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 21, 2024


The Honorable William Sutton, Chairperson
House Committee on Insurance
300 SW 10th Avenue, Room 218-N
Topeka, Kansas 66612
Dear Representative Sutton:
SUBJECT: Fiscal Note for HB 2689 by Representative Featherston, et al.
In accordance with KSA 75-3715a, the following fiscal note concerning HB 2689 is
respectfully submitted to your committee.
HB 2689 would prohibit cost-sharing requirements for diagnostic or supplemental breast
examinations for breast cancer for every individual or group health insurance policy, medical
service plan, contract, hospital service corporation contract, hospital and medical service
corporation contract, fraternal benefit society or health maintenance organization that provides
coverage for accident and health services that is delivered, issued for delivery, amended or renewed
on or before January 1, 2025. The bill specifies that this requirement would only apply to health
savings account–qualified high deductible health plans after the enrollee has satisfied the minimum
deductible if federal law would result in health savings account ineligibility.
Estimated State Fiscal Effect
FY 2024 FY 2025 FY 2026
Expenditures
State General Fund -- -- --
Fee Fund(s) -- $75,477 $159,257
Federal Fund -- -- --
Total Expenditures -- $75,477 $159,257
Revenues
State General Fund -- -- --
Fee Fund(s) -- -- --
Federal Fund -- -- --
Total Revenues -- -- --
FTE Positions -- -- --
The Honorable William Sutton, Chairperson
Page 2—HB 2689

The Department of Administration estimates enactment of the bill would increase
expenditures to the State Employee Health Benefits Program by $75,477 in FY 2025 ($150,954
annually X 50.0 percent of the calendar year). For FY 2026, the agency assumes the growth in
medical costs will be approximately 5.5 percent, resulting in increased expenditures totaling
approximately $159,257. The agency used calendar year 2023 claims experience data to provide
the estimate, which only applies to members of the State Employee Health Plan and not all policies
that would be affected by the bill. The agency notes that the State Employee Health Plan already
covers the full cost of mammograms for members and additional costs would be for diagnostic
MRIs, mammography, and ultrasounds. The additional costs would be factored into the premiums
charged for the State Employee Health Plan.
The Department of Insurance states it does not have sufficient information to estimate the
cost that enactment of the bill would have on insurance providers. Any fiscal effect associated
with HB 2689 is not reflected in The FY 2025 Governor’s Budget Report.

Sincerely,

Adam C. Proffitt
Director of the Budget


cc: Tamara Emery, Department of Administration
Bobbi Mariani, Insurance Department


Statutes affected:
As introduced: 40-2, 40-19c09, 40-2407, 40-2411