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Jan. 13, 2022Topeka, Kan. |  By: AP

Kansas governor proposes to set aside $600M, spend reserves

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TOPEKA, Kan. (AP) - Democratic Gov. Laura Kelly has proposed that Kansas put $600 million of its surplus revenue into a rainy day fund and spend nearly $1.8 billion of the excess revenue on a long list of projects.

Parts of Kelly's proposed spending blueprint for state government through June 2023 are likely to meet strong resistance from the Republican-controlled Legislature.

It assumes that Kansas will expand its Medicaid coverage, which GOP lawmakers have repeatedly blocked, and give a one-time $250 income tax rebate to residents who filed state income tax returns last year.

Before Kelly's budget director outlined her proposals to a joint meeting of the House and Senate budget committees Wednesday, Republicans suggested that the state's good economic fortunes could sour quickly.