[{"_1":2,"_112":-5,"_113":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88,100],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6370123,"mediaKeyId","2152190-5a1ee3da091f385d40505843bfd5e0e2","parentId",2152190,"title","Kansas Insurance Commissioner outlines fee cuts, consumer recoveries during budget review","audioSeconds",667,"startMs",136000,"endMs",803000,"viewUrl","/Search/View?dp=1&key=2152190-5a1ee3da091f385d40505843bfd5e0e2&start=136&end=803","thumbnailUrl","https://assets.pipeline.soar.com/2152190-5a1ee3da091f385d40505843bfd5e0e2/thumbnail_136000.jpg","articleUrl","/articles/6370123/Kansas/Kansas-Insurance-Commissioner-outlines-fee-cuts-consumer-recoveries-during-budget-review","mediaUrl","https://secure.pipeline.soar.com/6370123-7ba530594aeb2213a50ba797526d229b/orig.mp4?Expires=1770823608&Signature=BJbfbP8~WnEWdtQA6NpLdUuwZidVFPAwzrxnB2~opvUPWHZWfX562ne1nGJQ4Z6DCc4ulMVaZDnijAU15MFFI1JlviRFi7NNZmsecBKfFlWUPgKcrGfYOBdt1hlmIoZhymNjWuYV24RAma69Sq3oUrfmPdyuV4dHahE2qQl8SFTNgJqOm4mQFhBlVmZ-oDnuw4hY8Ub~cjxEqPeYhVipTYCwdfk1Hjmraxjt-iBs73hzvgx4O8O1mDZLkYlU3kMKwJfBS-q4v26N--w3Cdair6s~LkmqlsuEfim7PGU-Uv-B~Hvdc4rGwC1VOSilXKLPuvlWGLJgSSxp69U7vDuOng__&Key-Pair-Id=KUT5TJCACFTXG","author","Committee on General Government Budget, KS","date","2025-01-24T00:00:00Z","article","Commissioner Vicki Schmidt and department staff summarized the Kansas Department of Insurance budget and several policy items to the Committee on General Government Budget, stressing the department is fee-funded and describing recent and proposed reductions to licensing and other fees.

The department’s budget presentation, delivered by Arianna Waddell of the Legislative Research Department and comptroller Charlotte Dawbert, showed the agency’s FY2025 revised estimate at about $44,000,000, all from special revenue funds, and 135 FTE positions. Waddell told the committee the FY2025 revised request is an increase of about $3.9 million (9.8 percent) over the FY2024 legislatively approved amount, driven largely by increased distributions from the State Firefighters Relief Fund and higher contractual spending related to building rent and consulting services.

Why it matters: the department is 100 percent fee-funded in the presented budgets, and the commissioner and staff said past and proposed legislative reductions to fees have substantially reduced department revenue while the agency continues regulatory and consumer-protection work.

Key details and context: the department said the State Firefighters Relief Fund payments are a primary driver of year-to-year changes; statute requires insurers that write fire and lightning insurance to pay 2 percent of annual premiums to the Kansas Department of Insurance for that fund, and the agency estimates distribution to 553 Firefighter Relief Associations in FY2025. Dawbert said contractual-service increases include one-time building improvements (notably repaving a parking lot and landscaping) and higher rent beginning January 1, 2025. The revised estimate also included a reduction of roughly $166,000 in salaries and benefits due to restructuring and vacancies and a net decline of about 0.3 FTE driven by reorganization of examination fees.

Commissioner Schmidt described the department’s consumer-assistance work and recent recoveries: she said consumer assistance recovered approximately $11.8 million in one recent year and that the department’s use of the NAIC life-insurance policy locator led to about $25 million in recovered benefits in the most recent year cited; Schmidt said total recoveries since she took office amount to roughly $144 million. Schmidt and Dawbert also discussed recruitment challenges for technical staff, noting the department has increased starting salaries and used contractors where necessary.

Legislation and proposals described: Schmidt and Dawbert identified several pieces of legislation that would reduce revenue to the department if enacted, which the department supports as a way to reduce the fund balance. They named:
- Senate Bill 37 (2021) — cited as the previous overhaul to producer licensing that reduced department revenues; referenced during the presentation as background for revenue declines.
- Proposed reductions including elimination of producer appointment renewal fees (estimated revenue loss cited at about $6.5 million) and a proposal to reduce retained premium taxes to 1.8 percent (to be considered by the Tax Committee).
- Senate Bill 24 (identified in testimony) — described as anticipated to reduce revenue by nearly $6,000,000.
- Senate Bill 32 (identified in testimony) — described as reducing the portion of premium tax retained by the department by about $1,600,000.
- House Bill 2047 (identified in testimony) — would establish an online real‑time auto insurance verification system and was estimated in testimony to cost up to $1,000,000 per year.

Commissioner Schmidt also previewed an insurance savings account (ISA) concept for tax-deductible savings to pay premiums or deductibles that she said is modeled on child-adoption savings accounts; she described suggested maximum annual contributions (for individuals $6,000; married filing jointly $12,000; businesses $25,000) but framed the item as a legislative proposal that would be referred to the appropriate committees.

Committee action: later in the meeting the committee voted to concur with the Legislative Budget Committee recommendation on the Kansas Department of Insurance budget for FY2025 and FY2026. The committee recorded no amendment to the insurance budget during the meeting.

Ending: department staff said they would return to answer further budget questions as needed and reiterated the agency’s emphasis on efficiencies while continuing consumer assistance.","mediaType","Video","parentTitle","House Committee on General Government Budget 01/24/2025","oneSentenceSummary","Commissioner Vicki Schmidt and department staff presented the Kansas Department of Insurance FY2025–FY2026 fee-funded budget to the Committee on General Government Budget, highlighted recent and proposed cuts to licensing and premium-related fees, and described large consumer-recovery totals the department has returned to Kansans.","taxTitle","Committee on General Government Budget , Standing, HOUSE OF REPRESENTATIVES, Committees, Legislative, Kansas","taxId",18816,"location","Kansas","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6370114,"KPERS reports record trust-fund value and ongoing IT modernization during budget presentation",668,3981000,4649000,"/Search/View?dp=1&key=2152190-5a1ee3da091f385d40505843bfd5e0e2&start=3981&end=4649","https://assets.pipeline.soar.com/2152190-5a1ee3da091f385d40505843bfd5e0e2/thumbnail_3981000.jpg","/articles/6370114/Kansas/KPERS-reports-record-trust-fund-value-and-ongoing-IT-modernization-during-budget-presentation","https://secure.pipeline.soar.com/6370114-0f22b8436837d1cce644019ae2edf4b2/orig.mp4?Expires=1770823608&Signature=R0r9D5dXngyXy5snzO5raHRx9yvRQWq8xmIV~UtU9hcx38XwSTVvZcZbKv5R2kRAaFgILlxChYh1WlOifFe14FrTpjD5Oup1RfJTWccEBliUyDukXlrJALd2dDOGQm-2ZdXoqVDj3y-KEGCrqiKZHlqdkTOprHZUOfDS~Z-uUmAGOnSEAqkLx9hBY4hQlzicjhlJOq5BjKCJyE4OhiyIjrP4X~~exDrlxGd3RCjD~3hVUKXscT5ZiwJcR3YsXWkXBe3~M2WONUCHOGiOwBxnDdJZJjgZKwvLqMLFxVkTfICEsxaTN09gJzCjDadgX4gntdCUNjCjhZMVGwywvEmwWQ__&Key-Pair-Id=KUT5TJCACFTXG","KPERS staff briefed the Committee on General Government Budget on the agency’s FY2025 and FY2026 operating budgets, investment-related expenses, and a multi-year pension-administration modernization project. The committee later concurred with the Legislative Budget Committee recommendation for KPERS’ budgets.

Trust-fund size and investment fees: testimony said KPERS manages trust-fund assets of about $26–28 billion (trust‑fund asset figures were presented as a range) and that the operating budget uses a small portion of trust assets to fund administration. KPERS reported higher investment-management fees relative to the prior fiscal year because fees are paid on a percentage basis tied to the size and performance of the portfolio; as assets grow, reported management fees increase. KPERS testified that investment-management fees are approximately 0.18 percent of assets, a relatively low percentage enabled by the trust fund’s scale.

Modernization project: KPERS described an ongoing pension‑administration modernization contract (Tegret Software Ventures) with a five‑year timeline and a total cost estimate cited in testimony at approximately $74.9 million. KPERS plans to finance the modernization from trust-fund assets; the committee was presented with FY2025 and FY2026 estimated modernization expenditures (about $12 million in FY2025 and about $14 million in FY2026). KPERS staff said earlier preparatory work had occurred in prior years and that the current phases involve active implementation.

Pension funding and bonds: KPERS executive testimony traced funding history and said the system’s funded ratio is about 75 percent. KPERS’ executive also described pension-obligation bonds and related investment returns: testimony said that three pension bonds and associated invested proceeds have so far produced net investment gains (after debt service) of about $1.1 billion relative to debt-service costs, a result KPERS characterized as positive to date. KPERS noted an actuarial unfunded liability figure of about $6.2 billion tied to historical underpayments and that the actuarial schedule assumes continued employer contributions and long-term investment returns to reach full funding by 2039 under current assumptions.

Committee action: the committee voted to concur with the Legislative Budget Committee recommendations for KPERS’ FY2025 and FY2026 operating budgets; no amendments to the KPERS operating request were adopted during the meeting.

Ending: KPERS said it will continue to proceed with the modernization project and monitor investment and actuarial results; committee members acknowledged improved pension funding and the recent investment performance.","KPERS told the Committee on General Government Budget that its trust fund reached a record high and that investment-management fees rose because fees are percentage-based on assets and performance; KPERS also described an ongoing pension-administration modernization project and said the committee should concur with the LBC budget recommendations.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6370119,"Committee approves Labor budget amendments including $267,101 SGF for AC units and $1 million transfer for sheltered workshop grants",485,1824000,2309000,"/Search/View?dp=1&key=2152190-5a1ee3da091f385d40505843bfd5e0e2&start=1824&end=2309","https://assets.pipeline.soar.com/2152190-5a1ee3da091f385d40505843bfd5e0e2/thumbnail_1824000.jpg","/articles/6370119/Kansas/Committee-approves-Labor-budget-amendments-including-267101-SGF-for-AC-units-and-1-million-transfer-for-sheltered-workshop-grants","https://secure.pipeline.soar.com/6370119-d983ab444abffe519dd8de769cc72574/orig.mp4?Expires=1770823608&Signature=H2trBXlntabWmrtNsFaZ8i3v7LjeSG4~gSeijkRydy6H80YXkXS-ItN0Pia5oXfXYmgKP2SAzRPYIfSfTiIPZEQ9f5Pwf0LehiVkNi2-tiebBY5wsmvCETlS-SU4nxftSRdY0SLWJlZLtQWkHp311DkN8rbXgZXOi2lvBNejayIAlY1uvCIQZkib79PGvRUDFhkFaJERpaDmcM3GvFmYj36pvmrc5~gAU~k5KIJLM9atgXAnsA-MRC4lfFO5Qvrsz26ou-hok1QIYCPVoX9OeLYbJn-wS~Rfy2BbZ5rAjzuHSPLNjqfZHPfACu1FghgmVqemkSlMO4cmEOk4v4ep4Q__&Key-Pair-Id=KUT5TJCACFTXG","The Committee on General Government Budget heard a presentation on the Kansas Department of Labor (KDOL) budget, discussed volatility in unemployment-insurance (UI) spending estimates, capital-improvement needs in agency-owned buildings, and staffing and turnover issues in the UI call center. The committee adopted two budget amendments and later concurred with the Legislative Budget Committee’s recommended Labor budget for FY2025 and FY2026.

KDOL overview and budget drivers: Legislative Research summary testimony said the department’s budget is driven primarily by UI benefit payments and the UI Trust Fund; roughly 75 percent of the department’s funding was described as coming from the UI Trust Fund, about 10 percent from federal funds, about 10 percent from fee funds and the balance from the state general fund. The FY2025 request was described in testimony as approximately $259,000,000 (about $53,000,000 or 26 percent more than the prior year’s approved amount) and the FY2026 request at roughly $237,000,000 (about $38,000,000 above the previously approved amount), with much of the year-to-year change attributable to updated UI benefit estimates.

Capital improvements and AC units: KDOL staff and deputies told the committee the agency owns three primary buildings (401 Southwest Topeka; 1309 Southwest Topeka; the Eastman Building) and leases other spaces across the state. The department placed replacement of roof‑mounted AC units on its capital-improvement plan; an initial estimate focused on the units themselves but a subsequent systems review identified needed replacement of VAV boxes and other associated electrical and systems work, driving the cost to about $1,000,000. The department said the capital improvement funding split for these projects is 60 percent state general fund and 40 percent workers’ compensation fee fund and that, because many KDOL receipts are federal or UI-trust funded, those funds are not available for capital projects.

Sheltered workshop transition grant program: Committee members and staff discussed a correction to prior legislation compliance for the sheltered workshop transition grant program created by 2024 SB 15. The department and Legislative Research said the program required a $1,000,000 transfer from the Employment and Industrial Development Investment Fund (EDIF) to the sheltered workshop transition fund; timing and accounting setup led to the transfer not being fully effectuated in the initial appropriations paperwork. The committee voted to approve a motion to implement the $1,000,000 transfer in the FY2025 and FY2026 budgets to conform appropriations to the prior legislative intent.

AC unit funding amendment: Representative Turk moved and the committee adopted an amendment to provide $267,101 from the State General Fund (SGF) to cover KDOL’s remaining need for the AC‑replacement project and to allow KDOL to use its workers’ compensation fee fund to complete the project; the motion included a request that KDOL report final project costs to the committee and update its capital improvement plan to reflect current market costs. The committee vote was announced as passed in the transcript; no roll-call tally was recorded in the public transcript.

Staffing and turnover: KDOL deputies and managers said the department is recruiting to fill technical positions and that call-center turnover has been high; testimony discussed increased starting wages for call-center staff and expanded recruiting across counties to address retention. Deputies said the new UI system’s self-service features are expected to reduce call volume over time; the system had been live only a limited number of working days at the time of testimony.

Committee action: during the meeting the committee approved (1) a motion to effect the $1,000,000 transfer for the sheltered workshop transition grant program (motion moved by Representative Turk; seconded on the record), (2) an amendment to add $267,101 SGF for AC replacement and to allow use of the workers’ compensation fee fund for the project (moved by Representative Turk; seconded by Representative Riley), and (3) later concurred with the Legislative Budget Committee recommendation for the KDOL FY2025 and FY2026 budgets.

Ending: department staff said frequently asked questions and additional requested materials would be provided to the committee after the hearing; the committee asked KDOL to share final costs and to update its capital-improvement plan.","The committee reviewed the Kansas Department of Labor budget, discussed large swings in unemployment-insurance projections, approved a $1 million sheltered workshop transition transfer and a $267,101 SGF amendment for air‑conditioning replacement, and concurred with the LBC budget recommendation.",{"_33":101,"_35":36,"_37":38,"_39":102,"_41":103,"_43":104,"_45":105,"_47":106,"_49":107,"_51":108,"_53":109,"_55":56,"_57":58,"_59":110,"_61":62,"_63":64,"_65":111,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6370109,"Committee on General Government Budget approves minutes, several budget concurrences and targeted amendments",5577,0,5577000,"/Search/View?dp=1&key=2152190-5a1ee3da091f385d40505843bfd5e0e2&start=0&end=5577","https://assets.pipeline.soar.com/2152190-5a1ee3da091f385d40505843bfd5e0e2/thumbnail_0.jpg","/articles/6370109/Kansas/Committee-on-General-Government-Budget-approves-minutes-several-budget-concurrences-and-targeted-amendments","https://secure.pipeline.soar.com/6370109-5fc5c273ce41818e82b48f5c84e76bf0/orig.mp4?Expires=1770823608&Signature=iu0DuvTLR2uSv16TRKla9lhfiFh-UcMAGQR0WxZHGZiXfSBkPpuwY1bWiZZ~RcvuJUcbzbnzHcbHPCHvfRscZwTL0CeQcDh51nqxVGCMfvaVsmvWQzLLRQygAX6WmWCROatp2Q9v2Vd2jzG~pA8G7U76FQmsG9SXjElBAg96FHkDn9m0EK4FW5z6T5IkztnRTXqGGLoh2FgzUSwYkwHaMIA~EHXGmqDfIFevuXedDdgOiFyEioOr5eURXSYfXHM4g8A3f4-yd1p3vYjiHoxzXra9piPR4HbGyt81LEX~Mn0OqzN9jfaQLFlU6SVqU6Jd705rU~5fqQ8tW63DS5zf0g__&Key-Pair-Id=KUT5TJCACFTXG","The Committee on General Government Budget took a series of procedural and budget actions during the hearing.

Votes at a glance:
- Approval of prior minutes: Committee announced the motion to approve previous meeting minutes passed at the start of the session (mover/second not consistently identified in the public transcript).
- Kansas Department of Labor: Committee concurred with the Legislative Budget Committee recommendation for KDOL’s FY2025 and FY2026 budgets (motion recorded and passed).
- Sheltered workshop transfer (KDOL): Committee approved a motion to effect a $1,000,000 transfer for the sheltered workshop transition grant program (to align appropriations with 2024 SB 15); motion moved by Representative Turk and seconded on the record; motion passed.
- KDOL AC unit supplemental: Committee approved $267,101 from the State General Fund and allowed the department to use its workers’ compensation fee fund to complete an approximately $1,000,000 AC/system replacement project; motion moved by Representative Turk, seconded by Representative Riley; committee required KDOL to provide final project costs and update the capital-improvement plan.
- Kansas Department of Insurance: Committee concurred with the Legislative Budget Committee recommendations for the Insurance Department FY2025 and FY2026 budgets (motion passed; no amendments recorded).
- KPERS: Committee concurred with the Legislative Budget Committee recommendations for KPERS FY2025 and FY2026 operating budgets (motion passed; no amendments recorded).
- Office of the Governor items: the committee approved a motion to accept OBC recommendations with a 50 percent funding addition to a $5.8 million item (split described in testimony as $1,000,000 for domestic-violence prevention and $3,800,000 for child advocacy centers); the committee voted to add 50 percent of the $5.8 million request in FY2026 (motion passed).

Procedure: most votes were announced as passed in the public transcript; roll-call tallies were not provided for those items in the publicly available transcript.

Ending: committee staff reminded members to watch for budget-committee report emails and adjourned the meeting.","At the end of the hearing the committee approved the prior meeting minutes, adopted budget concurrences for the Kansas Department of Insurance, Department of Labor, and KPERS, and approved two targeted KDOL amendments (a $1M sheltered workshop transfer correction and a $267,101 SGF capital award).","actionData","errors"]

Article not found

Kansas Insurance Commissioner outlines fee cuts, consumer recoveries during budget review

KPERS reports record trust-fund value and ongoing IT modernization during budget presentation

Committee approves Labor budget amendments including $267,101 SGF for AC units and $1 million transfer for sheltered workshop grants

Committee on General Government Budget approves minutes, several budget concurrences and targeted amendments