SESSION OF 2024
SUPPLEMENTAL NOTE ON SENATE BILL NO. 94
As Amended by Senate Committee on
Assessment and Taxation
Brief*
SB 94, as amended, would eliminate, beginning in tax
year 2025, the statewide mill levies of 1.0 mills for state
educational buildings and 0.5 mills for state institutions
buildings and would create, beginning in fiscal year (FY)
2026, revenue transfers from the State General Fund (SGF)
to the Kansas Educational Building Fund (EBF) and to the
State Institutions Building Fund (SIBF).
The transfer amounts would be set at $41.8 million to
the EBF and $20.9 million to the SIBF in FY 2026 and would
be scheduled to increase by 2.0 percent in each future year.
The bill would also abolish the Local Ad Valorem Tax
Reduction Fund (LAVTRF) and the City County Revenue
Sharing Fund (CCRSF) and eliminate statutory transfers from
the SGF to the LAVTRF, CCRSF, and the Special City County
Highway Fund. All moneys and liabilities of the LAVTRF and
CCRSF would be transferred to the SGF.
[Note: The Special City County Highway Fund, which
also receives revenue from motor fuels taxes, would not be
abolished by the bill.]
Background
The bill was introduced by the Senate Committee on
Assessment and Taxation at the request of Senator Peck.
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*Supplemental notes are prepared by the Legislative Research
Department and do not express legislative intent. The supplemental
note and fiscal note for this bill may be accessed on the Internet at
http://www.kslegislature.org Senate Committee on Assessment and Taxation
In the Senate Committee hearing, proponent testimony
was provided by Senator Peck, stating the bill would provide
property tax relief for all Kansas property owners and replace
revenue to building funds with SGF transfers. Written-only
proponent testimony was provided by a representative of the
Kansas Association of Realtors.
Opponent testimony was provided by a representative
of the State Board of Regents, stating the bill would reduce
the stability and certainty of the revenue for the EBF, and the
transfer amounts would not replace all lost tax revenue.
Written-only opponent testimony was provided by
representatives of the American Council of Engineering
Companies of Kansas, Associated General Contractors of
Kansas, and University Contractors Association of Kansas.
No other testimony was provided.
On January 9, 2024, the bill was withdrawn from the
Senate Calendar and re-referred to the Senate Committee on
Assessment and Taxation. Following discussion on March 11,
2024, the Senate Committee amended the bill to delay the
elimination of the state building fund mill levies and
implementation of SGF transfers by one year and to include
the provisions abolishing the LAVTRF and CCRSF and
eliminating SGF transfers to the LAVTRF, CCRSF, and
Special City County Highway Fund.
Fiscal Information
A fiscal note on the amended bill was not immediately
available.
Taxation; property tax; statewide mill levies; transfers; Educational Building Fund,
State Institutions Building Fund; Local Ad Valorem Tax Reduction Fund; City County
Revenue Sharing Fund
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