Legislators are close to committing up to $1 billion in state funds to shore up Kansas’ pension fund for government workers, despite bipartisan misgivings about that move ruling out some tax cuts.
The Senate approved a bill that would put 600 million dollars into the state pension system before the end of June, and allow the governor and leaders of the Legislature to commit an additional 400 million by January 1st.
The House voted for its own measure, which would put the full one billion into the pension system this spring.
Even though most conservative Republicans voted to use surplus funds to shore up the pension system, a few worried that it would limit options for cutting taxes.
Democrats feared that the move would doom Governor Laura Kelly’s proposed income tax rebate, as well as her plan to eliminate the state’s 6.5% sales tax on groceries.