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 C. Proffitt, Director Laura Kelly, Governor


February 14, 2024


The Honorable Francis Awerkamp, Chairperson
House Committee on Welfare Reform
300 SW 10th Avenue, Room 152-S
Topeka, Kansas 66612
Dear Representative Awerkamp:
SUBJECT: Fiscal Note for HB 2668 by House Committee on Appropriations
In accordance with KSA 75-3715a, the following fiscal note concerning HB 2668 is
respectfully submitted to your committee.
HB 2668 would amend several provisions for public assistance related to cash assistance,
food assistance, and child care subsidy. The bill would require job searches instead of a 20-hour
work week for child care subsidy eligibility. The bill would permit use of food assistance funds
for advertising food assistance programs and would modify penalties for non-cooperation for all
assistance programs.
HB 2668 would remove the tiered penalties related to noncooperation for Temporary
Assistance for Needy Families (TANF) cash assistance. Currently, cash assistance participants
not cooperating with work program or child support receive tiered penalties. The first penalty is
the closure of the cash assistance case for three months. A second instance of noncooperation
results in a six-month penalty. Further noncompliance results in a longer instance of ineligibility.
The bill would replace these tiered penalties by indicating “individuals shall remain ineligible until
any of such individuals complies with all requirements provided.” This change in language would
allow return of eligibility immediately upon resolution of the noncooperation.
The Honorable Francis Awerkamp, Chairperson
Page 2—HB 2668

Estimated State Fiscal Effect
FY 2024 FY 2025 FY 2026
Expenditures
State General Fund -- $3,600,689 $18,377,112
Fee Fund(s) -- -- --
Federal Fund -- 6,389,221 10,896,118
Total Expenditures -- $9,989,910 $29,273,230
Revenues
State General Fund -- -- --
Fee Fund(s) -- -- --
Federal Fund -- -- --
Total Revenues -- -- --
FTE Positions -- -- --
According to the Department for Children and Families, enactment of HB 2668 would
increase total expenditures of the agency by $10.0 million from all funding sources, including $3.6
million from the State General Fund for FY 2025 and $29.3 million from all funding sources,
including $18.4 million from the State General Fund for FY 2026. TANF benefits would increase
by $574,995 for FY 2025 and by $725,278 for FY 2026, which would continue in the out-years.
Currently, individuals who have not cooperated with TANF work programs are also determined
to be ineligible for food assistance benefits using tiered penalties. These penalties impact only the
person not cooperating and not the entire case. The bill would remove these tiered penalties and
allow for the person to be eligible again for food assistance benefits once they have met the
requirements. These changes impact the amount paid in food assistance benefits. However, these
benefits are not part of the submitted or approved budget and are paid as a pass through to the
eligible families.
Currently, statute requires adults accessing non-TANF child care subsidy services for
children to be employed a minimum of 20 hours per week. The bill would remove this requirement
and would instead require job search participation. DCF estimates that the child care subsidy
benefits would increase by $9.2 million from all fundings sources, including $3.5 million from the
State General Fund for FY 2025, $28.4 million from all funding sources, including $10.8 million
from the State General Fund for FY 2026, and $39.7 million from all funding sources, including
$15.1 million from the State General Fund for FY 2027 and beyond.
DCF indicates the changes to eligibility included in the bill would require updates and
maintenance to the Kansas Eligibility Enforcement System. It is estimated these annual costs
would be approximately $195,000 from all funding sources, including $85,137 from the State
General Fund, for modifications and maintenance of the system.
Enactment HB 2668 would remove the prohibition of using state and federal funds to
promote food assistance benefits and enrollment. DCF states that any funds used for advertising
The Honorable Francis Awerkamp, Chairperson
Page 3—HB 2668

come from funds already budgeted for the SNAP program. There is no fiscal impact related to the
advertisements. It should be noted that federal regulations prohibit the use of SNAP
Administrative funds for advertising purposes. Advertising to promote food assistance could have
an impact on the food assistance caseload. As noted, benefits paid for food assistance are not
included in the budget. For estimating purposes, DCF assumes a 3.0 percent increase in caseload
due to advertising. The Governor’s budget recommendation included a food assistance caseload
of 91,500 for FY 2025. A 3.0 percent increase would raise the monthly caseload to 94,245 cases.
The projected increase in caseload would also result in an increase in the amount of food assistance
benefits paid to eligible families. However, as food assistance benefits are not included in the
budget, there is no fiscal impact from the proposed changes. Any fiscal effect associated with HB
2668 is not reflected in The FY 2025 Governor’s Budget Report.

Sincerely,

Adam C. Proffitt
Director of the Budget


cc: Kim Holter, Department for Children & Families


Statutes affected:
As introduced: 39-709, 21-5701