Bill Summary – FastDemocracy

Division of the Budget
Landon State Office Building                                                                          Phone: (785) 296-2436
900 SW Jackson Street, Room 504                                                                      adam.c.proffitt@ks.gov
Topeka, KS 66612                               Division of the Budget                               http://budget.kansas.gov
Adam Proffitt, Director                                                                            Laura Kelly, Governor

                                                  February 6, 2023


        The Honorable Leo Delperdang, Chairperson
        House Committee on Energy, Utilities and Telecommunications
        300 SW 10th Avenue, Room 582-N
        Topeka, Kansas 66612
        Dear Representative Delperdang:
                  SUBJECT:        Fiscal Note for HB 2228 by House Committee on Energy, Utilities and
                                  Telecommunications
                In accordance with KSA 75-3715a, the following fiscal note concerning HB 2228 is
        respectfully submitted to your committee.
               HB 2228 would require Kansas electric utilities not under the jurisdiction of the Kansas
        Corporation Commission to make net-metering available under the Net-Metering and Easy
        Connection Act. The bill would also remove the load size limitation of certain net-metered systems
        and increase the total generating capacity limit for all net-metered systems from 1.0 percent to 10.0
        percent of a utility’s peak demand from the previous year.
                 Additionally, HB 2228 would modify how excess energy generated by a net-metered system
        offsets a customer’s utility bill. Under current law, such excess energy is credited to the customer at
        a rate of 100.0 percent of the utility’s monthly system average cost of energy per kilowatt-hour. Under
        HB 2228, a customer’s balance of excess energy would be reduced by 25.0 percent and carried
        forward as kilowatt-hours against their energy consumption in subsequent months.
              According to the League of Kansas Municipalities, enactment of HB 2228 would have an
        unknown fiscal effect on cities due to the new requirements for municipally owned electrical utilities.
        The Kansas Corporation Commission and the Citizens’ Utility Ratepayer Board indicate that
        enactment of HB 2228 would not have a fiscal effect on agency operations.


                                                             Sincerely,

                                                             Adam Proffitt
                                                             Director of the Budget
        cc: Peter Barstad, Kansas Corporation Commission
            Shonda Rabb, Citizens Utility Ratepayer Board
Statutes affected: 
As introduced: 66-1264, 66-1265, 66-1266, 66-1267