SESSION OF 2025 SUPPLEMENTAL NOTE ON HOUSE BILL NO. 2120 As Amended by Senate Committee on Education Brief* HB 2120, as amended, would authorize the State Board of Regents, on behalf of Kansas State University (KSU) and the KSU Veterinary Medical Center (VCM), to sell certain real property parcels in Manhattan, Kansas, and Omaha, Nebraska. The legal description for each parcel is provided in the bill. The bill would convey the rights, title, and interest in the real property, which would be executed in the name of the State Board of Regents by its Chairperson and Executive Office. The conveyance would be prohibited until the deeds, titles, and conveyances have been reviewed and approved by the Attorney General. The bill would also provide that if the State Board of Regents determines the legal description of the real estate described in the bill is incorrect, then the conveyance may include the correct legal description. However, the bill would require the deed conveying the property to be approved by the Attorney General. The bill would state that KSU and KSU VCM would retain all proceeds from the sales of the property and would no longer incur costs to maintain the property. All proceeds from the sales would be credited to the Restricted Fee Funds of KSU and KSU VCM. The bill would also exempt the sale of the property from statutory appraisal and state surplus property requirements. ____________________ *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 https://klrd.gov/ The bill would be in effect upon publication in the Kansas Register. Background The bill was introduced by Representative Roeser. House Committee on Higher Education Budget In the House Committee hearing, proponent testimony was provided by a representative of KSU, who provided background information on the use of the two buildings. The Manhattan property was being used for administrative offices, and the property in Nebraska was used for a satellite veterinary referral clinic. The representative noted that the sale of these properties would lower deferred maintenance cost for Kansas State University. Written-only proponent testimony was provided by Riley County Board of Commissioners. No other testimony was provided. House Committee of the Whole The House Committee of the Whole made a technical amendment to the bill to remove a reference to a statute concerning property appraisal. Senate Committee on Education In the Senate Committee hearing, proponent testimony was provided by a representative of KSU, who provided background information on the use of the two buildings and why they are no longer needed. The representative also discussed current interest in the Manhattan property and requested the Committee amend the bill to allow for the 2- 2120 property to be divided and sold as two separate parcels of land. No other testimony was provided. The Senate Committee amended the bill to authorize the division of the Manhattan property into two parcels that could be sold separately of each other. Fiscal Information According to the fiscal note prepared by the Division of Budget on the bill, as introduced, KSU VCM estimates additional revenue of $1.1 million, and KSU estimates additional revenue of $3.5 million, for a total of $4.6 million in revenue for FY 2025 as a result of the sale. The State Board of Regents indicates enactment of the bill would have negligible fiscal effect on its operations. Any fiscal effect associated with the bill is not reflected in The FY 2026 Governor’s Budget Report. Kansas State University; Board of Regents; Manhattan; real estate 3- 2120