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Minutes for SB81 - Committee on Utilities

Short Title

Prohibiting large facilities receiving certain tariffs or failing to meet workforce and electric demand requirements from qualifying for economic development electric rates.

Minutes Content for Tue, Feb 11, 2025

The Chair reopened the hearing on SB 81.

Nick Myers provided a brief overview of the bill and stood for questions (Attachment 1).

Chuck Caisley testified in opposition to the bill and stood for questions (Attachment 2). Mr. Caisley testified that he did not disagree with the intent of the legislation.  Evergy wants to ensure that data center costs not be put on the backs of existing customers.  They do not think legislature is the best way to go about this, either.  SB 81 could have a chilling effect on large load manufacturers and data centers who may be looking to come to Kansas.  Later this week, Evergy will be introducing a large load power service tariff that would address this issue with the KCC.

Debra Teufel, 2nd Vice President, Kansas Economic Development Alliance, provided written testimony in opposition to the bill (Attachment 3).

Rachel Willis, Director of Legislative Affairs, Department of Commerce, provided written testimony in opposition to the bill (Attachment 4).

Kimberly Gencur Svaty testified as neutral on the bill and stood for questions (Attachment 5).  Ms. Svaty also stated that this bill could have a chilling effect on the industry, instead of possibly being a real benefit to the state's economy.

Justin Grady testified as neutral on the bill and stood for questions (Attachment 6).  Mr. Grady said that the issue of economic development riders was a policy issue in the purview of the legislature.  The KCC has been in discussion with CURB and Evergy for several months on what the parameters of a large load tariff would look like.

There being no further conferees, the Chair closed the hearing on SB 81.