Bill Summary – FastDemocracy

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, 2020

          The Honorable Troy Waymaster, Chairperson
          House Committee on Appropriations
          Statehouse, Room 111-N
          Topeka, Kansas 66612
          Dear Representative Waymaster:
                    SUBJECT:      Fiscal Note for HB 2492 by House Committee on Appropriations
                  In accordance with KSA 75-3715a, the following fiscal note concerning HB 2492 is
          respectfully submitted to your committee.
                 Under current law, state officers that are defined in KSA 74-4911f(d) can elect to not
          become a member of the Kansas Public Employee Retirement System (KPERS) and can instead
          be enrolled in the Deferred Compensation Plan. This election must be filed within 90 days of
          assuming his or her position. Included in the definition of a state officer are certain employees of
          the Legislative Branch who were first employed on or after July 1, 1996, and who are not receiving
          KPERS credit under any other retirement system.
                  HB 2492 would remove the ability for new employees of the Legislative Branch (other
          than certain employees outlined in KSA 74-4911f(d)) to participate in the Deferred Compensation
          Plan after July 1, 2020. Existing employees of the Legislative Branch who were first employed
          after July 1, 1996, would be required to file an election prior to December 31, 2020, to remain as
          a participant in the Deferred Compensation Plan. If an eligible employee would fail to file an
          election, it would be presumed that the employee has elected not to participate in the Deferred
          Compensation Plan.
                 Currently, the state contributes 8.0 percent of a qualified employee’s salary to an
          employee’s account in the Deferred Compensation Plan. Since HB 2492 would no longer allow
          new employees of the Legislative Branch to participate in the Deferred Compensation Plan, it
          would reduce expenditures in the Legislative Branch for employer benefits. However, the number
          of Legislative employees that would be affected is not known. Any fiscal effect associated with
          HB 2492 is not reflected in The FY 2021 Governor’s Budget Report.

                                                               Sincerely,

                                                               Larry L. Campbell
                                                               Director of the Budget
          cc: Jarod Waltner, KPERS
              Karen Clowers, Legislative Services
Statutes affected: 
As introduced: 74-4911f