By Reily Goyne, AIA Kansas Advocacy Manager
General Statehouse Update
Thursday, February 20 was Turnaround Day, the deadline by which most bills must be passed out of the chamber of origin if they are going to advance this session. On Tuesday and Wednesday, the House and Senate were in the General session debating and passing more than 100 bills. Several bills passed on to the other chamber are of interest to AIA Kansas.
Housing Tax Credits Update
Affordable Housing
The House Commerce, Labor, and Economic Development Committee met on Monday, February 17 to discuss, amend, and vote on HB 2119, a bill eliminating the Kansas Affordable Housing Tax Credit program, which would go into effect on July 1, 2025.
Rep. Stephanie Clayton (D-Overland Park) introduced an amendment that maintains the program’s existence, but with a cap of $4,000,000 per year beginning with the 2026 Qualified Allocation Plan. This amendment was presented as a compromise by stakeholders, however, it was voted down.
Rep. Sean Tarwater (R-Stilwell) introduced an amendment to ensure that projects currently in the pipeline up to the 2025 Qualified Allocation Plan will still receive the anticipated and allocated tax credits. This amendment was approved, and the Committee passed the bill to the House.
On Wednesday, February 19, the House held a short debate on HB 2119 (watch it here), with only Reps. Clayton and Pam Curtis (D-Kansas City) speaking against the bill. The House voted Thursday morning to advance the bill 85-36.
Transferability of Housing Investor Tax Credits
The House Taxation Committee met Monday, February 17 and passed HB 2096 out near-unanimously without debate. The bill will be brought before the full House and debated on Tuesday, February 25.
Historic Tax Credit Enhancement Passed
SB 227 enhances the state's historic rehabilitation tax credit and increases the tax credit to 40% for all projects except those between $5,000 and $50,000 in cities with a population over 50,000. Currently, only projects in communities with a population below 9,500 receive the 40% tax credit
Sen. Larry Alley (R-Winfield) as Chair of the Senate Commerce Committee, carried the bill’s discussion on the bill. Sen. Ethan Corson (D-Prairie Village) praised the program’s use in preserving Kansas history and its ability to bridge gaps in financing to bring abandoned buildings back into use. Sen. Caryn Tyson (R-Parker) raised concerns about the fiscal impact of the existing tax credit program and increased lost revenue under the proposed enhancement. You can watch the Senate floor discussion here.
It now goes to the House for introduction and referral to a committee for another hearing and opportunity for public input.
Fast Track Bill Fast Tracks Through Legislature
HB 2088 was introduced as a bill to require local governments to respond to building permit applications and zoning appeals within 60 days, and if no response was made by the end of the 60-day period, the application would be automatically approved.
AIA Kansas, the League of Kansas Municipalities, the Kansas Association of Counties, and several others identified several significant issues with the bill. The largest issue was that, as written, the bill would apply to industrial and commercial developments, not just housing developments, which was the main talking point of several proponents.
The House Commerce, Labor, and Economic Development Committee amended the bill to exclude industrial developments from the fast-track process and exclude zoning appeals from the timeline. The Committee passed it on Thursday, February 13.
The House debated the bill on Wednesday, February 19 (watch it here), and approved an amendment presented by Rep. Lauren Bohi (R-Olathe) restricting the fast-track permitting approval process to only single-family residential developments. The bill passed the House 82-39.
Agency Autonomy at Risk
On Monday, February 17, The Senate Judiciary passed SB 222 with little discussion or debate (watch it here). On Tuesday, the full Senate had a short debate on the bill (watch it here). Only Sen. Marci Francisco (D-Lawrence) asked questions about the bill, asking if it was necessary. The Senate passed it on Wednesday on a vote of 31-9.
SB 222 codifies an existing Kansas legal precedent prohibiting deference to an agency’s interpretation of a statute, rule, or regulation during judicial or administrative proceedings. It also requires a new test for courts to rule, when there is remaining doubt, in a manner consistent with the person’s fundamental constitutional rights.
Next Week's Committees
Thursday, February 27, 2025
3:30 PM - House Taxation: SB 35 Hearing (school building financing)
Bills to Watch
AIA Kansas monitors several bills throughout the session that could impact the design and construction industry.
SB 35 discontinues the state property tax levies for the Kansas educational building fund and the state institutions building fund finances it through the state general fund. It has a hearing on Thursday, 2/27 at 3:30 PM in House Taxation.
SB 77 requires state agencies to provide public notice of revocation of administrative rules and regulations. It has a hearing on Wednesday, February 5 in the Senate Committee on Government Efficiency at 9:30 AM.
SB 227 increases the state historic rehabilitation tax credit to 40% for all projects over $5,000 in qualified expenses except those projects between $5,000 and$50,000 in qualified expenses in cities over 50,000 people, which will receive a 25% credit. It passed the Senate 31-9 and is on its way to the House.
SB 229 terminates all current and new occupational licensing requirements after five years unless extended by a joint resolution of the legislature, and requires that new occupational licensure requirements be approved by a joint resolution of the legislature. The bill does not apply to the State Board of Technical Professions. It had a hearing in Senate Commerce on Wednesday, February 12, and is exempt from deadlines.
HB 2291 establishes a regulatory sandbox program within the Attorney General's Office. It had a hearing in House Commerce, Labor, and Economic Development on Monday, February 10, and is exempt from deadlines.
Government Affairs Committee
Special thank you to those who joined us this morning for Government Affairs Committee. There was great discussion and sharing of information, especially on HB 2119, a bill eliminating the Kansas Affordable Housing Tax Credit program, which would go into effect on July 1, 2025. If you are interested in joining this committee and staying on top of what is happening at the statehouse, please contact Reily Goyne. Our next meeting is:
March 21 at 10:00 AM.
Cities and counties have advisory boards and commissions making decisions for their communities, and these groups are a great way to get involved in your community. Below is a list of boards with vacancies in the largest Kansas cities. Visit your city's website regularly to see any future openings, or email Reily Goyne if you would like assistance identifying opportunities.
Historic Resources Commission
Lawrence-Douglas County Metropolitan Planning Commission
Downtown Business Improvement District Advisory Board
Historic Resources Board
Manhattan Urban Area Planning Board
Board of Code Review
Board of Housing Commissioners
Historic Preservation Board
Public Art Committee
Affordable Housing Trust Fund Review Committee
Board of Zoning Appeals
Topeka Sustainability Advisory Board
Landmarks Commission
Board of Code Standards and Appeals
Delano Design Advisory Committee
Wichita/Sedgwick County Access Advisory Board
About AIA Kansas
AIA Kansas is a state chapter of the American Institute of Architects.
The organization provides services and programs to meet the professional development needs and interests of Kansas architects and to develop public awareness for the value of architects and architecture.
Our 700-plus members are leaders in building healthy, sustainable communities that will serve our citizens into the future.
www.aiaks.org | 785-357-5308 | info@aiaks.org
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