Legislative Update: State of the State

The 2022 Legislative Session kicked off Tuesday evening with the ceremonial State of the State address given by the Governor. In Governor Kelly’s address, there was optimism about the State’s budget, and that optimism allows the State to invest in Kansas in a number of ways. First, she is asking the legislature to end the sales tax on food. That was expected to be in her address as it was publicly announced earlier in the Fall. Kansas is one of a handful of states that has such a tax and both she and Attorney General Schmidt, who is also running for Governor, have stated their support for that tax being eliminated. The Governor also highlighted another previous announcement of hers that the legislature should pass a $250 tax rebate ($500 for joint filers) for any Kansan who filed taxes last year. This is very similar to what the federal government did with stimulus checks during the pandemic and is very popular. It’s unclear how the Republican-dominated legislature will respond to that proposal. They tend to favor tax cuts over tax rebates and a rebate in an election year would be a big political win for the Governor. She also touted that her budget will continue to fund K-12 education at constitutionally appropriate levels and will invest in broadband that was an issue for kids who had to learn remotely. For higher education, there wasn’t a large segment of her speech addressed except that she intends for no tuition increases. The Kansas Board of Regents did submit a proposed request for funding base aid to higher education that would essentially buy down an otherwise needed tuition increase.

The next day was when the real work began. At 10AM on Wednesday, the Senate Ways and Means Committee held a joint meeting with the House Appropriations Committee and received revised revenue numbers for this fiscal year and next as well as a detailed overview of the Governor’s Budget. Within her budget is approximately $47M for the four-year sector to eliminate the need for a tuition increase. There was also an allocation made to the Department of Commerce for institutions of higher education to apply for grants for economic development. The Governor also made allocations for need-based aid to grow access for higher education and money for deferred maintenance. For all State employees, there was a proposed 5% pay increase. Below is a detailed table of what is in the budget that pertains to higher education.

Next, the budget committees will begin holding informational hearings on each State agency. WSU has been notified that our presentation for the House Higher Education Budget Committee will be on February 11. The Senate has yet to announce its schedule.

Board of Regents’ Request Compared to Governor’s Recommendations

SectorAmountBoard of Regents’ RequestGovernor’s Proposed Budget 
State Universities$45,700,000Restore state investment to prior levels, recognizing inflationary cost increases to operate and freeze student tuition$45,700,000 
State Universities$25,000,000Financial Aid: Kansas Access Partnership with $1:$1 private match$25,000,000 
State Universities$5,000,000Enhance student supports to improve retention and graduation of all students$0 
State Universities$25,000,000Engage the state as a partner with the Board’s capital renewal initiative as a boost to improvements to facilities$25,000,000 
State Universities$10,000,000Competitive grants for economic development initiatives that incorporate private partners$10,000,000 in Commerce Department Budget 
State Universities$20,000,000Invest in information technology infrastructure and bolster cybersecurity efforts$20,000,000 
Washburn University$2,130,000Fund programs at Washburn University (Business Resources for Innovation and Ensuring Pathways to Student Success)$1,554,013 to reach $14.0 million total state grant 
Two-Year Colleges$2,500,000Fully Fund the Excel in CTE program$2,500,000 
Two-Year Colleges$6,000,000Fund a portion of the state’s share of the cost model for tiered courses and non-tiered courses$6,000,000 
Two-Year Colleges$4,000,000Address State Aid for Career Technical Education Capital Outlay$1,000,000 
Two-Year Colleges$15,000,000One-Time Projects$15,000,000 
Board Office/Adjutant General$1,000,000Fully Fund the National Guard Tuition Assistance Benefit to meet greater demand$1,000,000 
Board Office$305,454Restore state funding of the Board Office for operations; provide staff to administer the Promise Scholarship Act and the capital renewal initiative$305,454 
State Employee Pay 5% Salary adjustment for state employees (there has been no general pay adjustment since FY 2020)$24,100,000 
Subtotal$161,635,454 $177,159,467 
Related Items in Other Budgets
Competitive One-Time University Grants in Commerce Department Universities will work with donors to develop proposals for state funding initiatives that have significant long-term economic benefit to the state; to be matched dollar for dollar by the universities with non-state money.$195,000,000 
Advantage Kansas Staff in Department of Commerce to support Advantage Kansas Coordinating Council$125,000 
CTE Transportation Aid Restored Assists with offering postsecondary CTE courses to high school students by transporting 11th and 12th graders to the college (was previously in place, but stopped in FY 2020)$1,500,000