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Minutes for HB2119 - Committee on Commerce
Short Title
Eliminating the Kansas affordable housing tax credit act effective July 1, 2025.
Minutes Content for Thu, Mar 6, 2025
Chairman Alley opened the hearing on HB 2119.
Staff provided an overview of the bill. (Attachment 1)
Dustin Hare, Economic Security Policy Advisor, Kansas Action for Children, (KAC) appeared in opposition to the bill. (Attachment 2) KAC opposes the bill because it would signify that the state of Kansas has no intention of addressing the housing affordability crisis, and it would halt the progress that is currently being made.
Mitch Robinson, Kansas Economis Development Alliance (KEDA) President & CEO at Salina Community Economic Development Organization, spoke in opposition to the bill. (Attachment 3) KEDA encourages lawmakers to not end this program and instead look for a compromise to retain this important housing incentive program for Kansas communities.
Tommy Lowmon, Director Housing Policy at Sugar Creek Capital, appeared in opposition to the bill. (Attachment 4)To ensure stability, any changes should align with the 2026 Qualified Allocation Plan moving forward. Abruptly ending this program could disrupt housing projects, put investments at risk, and weaken workforce stability and economic growth.
Terry Humphrey, Executive Director, American Institute of Architects, Kansas Chapter, spoke in opposition to the bill. (Attachment 5) The 2021 Statewide Housing Needs Assessment complete by Kansas Housing Resources Corporation (KHRC) found, in summary, that every community in Kansas lacks housing at every price point. In rural areas, 3,800 - 4,800 homes should be constructed annually to respond to housing demand.
Tony Krsnich, Kansas Housing Association, Inc., spoke in opposition to the bill. (Attachment 6) A complete repeal of the KAHTC program would not only halt the momentum of housing production, but it would also harm Kansas' development teams, architects, engineers, contractors, and suppliers involved in local projects; negatively impacting both economic growth and housing opportunities in the state.
Talita Leikam, Private Citizen, spoke in opposition of the bill. (Attachment 7) Ms. Leikam asked the Committee to not eliminate one of the very few affordable housing sources that is available to the most vulnerable people in Kansas: children, the elderly, those with serious illness and survivors of abuse.
Written testimony in opposition was provided by:
Colin Nickells, Advantage Capital (Attachment 8)
Kayla Knier, Director of Regional Coordination at the Kansas Statewide Homeless Coalition (Attachment 9)
Kristy Baughman, United Community Services of Johnson County (Attachment 10)
Robert Gibson, Policy Impact Strategist, Health Forward Foundation (Attachment 11)
Mike Kelly, Johnson County Board of County Commissioners (Attachment 12)
Mark Tomb, Kansas Association of REALTORS (Attachment 13)
Braxton Copley, City of Topeka (Attachment 14)
Rabbi Moti Rieber, Executive Director, Kansas Inter Faith Action (Attachment 15)
Bonnie Lowe, IOM, President and CEO, The Chamber Lawrence, Kansas (Attachment 17)
Neutral
Erin Beckerman, General Counsel, Kansas Housing Resources Corporation, (KHRC) provided neutral testimony on the bill. (Attachment 16) Should the Committee determine that the state cannot sustain the long-term fiscal impact of the KAHTC as currently written, KHRC invites policymakers to explore compromise options that would allow the state to continue addressing statewide housing needs while minimizing fiscal impact.
Chairman Alley closed the hearing on HB 2119.
The next committee meeting is 3-10-2025. The meeting was adjourned at 2:17 pm.
