Kelly had been linked with a return to Australia but says he is now settled in east Yorkshire.
“I’m very pleased to have signed my new deal,” he said. “My girls are happy, I’m happy and I’m really excited for what’s to come.
“It was a no-brainer to extend my contract here. I like to think that I’ve been playing well recently and I’m in a happy place.
“I like to think I’m getting back to my best form and with another year under my belt, I think I can get better.
“I want for us to be competitive and to be challenging for all three pieces of silverware on offer and make sure that we’re fighting to be up there towards the top.”