The 2011 Legislative Session, which ran January 10th through adjournment on May 12th (although the session technically ended at 6:00 a.m., Friday May 13th), was dominated, as last year, by the budget. Although state general fund revenues increased this year by approximately 10% thus far, state general fund expenditures increased for the FY2012 budget by approximately 6%. The increase in expenditures was a result of the backing out of federal ARRA funds to the state, which in turn left the state looking at over a $500 million shortfall for FY 2012.
In the 2011 session, there was no talk of tax increases, as the Legislature chose other avenues to approach the budget shortfall. Spending cuts were accompanied by other legislation which helped dilute some of the cutbacks, such as allowing school districts to utilize cash balances in funds available to them so that they could use those cash balances to avoid general budget cuts. Although many had proposed repealing the sales tax increase adopted during the 2010 Legislative Session, that repeal legislation did not gain traction this year, and remains in effect. The budget, adopted during the Veto session, leaves an ending balance in the state general fund of $50 million at the end of FY2012 (June 30, 2012).
The legislature passed a number of economic development programs proposed by Governor Brownback, including income tax relief for persons moving to and relocating in rural Kansas, and allowing businesses to expense personal property capital improvements.
The Kansas Hearing Society had a very successful year at the State Capitol. Hein Law Firm monitored 28 bills of interest. Legislation was introduced this year (HB 2228) which required that every insurer which issues any individual or group policy of accident and sickness insurance shall provide coverage for the hearing aids, including necessary batteries and repairs, fitted or dispensed by a person authorized by law to fit or dispense a hearing aid, but the legislation did not gain any traction.
Although the Legislature has, in the past, used fee funds "sweeps" to access funds for additional moneys during budget shortfalls, there were no fee fund "sweeps" from the hearing instruments dispensers licensing board, despite the tight budget issues this year. |