KansasSB 982025–2026 Regular SessionSenate

Providing a sales tax exemption for the construction or remodeling of a qualified data center in Kansas and the purchase of data center equipment, eligible data center costs and certain labor costs to qualified firms that commit to a minimum investment of at least $250,000,000 and meet new Kansas jobs and other requirements.

Sponsored By: Sponsor information unavailable

Signed by Governor

house committee on transportationsenate committee on transportation

Personalized for You

How does this bill affect your finances?

Personalize government policy and PRIA will tell you what this bill means for your household, plus every other piece of legislation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.

Bill Overview

Analyzed Economic Effects

4 provisions identified: 0 benefits, 1 costs, 3 mixed.

Data centers barred from power discounts

Customers cannot receive Kansas economic-development electric-rate discounts for new or expanded facilities that meet the law's qualified data center definition. The provision does not specify their resulting electricity rates or any change to household utility bills.

Security checks before data center aid

Kansas Commerce must obtain fusion center oversight board approval before awarding public aid, including the data center sales-tax exemption. The Kansas Intelligence Fusion Center checks project equipment and software for threats to critical infrastructure. The board can approve a project, require protective changes, or deny it if its setup threatens that infrastructure.

Some data center records stay private

Kansas Commerce can withhold some data center program records from public release. This applies when the secretary judges that disclosure would hurt a firm's market position or significantly interfere with the law's goals. Required economic-development reporting remains public, and Legislative Post Audit must receive protected records when it requests them. These protections end July 1, 2030, unless lawmakers continue them.

Data center tax breaks require commitments

Qualified data center projects starting on or after July 1, 2025, get sales-tax exemptions for up to 20 years after operations begin. Eligible costs include construction, equipment, specified labor, and operating costs, but not electricity. Firms must invest at least $250 million by year five. Within two calendar years after operations begin, they must create and maintain at least 20 jobs for Kansas residents. Firms need Commerce approval and certification, plus security approval. They must start construction within 10 years of their agreement, or earlier if the agreement requires. They must also commit to buying local utility power for 10 years and follow water conservation, reuse, and replacement rules. Commerce audits compliance every five years and can require repayment after a breach and a 120-day chance to fix it. Contractors must keep invoices for five years; materials and equipment diverted to other uses are taxable. The law also repeals two existing statutes; the supplied repeal provision does not identify separate financial effects.

Sponsors & Cosponsors

Sponsors

There is no primary sponsor on record.

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 510 • No: 126

Senate vote • 4/23/2026

Yea: 39 Nay: 1

Yes: 39 • No: 1

Senate vote • 4/23/2026

Yea: 105 Nay: 17

Yes: 105 • No: 17

Senate vote • 4/23/2026

Yea: 85 Nay: 37

Yes: 85 • No: 37

Senate vote • 4/23/2026

Yea: 26 Nay: 8

Yes: 26 • No: 8

House vote • 4/11/2025

Conference Committee Report was adopted

Yes: 85 • No: 37

Senate vote • 4/11/2025

Conference Committee Report was adopted

Yes: 26 • No: 8

House vote • 3/13/2025

Final Action - Passed as amended

Yes: 105 • No: 17

Senate vote • 2/19/2025

Final Action - Passed

Yes: 39 • No: 1

Actions Timeline

  1. Approved by Governor on Thursday, April 24, 2025

    4/24/2025Senate
  2. Rep. Sean Tarwater, Rep. Adam Turk, and Rep. Stephanie Sawyer Clayton are appointed to replace Rep. Shannon Francis, Rep. Robyn R. Essex, and Rep. Henry Helgerson on the Conference Committee

    4/11/2025House
  3. Sen. Larry Alley, Sen. Stephen Owens, and Sen. Mary Ware are appointed to replace Sen. Mike Petersen, Sen. Rick Kloos, and Sen. Ethan Corson on the Conference Committee

    4/11/2025Senate
  4. Conference committee report now available

    4/11/2025House
  5. Motion to suspend Joint Rule 4 (k) to allow consideration adopted

    4/11/2025House
  6. Conference Committee Report was adopted; Yea 85, Nay 37, Absent 3

    4/11/2025House
  7. Motion to suspend Joint Rule 4 (k) to allow consideration adopted

    4/11/2025Senate
  8. Conference Committee Report was adopted; Yea 26, Nay 8, Absent 6

    4/11/2025Senate
  9. Enrolled and presented to Governor on Friday, April 18, 2025

    4/11/2025Senate
  10. Motion to accede adopted; Rep. Shannon Francis, Rep. Robyn R. Essex and Rep. Henry Helgerson appointed as conferees

    3/14/2025House
  11. Final Action - Passed as amended; Yea 105, Nay 17, Absent 3

    3/13/2025House
  12. Nonconcurred with amendments; Conference Committee requested; appointed Sen. Mike Petersen, Sen. Rick Kloos and Sen. Ethan Corson

    3/13/2025Senate
  13. Committee of the Whole - Committee Report be adopted

    3/12/2025House
  14. Committee of the Whole - Be passed as amended

    3/12/2025House
  15. Committee Report recommending bill be passed as amended by House Committee on Transportation

    3/7/2025House
  16. Hearing: Wednesday, March 5, 2025, 1:30 PM — Room 582-N

    3/5/2025House
  17. Final Action - Passed; Yea 39, Nay 1

    2/19/2025Senate
  18. Received and Introduced

    2/19/2025House
  19. Referred to House Committee on Transportation

    2/19/2025House
  20. Committee of the Whole - Be passed

    2/18/2025Senate
  21. Committee Report recommending bill be passed by Senate Committee on Transportation

    2/13/2025Senate
  22. Hearing: Wednesday, February 12, 2025, 8:30 AM — Room 546-S

    2/12/2025Senate
  23. Referred to Senate Committee on Transportation

    1/30/2025Senate
  24. Introduced

    1/29/2025Senate

Bill Text

  • As Amended by House Committee

  • As Introduced

  • Enrolled

Related Bills

Back to State Legislation