Summary — Senate Substitute for HB 2240 (Kansas, 2025)
Status & key dates
- Bill number: HB 2240 (Senate Substitute)
- Introduced: January 29, 2025
- Governor signed: June 20, 2025; effective immediately
- Earlier: Governor vetoed; Legislature overrode the veto (motions to override prevailed)
- Effective date (per legislative actions): June 20, 2025 (text implements requirements starting July 1, 2025)
Purpose
- Require express legislative approval before a state agency may seek or implement any federal authorization (waiver, state plan, state plan amendment, Section 1115/1915 demonstration or similar) that would (a) expand eligibility for a public assistance program or (b) increase state costs.
- Require legislative approval before state agencies may change certain services or funding structures for persons with intellectual or developmental disabilities (I/DD), including Day Services and Targeted Case Management (TCM).
Key provisions
- Legislative approval required: On and after July 1, 2025, no state agency may seek or implement qualifying federal waivers/authorizations or make specified I/DD changes unless the Legislature “expressly consents to and approves” the action by an act of the Legislature.
- Scope: “Public assistance program” is defined by reference to K.S.A. 39-709 (programs such as Medicaid, TANF, SNAP, child care subsidy, CHIP are examples under that statute).
- Existing programs exempt: State plan amendments or waiver programs already implemented prior to July 1, 2025 are not affected.
- LCC authority when Legislature is not in session: The Legislative Coordinating Council (LCC) may approve or deny requests, or designate a standing or special committee to review and make recommendations. The LCC (or its designee) must meet and act within 14 calendar days of receiving official notification from the agency.
- Definitions: “State agency” is defined consistent with K.S.A. 75-3701.
Who is affected
- State executive agencies that administer public assistance programs (notably KDHE and KDADS).
- Recipients and providers in Medicaid, other public assistance programs, and persons receiving I/DD services.
- The Legislature and the Legislative Coordinating Council (added review role).
Potential impacts and fiscal considerations
- Compliance risk: KDHE and KDADS warned the requirement could prevent Kansas from timely implementing federal mandates (examples cited: Consolidated Appropriations Act of 2023 requirement to cover juveniles exiting correctional facilities for 90 days; mandatory Medicaid rate changes tied to Medicare). Delays could put the state out of compliance with federal requirements.
- Financial risk: Agencies indicated the possibility of risking federal Medicaid matching funds. The fiscal note cites federal share estimates of about $3.8 billion in FY2026 and $3.9 billion in FY2027 for KDHE and KDADS combined; the bill’s fiscal effects were not included in the FY2026 Governor’s Budget Report.
- Operational effects: Agencies and opponents argued the bill could reduce administrative flexibility and slow responses to urgent needs or mandated changes, potentially affecting beneficiaries.
Stakeholder positions (as recorded in committee reports)
- Proponents: I/DD providers and some advocates argued for greater legislative oversight and stakeholder engagement on major program changes.
- Opponents: KanCare advocates, child-health and public-health organizations, and KDHE/KDADS warned of harms from delayed or blocked program changes and federal noncompliance.
Procedural notes
- The enacted version is the Senate substitute, which broadened the original House bill (which focused on Medicaid) to cover “public assistance programs” more broadly and added the 14-day LCC action deadline.
- The law requires express legislative action (or LCC action while the Legislature is out of session) before agencies may pursue the specified federal authorizations or make the identified I/DD changes.
