Kansas State Fair budget reviewed; committee questions emergency command center funding and fee balances

Legislative fiscal staff told the House Committee on Agriculture and Natural Resources on May 20 that the Kansas State Fair’s fiscal 2025 request totals $12,900,000, including $4,100,000 from the state general fund and 27 FTE positions, and that the fair’s fiscal 2026 request drops to $8,800,000 largely because Bison Arena renovation spending will conclude.

The presentation, delivered by Luke Drury, senior fiscal analyst with the Legislative Research Department, also flagged a House recommendation of $750,000 in ARPA funding for an emergency command center and noted that the full Ways and Means committee (Senate) had proposed deleting that funding as part of ARPA interest reductions. "The state fair had a balance of about $77,000 in their fee fund for fiscal year 2024," Drury said during the hearing, adding that estimates put the fee fund near $100,000 by the end of fiscal 2025.

Why it matters: Committee members worried that reduced state general fund support and uncertain transfers from the fee fund could leave the fair with negative balances or insufficient operating money in 2026. They pressed for details on who would pay for the command center, whether the center would be manned outside fair dates, and whether local stakeholders had committed funds.

Key facts and committee discussion

- Budget totals: Drury described the agency’s FY2025 request as $12,900,000 (including $4.1 million general fund) and FY2026 as $8.8 million, 27 FTE. The FY2026 reduction reflects the expected exhaustion of a prior $10 million appropriation for Bison Arena.

- Emergency command center: The State Fair requested roughly $2 million for an emergency command center in house materials; the House ultimately recommended $750,000 from ARPA, and the state had previously received $250,000 ARPA for the project, leaving an anticipated $1 million to be supplied by other stakeholders. Drury described the center’s purpose: "It would serve as a function of being able to get stakeholders together ... and to be able to respond to any sort of catastrophic event that were to take place at the grounds of the state fair." Committee members asked whether that funding would be ARPA interest money or ARPA principal and whether county, city or highway patrol partners had committed funds; Drury said stakeholder commitments have not yet been determined and the budget position from Ways and Means may remove the ARPA allocation.

- Fee fund balances and transfers: Drury pointed the committee to the budget summary showing the State Fair fee fund had an approximate $77,000 ending balance in FY2024 and estimated roughly $100,000 by the end of FY2025. He also noted statutory authority allowing transfers from the fee fund to a capital improvements fund, historically up to $300,000 and in one year $894,000; Drury said removing $135,000 in state general fund support for utilities could produce a negative ending balance in FY2026 under current estimates.

- Outstanding bond: The fiscal analyst said the State Fair has one outstanding bond for expo center rehab with roughly $700,000 remaining; the agency believes the bond could be paid off earlier if full funding were available.

Questions and follow-up requests

Committee members asked whether non-fair events cover their marginal costs when using fair facilities, whether local governments could create a temporary event sales tax, and whether the command center would be on or off the fairgrounds. Drury said he would follow up with the fair’s general manager, Brian Schultz, and that the fair provided written testimony to the committee addressing some questions. On the command center location, Drury said testimony and conversations suggested it would be placed on the periphery of the grounds rather than in the middle of fair operations; he agreed to clarify the precise location with the agency.

What was not decided

No formal motions or votes were taken during the hearing segment on the State Fair. Several items remain unresolved and were flagged for follow-up: the full funding plan for the emergency command center (which the House had partially funded with ARPA), detailed fee fund accounting to explain year-to-year shifts in balances, whether non-state stakeholders have committed matching funds, and whether the State Fair will staff an emergency command center outside fair dates.

Ending note

Committee members instructed fiscal staff to collect additional written responses from the State Fair on the command center, fee fund balances, rental fee structures for non-fair events and bond callability and to provide those answers to the committee before further budget work this week.