State of Kansas Pays Off Long-Standing Debt Two Years Ahead of Schedule

TOPEKA – Governor Laura Kelly today announced the State of Kansas has paid off the long-standing Pooled Money Investment Board (PMIB) “Bridge Loan.” In 2017 the Legislature took out this loan to fill budget holes due to poor fiscal management of the previous administration.

“Government, just like every Kansan, has to balance its checkbook,” Governor Laura Kelly said. “Thanks to three years of fiscal responsibility, we’ve paid off this debt, continue to fund our schools and roads, and we can afford good policy – like axing the state’s food tax – to provide tax relief to Kansas families.”

The Pooled Money Investment Board (PMIB) is a state board that manages and invests the money available from the State General Fund (SGF) and the hundreds of other state and local funds deposited with the State Treasurer.

In 2017, as a result of poor fiscal policy from the previous administration, the state was forced to borrow a “bridge loan” – a loan of over $300 million from the Pooled Money Investment Board to fill budget holes. The budget had to meet cash flow requirements per state law.

“Because of Governor Kelly’s leadership and due to her prudent fiscal decisions, the budget has not only stabilized – but reenergized the economy,” Budget Director Adam Proffitt said. “Kansas is now in a position to pay off the loan two years ahead of its original schedule – and that’s no small task, especially during uncertain economic times.”

Even with paying off the loan two years ahead of schedule, Governor Kelly has been able to:

• Fully fund Kansas’ schools 3 years in a row;
• Create over 30,000 jobs;
• Bring in over $7 billion business dollars invested in Kansas;
• Implement a statewide bipartisan infrastructure program that created more than 130 infrastructure projects to improve our roads, bridges, and broadband accessibility.

November 12, 2021

2021 Off-Session

Usually, there is not much to write about when the legislature is not in session.  That is not the case this year.  For the first time in Kansas history, 2/3 of the legislators signed a petition to force the Governor to call a special session.  There have been 24 special sessions called in the past, but they were all called by the Governor without a petition from legislators.  The special session beginning November 22, 2021 is a result of 29 (27 was required) senators and 84 representatives requesting the Governor call a special session.  All Kansas Republican legislators petitioned the Governor for a special session.  The first special session was called in 1874.

Any topic can be discussed during a special session.  However, all indication is the session will deal with the federal government’s overreach on COVID-19 vaccine mandates.  A Special Committee on Government Overreach and the Impact of COVID-19 Mandates is working to put together legislation for the special session.  The Committee had informational hearings on two bill drafts.  One bill draft would make it clear that a person who loses their job because they refuse to comply with the Biden Administration’s unconstitutional mandates may receive unemployment.  The other bill draft would strengthen the language in Kansas law regarding religious and medical exemptions so that these exemptions would be granted to Kansans who seek them.

Contact Tracing

Last year KDHE put rules and regulations (regs) in place for contact tracing.  The contact tracing rules and regs sunset on May 1, 2021.  However, KDHE wants to continue to invade your privacy and a majority of legislators allowed it by extending KDHE’s contact tracing program to June 30, 2022 in a budget bill (CCR 159 – I voted no).  It may not seem like a big deal, but when you look at all of the government overreach from the federal government, it could be a big deal that the current Administration is collecting medical information, individual movement, and other data.  The data is being stored online at Saleforce.com.  It is your option to deny providing the information, but you may not be told it is optional if it is a not a KDHE person calling.  Contact tracing is collecting data on a person who may have been in contact with an infected person.  KDHE said that they had 20 contact tracers and increased the number of tracers to 140 and are now at 129 tracers.  Wow, 129 people (some out-state contractors) tracing Kansans movement.  Keep in mind, KDHE is the department that was tracking Kansans by their cell phone movement last year.  I requested that this language be repealed in the legislation that will be considered during the special session.

Unemployment Oversight Council

The legislature formed an Oversight Council comprised of legislators and people from the industry who could be considered experts on unemployment.  The Council has made recommendations for a company to audit the unemployment system and the millions of dollars that were stolen using fraudulent unemployment claims.  This report should be complete in 2022.  After the Council studied the companies that applied to implement a new unemployment system, the Council recommended to the Legislative Coordinating Council (LCC) that the Kansas Department of Labor (KDOL) re-open the Request For Proposal (RFP) process.  The original RFP was so poorly written that only 4 companies responded to the RFP.  Two of the four companies that responded did such poor jobs implementing new systems in other states, the states would not hire them back.  It doesn’t instill confidence moving forward with a new unemployment system which the state needs.

It is an honor and a privilege to serve as your 12^th District State Senator.

Caryn

Governor Laura Kelly Announces Special Session of the Kansas Legislature

TOPEKA – Today, Governor Laura Kelly announced she will use her constitutional power under Article 1, Section 5 of the Kansas Constitution to reconvene the Kansas Legislature for a special session on November 22, 2021.

“Today, the legislature delivered a successful petition to my office; I take my constitutional obligations as Governor seriously, and am announcing a special session accordingly,” said Governor Laura Kelly.

This action follows the Legislature filing a legislative petition consisting of signatures of 86 members of the Kansas House of Representatives and 29 members of the Kansas Senate – surpassing the two-thirds majority needed for a legislative petition. The special session will take place beginning at 10:00 AM CT on November 22, 2021.

A copy of the proclamation can be viewed here.

Governor Laura Kelly Announces $3.5 Million in New Funding for Kansas Tourism Initiatives

~Kansas Tourism to use funds to revitalize and enhance the tourism industry~

TOPEKA – Today, Governor Laura Kelly announced Kansas has received $3.5 million in grant funding from the United States Department of Commerce’s Economic Development Administration (EDA) to distribute to local partners across the state. These funds will accelerate travel, tourism, and outdoor recreation in the state.

“Kansas’ tourism industry is an economic driver for our state, which is why my administration relocated the State’s Tourism Division to the Department of Commerce last year,” said Governor Laura Kelly. “This $3.5 million will accelerate our efforts to boost travel, tourism, and outdoor recreation across Kansas – improving quality of life for Kansans and growing our economy along the way.”

Kansas will use these funds to inject immediate momentum into the Kansas tourism industry. The $3.5 million will be invested in four strategic areas:

• $1.5 million for sub-grants to local communities or businesses in the development of new tourism attractions or to enhance existing attractions in the state;
• $1.25 million for a strong statewide marketing campaign to increase out-of-state visitation;
• $500,000 for regional video and photography-asset gathering to support state and local marketing efforts;
• $250,000 for Kansas State Parks to develop glamping – “glamourous camping” – sites at various State Park locations.

“We are using every tool at our disposal to drive new economic growth in Kansas, and tourism is a key part of our approach,” Lieutenant Governor and Commerce Secretary David Toland said. “These dollars will go a long way in showcasing all of the amazing features Kansas has to offer, while also supporting our businesses and tourism industry partners statewide.”

All 59 states and territories were invited to apply for these grants to support marketing, infrastructure, workforce and other projects to rejuvenate safe leisure, business, and international travel. Additional state grants are expected to be awarded in coming weeks and months.

“Of the many revelations we’ve realized as a result of this pandemic, none may be more clear to us than the very real value of Kansas’ state parks,” said Kansas Department of Wildlife and Parks Secretary Brad Loveless. “This $250,000 investment comes at a perfect time to improve facilities, increase capacity, and to welcome the many who have yet to camp out-of-doors and need a comfortable introduction.”

“Kansas is ripe with opportunity to grow our tourism industry as we emerge from this pandemic,” Kansas Tourism Director Bridgette Jobe said. “Infusing these additional dollars into our statewide marketing and development strategies will bring economic benefits for many years in the future.”

The funds are part of EDA’s $750 million American Rescue Plan Travel, Tourism & Outdoor Recreation program, which provides $510 million in State Tourism grants and $240 million in Competitive Tourism grants that will be awarded to advance the economic recovery and resiliency of communities where the travel, tourism, and outdoor recreation industries were hardest hit by the coronavirus pandemic.

The $510 million State Tourism grants – along with today’s reopening of international travel to the United States – are critical steps in the recovery of the travel and tourism sector from the coronavirus pandemic.

For more about EDA’s Travel, Tourism & Outdoor Recreation and other American Rescue Plan programs, please visit: https://www.eda.gov/arpa/.

Governor Laura Kelly Announces “Axe the Food Tax” Plan to Eliminate State Sales Tax on Food

TOPEKA – Governor Laura Kelly today announced that she will be introducing a bill in the Kansas Legislature to “Axe the Food Tax,” and eliminate the state sales tax on food in Kansas.

“I’m pleased to introduce a plan that will ‘Axe the Food Tax’ and end the state sales tax on food,” Governor Kelly said. “For too long, Kansans have been paying more for groceries than people in almost every other state. This legislation will save the average Kansas family $500 dollars or more a year on their grocery bill; and thanks to the fiscally responsible decisions we made before and during the pandemic, we can cut the food sales tax and keep Kansas’ budget intact.

“This tax cut will put money back in Kansans’ pockets and create real savings for those who need it most.”

Kansas is one of seven states in the nation that fully taxes groceries. Kansas’ food sales tax rate is 6.5%, the second-highest rate in the country. Under Governor Kelly’s proposed bill, a Kansas family of 4 will save an average of $500 or more on their grocery bill every year.

The bill is possible thanks to the Kelly administration’s commitment to fiscally responsible budget practices over the past three years, causing Kansas’ revenues to come in ahead of estimates, every month, for over a year.

“This bill will not only support our families, but also our many hardworking businesses by keeping Kansans from going across the border to buy their groceries,” Lieutenant Governor and Commerce Secretary David Toland said. “Under Governor Kelly’s leadership, Kansas is riding a record-breaking upward trajectory in economic development. This announcement will continue that momentum, building a stronger economy for Kansans now and into the future.”

“With record investment and an ever-strengthening economy, our state is in a prime position to create more opportunity for a better future for Kansas families,” Senate Democratic Leader Dinah Sykes said. “Without exception, this opportunity is hindered by the alarmingly high tax on food sales. Eliminating this regressive tax will reduce food insecurity and improve health outcomes for children, all while providing families further financial flexibility to save for a home, education, and emergencies. We have the means to provide direct relief to all Kansans in every corner of the state, and Senate Democrats are prepared to fight alongside Governor Kelly to get this done, once and for all.”

“Taxing a family’s grocery bill is one of the most widespread and unfair things a state can ask of its residents – a fact that’s been recognized since the tax on food was first put in place in the 1930s. And yet it’s a tax that is paid by every person in Kansas,” House Democratic Leader Tom Sawyer said. “Over the years, the tax on food has been increased 10 times – from an initial 2 percent to 6.5 percent today. Throughout that time, there has been much talk about the unfairness of this tax, but until now, it’s been all talk. Thanks to Governor Kelly’s fiscal responsibility, the Kansas economy is booming, and Kansans will finally get the tax relief they deserve.”

The Governor’s bill will be introduced during the 2022 Legislative session. During Monday’s announcement, Governor Kelly called on lawmakers on both sides of the aisle to get a clean bill through the legislature and onto her desk as quickly as possible.