Pursuant to KSA 75-6701, the most recent estimates of State General Fund (SGF) receipts for FY 2025 and FY 2026 have been adjusted to reflect the fiscal impact of legislation involving receipts to the SGF enacted during the 2025 Legislative Session subsequent to the Consensus Revenue Estimate (CRE) made on April 17, 2025 (see Table 1).
Estimated tax receipts for FY 2026 were decreased by $4.6 million relative to the April 17 estimate. There were no changes to the estimate for FY 2025.
Tables 2–3 show changes by source for each fiscal year and incorporate those changes into the overall estimate for that year. Table 2 establishes the newly revised estimate for FY 2025, and Table 3 establishes the new baseline estimate for FY 2026 that will be revised again in the fall.
Table 4 provides more specific information on the legislative adjustments by bill and by source for FY 2026.
A final section of this report discusses the implications for SGF receipts in FY 2027 and subsequent years relative to certain upcoming changes in law.
The Consensus Revenue Estimating Group will meet again prior to December 4 to consider revisions to the newly adjusted FY 2026 estimate and issue the initial estimate for FY 2027.
Highlights is a summary of major legislation passed during the Session. This edition contains summaries from more than 20 major topics, and includes briefs on Year-round Fireworks Sales, Advance Ballot Return Deadline, Real-time Vehicle Insurance Verification, Supreme Court Elections, and Property Tax Reductions.
Scroll down for the web-readable version of Highlights.
Agriculture & Natural Resources
Caps on Conservation Districts
SB 36amends law regarding conservation districts by increasing the cap on the amount of state funding allocated to conservation districts from
$25,000 to $50,000 per district and by increasing the State’s current matching funding from $1 to $2 in state funding for each $1 of county funding.
Amendments to the Poultry Disease Control Act
SB 89amends the Poultry Disease Control Act (Act) and establishes fees related to the Act and the National Poultry Improvement Plan (NPIP).
Fees. The bill authorizes the Animal Health Commissioner (Commissioner) to establish an annual NPIP participation fee of up to $50; an annual certification fee up to $50 for individuals providing testing or diagnostic services; and a testing and diagnostic services fee up to$100 per location.
Testing and Reporting. Each person performing poultry disease diagnostic services (testing) must report within 48 hours the source of each poultry specimen from which Salmonella Pullorum or Salmonella Gallinarum is a reactor or is isolated. Testing must be conducted by an authorized agent of the Commissioner or an individual certified pursuant to the Act.
Out-of-state Poultry and Public Exhibitions. The bill prohibits poultry from being shipped into Kansas or from being taken to a public exhibition unless certain conditions are met.
Water Task Force and Work Group
Senate Sub. for HB 2172creates a 16-member Water Program Task Force and a 5-member Water Planning Work Group to study and make recommendations to the Legislature on current and future water supply and steps to ensure future water supply, evaluate current funding for water, and determine future funding needs. The Task Force and Work Group will sunset on July 1, 2027.
Alcohol & Gaming
Live Horse Racing Licensure
SB 21amends the Kansas Parimutuel Racing Act to change certain licensing requirements regarding live horse racing and alter the distribution of moneys from certain funds.
Licenses. The bill permits horsemen’s associations and horsemen’s nonprofit organizations to obtain licenses for racetrack facilities located anywhere in Kansas. The bill removes the requirement that race meets are held in the county where the applicant for licensure is located. An organization applying for a facility owner or facility manager license is prohibited from operating historical horse race machinesat the racetrack facility for which it is seeking licensure.
Funds. For moneys in the State Racing Fund in excess of the required operating expenditures for the Kansas Racing and Gaming Commission, 30.0 percent of the tax revenues from wagers on historical horse races will be transferred to the Kansas Horse Breeding Development Fund, and 70.0 percent will be transferred
to the Horse Fair Racing Benefit (HFRB) Fund. Of moneys credited to the HFRB Fund, 15.0 percent may be used to promote the parimutuel racing industry in Kansas.
Tribal Gaming Compact Amendment
SR 1716 and HR 6017approve an amendment to the gaming compact between the Sac and Fox Nation of Missouri in Kansas and Nebraska and the State of Kansas to allow for sports wagering operations on the Nation’s reservation lands.
Children & Youth
Office of Early Childhood
HB 2045establishes the Kansas Office of Early Childhood (Office) and updates law regulating child care centers and child care homes.
The bill centralizes state oversight of most funds, programs, and policies related to early childhood services within the Office. The Director of Early Childhood will be appointed by the Governor, subject to Senate confirmation.
The Office includes the Division of Home Visitation, the Kansas Children’s Cabinet, the Division of Child Care Licensure and Finance, and the Child Care Ombudsman.
The bill amends Lexie’s Law provisions related to summer instructional camps, fire safety inspections at certain facilities, and immunization exemptions, and transfers the law from the Kansas Department of Health and Environment to the Office.
Child Support and Tax Exemption for Unborn Children
HB 2062requires child support to be calculated from the date of conception, requires the court to consider the value of a qualified retirement account in the determination of child support,
and eliminates the exemption of such accounts from claims to collect child support. The bill also allows a personal exemption for any unborn child for the purposes of state income taxation.
Law Enforcement Response to Suspected Child Abuse or Neglect
HB 2075, among other provisions, requires a law enforcement officer who responds to suspected child abuse or neglect to explore options to separate the child from the source of serious harm before a child is removed from the home. The Secretary for Children and Families (Secretary) is required to provide an electronic means of communication for a responding officer to refer a child who may be a victim of abuse or neglect to the Secretary, and such investigations must be initiated within 24 hours of the referral.
Prohibited Placement Policies in Kansas CINC Code
HB 2311prohibits the Secretary for Children and Families from adopting, implementing, or enforcing policies that conflict with a person’s sincerely held religious or moral beliefs regarding sexual orientation or gender identity for the purpose of considering who may be selected as an out-of-home placement, adoptive resource, or custodian for a child in need of care (CINC).
Commerce & Labor
Year-round Fireworks Sales
SB 199, among other things, permits year-round fireworks sales to the public for personal use by permanent retailers registered with the State Fire Marshal. Seasonal retailers are not required to register with the State Fire Marshal, but are limited to making sales during the period of June 20 through July 7 of the calendar year.
Restrictive Covenants
SB 241prohibits certain restrictive covenants from being considered a restraint of trade and requires the court to modify covenants that are overly broad, establishing a presumption of enforceability when certain conditions are met. The bill also permits the parties to assert applicable defenses in a written covenant dispute.
Regulatory Relief; General Regulatory Sandbox Program
HB 2291creates the Regulatory Relief Division (Division) within the Office of the Attorney General to administer the General Regulatory Sandbox Program (Program) created by the bill. The Program allows businesses to apply for temporary waivers from certain state laws and regulations in order to demonstrate an innovative product or service without obtaining a certification or registration that might otherwise be required by state law. Approved applications provide limited access to the market in Kansas for 24 months, with a possible extension of up to 12 months.
Program applications are to be reviewed by the Division, any applicable state agency, and an 11-member Program Advisory Committee, and can be denied for any reason, including if it is determined that a waiver would cause a significant risk of harm to consumers or residents of the state.
Applications related to liquor and cereal malt beverages cannot be considered, and the Division is not authorized to waive any licensing requirement for purposes of federal or state law nor any related tax, fee, or charge.
Notice of approval of an application for Program participation is required to be published on the Division’s website, and Program participants will be required to make quarterly reports of certain information to the Division, including
information about any consumer complaints.
Revised Limited Liability Corporation Act
HB 2371, among other changes, updates the Revised Limited Liability Company Act (LLC Act) to allow for the use of electronic documents and signatures and specifies how a void act or transaction may be cured.
For series LCCs, the bill also clarifies terms of operating agreements and consolidation of tax filings in the LLC Act. Furthermore, the bill specifies that the statute of frauds will apply to a wrongful transfer of property between a series LLC and entities related to the series or its parent LLC.
Countries of Concern
Kansas Land and Military Installation Protection Act and Drone Procurement
House Sub. for SB 9creates the Kansas Land and Military Installation Protection Act and prohibits government agencies from purchasing or acquiring certain drones.
Real Property Acquisition. The bill generally requires foreign principals from countries of concern that own or acquire an interest in non-residential real property located within 100 miles of any military installation located in Kansas, or an adjacent state, to register that interest with the Attorney General (AG). Beginning July 1, 2025, foreign principals will generally be prohibited from acquiring such interests.
Notice and Divestiture. The bill requires the AG to send a warning to any foreign principal that owns any property requiring registration on July 1, 2025, and fails to register such property. The foreign principal must divest such property if registration does not occur within 30 days of receiving the warning.
Data Reporting. The bill requires the AG to prepare and submit various reports to the Governor, Adjutant General, and the Legislature. The bill requires Kansas State University to use available data and resources to prepare and submit a report detailing the status and trends of all foreign land holdings of real property within Kansas.
Drone Procurement and Usage. The bill prohibits government agencies from purchasing and acquiring drones, or any related services or equipment, whose critical components were produced in a country of concern, or whose critical components were produced or owned by any foreign principal. The prohibition does not apply to purchases, or any contract or agreement entered into, prior to July 1, 2025.
Component Replacement. When a government agency must replace a critical component of a drone, the bill allows the agency to use any replacement component acquired prior to July 1, 2027, but prohibits acquiring new replacement components from any foreign principal unless certain conditions exist.
AI and Genetic Sequencers
Senate Sub. for HB 2313prohibits state agencies from allowing employees to access artificial intelligence (AI) platforms of concern on state-owned or state-issued electronic devices and prohibits all medical and research facilities in the state from using genetic sequencers or software used for genetic analysis produced in or by a foreign adversary or affiliated entity.
Education
Advance Enrollment for Military Students
Sub. for HB 2102requires school districts to permit the advance enrollment of any military student if the student provides evidence that their parent or guardian will be stationed at a military installation in Kansas during the current
or immediately succeeding school year. The bill applies to kindergarten through grade 12, as well as school districts with pre-existing pre-kindergarten programs.
Expanding National Guard Scholarship Programs
HB 2185expands two postsecondary financial aid programs for members of the Kansas National Guard.
Kansas National Guard Educational Assistance Program. The bill expands the program to include eligible dependents of Kansas National Guard members. Eligible National Guard members may either directly participate or sponsor a dependent’s participation in the program.
EMERGE Program. The bill expands the Kansas National Guard Educational Master’s for Enhanced Readiness and Global Excellence (EMERGE) Program to include enrollment in professional and doctoral degree programs in addition to master’s degree programs at Kansas educational institutions.
Fetal Development Videos and State Board of Education Compensation
Senate Sub. for HB 2382requires school districts that offer courses or other instruction in human growth, human development, or human sexuality to include a human fetal development presentation.
The bill also allows the State Board of Education to establish its own rate of compensation for board members.
Elections & Ethics
Return of Advance Voting Ballots
SB 4, on and after January 1, 2026, changes the deadline for the receipt by mail of advance voting ballots from the third day following the date of the election to 7 p.m. on the date of the election.
Legislative Approval of Federal Election Funds
SB 5amends the Transparency in Revenues Underwriting Elections Act to prohibit government agencies and election officials from accepting or expending federal funds for any election-related expenditures, including voter registration and assistance, unless the funds are appropriated by the Legislature or otherwise provided by state law.
Process for Filling Vacancies; Joint Committee on Vacancy Appointments
SB 105creates and amends law governing the process for filling vacancies in the offices of U.S. Senator, State Treasurer, and Commissioner of Insurance. The bill establishes the Joint Committee on Vacancy Appointments (Committee), and when a vacancy in one of these offices occurs, the bill directs the Committee to convene within 30 calendar days to review nominations of candidates to fill the office. If the vacancy occurs during a regular session of the Legislature or if a special session is called within five days of the vacancy occurring, the Committee must submit a concurrent resolution to the Senate and House of Representatives identifying three candidates for further consideration before submission to the Governor. Otherwise, the Committee must submit three candidates to the Governor, who must, within three calendar days of receipt, appoint one of the candidates to serve the unexpired term.
Non-citizens’ Driver’s Licenses Report
HB 2020 directs the Director of Vehicles (Director) of the Department of Revenue to quarterly provide the Secretary of State (Secretary) a list of all permanent and temporary driver’s licenses issued to non-citizens. The Secretary is directed to compare the list provided by the Director with the voter registration rolls, investigate, and direct county election officers to remove the
names of any non-citizens that appear on the voter registration rolls within five days. County election officers must notify any person removed from the voter registration rolls that they may be reinstated by providing proof of citizenship.
Special Election Date Requirements
HB 2022amends the definition of “special election” in election law to mean any election held on the Tuesday following the first Monday in March of any year or on the same day as a general or primary election.
Campaign Contribution Limits
Senate Sub. for HB 2054amends provisions in the Campaign Finance Act to increase limits on contributions made by certain persons to candidates and party committees, including cash contributions; eliminate limits on contributions made by party committees to candidates for each general election; and clarify that no expenditure made by a party committee in support of a candidate, with or without a candidate’s cooperation or consent, would constitute a contribution.
False Representation of an Election Official; Political Party Nominations
Senate Sub. for HB 2056amends election law concerning the crime of false representation of an election official and nominations by political parties.
False Representation of an Election Official. The bill amends the conduct included under the crime of false representation of an election official to add the intent to cause a person to believe that the person is an election official.
Political Party Nominations. The bill amends law regarding nominations for elected office to require that any person nominated for an elected office accept such nomination and to restrict the number of nominations a person may accept to one nomination.
Prohibition on Foreign Money in Constitutional Amendment Advocacy
HB 2106amends the Campaign Finance Act to require reporting and certification for persons promoting or opposing changes to the Kansas Constitution. The bill prohibits accepting contributions or expenditures from foreign nationals for such activities and defines “foreign national” for the purpose of the bill.
Renaming the Governmental Ethics Commission; Changes to Campaign Finance Act Definitions
HB 2206changes the name of the Kansas Governmental Ethics Commission to the Kansas Public Disclosure Commission.
The bill also adds a new definition for the phrase “cooperation or consent,” to mean express advocacy that is created, produced, or distributed at the request, recommendation, or with the assent of a candidate, candidate committee, or party committee. Additionally, the bill specifies items that are not “cooperation or consent.”
Only Citizens Vote—Proposed Constitutional Amendment
HCR 5004will submit a ballot question to voters at the general election on November 3, 2026, proposing an amendment to the Kansas Constitution regarding citizenship of voters. Currently, Section 1 of Article 5 of the Kansas Constitution states that every citizen of the United States who has attained the age of 18 and who resides in the voting area he or she seeks to vote shall be a qualified elector. The resolution proposes an amendment to clarify that no person shall be deemed a qualified elector unless the person is a citizen of the United States, has attained the age of 18, and, unless a residency exception applies, resides in the voting area in which the person seeks to vote.
Financial Institutions & Insurance
Real-time Motor Vehicle Insurance Verification
SB 42, among other insurance provisions, enacts the Kansas Real Time Motor Vehicle Insurance Verification Act, which requires the Commissioner of Insurance to establish, implement, and maintain a web-based system for online verification of motor vehicle insurance, to be fully operational no later than July 1, 2026. The system may be used for verification of motor vehicle liability insurance and as proof of insurance for vehicle registration purposes, but the bill specifies that establishing compliance through the system shall not be a primary cause for law enforcement to stop a vehicle.
Public Moneys Pooled Method of Investing
Sub. for HB 2152establishes the public moneys pooled method and makes changes related to the deposit and investment of public moneys.
The bill requires banks, savings and loan associations, or savings banks (financial institutions) to secure government deposits above Federal Deposit Insurance Corporation limits by maintaining a pool of securities equal to at least 102.0 percent of uninsured public funds. Procedures are established by the bill to address defaulting financial institutions and complaints when governmental entities are believed to be in non-compliance. Investment advisers executing bids for investment of public moneys are prohibited from directly managing money from such bids. The bill also amends law regarding the investment of local and state public moneys, the Municipal Investment Pool Fund, and governmental units’ investment policies.
Health
Public Health
Sub. for SB 29, among other things, requires the Secretary of Health and Environment (Secretary) to have probable cause before taking action regarding the spread of infectious or contagious disease and provides for the right to file a civil action against an order made by the Secretary or a local health officer. The bill also replaces the authority of a county or joint board of health or a local health officer to prohibit public gatherings with the ability to issue a recommendation against such gatherings when necessary for the control of infectious or contagious diseases.
Help Not Harm Act
SB 63enacts the Help Not Harm Act, which establishes parameters for health care providers to follow regarding treatment for a child who has a perceived gender or perceived sex that is different than the child’s biological sex.
The bill, among other things, prohibits the use of state funds and state property for treatment or promotion of social transitioning, medication, or surgery; as well as state employees, while in their official capacity, from promoting or advocating social transitioning, medication, or surgery.
House Sub. for SB 126renames the current newborn screening program as the Advance Universal Newborn Screening Program (Program). The Program includes educational programming, screening tests, a follow-up program, and, within the limits of appropriations, medically necessary treatment products for all conditions determined and identified by the Secretary of Health and Environment (Secretary), which may include conditions in the recommended federal uniform screening panel. The
bill requires physicians and mid-level practitioners to report cases of the designated conditions to the Secretary. The bill also increases the hospital provider annual assessment rate and extends the assessment to include critical access and rural emergency hospitals with revenues above a certain threshold.
Right to Try for Individualized Treatments Act
SB 250creates the Right to Try for Individualized Treatments Act, which authorizes manufacturers to make and provide individualized investigative drug treatments, biologic products, or devices requested by individuals with life-threatening or severely debilitating illnesses. The bill also establishes procedures for the use of a patient’s biospecimen, requires informed consent to the treatment or use of the device, establishes the criteria for manufacturer eligibility, exempts a patient’s heirs from liability for outstanding debt related to the treatment, and does not expand mandatory health insurance coverage.
Emergency Medical Services
HB 2039, among other things, exempts ambulance services providing only non-emergency transportation from the requirement that ambulance services be offered 24 hours per day, every day of the year.
For operators required to have a permit, the bill requires at least one person to be in the patient compartment during patient transport who is emergency medical services (EMS) certified or authorized, a physician, a physician assistant, an advanced practice registered nurse, a professional nurse, or a registered nurse holding a multistate license.
The bill allows for any county with a population of 30,000 persons or less to operate a ground vehicle providing EMS with one person who is a qualified health care provider if the driver of the vehicle is certified in cardiopulmonary resuscitation (CPR). Any EMS adopting
this policy must notify the Emergency Medical Services Board (Board) within 30 days of adoption.
The bill also requires Automated External Defibrillators (AEDs) that are made available in a public place be registered with the Board.
Judiciary
Third-party Litigation Funding
Sub. for SB 54amends the Kansas Code of Civil Procedure to require the disclosure of third-party litigation funding agreements.
A sworn statement disclosing facts of the agreement must be submitted by the party who entered into the agreement. The agreement itself must be provided to the court for in camera review.
Child Sex Crimes—AI-generated Materials
SB 186, among other changes, revises the Kansas Criminal Code definitions of sexual exploitation of a child, unlawful transmission of a visual depiction of a child, and breach of privacy to include conduct related to artificially generated visual depictions. The bill generally expands statutory definitions to include depictions of children under age 18 that have been created, altered, or modified by artificial intelligence, regardless of whether an actual child was involved in the creation of the material.
Direct Election of Supreme Court Justices—Proposed Constitutional Amendment
SCR 1611proposes amendments to Sections 5, 8, and 15 of Article 3 of the Kansas Constitution for consideration at a special election on August 4, 2026, in conjunction with the primary election. The amendment, if approved by voters, would abolish the current method of appointing justices to the Kansas Supreme Court, including the Supreme Court Nominating Commission, and replace it with direct election of such justices, whose elections would be staggered every two years, depending on seat number.
The resolution proposes removing the prohibition against sitting Kansas Supreme Court justices contributing to or holding any office in a political party or organization or taking part in political campaigns. The resolution also proposes adding a similar exception for district court judges who are a candidate for election to a position on an appellate court.
Guardianship, Conservatorship, and Other Protective Arrangements
HB 2359enacts the Uniform Adult Guardianship and Protective Proceedings Jurisdiction Act and the Kansas Uniform Guardianship, Conservatorship, and Other Protective Arrangements Act, replacing existing statutes governing guardianship and conservatorship throughout the Kansas Statutes Annotated, effective January 1, 2026. The bill, among other things, provides a jurisdictional basis for a court to appoint a guardian or conservator, issue a protective order, or authorize a protective arrangement for adults and minors. The bill also establishes provisions specific to each arrangement.
Local Government
Fast-track Permitting
HB 2088creates the Fast-track Permits Act (Act) for single-family residential developments with the stated purpose of enhancing economic growth in local communities and streamlining the building permit review process.
The bill generally requires a local government or authority to approve or deny a building permit for improvement of a single-family residential property within its jurisdiction within 60 days of receiving a completed application. If the authority fails to provide written notice of an application’s approval or denial, the application is deemed approved by the authority.
Municipal Employee Whistleblower Act
HB 2160, the Municipal Employee Whistleblower Act, prohibits a supervisor or appointing authority of a county, city, or unified school district, or any unit of those entities, from prohibiting or taking disciplinary action against an employee for actions including discussing municipal matters of public concern, such as public health, safety, or welfare, with any member of the municipal governing body or an auditing agency; reporting a violation of state or federal law, municipal resolution, or adopted rules and regulations, resolution, or ordinance; and disclosing misappropriation of moneys held by a municipality. The protections do not apply if the employee discloses information that is confidential, disclosed due to a corrupt motive, or known by the employee to be false.
Open Government
Fees for Public Records; Livestreaming Public Meetings
HB 2134amends law regarding public agency records and meetings.
Open Records. Among other provisions, the bill clarifies public agency fees for providing requested records must include the actual cost to review and redact the requested records. If the agency incurs costs for staff time to provide the requested records, the agency must base these costs on the lowest-cost employee who may reasonably provide access or copies. The bill also requires an agency to make reasonable efforts to contact the requester about mitigating the cost of a request in certain circumstances.
Open Meetings. The bill requires any public body or agency that voluntarily elects to livestream a meeting to ensure that all aspects of the meeting are available for the public to observe.
Public Safety
Sale of Forfeited Firearms
SB 137creates a new option for disposal of forfeited firearms under the Kansas Standard Asset Seizure and Forfeiture Act, to permit such firearms to be sold or transferred to a properly licensed federal firearms dealer.
Statewide Opioid Antagonist Protocol
Sub. for SB 193exempts law enforcement agencies from the Statewide Opioid Antagonist Protocol requirement to utilize a physician medical director or licensed pharmacist unless the agency elects to use an emergency opioid antagonist that requires a prescription. Currently, the most widely available opioid antagonist, naloxone and its nasal spray version (Narcan), are available without a prescription.
Social Services
Inspector General Expansion of Scope
HB 2217, among other things, expands the scope of the Inspector General within the Office of the Attorney General to include the audit, investigation, and performance reviews of all state cash, food, and health assistance programs. “Health assistance” means the Medicaid program and the Children’s Health Insurance Program.
Legislative Approval for Public Assistance and I/DD Programs
Senate Sub. for HB 2240prohibits state agencies, on or after July 1, 2025, from seeking or implementing any public assistance program waiver or authorization from the federal government that would expand public assistance eligibility or that would increase state spending or any changes to funding structures, day services, or targeted case management services for persons with intellectual or developmental disabilities (I/DD) without the express consent or approval of the Legislature or the Legislative Coordinating Council.
State Finances
Continuous State Budget
SB 14establishes a system of continuing appropriations by which appropriations from the previous fiscal year would carry forward into the subsequent fiscal year unless the Legislature adjusts them. The Secretary of Administration may change appropriations as necessary, including lapsing Executive Branch continuing appropriations, adjusting appropriations to match federal funding availability, and borrowing between appropriated funds and special revenue funds when the balance of a fund is determined to be insufficient to meet its obligations. State General Fund (SGF) borrowing is limited to 9.0 percent of total SGF expenditures in that fiscal year, and non- SGF borrowing is limited to no more than $400.0 million. The bill sunsets on July 1, 2030.
State Budget
Included in the FY 2025 Budget
SB 125adjusts total state expenditures to $27.08 billion, including $10.85 billion from the SGF, in FY 2025. This is an all funds increase of $2.77 billion, or 11.4 percent, and an SGF increase of $1.48 billion, or 15.8 percent, above FY 2024 actuals.
Significant SGF Adjustments—FY 2025
Human Services. Contract Nursing. Adds $38.0 million SGF for contract nursing staff at Larned and Osawatomie state hospitals.
Caseloads. Adds $10.0 million SGF to adopt spring human services caseload estimates upon certification of the State Finance Council for FY 2025.
Medicaid Contract. Adds $16.2 million, including $4.8 million SGF, for the Kansas Department of Health and Environment (KDHE) contract with Gainwell Technologies.
Public Safety. Firearm Detection. Adds $10.0 million SGF to hire a private vendor for firearm detection software to be used only in public school buildings and for no more than two years.
Aircraft Project. Adds $5.8 million SGF for the Bombardier Defense Project.
Significant SGF deletions made to the FY 2025 approved budget in SB 125 include the following:
Human Services. Caseloads. Deletes $101.3 million, including $21.7 million SGF, to adopt the fall human services caseloads estimate.
CHIP. Deletes $19.7 million SGF in unused funds for the Children’s Health Insurance Program (CHIP).
Reappropriations. Deletes $150.5 million SGF for KanCare Non-caseloads (Home and Community Based Services waiver) funds that were reappropriated due to a higher-than-anticipated federal match.
Education. Deletes $171.1 million, including $121.4 million SGF, to adopt fall education consensus numbers.
Unused Funds. Deletes $6.9 million SGF for unused funds for the state employee pay plan in 2024 SB 28. Further, deletes
$5.0 million SGF in unused funds appropriated to the Board of Indigents’ Defense Services for general operating expenditures.
Policy Changes—FY 2025
General Government. Budget Stabilization. Adds language to suspend budget stabilization fund transfers in FY 2025 and allow the State Treasurer to invest funds.
Judicial Surcharge. Adds language providing that the sunset date for the surcharge of certain Judicial Branch fees that are transferred to the SGF is extended until June 30, 2027.
Lottery Contract. Adds language providing that the Kansas Lottery shall not expend moneys to negotiate or to enter into any contract or any extension or renewal of an existing contract for the management of sports wagering with any lottery gaming facility manager. This proviso also applies to FY 2026.
Human Services. EBT Requirements. Appropriates $3.7 million, including $1.8 million SGF, to the State Finance Council and adds language requiring the funds be released to the Department for Children and Families upon certification by the Secretary for Children and Families that a waiver has been submitted to exempt candy and soda from EBT purchases.
Included in the FY 2026 Budget
SB 125 adjusts total state expenditures to $25.60 billion, including $10.64 billion SGF, for FY 2026. This is an all funds decrease of $1.47 billion, or 5.4 percent, and an SGF decrease of $210.5 million, or 1.9 percent, below the FY 2025 recommended expenditures.
Significant SGF Adjustments—FY 2026
General Government. State Employee Pay. Adds $106.3 million, including
$40.0 million SGF, to provide salary adjustments to state employees based on the 2024 Department of Administration Market Survey.
Human Services. Nursing Facilities. Adds $75.5 million, including $29.3 million SGF, for an add-on payment to nursing facilities of $20 per day based on the number of Medicaid residents.
Hospital Funding. Adds $10.0 million SGF for hospitals providing inpatient behavioral health services for adults.
Medicaid Contract. Adds $16.7 million, including $5.0 million SGF, for the KDHE contract with Gainwell Technologies.
Nursing Facility Reimbursement. Adds $12.4 million, including $4.8 million SGF, to fully rebase nursing facility reimbursement rates.
Education. Two-year College Apprenticeships. Adds $14.3 million SGF and language to allocate the funding to designated schools.
University Initiative. Adds $12.0 million SGF for the Regional Growth and Development Initiative, including $3.8 million for Pittsburg State University,
$3.8 million for Emporia State University, and $4.4 million for Fort Hays State University.
Two-Year College Initiative. Adds $10.5 million SGF for Two-Year Colleges Student Success Initiatives for FY 2026 and adds language to distribute funds to designated schools.
Kansas Campus Restoration. Adds $30.2 million, including $13.2 million transferred from Attracting Powerful Economic Expansion (APEX) funds,
$5.0 million transferred from American Rescue Plan Act (ARPA) interest funds,
$5.0 million from the State Water Plan Fund (SWPF), and $7.0 million SGF for the Kansas Campus Restoration Fund.
Special Education. Adds $10.0 million SGF for additional Special Education State Aid funding, for a total of $611.0 million for Special Education State Aid. This is also included for FY 2027 as maintenance of effort funding.
Technical Colleges. Adds $7.0 million SGF to the Technical Colleges Operating Grant Fund.
NISS Playbook. Adds $5.8 million SGF for National Institute for Student Success (NISS) Playbooks at state institutions and Washburn University.
Career and Technical Education. Adds $5.0 million SGF for Career and Technical Education capital outlay aid and adds language allocating those funds to designated schools.
Aviation Research. Adds $5.0 million SGF for aviation research at Wichita State University.
KSU 105. Deletes $5.0 million SGF from the cooperative extension operating account for the Kansas State University (KSU) 105 project.
Public Safety. Correctional Officer Pay. Adds $4.1 million SGF to adopt Governor’s Budget Amendment No.1, Item 2 to be released to the Kansas Department of Corrections (KDOC) upon certification by the Secretary of Corrections that an increase to entry- level correctional officer pay differentials at Lansing Correctional Facility is necessary.
Debt Service. Adds $10.3 million SGF to consolidate debt payments for three projects approved by the 2024 Legislature: the Kansas Bureau of Investigation (KBI) Forensic Lab in Pittsburg, the KDOC Topeka Central Health and Behavioral Health Support Building, and the KSU Pure Imagination Facility.
Significant SGF deletions made to the FY 2026 budget in SB 125 include the following:
Education. Blueprint for Literacy. Deletes $10.0 million SGF for the Kansas Blueprint for Literacy.
Lapsed Funds. Deletes $11.6 million, including $7.3 million SGF, to lapse 1.5 percent of state operations funded from the SGF and State Highway Fund. The following entities are exempt from this provision: judicial and legislative branch agencies, KDOC, KBI, Kansas Sentencing Commission, veterans homes, the Office of the Attorney General, state hospitals, the Kansas
Highway Patrol, and State Board of Regents institutions.
Non-SGF Adjustments—FY 2026
Public Safety. Airport Grant. Adds $4.0 million from ARPA interest to provide a grant to an airport for technology, tower upgrades, vertiport, heliport, and office space to attract e-aviation unmanned aircraft systems testing or manufacturing to Kansas and adds language to transfer the funds.
KBI Headquarters. Adds language authorizing the KBI to issue up to $80.0 million in bonds for a new headquarters in downtown Topeka.
Education. KSU Veterinary Diagnostic Lab. Adds language authorizing KSU to issue up to $128.0 million in bonds for the construction of a veterinary diagnostic laboratory on the Manhattan campus. Adds language requiring an additional$2.0 million from private funds.
State Water Plan Fund. From the SWPF, adds $2.0 million for streambank stabilization projects, $2.6 million for irrigation technology, $5.3 million for conservation district aid, $3.1 million for contamination remediation, and $2.0 million for high plains aquifer partnerships.
Adds language allowing the Secretary of Agriculture to transfer funding between lines of appropriation of the SWPF.
Policy Changes—FY 2026
General Government. DEI Prohibition. Adds language directing the Department of Administration to certify that state agencies have eliminated Diversity, Equity, and Inclusion (DEI) positions, policies, programs, and related grants or contracts.
STAR Bonds. Adds language to authorize the Kansas Developmental Finance Authority to issue Sales and Tax Revenue (STAR) Bonds for any STAR Bond project.
Employment Law. Adds language to update the definition of “temporarily unemployed” to include individuals covered by a collective bargaining agreement who have been laid off from full-time work and reasonably expect to resume full-time work within six months.
Budget Stabilization. Adds language to allow the State Treasurer to invest Budget Stabilization Funds.
Vacant Positions. Adds language to lapse funding associated with the salaries and wages of vacant positions at the end of the fiscal year.
Education. Caseloads. Adds language directing the Legislative Research Department and the Office of Revisor of Statutes to identify money for services to K-12 students at public schools and include this information in the review of education caseload estimates.
K-12 American History. Adds language directing Kansas State Department of Education to expend $2.0 million, all from existing resources, to issue a request for proposal for a supplemental American history online curriculum.
Human Services. HCAIP. Adds language to require that Critical Access Hospitals and Rural Emergency Hospitals pay the provider assessment in the Health Care Access Improvement Program (HCAIP) as long as they have annual revenues that are above the threshold established by the Health Care Access Improvement Panel.
Contract Nursing. Adds language to prohibit Larned State Hospital from using contract agency nursing staff for FY 2027.
State Government
Antisemitism
SB 44declares that antisemitism and antisemitic acts are against the public policy of the state, including,
but not limited to, the purposes of public educational institutions and law enforcement agencies.
Competitive Career Opportunities Act
SB 166enacts the Fostering Competitive Career Opportunities Act, which, among other things, prohibits state employers from making hiring decisions based solely on an applicant’s lack of a postsecondary degree. The prohibition does not apply to positions for which a postsecondary degree is justifiably necessary.
Illegal Immigration
SCR 1602makes findings regarding illegal immigration and directs the Governor of Kansas to fully cooperate with and assist in federal actions to enforce immigration law.
Background Checks of State Employees
HB 2342authorizes the Secretary of Commerce to request the KBI to conduct a state and national criminal history record check on any final applicant for, or an employee currently holding, a sensitive position within the Department of Commerce; and requires the Secretary of Labor to conduct state and national criminal history record checks on employees who have access to federal tax information received directly from the Internal Revenue Service.
Taxation
Discontinuing State Building Fund Mill Levies
SB 35eliminates, beginning in tax year 2026, the statewide mill levies of 1.0 mills for state educational buildings and 0.5 mills for state institutions buildings. In fiscal year 2027, the bill transfers $56.0 million from the SGF to the Kansas Educational Building Fund and $25.0 million from the SGF to the State Institutions Building Fund, with formulaic increases to each transfer in subsequent years.
Data Center Sales Tax Exemption
SB 98provides a sales tax exemption to certain firms making eligible investments in a qualified data center.
Exempted purchases. The bill exempts sales tax for 20 years on purchases for the development, acquisition, construction, and operation of a qualified data center made by a qualified firm, including, but not limited to, costs of data center equipment and other items.
Eligibility. To be eligible, a qualified firm must be approved by the Kansas Fusion Center Oversight Board and enter into an agreement with the Department of Commerce that includes, among other things, committing to an investment of at least $250 million; adhering to practices that will conserve, reuse, and replace water; and purchasing electricity from the public utility providing retail electric service.
Tax Credits for Preservation of Historic Structures
SB 227makes changes to tax credits allowed for preservation of historic structures with at least $5,000 of qualified expenditures. In cities with a population of more than 50,000, the credit amount is now 25.0 percent for projects with expenditures up to $50,000 and 40.0 percent for projects with expenditures in excess of $50,000. For cities, townships, or unincorporated areas with a population of 50,000 or less, the credit amount is now 40.0 percent for projects, including those in which the structure is not income producing and is exempt from federal income tax pursuant to section 501(c)(3) of the Internal Revenue Code.
The bill also authorizes the Department of Revenue, before issuance of credits, to reduce credits by any amount of outstanding tax liability owed to the State.
Income and Privilege Tax Rate Reductions
SB 269reduces state income and privilege tax rates contingent on growth in the SGF receipts from income and privilege taxes in excess of the FY 2024 amount, adjusted for inflation.
Income tax rates have a floor of 4.0 percent and rate reductions will not occur if the Budget Stabilization Fund balance is below 15.0 percent of the prior-year SGF tax receipts.
Miscellaneous Tax Provisions
Senate Sub. for HB 2125, among other provisions, prohibits the State Board of Tax Appeals from charging a filing fee to a taxpayer with a pending appeal in regard to the same parcel of property, changes the required mailing date for property tax statements from December 15 to December 1, sets October 1 as the deadline for taxing entities to certify to the county clerk the amount of property tax to be levied, and requires county clerks to use the previous year’s budget information and property tax levy amount for any taxing entity that does not file its budget information by 5 p.m. on October 1.
Corporation Income Tax Apportionment and Personal Property Exemption
HB 2231, among other provisions, generally changes apportionment of multistate corporation income for tax purposes from a three-factor formula based on sales, payroll, and property, to a single-factor formula based on the location of the business’s sales, beginning in 2027. The bill also creates a formula to provide for a possible rate reduction to corporation income tax rates in tax year 2029 and a deferred tax deduction to limit the impact of the change for certain publicly traded corporations.
The bill also creates a property tax exemption for certain off-road vehicles, electric bicycles, watercraft, and trailers.
Changes to Housing Credit Programs
HB 2289discontinues the Kansas Affordable Housing Tax Credit match for qualified developments receiving
a 4.0 percent federal low-income housing credit beginning in 2026. The bill also limits the match for qualified developments receiving a 9.0 percent federal credit to $8.8 million annually beginning in 2026 and discontinues the match beginning in 2029. Any awarded credit continues to apply through the credit period and any applicable carry- forward period.
The bill also provides, retroactive to tax year 2022, that tax credits under the Kansas Housing Investor Tax Credit Act may be claimed by transferees of the credit beginning in the year in which the qualifying investment for the credit was made.
Transportation
Move Over for Stopped Vehicle
SB 8requires the driver of any vehicle approaching a stopped vehicle that displays warning lights, road flares, or caution signals to proceed with due caution and move into a lane away from the stopped vehicle when possible. The fine for unlawful passing of a stationary vehicle is $75. Continuing law requires moving over when possible and proceeding with caution for emergency, waste collection, and utility vehicles displaying warning signals.
Electric and Hybrid Vehicle and Truck Registration Fees
HB 2122increases registration fees for electric hybrid vehicles to $70, plug- in electric vehicles to $100, and all- electric vehicles to $165. It also creates categories and associated fees for all- electric motorcycles, $30; electric hybrid or plug-in electric hybrid trucks or truck tractors with a gross weight of 12,000 pounds or less, $125; and all-electric trucks or truck tractors with a gross weight of 12,000 pounds or less, $200. The bill directs these fees to be divided between the State Highway Fund and Special City and County Highway Fund as fuel taxes are. Also, the bill increases the threshold for which truck or truck tractor owners may make registration fee payments in quarterly installments to $300 and establishes an installment payment as delinquent ten days, rather than two quarters, after payment is due.
Utilities &Telecommunications
“Critical Infrastructure Facility” Definition
HB 2061expands the definition of a “critical infrastructure facility” to include any aboveground or belowground line, cable, or wire used for communication when the term is applied to the crimes of trespassing on a critical infrastructure facility and criminal damage to a critical infrastructure facility.
Fire Claims Against Utilities
HB 2107establishes a two-year statute of limitations for wildfire-related claims against an electric public utility, authorizes the recovery of economic and non-economic damages, limits the recovery of punitive damages to $5.0 million, requires the Kansas Corporation Commission (KCC) to convene a workshop on wildfire risks and utility mitigation efforts, and authorizes the KCC to open a general investigation or convene additional workshops to further assess wildfire risk and mitigation.
Law Enforcement Equipment on Utility Poles
HB 2109exempts a public utility from civil liability relating to the attachment, access, operation, maintenance, or removal of law enforcement equipment on any utility pole or other structure that is owned or operated by the public utility.
Distributed Energy and Parallel Generation
Sub. for HB 2149establishes consumer protections for distributed energy customers, such as customers with residential solar energy systems, and amends law related to parallel generation service contracts and net metering, including removing renewable generator capacity limits, permitting the use of locational marginal pricing, establishing a formula for determining the appropriate size for electrical loads, and establishing the customer’s right to repair.
Workforce
Athletic Trainer Licensure Act Changes
SB 175amends the Athletic Trainers Licensure Act to expand the definition of ”athletic training” to include a broader range of athletic activities, risk assessment, and services, and to grant discretion on the necessity of consultations or referrals. Athletic trainers who accompany athletic teams from another state or jurisdiction, provide services in Kansas, and meet certain criteria are exempt from the Act.
Cosmetology, Dietitian, Physician Assistant, and School Psychologist Licensure Compacts
HB 2069enacts four multistate licensure compacts: the Cosmetologist Licensure Compact, the Dietitian Compact, the Physician Assistant Licensure Compact (PA Compact), and the School Psychologist Compact (SP Compact).
Multistate licensure compacts allow professionals in licensed occupations to practice in member states, generally increasing access to care and services from those licensed professionals while maintaining state authority and oversight.
Generally, compacts must be enacted by a minimum of seven states to become active. The Cosmetologist Compact, Dietitian Compact, and PA Compact have been enacted by seven or more states and are in the process of being implemented, though compact privileges are not yet being issued. As of April 2025, the SP Compact has been enacted by four states.
Legislative Session At-A-Glance
Bill Information
Senate bills introduced in 2025 session:
299
Senate bills carried over to 2026 session:
239
House bills introduced in 2025 session:
408
House bills carried over to 2026 session:
318
Bills Considered in 2025 Session That Became Law:
House Bills
79
Senate Bills
50
Percentage of Bills that became law
18.2%
2025 Days in Session: 72
Fiscal Information for FY 2025 (Dollars in Millions)
The Division of the Budget, Department for Children and Families (DCF), Department of Health and Environment (KDHE), Department for Aging and Disability Services (KDADS), and the Kansas Legislative Research Department (Consensus Group) met on April 8, 2025, to revise the estimates on human services consensus caseload expenditures for FY 2025 and FY 2026. The caseload estimates include expenditures for Temporary Assistance for Needy Families cash assistance, the Reintegration/Foster Care Contracts, KanCare Regular Medical Assistance, and KDADS Non-KanCare. A chart summarizing the estimates for FY 2025 and FY 2026 is included at the end of this memorandum.
Estimates for the State General Fund (SGF) are developed using a consensus process that involves the Division of the Budget, Kansas Legislative Research Department, Department of Revenue, and three consulting economists from state universities. This estimate is the base from which the Governor and the Legislature build the annual budget. Consensus revenue estimates are based on current federal and state laws as ultimately interpreted by the courts.
This memorandum provides the history of the enactment of the Health Care Compact (Compact) in Kansas, notes the other states that considered and enacted Compact legislation, and updates the status of the Compact.
The stated purpose of the Compact is to secure the right of Compact member states to regulate health care within their boundaries and to secure federal funding for member states that choose to invoke their authority under the funding provisions of the Compact. The U.S. Congress would have to consent to the Compact in order for it to be effective. If approved by Congress, the Compact would become effective on its adoption by at least two member states.
The Compact (2014 HB 2553) was signed by Governor Brownback on April 22, 2014, thereby allowing Kansas to join the interstate Compact. As of July 1, 2014, a total of 25 states had considered the Compact legislation, 9 states had enacted and signed statutes, and 1 of the enacting states repealed its Compact statute. According to The Council of State Governments National Center for Interstate Compacts, as of May 6, 2025, no additional states have enacted the Compact. As of May 6, 2025, the U.S. Congress has not consented to the Compact.
Pursuant to the bill, the Compact could be amended, and a state could withdraw from the Compact. The Compact would also allow a member state to suspend operation of any federal laws, rules, regulations, or orders that conflicted with the laws of the respective state. The February 2014 fiscal note for HB 2553, prepared by the Division of the Budget, indicated the Kansas Department of Health and Environment did not respond to the Division of Budget’s request for fiscal information, and the Division of Budget stated an estimate of the fiscal effect had not been determined.
The bill contained a preamble that includes statements on the importance of the separation of powers, including between federal and state authority, and the preservation of individual liberty and personal control over health care decisions. The Compact, added to the statutes as KSA 65-6230, contains nine articles and is organized as follows.
Summary
Article I – Definitions
Article I defines a number of terms including the following:
Health care: Care, services, supplies, or plans related to an individual’s health. The definition excludes any care, services, supplies, or plans provided by the U.S. Department of Defense and the U.S. Department of Veterans Affairs, as well as those provided to Native Americans.
Member state base funding level: A number equal to the total federal spending on health care in the member state during federal fiscal year 2010. For Kansas, the preliminary estimate would be set at $6.985 billion. A number of other terms also use the 2010 federal fiscal year as a base. (See Article V, below, for the application of several of the defined terms.)
Article II – Pledge
This Compact provision requires member states (those states that sign and adopt the Compact) to take action to secure the consent of the U.S. Congress to return the authority to regulate health care to the member states, consistent with the Compact’s provisions. Article II also would require member states to improve health care policy within their respective jurisdictions, according to each state’s discretion.
Article III – Legislative Power
This provision would grant member states’ legislatures the primary responsibility to regulate health care in their respective states.
Article IV – State Control
Article IV would grant each member state the authority to suspend by legislation the operation of all federal laws, rules, regulations, and orders regarding health care that are inconsistent with those adopted by the member state based on the Compact. Those federal provisions that are not suspended would remain in effect, and the member state would be responsible for the associated funding obligations.
Article V – Funding
Each member state would be granted the right to federal moneys each federal fiscal year up to an amount equal to its “member state current year funding level” (defined in Article I as the member state base funding level multiplied by the member state current year population adjustment factor and further multiplied by the current year inflation adjustment factor). This funding would come from Congress as mandatory spending and would not be subject to annual appropriation. It would not be conditional on any action of or regulation, policy, law, or rule being adopted by the member state.
Congress would be required to establish, by the start of each federal fiscal year, an initial member state current year funding level based upon reasonable estimates. The final member state current year funding level must be calculated, and the Compact would require funding to be reconciled by Congress based on information provided by the member state and audited by the U.S. Government Accountability Office.
Article VI – Interstate Advisory Health Care Commission
This article would establish the Interstate Advisory Health Care Commission (Commission), set its membership to include not more than two members from each member state in a process to be determined by the member state, authorize it to elect a chairperson from its membership and adopt bylaws and policies, and require the Commission to meet at least once a year.
Further, the Commission would be:
Authorized to study health care regulation issues that are of concern to the member states and make non-binding recommendations to the member states; and
Required to gather information to assist the member states in their regulation of health care, with some detail further specified in the Compact legislation, and make this information available to the member states’ legislatures. Member states would be prohibited from disclosing health information of any individual to the Commission, and the Commission likewise would be prohibited from disclosing an individual’s health information.
The bill would require the Commission to be funded by the member states, and it would prohibit the Commission from taking any action within a member state that contravenes any state law in that state.
Article VII – Congressional Consent
This article deems the Compact effective upon its adoption by at least two member states and consent of Congress. The article also would set forth the purposes of the Compact and state the Compact is effective unless the Congress, in consenting to the Compact, alters its fundamental purposes. Those stated purposes are:
To secure the right of the member states to regulate health care within their boundaries pursuant to the Compact and to suspend the operation of any conflicting federal laws, rules, regulations, and orders within their states; and
To secure federal funding for member states that choose to invoke their authority under Article V of the Compact.
Articles VIII and IX
These articles would provide for mechanisms to amend the Compact and for a state to withdraw from the Compact. For withdrawal, the Compact would allow a state to adopt a law to this effect; however, the law would not take effect until six months after the governor has given notice of the withdrawal to the other member states.
Background
Hearings were held on HB 2553 in the House Committee on Federal and State Affairs and the Senate Committee on Federal and State Affairs during the 2014 Session. At the hearings, Representative Hilderbrand and Senator Pilcher-Cook appeared in support of the bill, along with Secretary of State Kobach. Written testimony in support of the bill was provided by a representative of the Kansas Chamber. Testimony in opposition to the bill was provided by representatives of AARP and the Kansas Health Consumer Coalition. Written-only testimony in opposition to the bill was submitted by Kansas Advocates for Better Care. No other testimony was provided.
History of Prior Kansas Compact Legislation – 2012 Legislative Session
The Health Care Compact was considered during the 2012 Legislative Session in three different bills: HB 2520, SB 373, and SB 250. Hearings were held on HB 2520 and SB 373 and both bills died in the Senate Committee on Federal and State Affairs. The Health Care Compact was not the original language in SB 250. The House Committee of the Whole amended the bill to include the Compact; however, it was removed by a Conference Committee.
HB 2520
At the hearing before the House Committee on Health and Human Services, the proponents indicated the bill was for the purpose of health care governance and not policy reform. Opponents noted concerns that passage of the bill might put a number of Kansas citizens at risk, and that governors in other states, such as Arizona and Montana, had vetoed their Compact bills.
SB 373
The bill was introduced at the request of the Health Care Compact Alliance whose representatives indicated the bill is about governance reform, not policy reform, and joining with other states to petition Congress to consent to an interstate health care compact. Proponents stated the Compact would allow member states the opportunity to bring health care decisions closer to home by allowing state legislatures to set health care policy that is best suited to their individual states, as it relates to non-military health care goods and services. Proponents stated health care is too large and complex to manage at a federal level. Opponents of the bill stated the bill would jeopardize security and the choice and benefits for seniors and people with disabilities in Kansas who rely on the Medicare program for their health care coverage and the requirements of Medicare and Medicaid that ensure adequate health care and protections are attached to federal funding. Opponents further stated that if Kansas opts out of these programs and oversight, this choice also would result in opting out of reasonable health care standards and protections.
SB 250
The language of SB 250 as introduced addressed a requirement of municipalities to pay premiums for continuation of coverage under provisions of the Consolidated Omnibus Budget Reconciliation Act (COBRA) for the surviving spouse and dependent children of a firefighter who dies in the line of duty. The House Committee of the Whole inserted provisions from HB 2520 that would have allowed Kansas to adopt the Interstate Health Care Compact. SB 250 was subsequently discussed by a Conference Committee and the Committee agreed to amend the bill to delete the Compact provisions.
States that Enacted or Filed Interstate Health Care Compact Legislation
Type of State Legislation
Total Compact Legislation Filed
States with Filed Legislation(Bold indicates signed laws = 9)
Filed in 2011: AZ, CO, GA, IN, LA, MI, MO, MT, NM, ND, OH, OK, SC, TN, TX, WA New for 2012: AL, FL, IN, KS, MN, NH, SD, UT, VA, WV
New for 2013: AL, AZ, OH, TN, (UT= repealed July 1, 2024)
New for 2014:KS
Kansas Governor’s Statement Upon Signing Compact Legislation
On April 22, 2014, Governor Brownback signed HB 2553 into law and issued the following statement:
House Bill 2553, which I have signed today, approves the “Health Care Compact.” Under the Compact, member states would have authority to “suspend by legislation the operation of all federal laws, rules, regulations, and orders regarding health care,” thereby preserving individual liberty and personal control over health care decisions. The Compact would only become effective upon the federal consent required by Article 1, Section 10, of the United States Constitution.
Significantly, Kansas already has experience with a successful state level reform of a federal health care program. In January 2013, Kansas launched a major reform of its Medicaid system by covering nearly 400,000 Kansans under KanCare. KanCare has provided many new services that were unavailable under Medicaid, including adult dental care, incentive programs to encourage healthy and preventative behaviors, and life saving operations such as heart/lung transplant. I am proud of the achievements of KanCare – a pro-patient and pro-taxpayer solution.
Similar to the KanCare reforms to Medicaid, the Compact could play an important role in preserving and enhancing Medicare for Kansas seniors. Under the Compact, I would support reversal of the unfortunate Medicare cuts initiated by the federal Affordable Care Act.
Furthermore, I would strongly oppose any effort at the state level to reduce Medicare benefits or coverage for Kansas seniors. I have signed House Bill 2553 with this understanding, and I will work to make it a reality when the Compact becomes effective.
The Consensus Estimating Group met today to revise the November 15, 2024 State General Fund (SGF) estimates for FY 2025 and FY 2026. The revisions include the estimated impact of all 2025 legislation signed into law thus far. The impact of any legislation affecting the SGF that becomes law after April 17, 2025, will be quantified in a separate legislative adjustments report. Consensus revenue estimates are based on current federal and state laws and their current interpretation. A more detailed memo will be available soon which contains the economic forecast for Kansas upon which the new estimates are based, as well as a discussion of the other factors influencing the individual source estimates.
The overall estimate for FY 2025 and FY 2026 was increased by a combined $377.5 million. The estimate for total taxes was increased by $195.1 million, and other revenues were increased by $182.4 million for the two years combined.
This publication contains summaries of selected bills passed by the Legislature from April 10, 2025, through adjournment on April 11, 2025. Bills that have not yet been signed by the Governor are included.
The first Preliminary Summary 2025containing summaries of major bills that were passed through the end of the legislative day on March 21 was distributed on March 27, 2025. An updated Supplement to Preliminary Summary 2025 was distributed on April 3, 2025.
Highlights, a summary of major legislation in newsletter form, will be prepared and mailed to legislators as soon as possible. The Summary of Legislation, which accounts for all bills passed by the 2025 Legislature, will be distributed at a later date.
This updated version of the March 27, 2025, publication contains summaries of selected bills passed by the Legislature from March 24 to adjournment on March 27. Bills that have not yet been signed by the Governor are included.
The first Preliminary Summary containing summaries of major bills that were passed through March 21, 2025, was distributed on March 27, 2025. A final supplement will be mailed after the wrap-up session in April.
Highlights, a summary of major legislation in newsletter form, will be prepared and mailed to legislators as soon as possible after the Session. Summary of Legislation, which accounts for all bills passed by the 2025 Legislature, will be distributed at a later date.
This memorandum provides information regarding the equivalency in power generated from a gallon of gasoline and a kilowatt-hour (kWh) of electricity. It reviews energy equivalence, state taxes on electricity sold as vehicle fuel, additional features of laws regarding electricity as fuel, and calculation of fiscal effect.
Equivalency Between a Gallon of Gasoline and a Kilowatt-hour
In its April 2023 notice of proposed rulemaking on updates to the Petroleum-equivalent Fuel Economy Calculation (10 CFR Part 474) used to determine corporate average fuel economy for fleets of light-duty vehicles, the U.S. Department of Energy (DOE) states, “The energy content of a gallon of gasoline is 115,000 British Thermal Units (Btu) [a measure of the heat content of a fuel]. With a standard conversion factor of 3.412 Btu/Wh, the same gallon of gasoline can be said to have an energy content of 33,705 watt hours (Wh).” The figure of 33.7 kWh/gallon is commonly used.
The DOE is amending those values with publication of a final rule effective June 12, 2024.1 The petroleum-equivalency factor (PEF) established by this final rule will establish a PEF of 29,996 watt hours (Wh) for vehicles of model years 2030 and later.
Using these DOE equivalencies, a tax of $0.24 per gallon of gasoline (the current Kansas rate) would translate to a tax of $0.07 per kWh using the current standard of 33,705 Wh per gallon and a tax of $0.08 per kWh using the upcoming PEF of 29,996 Wh per gallon.
Another approach to this question is the number of kWh or gallons it takes, on average, to drive 100 miles. Data from the Federal Highway Administration (FHWA) Highway Statistics Series for 2023, the most recent available, indicate the average fuel consumption was 4.05 gallons per 100 miles for light-duty vehicles with short wheelbases and 4.42 gallons per 100 miles for all light-duty vehicles. Information on the fuel economy of model year 2023 vehicles from the DOE, at www.fueleconomy.gov, shows a combined fuel economy range of 24 to 69 kWh per 100 miles, with an average of 37.5 kWh per 100 miles, for all-electric vehicles and an average of 23 miles per gallon, or 4.35 gallons per 100 miles, for gasoline-powered vehicles.2
Taxes on Electricity Used as a Vehicle Fuel
A tax of $0.03 per kWh has been imposed in at least four states, but some rates for electricity as a vehicle fuel are variable or not per kWh. Taxes on electricity used as vehicle fuel were found for the following eight states:
Georgia: For the purposes of determining the tax, the statute ties the tax rate for alternative fuels, such as compressed natural gas, electricity, and hydrogen, to Georgia’s variable motor fuel tax. The motor fuel tax of $0.26 per gallon has been adjusted each year since 2016 based on fuel economy and the Consumer Price Index; the tax on a fuel is to be set by its Department of Revenue “in accordance with and measured by the nearest power potential equivalent to that of one gallon of regular grade gasoline.” Georgia law sets standards for that equivalent, including that the gallon equivalent of electricity “shall not be more than 11 kilowatt-hours.” (2023 SB 146; Ga. Code Ann., §48-9-3(a)(4)(A)(ii))3
Iowa: “An excise tax of two and six-tenths cents is imposed on each kilowatt hour of electric fuel delivered or placed into the battery or other energy storage device of an electric motor vehicle at a location in this state other than a residence.” (I.C.A. §452A.41; 2019 HF 767)
Kentucky: “An excise tax with an initial base rate of three cents ($0.03) per kilowatt hour is imposed on electric vehicle power distributed in this state by an electric vehicle power dealer for the purpose of charging electric vehicles in this state” starting January 1, 2024. The rate is to be adjusted each January 1, based on the National Highway Construction Cost Index 2.0, within certain limits. (KRS §138.477; 2022 HB 8; 2024 HB 122)
Montana: Effective July 1, 2023, there is a tax of $0.03 per kWh or its equivalent in addition to the public utility’s approved rate on the electric current used to charge or recharge the battery or batteries of an electric vehicle at public charging stations installed after July 1, 2023. This tax extends to “legacy” public charging stations as of July 1, 2025. The charging station owner may retain $0.0025 per kWh for costs associated with administering the tax. (MCA 15-70- 802)
Oklahoma: The state imposes “a tax of three cents ($0.03) per kilowatt hour or its equivalent, as determined by the Oklahoma Corporation Commission, on the electric current used to charge or recharge the battery or batteries of an electric vehicle.” (68 Okl. St. Ann. § 6504; 2021 HB 2234; 2023 HB 2315)
Pennsylvania: $0.0172 per kWh, for 2025. Pennsylvania’s fuel taxes vary based on the price of gasoline. Since 1997, rates for alternative fuels have been based on a “gallon equivalent basis” and are subject to change annually; each year’s rate is published in the Pennsylvania Bulletin. (A Pennsylvania Department of Revenue website shows fuel tax rates for electricity back to 2013.) (75 Pa.C.S.A. § 9004)
Utah: Electric current sold by a charging-station operator to charge or recharge an electric vehicle is taxed at 12.5 percent, whether by the kWh or as a subscription fee. (2023 HB 301; U.C.A. 1953 §59-30-102) A similar tax as a percentage of fuel price is imposed on other motor vehicle fuels, with maximum fuel prices for purposes of this tax established in law. (U.C.A. 1953 §59-13-201)
The bills either tax specifically electricity sold at vehicle charging stations or tax all electricity used as vehicle fuel but with exceptions for electricity provided at a residence, as in Georgia, Oklahoma, and Wisconsin. Oklahoma excludes charging stations with charging capacity of less than 50 kilowatts and those that do not require payment for use. Kentucky defines an “electric vehicle power dealer,” who must collect the tax, as a person who owns or leases an electric vehicle charging station with a charging capacity of at least 20 kilowatts. Montana defines a “charging station” to mean equipment with a rated capacity greater than 25 kilowatts that is not installed at a residence or owned by an association of owners of real property. Montana and Oklahoma specify the tax does not apply to fees or charges associated with the method of payment.
The bills establishing these taxes provide definitions of the terms used and address additional topics, including the following:
Licensing or registering electric fuel businesses: Georgia, Iowa, Montana, Oklahoma, Pennsylvania, and Wisconsin;
Directing the proceeds of the tax to a transportation-related fund: Iowa (Road Use Tax Fund), Kentucky (Road Fund); Montana (proceeds remitted to the Department of Transportation), Oklahoma (Driving on Road Infrastructure with Vehicles of Electricity [DRIVE] Revolving Fund), Utah (Transportation Fund), and Wisconsin (Transportation Fund);
Requiring the rate per kWh to be posted: Georgia (total of price and tax or posted separately), Montana, Oklahoma (also on the owner or operator’s website or app), and Utah (in a required itemized invoice to the purchaser)4;
Directing specific state agencies to administer the tax: Iowa, Oklahoma, Utah, and Wisconsin;
Assigning responsibility for inspection of electric vehicle (EV) charging stations: Georgia (Commissioner of Agriculture), Iowa (Department of Agriculture and Land Stewardship5), and Oklahoma (Tax Commission);
The Kansas Department of Agriculture (KDA) provided the following response to an inquiry as to whether it would have authority to inspect vehicle charging stations: “We do have the authority to test electric vehicle chargers pursuant to K.S.A. 83-206. However, we will not have the necessary standards to apply to the testing of those devices until the 2024 versions of NIST handbook 44 and NIST handbook 130 are adopted in regulation, as the currently adopted version of the handbook does not provide standards for inspection and testing of electric vehicle fueling systems and methods of sale. We intend to pursue these regulatory updates after we can get some statutory amendments adopted during this legislative session”; and
2025 HB 2255, as approved by the House on February 20, 2025, includes provisions regarding the KDA’s authority to test EV chargers;
Requiring meters for charging stations: Georgia, Montana, and Oklahoma (on meters placed into service after November 1, 2021);
Changing an EV registration fee: Kentucky (imposing an EV ownership fee), Montana (reducing any additional EV registration fee by 30 percent, as of July 1, 2028), and Pennsylvania (imposing an EV road user charge);
Exempting electricity sold at an EV charging station from sales tax: Iowa (added electricity exemption to those of other vehicle fuels) and Wisconsin;
According to Kansas Department of Revenue Pub. KS-1510 Sales Tax and Compensating Use Tax, “Residential and agricultural use of the utilities (except water) are subject only to local tax—the state sales tax of 6.50% does not apply to utilities used for a residential or agricultural purpose. Water for residential and agricultural use is exempt from both state and local sales tax”6; and
Specifying penalties for violations: Georgia, Iowa, Kentucky, Oklahoma, and Utah.
Certain aspects of the bills were unique to one state, e.g., providing for refunds of the tax to entities that do not pay taxes on gasoline or diesel fuel (Iowa), regulating government-owned charging stations (Wisconsin), and requiring a utility to create a separate entity to sell electricity at EV charging stations (Georgia).
Fiscal Effects
Equivalents to Kansas fiscal notes on bills were found for only two of the states imposing kWh taxes on electricity sold as vehicle fuel. The fiscal note for Kentucky 2022 HB 8 contained no estimate of revenues from the $0.03 tax imposed per kWh, and a “local mandate” fiscal note on a similar bill also imposing a $0.03 per kWh tax and a registration fee on electric and hybrid vehicles states “Revenue from the excise tax is indeterminable at this time.”
The fiscal note from Wisconsin on its 2023 bill, as introduced, included the following:
In its fiscal estimate to the bill, the Department of Transportation (DOT) estimates revenue from the 3-cent per kilowatt-hour charging station excise tax to be $15,900 to $23,800 per month, at the start of calendar year 2024, or up to $286,000 for all of 2024. DOT further indicates that assuming the growth rate in EV ownership remains constant, estimated revenue would range from $211,400 to $314,100 in 2024-25 and $285,100 to $427,600 in 2025-26. To arrive at this estimate, the Department assumes that the average efficiency for an electric vehicle is 3.5 miles per kilowatt-hour, and that the annual vehicle miles traveled (VMT) for the average electric vehicle is 5,300 miles per year, which is significantly lower than the average annual VMT of gas and diesel vehicles which is typically between 11,000 and 14,000 miles. In addition, DOT indicates that since charging an electric vehicle at home is more cost-effective and convenient for the consumer, a 20% to 30% usage of public charging stations was assumed by the Department…….. DOR estimates that the sales and use tax exemption would reduce sales tax revenue by $1,300,000 annually. . . . Using DOT assumptions, it is estimated that the exemption would reduce sales tax revenues by between $50,000 and $80,000 in 2024-25 and by between $120,000 and $180,000 in 2025-26.
The Wisconsin fiscal note does not include the number of EVs in the state. Data from the DOE indicate 24,943 EVs in Wisconsin in 2023 and 11,271 in Kansas.
A policy analyst with the Utah Legislature provided the following information in September 2024:
“Utah’s kWh charging tax went into effect January 1, 2024. From Jan. 1, 2024 – May 31, 2024 (5 months), the tax generated $239,402. Utah’s 2024 fleet as of Feb. 15, 2024, was 2,942,473 registered on- highway vehicles (includes motorcycles, passenger vehicles, light trucks, and heavy trucks). Of those, 37,175 are fully electric (1.25%); 76,598 are gas hybrid (2.6%); 11,777 are plug-in hybrid (0.4%). Passenger vehicles totaled 1,126,505 registrations; of those, 18,071 are electric (1.6%); 39,454 are hybrid (3.5%); and 5,253 are plug-in hybrids (0.47%).”
Calculation of Fiscal Effect
The Assistant Director of Legislative Economic Analysis for the Kentucky Legislative Research Commission noted multiple assumptions would be required to determine fiscal effect:
How many EVs are registered in Kansas? How many EVs pass through Kansas, and would that number change if Kansas imposed a kWh fee?
According to the Division of Vehicles, Kansas Department of Revenue, in 2023 8,195 electric and 27,170 hybrid vehicles were registered in Kansas. Of those hybrid vehicles, 1,245 were plug-in electric hybrid vehicles. As noted above, the DOE reported 11,271 electric vehicles in Kansas; and
No estimate was found for the number of any types of vehicles that pass through Kansas, although the Kansas Turnpike Authority estimates about half of the vehicles using the Turnpike originate from out of the state7.
How many miles does each car drive each year?
Estimates vary. One large study found electric passenger vehicles of model years 2016–2022 were driven an average of 7,165 miles a year for smaller vehicles and 10,184 miles a year for sport utility vehicles (SUVs). (More detail is provided below.)
Where does the charging occur?
Data are not readily available on this. Multiple secondary sources state the DOE found 80 percent of charging is at home, but a search of the DOE website did not find the original data. A 2024 report from ChargeLab, a company that “builds software for managing electric vehicle chargers,” on results of a survey of 500 U.S. EV drivers found that, “While 86.0% of EV drivers now have access to a home charger, 59.6% still use public chargers weekly.” This may be because home chargers are Level 1 (120- volt) or Level 2 (240-volt), whereas commercial chargers are more likely to be faster Level 3 chargers.
What is the conversion rate between miles driven and kWhs?
See the first section of this memorandum.
FHWA data do not provide information by type of fuel, but they do provide information on averages. The averages for light-duty vehicles for 2023 (the most recent year available when this memorandum was prepared) were 11,106 annual miles driven and 492 gallons of fuel consumed.
As noted above, DOE fuel economy data for model year 2023 all-electric passenger vehicles show a combined fuel economy range of 24 to 69 kWh per 100 miles, with an average of 37.5 kWh per 100 miles, and an average mile per gallon equivalent (mpge) of 94.2.8
The data presented could be used to make assumptions on a per-vehicle basis, shown using 2023 data:
The gasoline tax for a conventional light-duty vehicle traveling 11,100 miles a year (approximate FHWA average) using 490 gallons (approximate FHWA average) and purchasing all that fuel in Kansas with its gasoline tax rate of $0.24 per gallon would be $117.60, or $0.0106 per mile driven.
If a tax of $0.03 were applied to each kWh and all the electricity were purchased at a charger at which the tax would be applied, the tax on an all-electric vehicle traveling 11,100 miles a year using 37.5 kWh per 100 miles (DOE average) would pay $124.90 in tax, or $0.01125 per mile driven.
If the miles driven by an all-electric vehicle were reduced to 8,000 miles a year, the tax would be $90.
A vehicle traveling 11,100 miles a year getting 94.2 mpg (average mpge for model year 2023 all-electric vehicles) would pay $28.30 in gasoline tax at $0.24 per gallon.
If the miles driven by an all-electric vehicle getting 94.2 mpg were reduced to 8,000 miles a year, the gasoline tax would be $20.40.
The calculations above address the amount of tax only and do not take into consideration the generally higher prices for all-electric vehicles, the cost of gasoline excluding taxes ($2.81 per gallon, as of March 10, 2025, in Kansas9), or the average rate per kWh ($0.1156 per kWh, as of March 2025, in Kansas10).
Miles driven. The calculations above also do not reflect whether electric passenger vehicles are driven more or fewer miles annually than conventional-fuel passenger vehicles. Data vary. FHWA data based on the 2022 National Household Travel Survey (the most recent available as of publication of this memorandum) and published by the DOE state gasoline- powered vehicles were driven an average of 14,133 miles in 2022 and all-electric vehicles were driven an average of 12,393 miles.11
A study published in 202312 reviewed dealership records of 12.5 million used cars and 11.4 million used SUVs driven in the United States in 2016 through 2022. It found the following regarding average annual miles driven:
Conventional gasoline cars: 11,642 miles;
Battery electric cars: 7,165 miles;
Conventional gasoline SUVs: 12,979 miles; and
Battery electric SUVs: 10,184 miles driven.
The study noted the ranges for EVs have continued to improve over time, which may be leading to more miles driven annually. The DOE provided ranges for 33 2023 EV models; the average was 276 miles. Researchers associated with the Massachusetts Institute of Technology found that, “Once one accounts for battery range, the sharp difference in annual miles driven between EVs and gasoline and diesel-powered vehicles goes away for long-range EVs.”13 Information from the International Energy Agency shows average range for a battery EV at 21 miles (211 kilometers) in 2015 and 210 miles (338 km) in 2020. EPA data for 2024 model electric vehicles available in the United States show an average range of 291.5 miles.14
The final rule, 89 FR 22041, provides background on the DOE requirements and how they are used. Federal law has required fuel economy standards for automobiles produced in, or imported into, the United States since 1975. Law since the late 1970s has required the DOE to calculate petroleum equivalence for electric vehicles, which the U.S. Environmental Protection Agency uses to determine compliance with corporate average fuel economy standards.
These numbers were calculated by KLRD and represent all models listed by the DOE in the 2023 Datafile. They do not represent weighted averages based on actual sales or usage. (For example, it would be expected that more Chevrolet Bolt models are sold than Porsche Taycan models.) DOE listings, calculated using data gathered under laboratory conditions, for 2024 all-electric models show a median of 38 kWh per 100 miles, with the most efficient quartile at 33 and the least efficient quartile at 63 kWh per 100 miles.
In 2022, Georgia’s Joint Study Committee on the Electrification of Transportation reviewed multiple aspects of this topic. Its 500-plus-page final report does not include any information on the origin of the “no more than 11 kilowatt-hours” equivalence. The equivalence was not addressed specifically in testimony to the House.
The National Institute of Standards and Technology (NIST), U.S. Department of Commerce, 2024 Handbook, requires kWh to be the unit of measurement for “electric vehicle supply equipment” in its standards for Electric Vehicle Fueling Systems. Standard 3.40 also requires the devices to be “capable of indicating the start and stop time, the total quantity of energy delivered, the unit price, and the total price for the quantity of energy delivered during each discrete phase corresponding to one of the multiple unit prices.”
Personal conversations with the Kansas Turnpike Authority Director of Business Services and Customer Relations. No breakdown on commercial versus passenger vehicles was available. Additional data is expected to become available from the cashless tolling system after July 2025.
These calculations do not represent weighted averages based on actual sales or usage or the actual electric-vehicle fleet.
Fact of the Week #1337, based on the 2022 National Household Travel Survey
Quantifying electric vehicle mileage in the United States, Lujin Zhao, Elizabeth R. Ottinger, Arthur Hong Chun Yip, John Paul Helveston, Joule, Volume 7, Issue 11, 15 November 2023, pages 2537 – 2551.
Vehicle-fuel tax moneys are directed to the Special City and County Highway Fund (SCCHF) and the State Highway Fund (SHF): since 2003, 33.63 percent to the SCCHF and 66.37 percent to the SHF. Since 1970, 57.0 percent of the SCCHF is distributed to counties and 43.0 percent to cities. Distributions to counties and cities from the SCCHF averaged $146.8 million during the FY 2010–FY 2020 Transportation Works for Kansas program and $153.1 million in FY 2021–FY 2024, the first years of the Eisenhower Legacy Transportation Program (known as IKE).
This memorandum provides information on the history of the SCCHF, distributions of the motor-vehicle fuel tax to the SCCHF and SHF over time, the revenues available for distribution, how amounts have been and are distributed among counties and cities, and restrictions on uses of SCCHF funds. Unless otherwise specified, years listed refer to calendar years. Amounts distributed by fiscal year (since 1985) are provided.
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