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 C. Proffitt, Director Laura Kelly, Governor
Division of the Budget
February 24, 2025
The Honorable Will Carpenter, Chairperson
House Committee on Health and Human Services
300 SW 10th Avenue, Room 112-N
Topeka, Kansas 66612
Dear Representative Carpenter:
SUBJECT: Fiscal Note for HB 2364 by House Committee on Health and Human
Services
In accordance with KSA 75-3715a, the following fiscal note concerning HB 2364 is
respectfully submitted to your committee.
HB 2364 would prohibit an insurer, when a prescriber prescribes a nonopioid medication
for the treatment of acute pain, from denying coverage in favor of an opioid prescription drug or
requiring a patient to try an opioid prescription drug prior to providing coverage of the nonopioid
prescription drug. The bill would require health insurers to ensure that all nonopioid drugs
approved by the Food and Drug Administration for the treatment or management of pain are not
disadvantaged or discouraged. The bill would not preclude opioid drugs from being preferred over
other opioid drugs or nonopioid drugs from being preferred over other nonopioid drugs.
Estimated State Fiscal Effect
FY 2025 FY 2026 FY 2027
Expenditures
State General Fund -- -- --
Fee Fund(s) -- $1,000,000 $1,085,000
Federal Fund -- -- --
Total Expenditures -- $1,000,000 $1,085,000
Revenues
State General Fund -- -- --
Fee Fund(s) -- -- --
Federal Fund -- -- --
Total Revenues -- -- --
FTE Positions -- -- -- The Honorable Will Carpenter, Chairperson
Page 2—HB 2364
The Division of State Employee Health Benefits Program in the Department of
Administration indicates enactment of the bill would increase expenditures by $1,000,000 in FY
2026 and $1,085,000 in FY 2027 from the Health Benefits Administration Clearing Fund to
provide the modified coverage. Revenue in this fund comes from premiums collected for the State
Employee Health Benefits Plan. The FY 2027 amount assumes an 8.50 percent increase from the
FY 2026 estimate due to rising medical costs. The Department states that enactment of the bill
would prohibit health insurers from requiring cost-sharing for nonopioid drugs greater than for
opioid drugs or less favorable coverage for nonopioid drugs compared to opioid drugs or narcotic
prescription drugs. This modified coverage would increase prescription costs for the State
Employee Health Plan.
The Department of Health and Environment indicates that the bill would align with current
Medicaid policy for nonopioids and would have no fiscal effect on the agency. The Department
of Insurance indicates enactment of the bill would not have a fiscal effect on the agency. Any
fiscal effect associated with HB 2364 is not reflected in The FY 2026 Governor’s Budget Report.
Sincerely,
Adam C. Proffitt
Director of the Budget
cc: Samir Arif, Department of Administration
Kyle Strathman, Insurance Department
Amy Penrod, Department of Health & Environment