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Minutes for HB2435 - Committee on Energy, Utilities and Telecommunications
Short Title
Enacting the natural gas infrastructure availability act to authorize natural gas public utilities to defer to a regulatory asset all depreciation expense and carrying cost for any new plant, facilities or equipment that such utility has put into service and authorizing recovery of such regulatory asset via an interim rate adjustment mechanism.
Minutes Content for Thu, Feb 12, 2026
In previous meetings a hearing on HB2435 was held, final action started and tabled. Chairman Delperdang asked for another hearing and additional testimony from stakeholders.
Chairman Delperdang continued hearing on HB2435.
Nick Myers, Office of Revisor of Statutes provided a review of the second substitute amendment, (Attachment1) and responded to questions from the committee members.
Proponent:
Patrick Vogelsberg, Kansas Gas Service (Attachment2) explained the substitute bill reflects a compromise developed with stakeholders that would be designed to modernize the Gas Safety and Reliability Policy Act (GSRPA) to better support safety, reliability and economic growth, while avoiding a new regulatory structure or weakening consumer protections. He added the bill supports prudent infrastructure upgrades that would spread costs more broadly, help moderate rates, and provide modest interim adjustments rather than large increases after long gaps between rate cases.
Neutral:
Justin Grady, Kansas Corporation Commission (KCC) (Attachment3) staff participated in the stakeholder group that included Kansas Gas Service (KGS), Citizens' Utility Ratepayers Board (CURB) and Kansans for Lower Electric Rates (KLER), which resulted in the second substitute bill in discussion. He added the KCC staff considers the bill to be well crafted piece of legislation that narrowly changes the Gas System Reliability Surcharge (GSRS) Statute and it would be a policy call for the Kansas Legislature.
Opponent:
Joseph Astrab, CURB, (Attachment4) opposed the change regarding monthly residential cap on the GSRS that would represent the largest increase since inception and opposed including growth capital. He added CURB understands the need to increase the cap to recognize inflation and other drivers of cost increases, but the bill should be limited to safety-related projects. He added CURB would support a smaller increase along these lines if restricted to safety and reliability.
Conferees responded to questions from the committee members.
WRITTEN ONLY TESTIMONY:
Paul Snider, Kansans for Lower Electric Rates (Attachment5)
Glenda DuBoise, AARP Kansas (Attachment6)
Chairman closed hearing on HB2435 and asked committee about taking final action on the bill.
