Chairperson Smith opened the hearing for HB2645.

Adam Siebers, Office of Revisor of Statutes, provided an overview for HB2645 that extends the number of years that the income tax credit for contributions to community colleges and technical colleges for capital improvements, deferred maintenance or the purchase of technology or equipment will be in effect. The income tax credit expires after tax year 2026 and HB2645 will extend the credit though tax year 2031. (Attachment 1)

Mr. Siebers stood for questions from Committee members.

Kathleen Smith, Kansas Department of Revenue, provided an overview on the fiscal note for HB2645 that would decrease the State General Fund revenues by $5.0 million per year beginning in FY2028.  She noted in response to Representative Caiharr's question, the Department does provide reports to the Senate President, House Speaker and minority leaders in both houses with regards to the usage of the credits.  Ms. Smith stated they can provide that information.  

Kathleen Smith stood for questions from Committee members.

Proponents:

Heather Morgan, Kansas Association of Colleges, testified as a proponent for HB2645 before the Committee noting  the bill extends the existing 60.0 percent tax credit for contributions made to Kansas Community and technical colleges.  The Kansas community and technical colleges have used the tax credit for capital improvements, deferred maintenance and to expand technical programs or purchase new equipment. (Attachment 2) 

Ms. Morgan stood for question from Committee members.

Ryan Ruda, Garden City Community College, testified by Webex as a proponent for HB2645 before the Committee that contributions to the community college has benefited from the tax credit program from 2022 through 2025.  The program has encouraged 99 private donors to invest locally, generating $2.2 million in private support for infrastructure projects. (Attachment 3)

Mr. Ruda stood for questions from Committee members.

Jim Genandt, Kansas Technical Colleges, testified as a proponent for HB2645  on behalf of the technical colleges, presented a picture of the new advanced technology center which opened over a year ago stating both a technology  grant and the tax credit bill helped to make this new center a reality. (Attachment 4)

Mr. Genandt stood for questions from Committee members.

Jessica Lucas, Cowley College Government Affairs Liaison, testified as a proponent for HB2645 on behalf of Cowley College.  The Cowley College Tyler Technical Education Center was made possible because of the tax credit program that raised more than $1.0 million in donations. The Technical Education Center enables the expansion of high wage and high demand programing. (Attachment 5)

Ms. Lucas stood for questions from Committee members.

Written only proponent testimony for HB2645 was provided by the following:

Doctor Juli Ann Mazachek, President, Washburn University, (Attachment 6)

Lee Young, Chairman, Velocity Flow Technologies, (Attachment 7)

There were no opponent or neutral conferees for HB2645.

Chairperson Smith closed the hearing for HB2645.