Revenues continue strong
The Kansas Legislature is nearing the completion of committee work as we considered a few last issues and the bills coming from the other chamber. We have one more week to complete our committee work before the next deadline so we have time to consider bills on the floor.
Those Senate bills we pass without amendment will continue on to the governor. Those we amend will return to the Senate. The Senate may concur with our changes and pass the bill. If they do not agree, they may ask that a conference committee be appointed between the chambers to work out the differences.
Establishing new coverage levels in the Health Care Stabilization Fund was my main focus for the week. The Kansas Medical Society has been working over the last year to set levels of coverage. There are currently three options, with the highest being a total of $1 million of malpractice coverage before providers purchase additional coverage if needed.
House Bill 2380 would change the minimum required for all providers to $1 million with an option to purchase $2 million. The Kansas Medical Society says it is important to increase coverage levels in response to recent court decisions. There have been many entities that have worked together to iron out details and we hope to advance the bill out of committee this week.
The appropriations committee passed out the first complete budget bill. Several items were added to the budget as needs in the state continue to grow.
There were several examples within the social services budget, such as expanding access to critical services for those with traumatic brain injuries. There was a restoration of some funding to higher education, especially to reinforce their efforts to address deferred maintenance liabilities. I did not vote for some items in committee given my concern about growing spending.
Thankfully, our tax revenues have continued to come in above estimates. This continues to hold our cash flow stable. Both our budget requirements and recent federal laws may make tax cuts difficult. There are opportunities to balance our tax revenues, such as gaining tax revenue on internet sales, which could be offset by a tax reduction. With the remaining increases to K-12 as a result of the Gannon lawsuit, it will be difficult to meet our budget increases with any reduction in revenue next year.
Senate Bill 40, the emergency management act, came back to the House from the conference committee. The pandemic created a long-standing emergency, which we had not faced before. The bill seeks to clarify ongoing control between the executive and legislative branches as well as local units of government. The existing executive orders will expire on March 31.
Going forward in this emergency the governor will work with the legislative coordinating council, which is made up of leaders from the House and Senate. The bill passed on a vote of 118 “yes” to 5 “no” votes. I was among those voting “yes”.
It has been good to see more things getting back to normal as vaccinations increase. Thanks to our county health departments, health care workers and others for helping us get this far.
Have a great week!