Authorizing the governor to submit a budget report to the legislature that increases the total expenditures for the ensuing fiscal year by not more than 2% of the total expenditures from the immediately preceding fiscal year.
Impact
The bill modifies existing laws to clarify how the state’s budget can grow. By capping expenditure increases at 2%, HB2472 is seen as a mechanism to foster fiscal responsibility and ensure that budgetary adjustments do not outpace revenue growth. Supporters of the bill argue that this is crucial for long-term financial stability within state government. However, it may also limit the government's flexibility in responding to sudden financial needs or economic challenges as it confines budget growth to a predetermined rate.
Summary
House Bill 2472 aims to amend the Kansas statutory framework around the governor's budget report to the legislature. Specifically, it authorizes the governor to submit a budget report that permits an increase in total expenditures for the upcoming fiscal year by no more than 2% of the total expenditures from the previous fiscal year. This provision is designed to provide a structured approach for budget adjustments while maintaining a level of fiscal restraint.
Conclusion
As the bill progresses through the legislative process, stakeholders will likely evaluate its potential long-term impacts on budget stability versus flexibility. The discussion surrounding HB2472 reflects a broader conversation about the balance of power between state government branches and the parameters within which they can operate to ensure financial prudence without stifling growth or responsiveness.
Contention
Debate around HB2472 may center on its implications for legislative authority and the executive branch's control over financial matters. Opponents may raise concerns that such limitations could hinder the state's ability to respond effectively to fiscal crises or important funding needs, particularly in areas like education and infrastructure. Conversely, proponents argue that by keeping expenditures in check, the bill contributes to overall fiscal health, protecting taxpayers from excessive government spending.
Limiting the annual amount of expenditures and demand transfers from the state general fund, requiring certification by the state treasurer and providing for additional requirements on the governor's and legislature's budget plans and legislative measures.
Constitutional amendment to revise the circumstances that would allow the reduction of constitutionally protected expenditures and dedications to eliminate a projected deficit in an ensuing fiscal year. (2/3 - CA13s1(A)) (EN SEE FISC NOTE SD EX See Note)
Authorizing a transfer of state general fund moneys to the local ad valorem tax reduction fund in fiscal year 2025 and all fiscal years thereafter, requiring political subdivisions to credit all such moneys to residential property taxpayers in the form of a rebate and providing a formula for such rebate amount.