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 27, 2023


The Honorable Rick Billinger, Chairperson
Senate Committee on Ways and Means
300 SW 10th Avenue, Room 548-S
Topeka, Kansas 66612
Dear Senator Billinger:
SUBJECT: Fiscal Note for SB 234 by Senate Committee on Public Health and Welfare
In accordance with KSA 75-3715a, the following fiscal note concerning SB 234 is
respectfully submitted to your committee.
SB 234 would prohibit governmental entities from sharing or transmitting social care
information into a closed loop referral system without consent from the individual. An
organization would not be permitted to sell or license an individual’s personally identifiable
information or social care information without the explicit, written consent of the individual. The
individual would have the ability to revoke consent at any time. The bill would define a “closed-
loop referral system” as any system that:
1. Stores an individual’s social care information for the purpose of referrals;
2. Shares its data with a network of entities, including, but not limited to, healthcare
providers, health plans, health information exchanges, public agencies, nonprofit
organizations, charitable organizations, and other entities that provide social care;
and,
3. Is capable of updating or showing updated referral activity, including data related
to participating organizations closing the loop on referrals by updating downstream
systems.
The Kansas Commission on Veteran Affairs, the Kansas Department of Health and
Environment, the Department for Children and Families, the Kansas Department for Aging and
Disability Services, and the Kansas Association of Counties indicate that SB 234 would not have
a fiscal effect on the agencies or counties. The League of Kansas Municipalities indicates the bill
The Honorable Rick Billinger, Chairperson
Page 2—SB 234

could increase expenditures for cities as they would be required to assist with implementation and
enforcement of the bill.


Sincerely,

Adam Proffitt
Director of the Budget

cc: Kim Holter, Department for Children & Families
Leigh Keck, Department for Aging & Disability Services
Amy Penrod, Department of Health & Environment
Jay Hall, Kansas Association of Counties
Wendi Stark, League of Kansas Municipalities
Crystal Hewitt, Commission on Veterans Affairs