INSIDE the Statehouse… from Senator King April 3, 2015 Dear friends, After many long hours of work, the Kansas Legislature adjourned yesterday for its annual April recess. The break (which is unpaid for legislators) allows legislative staff to compile information on state revenue collections, update the state's fiscal forecast, and examine the costs/savings of new legislation passed in 2015 to give legislators the best possible information to finish this year’s session. The April break also provides legislators the opportunity to return home and discuss the issues directly impacting our constituents. The Legislature returns to Topeka on April 29 for its veto session. We have 18 days of session remaining until we hit the traditional 90-day limit. While I hope we will complete our work before 90 days, we will not leave Topeka until both chambers reach agreement on a long-term stable budget and tax policy for Kansas. I look forward to visiting with you during my time home. In two weeks, I will hold my semi-annual listening tour throughout Labette, Neosho, and Montgomery counties. These listening tours have been a tradition during my legislative service. The agenda for these visits is simple. I am there not to talk, but to listen to your thoughts, concerns and suggestions on legislative issues or any other topics on which I can be of service. Early next week, I will email you my final listening tour schedule. I hope to see you at one of the stops. UPDATE: KPERS BONDING (SB 228) The Kansas Senate and House both passed SB 228, which authorizes the issuance of $1 billion in pension obligation bonds. As I have discussed in previous newsletters, SB 228 will infuse much needed funds into the KPERS retirement system at near historically low interest rates. It allows the state to issue these bonds to the KPERS fund as long as the interest rate does not exceed 5.0% and once bond issuance is approved by the State Finance Council. The proceeds from the bonds would be applied to the unfunded actuarial pension liability, lowering it from $7.26 billion to $6.28 billion. In 2004, Kansas issued $500 million in pension obligation bonds at a 5.2% interest rate. These bonds have saved Kansas taxpayers over $180 million in the past 11 years. With even lower interest rates available now, I believe, and evidence suggests, that SB 228 will save Kansas taxpayers hundreds of millions of dollars by further solidifying our state pension system. The bill now awaits the Governor’s signature. KANSAS CHARITABLE GAMING ACT/FANTASY SPORTS LEAGUES (HB 2155) S Sub for HB 2155 would create the Kansas Charitable Gaming Act. This bill would codify the results of last November’s constitutional amendment, in which voters approved raffles for Kansas nonprofits. HB 2155 amends regulation of charitable raffles under this new constitutional provision and updates the Bingo Act. HB 2155 would also legalize participation in fantasy sports leagues by including such activity as an exception to the definition of what constitutes an illegal bet. Fantasy sports leagues outcomes are based on the skill of the participants, not merely on chance. Currently, fantasy sports leagues are illegal under Kansas law, but legal under federal law. S Sub for HB 2155 passed the Senate on a vote of 38 to 0. BUDGET UPDATE The Senate and House conferees began work this week negotiating on the budget passed last week by the Kansas Senate. The Consensus Revenue Estimating Group, an assortment of non-partisan economists that estimate the state’s upcoming revenue twice a year, will update their revenue numbers on April 20. Thus, while the budget negotiators have completed most of their work, they will wait to finalize the proposed budget until session resumes on April 29. My hope is that we will vote on that budget shortly thereafter to provide two-year certainty to those relying on state funds. I will keep you updated on the April 20 revenue estimates and any budget progress in future newsletters. CONTACT SENATOR KING The only way I can effectively do my job is to listen to your ideas and concerns on Kansas government. Please do not hesitate to contact me with your thoughts, concerns and suggestions on these or other issues. You can reach me by mail at: Senator Jeff King, 300 S.W. Tenth, Room 341-E, Topeka, KS 66612, by phone at 785.296.7361 or by email at [email protected]. Thank you for the privilege of serving you in the Kansas Senate. All my best, Jeff King