Division of the Budget
Landon State Office Building Phone: (785) 296-2436
900 SW Jackson Street, Room 504 adam.c.proffitt@ks.gov
Topeka, KS 66612 Division of the Budget http://budget.kansas.gov
Adam Proffitt, Director Laura Kelly, Governor

March 11, 2021


The Honorable Troy Waymaster, Chairperson
House Committee on Appropriations
Statehouse, Room 111-N
Topeka, Kansas 66612
Dear Representative Waymaster:
SUBJECT: Fiscal Note for HB 2426 by House Committee on Appropriations
In accordance with KSA 75-3715a, the following fiscal note concerning HB 2426 is
respectfully submitted to your committee.
HB 2426 would permit municipalities to issue no-fund warrants or bonds when
municipalities had expenses in excess of current revenues when the expenses were caused by or
were a result of an emergency and the municipality also declared an emergency. The
municipalities would then be authorized to levy a tax to repay the no-fund warrants or bonds. The
municipalities would also be authorized to have a higher maximum bond rate which is limited in
the bill.
The League of Kansas Municipalities indicates that HB 2426 would allow bonds to
continue to be issued to help alleviate any budget imbalances that occur because of additional
expenses caused by public emergencies. The League indicated that the bill would affect local
governments but was unable to estimate the fiscal effect. The Kansas Development Finance
Authority, the Department of Revenue, the Office of the State Treasurer, and the Office of the
State Bank Commissioner indicate that HB 2426 would have no fiscal effect on the agencies,
respectively. Any fiscal effect associated with HB 2426 is not reflected in The FY 2022
Governor’s Budget Report.

Sincerely,

Adam Proffitt
Director of the Budget
cc: Lynn Robinson, Department of Revenue
Wendi Stark, League of Municipalities


Statutes affected:
As introduced: 10-1009