Delays in tabulating the votes in Johnson County forced election watchers to wait until 8 a.m. today to get the unofficial results of the Republican primary race for Governor.  Results are still unofficial, with recent mail-in ballots, provisional ballots, and some hand counted ballots not yet included.

Does your vote count?  Take note of incumbent State Representative Steve Becker of Buhler who appears to have lost his seat by one vote.  

The posted results show Secretary of State Kris Kobach winning the primary by a very narrow margin of 191 votes out of 311,009 recorded votes.  Although the election has been called, Governor Colyer is not yet conceding the race, releasing a statement this morning saying that with, "the presence of thousands of as yet uncounted provisional ballots and the extraordinary problems with the count, particularly in Johnson County, this election remains too close to call."

Senator Laura Kelly won the Democrat primary with more than twice the votes of the closest challenger.

Republican Primary - Governor

Democrat Primary - Governor

Watkins wins Republican Primary for 2nd District US House of Representatives.  Steve Watkins, a former Army Ranger and a newcomer to Kansas politics, has defeated three state senators, a state representative, and a former Speaker of the House to be the Republican candidate for the 2nd District Congressional seat retired by Rep. Lynn Jenkins.  Watkins beat Senator Caryn Tyson with a hefty campaign account primarily funded by his father.  Read the KC Star article here.  Watkins will now face former Rep. Paul Davis (D-Lawrence) who ran for Governor in 2014.

The incumbents won the other congressional primary races (Marshall, Yoder, Estes).  There was a close Democrat primary to select the candidate to challenge Kevin Yoder in the general election, with Sharice Davids emerging as the winner.  Davids is Native American, a mixed martial arts fighter and openly LGBT.  Read article here.  Democrats believe Yoder's seat could be vulnerable in the November election.

Democrat Primary for 2nd District Congress

Insurance Commissioner:

Schmidt will run against Nathaniel MacLaughlin (D-Kansas City) in the general election.

Secretary of State:

Schwab will face Brian "BAM" McClendon, a software designer, developer and engineer with connections to Google Earth and Uber, for the general election in November.

No More Campaigning:  There are 16 statehouse races that had only a primary race – in other words, the winning candidate has no general election opposition filed for the seat.  12 of these are Republican races and 4 are Democrat.

District 6 – Incumbent Rep. Jene Vickrey (R-Louisburg) defeated challenger Clifford Blackmore (R-Paola).  He won the vote 62% to 38%.  

District 11 – Incumbent Rep. Jim Kelly (R-Independence) defeated challenger John Lowrance (R-Independence).  He won the vote 76%-24%.

District 12 – Incumbent Rep. Doug Blex (R-Independence) defeated challenger Brad Hall (R-Independence).  He won the vote 69%-31%.

District 13 – Incumbent Rep. Larry Hibbard (R-Toronto) defeated challenger Londa Tindle (R-Fredonia).  He won the vote 55%-45%.

District 22 – Incumbent Rep. Nancy Lusk (D-Overland Park) defeated challenger Michael L. Coleman III (D-Overland Park) with 89% of the vote.

District 46 – Incumbent Rep. Boog Highberger (D-Lawrence) defeated challenger Benjamin Ferlo (D-Lawrence).  He won the vote 88%-12%.  

District 55 – Incumbent Rep. Annie Kuether (D-Topeka) defeated challenger Joseph Stringer (D-Topeka) 88%-12%..  

District 64 – Rep. Susan “Suzi” Carlson (R-Clay Center) beat Kathy Martin (R-Clay Center) 53%-47% to win the seat retired by Rep. Susie Swanson.

District 74 – Stephen Owens (R-Hesston) defeated six term incumbent Rep. Don Schroeder (R-Hesston) 55%-45%.  Owens is considered more conservative with endorsements from the NRA and Kansas Chamber.

District 75 – Former Rep. Will Carpenter (R-El Dorado) will return to Topeka after winning the primary 60%-40% against one term incumbent Rep. Mary Martha Good.  This was a rematch - Good beat Carpenter in the 2016 election by only 40 votes as a more moderate leaning candidate.

District 80 – Wellington businessman Bill Rhiley beat one term incumbent Rep. Anita Judd-Jenkins (R-Arkansas City) 58% to 42%.  Rhiley had conservative endorsements.

District 87 – This seat is retired by Roger Elliot.  Renee Erickson (R-Wichita) beat Jeff Kennedy (R-Wichita) 56%-44%.

District 89 – Rep. KC Ohaebosim (D-Wichita) held onto his seat against two Democrat challengers from Wichita – LeSean Tarkington and Marty Keenan.  

District 104 – Rep. Steven Becker (R-Buhler) appears to have lost his seat by one vote to challenger Paul Waggoner (R-Hutchinson) 2,014-2,013.  There will be a recount.

District 107 – Incumbent Rep. Susan Concannon (R-Beloit) beat challenger Sam Sacco (R-Concordia) 56%-44%.

District 124 –  Martin “Marty” Long (R-Ulysses) won 64% of the vote over Jeffrey G. Locke (R-Sublette) to fill the seat retired by Rep. Steve Alford.

The Kansas House of Representatives may see a slight shift to the right.  There are several House races where conservative Republican candidates unseated more moderate Republicans that won in 2016.  In addition to the losses of Reps Schroeder, Good, Judd-Jenkins, and Becker - 

District 8 – Rep. Patty Markley (R-Overland Park) lost to Chris Croft (R-Overland Park) 58%-42%.  Croft will face Michele Lobitz (D-Olathe) in November.

District 28 – Rep. Joy Koesten (R-Leawood) lost to Kellie Warren (R-Leawood) 42%-58%, who received conservative endorsements.  Warren will take on Brian Clausen (D-Leawood) in the general election.

On the other hand - conservative Republican John Whitmer was also unseated:

District 93 - Republican incumbent John Whitmer (R-Wichita) lost to challenger J.C. Moore (R-Clearwater) by 52 votes (1136-1084).  Moore will run against Clifton Beck (D-Clearwater) in the general election.  Moore is a retired educator with a doctorate in chemistry - he cites four priorities: fiscal responsibility, excellent schools, great roads and expansion of KanCare.

Other House Primary Results:

District 5 - Mark Samsel (R-Wellsville) beat Renee Slinkard (R-Parker)  and will run against Lassey Murphy (D-Lane) in November to fill the House seat left behind by Kevin Jones, who ran for 2nd District Congress.

District 14 – Charlotte Esau (R-Olathe) won the House seat held by her husband Keith Esau as he seeks the Secretary of State’s office.  She beat Aaron Young and Tom Stanion with 46% of the vote and will face Democrat Angela Schweller in the general election.

District 17 – Rep. Tom Cox (R-Shawnee) won his primary with 75% of the vote against Jim Eschrich.  He will now face Democrat Laura Smith-Everett of Shawnee

District 18 - Incumbent Rep. Cindy Neighbor (D-Shawnee) beat challenger Andrew Hurla with 82% of the vote, and now faces Republican primary winner Eric Jenkins, who beat Cathy Gordon.

District 27 – Rep. Sean Tarwater (R-Stilwell) won his primary with 46% of the vote against Karen Snyder and Rochelle Bird.  Tarwater will face Democrat Nicole Rome of Overland Park in the general election.

District 29 - Former Rep. James Todd (R-Overland Park) beat Peggy Galvin to set up a rematch against current Rep. Brett Parker (D-Overland Park).

District 30 – Wendy Bingesser (R-Olathe) beat Colleen Webster by less than 200 votes.  Bingesser is considered more conservative than Webster.  She will face the winner of the Democrat primary for this seat, Brandon Woodard(D-Lenexa) who beat Matthew Calcara.  This seat is left open by Rep. Randy Powell, who did not file for election.

District 38 - Incumbent Rep. Willie Dove (R-Bonner Springs) won over Noel Hull with 64% of the vote.  He will face Democrat Stuart Sweeney of Linwood in November.

District 39 – Former Rep. Owen Donohoe (R-Shawnee) won by 203 votes (54%) over Kristy Acree with Rep. Shelee Brim is not running for reelection.  Brim had endorsed Acree.  Donohoe will now face Democrat Michael Bolton. 

District 40 - Incumbent Debbie Deere (D-Lansing) beat Donald Terrien in the primary and will face Republican David French in the general election.

District 42 - Incumbent Jim Karleskint won his primary over Lance Neelly with 53% of the vote (less than 200 votes).

District 45 - Former lobbyist Cynthia Smith (R-Lawrence) won the primary against Ronald Thacker for the seat held for many years by retiring Rep. Tom Sloan.  The Democrat primary was won by Mike Amyx over Steven Davis and Aidan Loveland Koster.

District  49 – House Speaker Pro Tem Scott Schwab is running for Secretary of State.  Megan Lynn won 89% of the vote over Fsehazion Desalegn.  Lynn has been endorsed by Schwab.  Lynn will now face Democrat Darnell Hunt.

District 59 - Incumbent Rep. Blaine Finch (R-Ottawa) beat former Rep. Shari Weber with 71% of the vote.  He faces Democrat John Hall of Quenemo in the general election.  

District 86 - Incumbent Rep. Jim Ward (D-Wichita) beat Alexander Vulgamore with 86% of the vote.  He now faces Republican Jim Price of Wichita for the general election.

District 93 - Republican incumbent John Whitmer (R-Wichita) lost to challenger J.C. Moore (R-Clearwater.  Moore will not run against Clifton Beck (D-Clearwater) in the general election.  

District 97 - Nick Hoheisel (R-Wichita) beat Michael Waller by 108 votes to fill the seat left by retiring Rep. Les Osterman (R-Wichita).  Hoheisel will face Rebecca Jenek (D-Wichita) in November.

District 99 - Kristi Kirk (D-Wichita) beat Gerald Winget in order to challenge incumbent Rep. Susan Humphries (R-Wichita) in November.

District 100 - Incumbent Rep. Daniel Hawkins (R-Wichita) beat challenger James Francis Breitenbach with 76% of the vote.  Hawkins will face Democrat Jennifer Winn in the general election.

District 113 - Incumbent Rep. Greg Lewis won his primary over Brett Fairchild with 66% of the vote.  The Democrat primary was won by  David Curtis over David Serrault.  

Microbreweries Production; Alcoholic Candy; Domestic Beer in Refillable Containers; Hours of Sale for Alcohol; Self-service Beer from Automated Devices; HB 2470 allows microbreweries in Kansas to contract with other microbreweries for production and packaging of beer and hard cider, creates and amends law related to the sale of alcoholic candy and to the sale of domestic beer in refillable containers, allows licensed microbrewers in the state to produce beer containing up to 15.0 percent alcohol by weight, increases the length of time that certain businesses may serve or sell alcohol, and allows self service beer from automated machines. 

Microbreweries Production and Packaging The bill allows microbreweries in Kansas to contract with other microbreweries for production and packaging of beer and hard cider. The contracting Kansas microbrewery will be held to all applicable state and federal laws concerning manufacturing, packaging, and labeling and will be responsible for payment of all state and federal taxes on the beer or hard cider. Production of beer or hard cider will count toward production limits in continuing law for both of the microbreweries involved in such a contract. The bill allows the beer or hard cider to be transferred to the microbrewery on whose behalf the beer or hard cider was produced, after production and packaging. 

Sale of Alcoholic Candy; Adulterated Foods The bill defines “alcoholic candy” as follows: ● For purposes of manufacturing, “alcoholic candy” means any candy or other confectionery product with an alcohol content greater than 0.5 percent alcohol by volume; and ● For purposes of sale at retail locations, “alcoholic candy” means any candy or other confectionery product with an alcohol content greater than 1.0 percent alcohol by volume. The term is included in the definition of “alcoholic liquor.” Alcoholic candy is subject to regulation by the Alcoholic Beverage Control Division (ABC) of the Kansas Department of Revenue, and a retailer ise required to have a liquor license to sell such products. In addition, the bill amends law regarding adulterated food. The bill exempts confectionery containing not more than 1.0 percent alcohol by volume from the definition of adulterated food, change from 0.5 percent. 

Sale of Domestic Beer in Refillable Containers The bill amends the definition of “domestic beer” to allow licensed microbrewers in the state to produce beer containing up to 15.0 percent alcohol by weight, changed from 10.0 percent alcohol by weight. 

The bill allows a microbrewery licensee to sell beer manufactured by the licensee in refillable and sealable containers to consumers for off-premises consumption. Such containers may not contain less than 32 fluid ounces or more than 64 fluid ounces of beer. Licensees will be required to affix labels to all containers sold, which will include the licensee’s name and the name and type of beer in such container. 

[Note: Enacted 2017 House Sub. for SB 13 amended provisions of the Liquor Control Act and Cereal Malt Beverage Act. Certain provisions of the 2017 bill were delayed in implementation until April 1, 2019. References to such date are to reconcile the provisions of the 2017 and 2018 legislation.] 

Hours of Sale and Service for Alcohol The bill increases the length of time that certain businesses may serve or sell alcohol. Establishments licensed to serve alcohol will be allowed to sell drinks starting at 6:00 a.m. Under previous law, establishments were not allowed to sell drinks between the hours of 2:00 a.m. and 9:00 a.m. 

Farm wineries, microbreweries, and microdistilleries are allowed to sell their respective alcoholic products in their original containers between 6:00 a.m. and 12:00 a.m. on any day. Former law limited the hours these establishments could sell alcohol on Sundays, between 12:00 p.m. and 6 p.m. for farm wineries and between 11:00 a.m. and 7:00 p.m. for microbreweries and microdistilleries. 

“Day” means 6:00 a.m. until 2:00 a.m. the following calendar day. 

Self-service Beer from Automated Devices The bill allows licensed public venues, clubs, and drinking establishments to provide self-service beer to customers from automated devices in the same manner as is permitted for wine under continuing law, so long as the licensee monitors the dispensing of beer and can control such dispensing. 

Definitions The bill defines an “automated device” as any mechanized device capable of dispensing wine or beer directly to a customer in exchange for compensation that a licensee has received directly from a customer. “Day” means 6:00 a.m. until 2:00 a.m the following calendar day. 

Notice A licensee will be required to provide written or electronic notice to the Director of ABC of a licensee’s intent to use an automated device at least 48 hours before the automated device is used on the licensed premises. 

Video Monitoring The bill requires any licensee offering self-service beer or wine from any automated device to provide constant video monitoring of the automated devices at all times the licensee is open to the pubic. The licensee will be required to maintain the recorded footage for at least 60 days and, if requested, provide the footage to any agent of the Director of ABC or other authorized law enforcement agent. 

Access Card Under the bill, compensation will be in the form of a prepaid access card containing a fixed monetary amount that can be directly exchanged for beer or wine from an automated device. The access cards may be sold, used, or reactivated only during the business day. The cards will be purchased from the licensee by a customer and a licensee could issue only one active card to a customer. An access card will be considered active if the access card contains monetary credit or has not yet been used to dispense 15 ounces of wine or 32 ounces of beer. The purchase of an access card is subject to the liquor drink tax. 

A customer will be required to show a valid driver’s license, identification card, or other government-issued document that contains a photograph of the customer and indicates the customer is at least 21 years of age. The bill requires each access card to be programmed to require the customer show identification before the access card could be used for the first time during any business day or for any subsequent reactivation. 

The bill requires that access cards become inactive at the end of each business day. The access card will become inactive if it is used to dispense 15 ounces of wine or 32 ounces of beer. A customer will be able to reactivate the access card to allow an additional 15 ounces of wine or 32 ounces of beer by showing identification to the licensee or licensee’s employee. 

Service Hours The bill amends the prohibited service period to last from 2:00 a.m. to 6:00 a.m. Former law prohibited public venues, clubs, or drinking establishments from allowing the serving, mixing, or consumption of alcohol on its premises between 2:00 a.m. and 9:00 a.m. 

Other Provisions The bill requires the Secretary of Revenue to adopt rules and regulations to implement the provisions of the bill relating to sales via automated devices by January 1, 2019. The bill also states that all laws and rules and regulations concerning the sale of alcohol to individuals under 21 years of age applies to the sales transaction of the access card.

A public hearing will be conducted on Friday, May 11, 2018, from 1:00 p.m. to 2:00 p.m. in the ABC Conference Room, 5th Floor of the Mills Building, 109 SW 9th Street, Topeka, Kansas to consider the adoption of the proposed rules and regulations of the Alcoholic Beverage Control Division, Department of Revenue, on a permanent basis. Learn more here.

On Friday, April 20, the Consensus Revenue Estimating (CRE) Group predicted that state revenues will be $217 million more than predicted in November for FY 18 and $316 million above estimates for FY 19.  This means that Kansas tax revenues will see a 10% increase over last fiscal year, with the 2017 income tax hike in effect.

It appears that there are sufficient ending balance predictions to fund the recently passed K-12 funding legislation at the $525 million intended level – allowing restoration of the $80 million “error” that was somehow not part of the final language.  No one knows yet if the Kansas Supreme Court will accept the proposed funding plan.  This sets up a battle for the veto session over a long list of general budget items that have not yet been negotiated, repaying internal borrowing from the highway and retirement funds, additional school funding and the Senate’s new tax bill.  The Senate tax legislation is designed to decouple Kansas income tax rules from the Trump tax changes that are predicted to raise state tax bills for those who could no longer itemize.  The Senate tax legislation increases the individual standard deduction.

Senate President Susan Wagle, R-Wichita, is quoted as follows:  "As a result of the strong (President Donald) Trump economy, these numbers include an unexpected federal windfall to the state due to federal tax reform. The surplus from this unanticipated windfall should be returned to the Kansas taxpayers. If any funds remain, we should exemplify fiscal responsibility and make the payments to KPERS that have been delayed and repay the loan that the Legislature took out last year to pay the bills. We owe it to future generations to pay back our current debts and obligations.   "When we return next week, I will urge my colleagues to pass legislation to allow Kansans who currently itemize under state tax law to continue to do so in the future."

Kansas City Retailers Conference and Legislative Luncheon

Saturday and Sunday - April 21-22, 2018

SCHEDULE 

SATURDAY LEGISLATORS LUNCHEON & ROUNDTABLE:

12:00 - 1:30 pm   Legislators and Retailers Luncheon - Informal Roundtable with State Legislators.  

Worldwide Wine and Spirits, LLC., 
17501 W 98th Street #35 - 38, Lenexa, KS 66219

News from the Kansas Legislature - liquor law changes and tax legislation updates.  Visit with area legislators.

1:30 pm  - 3:00 pm   Retailers Strategy Session - GOLD Meeting

If you are a member of KABR, you should plan to attend.  Please send recommended agenda items to davisliquor2@cox.net if you have discussion items or proposed action items.  Proposals will be forwarded to the Board for approval.  (GOLD = Goals of Liquor Dealers).  

Saturday Dinner:   

6:30 - 8:30 p.m.  Dinner - Join other retailers for dinner - separate checks.

SUNDAY EVENTS - 

9:30am - 12:00 pm KABR Official Business Meeting of the Board of Directors 

1st Floor Conference Room, Best Western KC Speedway Inn at the Legends

All Members are Encouraged to Attend the Official Business Meeting.

Kansas Liquor Retailers have achieved impressive success at the Kansas Legislature over the past eight years, and we have done so by working together.  Our greatest challenges are yet to come - join us! 

Questions: contact Amy Campbell at 785-969-1617 or Brian Davis at 316-990-1425

Contact the Best Western Premier KC Speedway Inn and Suites for KABR overnight rooms

10401 France Family Dr, Kansas City, KS 66111

(913) 334-4440

HB 2470 – Federal and State Affairs has added several liquor bills to this legislation which is now the Liquor Conference Committee report.  Initially, HB 2470 was a bill to allow microbreweries within the state of Kansas to contract with other microbreweries for production and packaging of beer and hard cider.  both barrels of beer and hard cider produced pursuant to such contracts would be included as part of the production limits for both contracting licensees. Calendar-year production limits in continuing law are 60,000 barrels of beer and 100,000 gallons of hard cider.   An amendment to allow members of the public to be judges at beer competitions was added on the Senate floor. That amendment was dropped by the conference committee.

Bills added in conference include:

HB 2766 and SB 433 – Self-serve beer dispensers – Introduced and supported by Topeka downtown developers and winner of a business startup contest.  Requires video surveillance, moves the wine dispenser oversight rules and regs into statute, and limits the volume sold on each purchaser card.

HB 2475 – Microbrewery rules changes – Selling refillable and sealable containers (growlers) to consumers for off-premises consumption: such containers could not contain less than 32 fluid ounces or more than 64 fluid ounces of beer. Licensees would be required to affix labels to all containers sold with the name of the product and the microbrewery.  The bill changes the alcohol content limit for beer from 10% ABW to 16% ABW. Combined with HB 2476 in committee, then added to 2470 in conference.

HB 2476 – Defines alcoholic candy as alcoholic liquor, thus allowing the sale of candy and food products containing alcohol above .05 ABW.  Controversy emerged on the Senate floor in a debate over the percentage, with Senator Denning amending to 1.0 ABW.  Concerns have come from Senator Bollier regarding Andres Chocolates and other producers.  The Conference Committee returned the threshold to .05 ABW based on federal TTB definitions, but the House rejected the report, returning it to conference.  Currently, the report sets the threshold at .05% ABW for manufacturers and 1.0% ABW for retail sales.

HB 2482 – Day Drinking Bill – allows drinking establishments to begin selling alcohol at 6 a.m. instead of current restriction at 9 a.m.  Legislation was requested by a restaurant that features breakfast and moved through local government committees rather than traditional route through federal and state affairs.  The Senate Commerce Committee amended the bill to: ● Increase the number of hours in which farm wineries, microbreweries, and microdistilleries would be allowed to sell their respective alcoholic products; and ● Allow farm winery outlets to sell individual drinks.  The latter amendment attracted debate due to concerns about the “level playing field” for restaurants.  A farm winery outlet would be allowed to serve wine by the glass manufactured by the farm winery licensee, provided the outlet is in a county where the sale of alcoholic liquor is permitted. Wine sold pursuant to the bill would not be subject to the Club and Drinking Establishment Act, and a drinking establishment license would not be required to sell the drink. Under current law, a farm winery may have up to three licensed outlets, but the outlets are not permitted to sell individual drinks. The conference committee did not retain the “wine by the glass” amendment.  (Hours - Farm wineries, microbreweries, and microdistilleries would be allowed to sell their respective alcoholic products in their original containers between 6:00 a.m. and 12:00 a.m. on any day. Current law limits the hours these establishments may sell alcohol on Sundays, between 12:00 p.m. and 6 p.m. for farm wineries and between 11:00 a.m. and 7:00 p.m. for microbreweries and microdistilleries.)