Elections will be held in New Hampshire and Washington, D.C., today. Find out what's on your ballot!

Kansas state budget and finances

From Ballotpedia
(Redirected from KanView)
Jump to: navigation, search

Kansas budget and finances
Policypedia Budget Policy-logo-no background.png
General information
Budget calendar:
Annual
Fiscal year:
2015
State credit rating:
AA+ (as of 2014)
Current governor:
Sam Brownback
Financial figures
Total spending (state and federal funds):
$14.7 billion (estimated for 2014)
Per capita spending:
$5,051.27 (estimated for 2014)
Total state tax collections:
$7.6 billion (2013)
Per capita tax collections:
$2,631.49 (2013)
State debt:
$39.0 billion (as of 2014)
Per capita state debt:
$13,523 (as of 2014)
State budgets and finances
AlabamaAlaskaArizonaArkansasCaliforniaColoradoConnecticutDelawareFloridaGeorgiaHawaiiIdahoIllinoisIndianaIowaKansasKentuckyLouisianaMaineMarylandMassachusettsMichiganMinnesotaMississippiMissouriMontanaNebraskaNevadaNew HampshireNew JerseyNew MexicoNew YorkNorth CarolinaNorth DakotaOhioOklahomaOregonPennsylvaniaRhode IslandSouth CarolinaSouth DakotaTennesseeTexasUtahVermontVirginiaWashingtonWest VirginiaWisconsinWyoming

Horizontal-Policypedia logo-color.png
Total state expendituresState debtTax policy in Kansas
Note: This page utilizes information from a variety of sources. As such, the currency of the information varies somewhat. The information presented on this page reflects the most recent data available as of February 2015.
Between fiscal years 2013 and 2014, total spending in Kansas increased by approximately $1.1 billion, from $13.6 billion in fiscal year 2013 to an estimated $14.7 billion in 2014. This represents an 8.2 percent increase. The cumulative rate of inflation during the same period was 1.58 percent, calculated using the Consumer Price Indices for January 2013 and January 2014. As of 2014, financial services firm Standard and Poor's had assigned Kansas a credit rating of AA+.[1][2][3]
K-12 education accounted for nearly 27 percent of total state spending in Kansas in fiscal year 2013. Only five states dedicated larger shares of their state budgets to K-12 education.

Spending

Definitions

The information below comes from the National Association of State Budget Officers (NASBO). These spending figures are broken into three broad categories in order to facilitate comparison between the states.[3]

  • State funds: State funds include general and other state-based funds. A general fund is "the predominant fund for financing a state's operations." Other state funds are "restricted by law for particular governmental functions or activities."
  • Federal funds: Federal funds are "funds received directly from the federal government."
  • Total spending: Total spending is calculated by adding together the totals for state and federal funds.

These figures exclude spending from the sale of bonds.

2014 expenditures

See also: Total state expenditures

The table below breaks down estimated spending totals for fiscal year 2014 (comparable figures from surrounding states are included to provide additional context). Figures for all columns except "Population” and “Per capita spending" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the columns labeled "Population” and “Per capita spending" have not been abbreviated.[3]

Total estimated spending in Kansas amounted to $14.7 billion in fiscal year 2014. Estimated per capita spending equaled $5,051.

Total estimated state spending, FY 2014 ($ in millions)
State State funds Federal funds Total spending Population Per capita spending
Kansas $11,158 $3,511 $14,669 2,904,021 $5,051.27
Iowa $13,957 $6,122 $20,079 3,107,126 $6,462.24
Minnesota $25,861 $9,492 $35,353 5,457,173 $6,478.26
Missouri $15,970 $7,208 $23,178 6,063,589 $3,822.49
Nebraska $7,725 $2,817 $10,542 1,881,503 $5,602.97
Per capita figures are calculated by taking the state's total spending and dividing by the number of state residents according to United States Census estimates.[4]
Source: National Association of State Budget Officers

Spending by function

See also: State spending by function as a percent of total expenditures
Breakdown of spending by function in FY 2013.
Source: National Association of State Budget Officers

State spending in Kansas can be further broken down by function (elementary and secondary education, public assistance, etc.). Fiscal year 2013 information is included in the table below (information from neighboring states is provided for additional context). Figures are rendered as percentages, indicating the share of the total budget spent per category.[3]

In Kansas, K-12 education accounted for nearly 27 percent of total spending.

State spending by function as a percent of total expenditures, FY 2013
State K-12 education Higher education Public assistance Medicaid Corrections Trans-
portation
Other
Kansas 26.8% 18.2% 0.2% 18.5% 2.7% 7.2% 26.4%
Iowa 16.4% 26% 0.5% 19.8% 2.1% 6.8% 28.3%
Minnesota 29.2% 4.7% 1.4% 24.3% 1.5% 10.7% 28.2%
Missouri 22.8% 4.8% 0.7% 35.8% 2.7% 9.4% 23.8%
Nebraska 14.6% 23.3% 0.5% 17.9% 2.2% 7.8% 33.6%
Source: National Association of State Budget Officers
Note**: "Other" expenditures include "Children's Health Insurance Program (CHIP), institutional and community care for the mentally ill and developmentally disabled, public health programs, employer contributions to pensions and health benefits, economic development, environmental projects, state police, parks and recreation, housing and general aid to local governments."[3]

Spending trends

Between 2009 and 2013, the share of the Kansas state budget spent on transportation decreased from 11.5 percent to 7.2 percent. See the table below for further details (figures are rendered as percentages, indicating the share of the total budget spent per category).[3][5][6][7][8]

Spending by function from 2009 to 2013 (as percentages)
Year K-12 education Higher education Public assistance Medicaid Corrections Transportation Other
2013 26.8% 18.2% 0.2% 18.5% 2.7% 7.2% 26.4%
2012 25.8% 16.9% 0.3% 18.6% 2.5% 8.8% 27.1%
2011 26.0% 16.5% 0.4% 18.2% 2.5% 10.3% 26.0%
2010 25.5% 16.1% 0.4% 18.8% 2.6% 8.3% 28.3%
2009 26.4% 16.6% 0.4% 17.4% 2.7% 11.5% 25.0%
Source: National Association of State Budget Officers
Note**: "Other" expenditures include "Children's Health Insurance Program (CHIP), institutional and community care for the mentally ill and developmentally disabled, public health programs, employer contributions to pensions and health benefits, economic development, environmental projects, state police, parks and recreation, housing and general aid to local governments."[3]

Revenues

2013 revenues

See also: State government tax collections by source

The table below breaks down state government tax collections by source in 2013 (comparable figures from surrounding states are also provided to give additional context). Figures for all columns except "Population" and "Per capita revenue" are rendered in thousands of dollars (for example, $2,448 translates to $2,448,000). Figures in the columns labeled "Population" and "Per capita revenue" have not been abbreviated.[9]

Total tax collections in Kansas in 2013 amounted to $7.6 billion. Per capita tax collections in 2013 totaled $2,631.

State tax collections by source ($ in thousands)
State Property taxes Sales and gross receipts Licenses Individual income taxes Corporation net income taxes Other taxes Total 2013 population Per capita collections
Kansas $79,475 $3,742,916 $382,944 $2,956,588 $384,553 $73,806 $7,620,282 2,895,801 $2,631.49
Iowa N/A $3,608,991 $798,137 $3,436,758 $428,554 $101,936 $8,374,376 3,092,341 $2,708.10
Minnesota $821,799 $8,289,780 $1,184,465 $8,950,755 $1,363,128 $421,882 $21,031,809 5,422,060 $3,878.93
Missouri $29,896 $4,791,043 $550,824 $5,380,651 $377,258 $11,073 $11,140,745 6,044,917 $1,842.99
Nebraska $148 $2,197,988 $130,762 $2,101,694 $275,563 $12,789 $4,718,944 1,868,969 $2,524.89
Source: Tax Policy Center, "State Tax Collection Sources 2000-2013," June 20, 2014
Kansas tax collections by source in 2013.
Source: Tax Policy Center

The table below lists 2013 tax collections by source as percentages of total collections. In Kansas, sales taxes and gross receipts accounted for 49.12 percent of total tax collections, a greater share than in any neighboring state.[9]

State tax collections by source (as percentages)
State Property taxes Sales and gross receipts Licenses Individual income taxes Corporation net income taxes Other taxes
Kansas 1.04% 49.12% 5.03% 38.80% 5.05% 0.97%
Iowa N/A 43.10% 9.53% 41.04% 5.12% 1.22%
Minnesota 3.91% 39.42% 5.63% 42.56% 6.48% 2.01%
Missouri 0.27% 43.00% 4.94% 48.30% 3.39% 0.10%
Nebraska 0.00% 46.58% 2.77% 44.54% 5.84% 0.27%
Source: Tax Policy Center, "State Tax Collection Sources 2000-2013," June 20, 2014

Current fiscal year budget

See also: Historic Kansas budget and finance information

Fiscal years 2014 and 2015

DocumentIcon.jpg See budget bill: SB 171

Kansas state budget -- 2014 and 2015
Kansas State Legislature
Text:SB 171
Legislative history
Introduced:February 12, 2013
House:March 26, 2013
Vote (lower house):122-0-3
Senate:February 28, 2013
Vote (upper house):40-0
Conference:June 1, 2013
Conference vote (upper house):21-15
Conference vote (lower house):63-51
Governor:Sam Brownback
Signed:June 15, 2013

On June 15, 2013, Governor Sam Brownback signed into law a budget plan covering fiscal years 2014 and 2015. The budget included cuts to higher education spending, in spite of Brownback's resistance to any such cuts. The budget as passed also included significant cuts to the fiscal year 2015 budget for the Department of Corrections, which Brownback vetoed entirely.[10]

Brownback and Republican lawmakers argued that drafting a two-year budget would allow for better planning and encourage greater economic stability. The fiscal year 2014 budget totaled $14.5 billion and the fiscal year 2015 budget totaled $14.2 billion.[10]

Senate Democratic Leader Anthony Hensley blasted the budget as "the most irresponsible budget in years." Hensley added, "Sam Brownback has signed a budget that will result in cutting jobs essential to our state institutions, raising tuition on our students, and jeopardizing the public safety of our citizens.[10]

On May 16, 2014, Brownback signed into law a supplemental budget for fiscal years 2014 and 2015, which totaled $15.03 billion for 2014 and 15.35 billion for 2015.[11][12]

State debt

See also: State debt

According to a January 2014 report by the nonprofit organization State Budget Solutions, Kansas had a state debt of approximately $39 billion. Its state debt per capita was $13,523. The report revealed that state governments faced a combined $5.1 trillion in debt. The obligation amounted to $16,178 per capita in the nation.[13]

Total state debt, 2014
State Total state debt State debt per capita Per capita debt ranking
Kansas $39,025,693,000 $13,523 28
Iowa $37,783,060,000 $12,290 38
Minnesota $85,879,526,000 $15,965 21
Missouri $76,489,010,000 $12,702 34
Nebraska $13,139,045,000 $7,081 49
Sources: State Budget Solutions, "State Budget Solutions' Fourth Annual State Debt Report," January 8, 2014

Public pensions

See also: Kansas public pensions and Kansas public employee salaries

As of the end of 2012, Kansas's pension system had total estimated liabilities of $23.5 billion dollars, but had only 56.4 percent of those liabilities funded, resulting in unfunded liabilities of $10.3 billion.[14]

One of the contributing factors to this large unfunded liability is the state's failure to fully fund the Annual Required Contribution (ARC); since 2005, the state has allocated an average of less than 70 percent of the ARC. Additionally, Kansas assumes an eight percent rate of return on its investments, which it failed to meet nine times between 2001 and 2012.[14][15][16]

Credit ratings

See also: State credit ratings

Credit rating agencies, such as Standard and Poor's, assign grades to states that take into account a state's ability to pay debts and the general health of the state's economy. Generally speaking, a higher credit rating indicates lower interest costs on the general obligation bonds states sometimes sell to investors in order to finance large-scale undertakings (e.g., road construction and other public works projects). This in turn results in lower interest costs, thereby lowering the cost to taxpayers.[17][18]

The table below lists the Standard and Poor's credit ratings for Kansas and surrounding states from 2004 to 2014. Standard and Poor's grades range from AAA, the highest available, to BBB, the lowest.[19]

State credit ratings, 2004 to 2014
State 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004
Kansas AA+ AA+ AA+ AA+ AA+ AA+ AA+ AA+ AA+ AA+ AA+
Iowa AAA AAA AAA AAA AAA AAA AAA AA+ AA+ AA+ AA+
Minnesota AA+ AA+ AA+ AAA AAA AAA AAA AAA AAA AAA AAA
Missouri AAA AAA AAA AAA AAA AAA AAA AAA AAA AAA AAA
Nebraska AAA AAA AAA AAA AA+ AA+ AA+ AA+ AA+ AA+ AA+
Source: Stateline: The Daily News Service of The Pew Charitable Trusts, "Infographic: S&P State Credit Ratings, 2001-2014," June 9, 2014

Federal aid to the state budget

See also: Federal aid to state budgets

State governments receive aid from the federal government to fund a variety of joint programs, such as Medicaid. Federal aid varies considerably from state to state. For example, Mississippi received approximately $7.7 billion in federal aid in 2012, which accounted for more than 45 percent of the state's general revenues. By contrast, Alaska received roughly $2.9 billion in federal aid in 2012, just under 20 percent of the state's general revenues.[20]

The table below notes what share of Kansas’s general revenues came from the federal government in 2012. That year, Kansas received approximately $4.1 billion in federal aid, 27 percent of the state's total general revenues. Figures from surrounding states are provided for additional context.[20]

Federal aid to state budgets, 2012
State Total federal aid ($ in thousands) Federal aid as a % of general revenue Ranking
Kansas $4,061,217 26.95% 41
Iowa $6,073,376 33.08% 26
Minnesota $9,608,018 28.13% 39
Missouri $10,440,927 39.42% 5
Nebraska $3,141,413 34.22% 22
Source: United States Census Bureau, "State Government Finances: 2012," accessed February 24, 2014

Stimulus

According to Recovery.gov, the official government website for the Recovery Accountability and Transparency Board, under the American Recovery and Reinvestment Act, Kansas received $2.1 billion in federal funding between February 2009 and June 2013.[21]

Budget process

The state operates on an annual budget cycle. The sequence of key events in the budget process is as follows:[22][23]

  1. Budget instructions are sent to state agencies in June.
  2. State agencies submit their budget requests to the governor in September.
  3. Agency hearings are held in November.
  4. The governor submits his or her proposed budget to the state legislature on the eighth calendar day of the legislative session. For new governors, this deadline is extended to the 21st calendar day of the session.
  5. The legislature typically adopts a budget in May. A simple majority is required to adopt a budget. The fiscal year begins in July.

Kansas is one of 44 states in which the governor has line item veto authority.[23]

The governor is legally required to submit a balanced proposed budget. Likewise, the legislature is legally required to adopt a balanced budget.[23]

Agencies, offices and committees

The Kansas Legislative Division of Post Audit is the audit agency of Kansas government.[24] The Legislative Post Audit Committee is a bipartisan committee comprising five senators and five representatives. Audit reports are published online.[25]

Studies and reports

U.S. PIRG "Following the Money" report

See also: "Following the Money" report, 2014

The U.S. Public Interest Research Group, a consumer-focused nonprofit organization based in Washington, D.C., released its annual report on state transparency websites in April 2014. The report, entitled "Following the Money," measured how transparent and accountable state websites are with regard to state government spending.[26] According to the report, Kansas received a grade of D- and a numerical score of 50, indicating that Kansas was "lagging" in terms of transparency regarding state spending.[26]

Budget and finance ballot measures

Voting on
state and local
government budgets,
spending and finance
State finance.jpg
Policy
Budget policy
Ballot measures
By state
By year
Not on ballot
See also: Spending and finance on the ballot and List of Kansas ballot measures

Ballotpedia has tracked no ballot measures relating to state and local budget and finance matters in Kansas

Recent news

This section displays the most recent stories in a Google news search for the terms "Kansas budget."

Some of the stories below may not be relevant to this page due to the nature of Google's news search engine.

Kansas state budget and finances - Google News Feed

  • Loading...

Contact information

Kansas Division of the Budget
900 S.W. Jackson, Suite 504
Topeka, KS 66612
Telephone: 785-296-2436
Fax: 785-296-0231
Email: budget.info@budget.ks.gov

See also

External links

Additional reading

References

  1. Bureau of Labor Statistics, "CPI Detailed Report Data for February 2014," accessed April 9, 2014
  2. InflationData.com, "Cumulative Inflation Calculator," February 28, 2014
  3. 3.0 3.1 3.2 3.3 3.4 3.5 3.6 National Association of State Budget Officers, "State Expenditure Report: 2012-2014," accessed February 18, 2015
  4. United States Census Bureau, "State and County QuickFacts," accessed February 23, 2014
  5. National Association of State Budget Officers, "State Expenditure Report, 2009-2011," accessed February 24, 2014
  6. National Association of State Budget Officers, "State Expenditures Report, 2010-2012," accessed February 24, 2014
  7. National Association of State Budget Officers, "State Expenditure Report, 2009," accessed February 24, 2014
  8. National Association of State Budget Officers, "State Expenditure Report, 2008," accessed February 24, 2014
  9. 9.0 9.1 Tax Policy Center, "State Tax Collection Sources 2000-2013," June 20, 2014
  10. 10.0 10.1 10.2 The Topeka Capital-Journal, "Brownback signs 2-year budget plan, vetoes DOC cuts," June 15, 2013
  11. National Association of State Budget Officers, "Summaries of Fiscal Year 2015 Proposed and Enacted Budgets," July 11, 2014
  12. Kansas Legislature, "State Budget: Senate Sub. for Sub. for HB 2231, Senate Sub. for HB 2506, and Senate Sub. for 2338," accessed September 23, 2014
  13. State Budget Solutions, "State Budget Solutions' Fourth Annual State Debt Report," January 8, 2014
  14. 14.0 14.1 KPERS, "2012 Valuation," accessed November 5, 2013
  15. Kansas Public Employee Retirement System, "2009 Valuation Report," accessed October 24, 2013
  16. Kansas Public Employee Retirement System, "2012 Comprehensive Annual Financial Report," accessed October 25, 2013
  17. Stateline: The Daily News Service of The Pew Charitable Trusts, "Infographic: S&P State Credit Ratings, 2001-2012," July 13, 2012
  18. Bankrate, "The 6 states with the worst credit ratings," September 27, 2012
  19. Stateline: The Daily News Service of The Pew Charitable Trusts, "Infographic: S&P State Credit Ratings, 2001-2014," June 9, 2014
  20. 20.0 20.1 United States Census Bureau, "State Government Finances: 2012," accessed February 24, 2014
  21. Recovery.gov, "Stimulus Spending by State," accessed February 21, 2014
  22. National Conference of State Legislatures, "State Experiences with Annual and Biennial Budgeting," updated April 2011
  23. 23.0 23.1 23.2 National Association of State Budget Officers "Budget Processes in the States, Summer 2008," accessed February 21, 2014
  24. Kansas Legislative Division of Post Audit, "Home page," accessed August 16, 2013
  25. Kansas Legislative Division of Post Audit, "All LPA Audit Reports," accessed August 16, 2013
  26. 26.0 26.1 U.S. Public Interest Research Group, "Following the Money 2014 Report," accessed April 15, 2014