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 15, 2019


The Honorable Julia Lynn, Chairperson
Senate Committee on Commerce
Statehouse, Room 445-S
Topeka, Kansas 66612
Dear Senator Lynn:
SUBJECT: Fiscal Note for SB 168 by Senate Committee on Commerce
In accordance with KSA 75-3715a, the following fiscal note concerning SB 168 is
respectfully submitted to your committee.
SB 168 would create the Kansas Home Inspectors Professional Competency and Financial
Responsibility Act and establish the Kansas Home Inspectors Licensing Board. The purpose of
the Board would be to administer and enforce the Act, promote consumer protection, ensure
professional competency, and ensure the presence of a viable home inspection industry in the state.
The Board would comprise five members to be appointed by the Governor, including three
members who are home inspectors who have been actively engaged in the practice of home
inspections for at least five consecutive years and have completed at least 1,000 fee-paid home
inspections. The remaining two members would be at-large members who are not home
inspectors.
The bill would require the Governor to appoint the initial members of the Board prior to
September 1, 2019. The bill would outline the terms of the appointments, as well as the election
of the chairperson, vice-chairperson, and secretary. Also, the bill would outline the duties and
powers of the Board.
The bill would set maximum fees for the following licenses:
1. Original application license fee: $200;
2. Renewal license fee: $200;
3. Late license renewal fee: $50;
4. Reinstatement of an expired or revoked license fee: $300;
5. Duplicate copy of a license certificate fee: $25;
The Honorable Julia Lynn, Chairperson
Page 2—SB 168

6. Application packet review fee by an education provider for pre-license course: $500; and
7. Application packet review fee by an education provider for continuing education classes:
$50.
On and after January 1, 2020, any individual performing home inspections would be
required to hold a current and valid license issued by the Board. The bill would outline the
requirements for an individual applying for or renewing a license.
Currently, Kansas does not have a state agency that regulates the home inspection industry.
However, the last time that a state agency was dedicated to regulating this industry was during FY
2013. The agency’s enabling statue had a sunset date of July 1, 2013, and was allowed to expire
as of that date. At that time, the agency had an approved FY 2013 budget of $15,013 that was
financed from the Kansas Home Inspectors Registration Fee Fund. Of this budget, $5,928 was for
the salary and wages for its five board members, $8,735 for contractual services, and $350 for
commodities. There were no full-time employees employed by the agency. If SB 168 were to
become law, the Division of the Budget would assume similar expenditures would be required for
the agency’s operations. Any fiscal effect associated with the bill is not reflected in The FY 2020
Governor’s Budget Report.


Sincerely,

Larry L. Campbell
Director of the Budget