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 Steven Johnson, Chairperson
House Committee on Taxation
Statehouse, Room 185-N
Topeka, Kansas 66612
Dear Representative Johnson:
SUBJECT: Fiscal Note for HB 2368 by House Committee on Taxation
In accordance with KSA 75-3715a, the following fiscal note concerning HB 2368 is
respectfully submitted to your committee.
HB 2368 would allow cities and counties to spend increased property tax revenues on
expenses relating to transportation projects without requiring a resolution to be approved by an
election, provided the projects do not exceed 20.0 percent of the city or county appropriation or
budget from the immediately preceding year. The transportation projects would be required to be
first certified by the Secretary of Transportation.
The Kansas Association of Counties and League of Kansas Municipalities both indicate
the bill would provide local governments with an option for obtaining resources for transportation
projects. The Association notes that the bill may result in some cost savings from not having to
hold an election for additional spending on transportation projects. Neither the Kansas Association
of Counties nor the League of Kansas Municipalities were able to estimate the precise fiscal effect
from the bill because the number of cities or counties who might choose to submit budgets using
the provision is unknown.
The Department of Revenue indicates the bill would have no fiscal effect on the two state
building funds, the Educational Building Fund and the State Institutions Building Fund. Also, the
bill would have no fiscal effect on property tax revenues that school districts receive through the
state’s uniform mill levy.

Sincerely,

Larry L. Campbell
Director of the Budget
cc: Jay Hall, Association of Counties
Chardae Caine, League of Municipalities

Statutes affected:
As introduced: 79-2925c