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 27, 2019


The Honorable Ty Masterson, Chairperson
Senate Committee on Utilities
Statehouse, Room 224-E
Topeka, Kansas 66612
Dear Senator Masterson:
SUBJECT: Fiscal Note for SB 127 by Senate Committee on Assessment and Taxation
In accordance with KSA 75-3715a, the following fiscal note concerning SB 127 is
respectfully submitted to your committee.
SB 127 would prohibit any electric or natural gas public utility subject to Kansas
Corporation Commission jurisdiction from recovering federal or state income tax expense through
its base rates beginning January 1, 2019. Prior to January 1, 2020, these utilities would be required
to implement an income tax reimbursement charge as a separate monthly charge on customer bills.
According to the Kansas Department of Revenue and the Kansas Corporation Commission,
enactment of SB 127 would have no fiscal effect on agency budgets.


Sincerely,

Larry L. Campbell
Director of the Budget


cc: Jake Fisher, KCC
Lynn Robinson, Department of Revenue