KPERS staff reviewed prior pension-obligation bond issuances (2004, 2015, 2021), the financing sources for debt service and the net position to the state; officials said investment earnings have outpaced bond interest rates to date, producing a cumulative positive effect.

KPERS staff told lawmakers they request a combined operating budget of roughly $102.5M (FY27 revised) and $109.7M (FY28) driven by a 27th payroll, investment-related expenses and modernization contractual services; the pension administration modernization project remains on schedule and within budget with a targeted 2029 go-live.

KPERS officials told the joint committee the 2025 actuarial valuation shows the system’s funded ratio improved to roughly 75–76%, unfunded actuarial liability dipped slightly to about $10 billion, and the trust fund reached a record market value of about $32.5 billion.

KPERS staff told the House Financial Institutions and Pensions Committee that the system's 2024 actuarial valuation showed modest improvement in funded status but flagged higher-than-expected public-sector wages and deferred investment losses from a late‑2022 market downturn.

House retracts HB 2086 offer and supports Senate Bill 64 at conference committee.