Division of the Budget
Landon State Office Building Phone: (785) 296-2436
900 SW Jackson Street, Room 504 larry.campbell@ks.gov
Topeka, KS 66612 Division of the Budget http://budget.kansas.gov
Larry L. Campbell, Director Laura Kelly, Governor


February 19, 2019


The Honorable Jim Kelly, Chairperson
House Committee on Financial Institutions and Pensions
Statehouse, Room 581-W
Topeka, Kansas 66612
Dear Representative Kelly:
SUBJECT: Fiscal Note for HB 2139 by House Committee on Financial Institutions and
Pensions
In accordance with KSA 75-3715a, the following fiscal note concerning HB 2139 is
respectfully submitted to your committee.
HB 2139 would allow certain local government correctional employees to become
members of the Kansas Police and Firemen’s Retirement System (KP&F). Currently, these
employees are part of the Kansas Public Employees Retirement System (KPERS) Local Group.
The bill would apply to detention deputies, corrections officers, detention officers and jailers as
defined in HB 2139.
KPERS estimates the bill would have an actuarial effect on KP&F. However, the fiscal
effect cannot be estimated as the number of local employees who would move from KPERS to
KP&F is unknown. The agency does not have position description information of local
government members to be able to discern how many members would be eligible for KP&F.
Additionally, KPERS notes the bill allows the election of KP&F coverage to be voluntary. As a
result, the number of employers who are not currently affiliated with KP&F but would choose to
do so cannot be predicted. KPERS indicates any change to the KP&F actuarial required
contribution rate would have to be paid by all KP&F employers. Because KP&F uses a single
uniform rate for both state and local employers, HB 2139 has the potential to affect contributions
for KP&F state agencies.
While KPERS does not have the data to determine precisely how many members would be
eligible to become KP&F members, it is estimated that the number of employees would be large.
The agency indicates the bill would require additional expenditures totaling $378,479, all from the
KPERS Trust Fund. This figure includes $98,479 for 2.00 new FTE positions to provide transition
The Honorable Jim Kelly, Chairperson
Page 2—HB 2139

and ongoing support to local employers and members. The total also includes $280,000 to make
upgrades across several database systems. Any fiscal effect associated with HB 2139 is not
reflected in The FY 2020 Governor’s Budget Report.


Sincerely,

Larry L. Campbell
Director of the Budget


cc: Jarod Waltner, KPERS