarding:
797797 (a) Receipts of the fund during the preceding calendar year and the
798798 sources of the receipts;
799799 (b) disbursements from the fund during the preceding calendar year
800800 and the purposes of the disbursements;
801801 (c) the extent of corrective action taken under this act during the
802802 preceding calendar year; and
803803 (d) the prioritization of sites for expenditures from the fund.
804804 Sec. 8. K.S.A. 65-34,142, 65-34,144, 65-34,147, 65-34,148, 65-
805805 34,150, 65-34,151 and 65-34,154 are hereby repealed.
806806 Sec. 9. This act shall take effect and be in force from and after its
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850850 publication in the statute book.1