SESSION OF 2019
SUPPLEMENTAL NOTE ON SENATE BILL NO. 91
As Amended by Senate Committee on
Assessment and Taxation

Brief*
SB 91, as amended, would enact the Golden Years
Homestead Property Tax Freeze Act (Act), allow disabled
veteran renters to claim the property tax refunds under the
current Homestead Property Tax Refund Act(Homestead)
program for tax year 2019 and thereafter, and increase
current Kansas standard deduction amounts for individual
income taxpayers.

Property Tax Circuit Breaker Provisions
The bill would establish a new property tax circuit
breaker refund program (refund program) beginning in tax
year 2019 that would provide refunds of a portion of property
taxes paid on qualifying residential homestead property
equivalent to the total property tax increase over the base
year. For taxpayers qualifying at the time of enactment, tax
year 2018 liability would be deemed as the base year. For all
other taxpayers, the base year would be the first year in
which they are eligible to claim the refund provided by the
Act.
In order to qualify for the refund program, the bill would
require taxpayers to have a household income of less than
$50,000 and be 65 years of age or older or a disabled
veteran. The value of the qualifying residential homestead
property also would have to be less than $350,000. Qualifying
taxpayers would be ineligible to claim a Golden Years refund
____________________
*Supplemental notes are prepared by the Legislative Research
Department and do not express legislative intent. The supplemental
note and fiscal note for this bill may be accessed on the Internet at
http://www.kslegislature.org
if they are seeking to claim either of the two existing circuit
breaker programs: the Homestead Property Tax Refund or
the Selective Assistance for Effective Senior Relief (SAFESR)
Refund. The bill would allow surviving spouses of qualified
individuals to continue in the Golden Years program unless
they subsequently remarry. Golden Years claims would be
required to be filed by April 15, relative to refund amounts
determined by the previous property tax year’s liability.
Under the bill, disabled veterans would include Kansas
residents honorably discharged from active service in any
branch of the armed forces of the United States or Kansas
National Guard who have been determined to have a 50
percent permanent disability sustained while on active duty.
Beginning with the second year of the program, the
Director of Taxation would be required to send county clerks
electronic records by October 15 of each year containing
names of eligible claimants who have received refunds under
the Act for the prior year.
Under the bill, the Director of Taxation would have
authority to apply refunds to any state tax liability of the
qualified individual or other member of the household.
Remaining refunds would first be applied to any delinquent
property taxes on the homesteads and then to any current
property tax liability.
The bill would grant the Secretary of Revenue broad
authority to adopt rules and regulations necessary for
administration of the Act.
The bill would also allow disabled veterans who are
renters to claim refunds under the current Homestead
program under the statutory presumption that 15 percent of
qualifying rental payments would be deemed the equivalent
of property taxes paid for purposes of that program. (Note:
Legislation enacted in 2012 had removed all renters from the
Homestead program.)

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Individual Income Tax Provisions
The bill would increase Kansas standard deduction
amounts for individual income tax purposes beginning in tax
year 2019. The bill would increase a single filer’s standard
deduction from $3,000 to $3,500, married taxpayers filing
jointly from $7,500 to $8,500, and head of household filers
from $5,500 to $6,000.

Background
The bill was introduced by Senators Hollland,
Baumgardner, Doll, Faust-Goudeau, Haley, Hawk, Lynn,
Pettey, and Sykes.
During the Senate Committee on Assessment and
Taxation hearing on February 14, Senator Holland appeared
as the lead proponent. Other proponents included Senators
Baumgardner and Faust-Goudeau, representatives of the
Kansas Association of Realtors and the Kansas Silver Haired
Legislature, and two private citizens. The Sedgwick County
clerk submitted written-only testimony in opposition to the bill.
Written-only neutral testimony was submitted by
representatives of the AARP, Johnson County Board of
County Commissioners, Kansas Association of Counties, and
the League of Kansas Municipalities.
The bill, as introduced, would have prevented taxpayers
with homesteads subject to mortgages or other security
interests from qualifying for refunds under the Golden Years
program; and would have restored the ability of all renters
otherwise qualified under the income and demographic tests
to claim traditional Homestead refunds. On February 25, the
Senate Committee amended the bill to remove the prohibition
against property subject to liens being eligible for Golden
Years refunds; and to limit the restoration of Homestead
refunds to only those renters who are disabled veterans. On
March 22, the Senate Committee also amended the bill to
include the standard deduction increase provisions.
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 On March 22, a representative of the Department of
Revenue stated the bill, as amended, would be expected to
have the following impact on State General Fund receipts.

(DOLLARS IN MILLIONS)
FY ‘20 FY ‘21 FY ‘22
Golden Years Refunds $ (4.5) $ (9.1) $ (13.6)
Homestead Refunds (0.5) (0.5) (0.5)
Standard Deductions (44.3) (34.4) (34.7)
Total $ (49.3) $ (44.0) $ (48.8)
99.0 99.0 99.0
Note: Totals may not add due to rounding.


Administrative costs associated with the bill, as
amended, were not immediately available.


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Statutes affected:
As introduced: 79-4501, 79-4502, 79-4508, 79-4509, 79-4511, 79-4522
As Amended by Senate Committee: 79-4501, 79-4502, 79-4508, 79-4509, 79-4511, 79-4522, 79-32