Senate committee votes to freeze $50 million Build Kansas transfer amid budget debate

At a Senate Committee on Financial Institutions and Insurance meeting, members voted to concur with the Legislative Budget Committee’s recommendation to freeze a $50,000,000 transfer into the Build Kansas Fund that the Office of the State Treasurer had requested for fiscal year 2027.

The action followed a clarification from Jacob Chespi of Legislative Research, who explained that the treasurer’s budget still incorporated the $50 million transfer but the LBC had proposed freezing that transfer pending further deliberation. "The budget that was presented in front of you still incorporates the $50,000,000 transfer to occur in fiscal year 2027," Chespi said, and later reiterated that concurring with the LBC would leave the transfer frozen.

Senators debated process and implications before Senator Hill offered a substitute motion to concur with the Legislative Budget Committee’s recommendation to freeze the transfer. Senator Hill’s substitute motion was seconded and passed by voice vote. The chair said the committee will report that recommendation to the Senate Ways and Means Committee, which will make the final decision.

Senator Fagg said the $50 million is intended "to go towards federal matches," a funding source intended to help leverage federal grants for projects. Senators asked whether freezing the transfer would affect the current year; Legislative Research clarified the change would affect fiscal year 2027 and not the current fiscal year.

The committee’s substitute vote replaces an earlier action to accept the treasurer’s recommendation. Committee leadership said the item will be considered again in Ways and Means, where the committee expects a fuller deliberation.