Kansas 2023 2023-2024 Regular Session

Kansas House Bill HB2154 Introduced / Fiscal Note

                    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 	http://budget.kansas.gov 
 
Adam Proffitt, Director 	Laura Kelly, Governor 
Division of the Budget 
 
February 10, 2023 
 
 
 
 
The Honorable Leo Delperdang, Chairperson 
House Committee on Energy, Utilities and Telecommunications 
300 SW 10th Avenue, Room 582-N 
Topeka, Kansas  66612 
 
Dear Representative Delperdang: 
 
 SUBJECT: Fiscal Note for HB 2154 by House Committee on Energy, Utilities and 
Telecommunications 
 
 In accordance with KSA 75-3715a, the following fiscal note concerning HB 2154 is 
respectfully submitted to your committee. 
 
 HB 2154 would require each of the Kansas Corporation Commissioners to stand for 
statewide election and serve four-year terms.  The first Commissioner would be elected in 2024, 
the second in 2026, and the third in 2028.  The bill would also establish a new Utilities Regulation 
Division within the Office of the Attorney General which would be tasked with representing 
Kansas utility customers in rate case proceedings.  
 
Estimated State Fiscal Effect 
 	FY 2023 
SGF 
FY 2023 
All Funds 
FY 2024 
SGF 
FY 2024 
All Funds 
Revenue 	-- -- -- -- 
Expenditure 	-- -- -- $1,244,589 
FTE Pos. 	-- -- -- -- 
 
 The Office of the Attorney General indicates that HB 2154 would increase the FTE position 
count and expenditures for the agency by unknown amounts.  The bill would transfer certain staff 
from the Kansas Corporation Commission to the newly created Utilities Regulation Division 
within the Office of the Attorney General and allow the agency to contract for additional 
professional services necessary to carry out the Division’s responsibilities.  
  The Honorable Leo Delperdang, Chairperson 
Page 2—HB 2154 
 
 
 The Kansas Corporation Commission estimates that enactment of HB 2154 would increase 
agency expenditures by $1.2 million in FY 2024 and subsequent fiscal years.  These expenditures 
would be made to replace staff that would be lost to the Office of the Attorney General but are 
necessary to fulfill the agency’s legal obligations.  The agency notes that because current salaries 
for legal and technical staff have fallen behind market rates, hiring replacement staff at competitive 
salaries would lead to higher overall expenditures for salaries and benefits.   
 
 According to the Kansas Secretary of State, administration of the elections required by HB 
2154 would cost Kansas counties a total of $50,000 to $75,000 per year.  The Citizens’ Utility 
Ratepayer Board reports that HB 2154 would not have a fiscal effect on agency operations.  Any 
fiscal effect associated with HB 2154 is not reflected in The FY 2024 Governor’s Budget Report.  
 
 
 
 
 	Sincerely, 
 
 
 
 	Adam Proffitt 
 	Director of the Budget 
 
 
 
cc: Peter Barstad, Kansas Corporation Commission 
 Shonda Rabb, Citizens Utility Ratepayer Board 
 John Milburn, Office of the Attorney General