Governor Sam Brownback Issues Statement on Effort to Override Senate Bill 250

Statement

Governor Sam Brownback today issued the following statement as the Senate discussed a possible override of his veto on Senate Bill 250 concerning the Docking State Office Building.

"An override of the Senate Bill 250 veto may have serious consequences for the State of Kansas that could affect us negatively for years to come. An override of Senate Bill 250 may signal sufficient uncertainty to bond rating agencies and the credit markets, such that the result could be higher rates and increased expense for any future debt obligations of the State. An "event of non-appropriation' by the legislature for a legally authorized transaction and associated debt obligation is likely to be viewed by rating agencies as an indication the State of Kansas may also choose not to pay other outstanding obligations in the future. If an override of Senate Bill 250 is viewed as an unwillingness to fund debt in accordance with priority payment status by the rating agencies, this could lead to a downgrade of the State's credit rating, possibly into the "BB" range.

"In addition, SB 250 is unnecessary because the energy center project and associated financing already had been terminated. An override of SB 250 can only have negative consequences for the State."

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