Late. Rick Billinger, R-Goodland, 40th Dist.
March 16, 2021
One of the Senate’s first priorities was property tax reform. The bill stipulates that local government must practice “truth in taxation” if they want to use income from higher property valuations to raise taxes. This legislation is similar to legislation that has been in place in several states, including Utah, for over 20 years. The highlights of the bill: Transparency – The bill would establish new notices and public hearing requirements for the taxation of subdivisions aimed at increasing property taxes above their “non-revenue tax rate”. A tax breakdown would be prohibited from levying taxes in excess of its revenue-neutral rate without prior approval of a resolution or ordinance in accordance with the procedure provided for in the bill. District clerks must inform the public of their intention to exceed the “revenue neutral rate” by posting such a notice on their website and sending a mailing to any affected taxpayer. The public hearing should take place by September 10th. The governing body of the tax district would have to vote to exceed the revenue-neutral rate with a majority of votes. Those companies that fail to comply would have to reimburse property taxes. Regular Property Maintenance – The bill prohibits an increase in the appraised value of property solely due to the normal repair, replacement or maintenance of existing structures, equipment or other improvements to the property. Payment Plans – The bill would authorize the district treasurers to accept partial payments and establish payment plans for all property taxes. Under current law, treasurers can accept partial payments for delinquent property taxes. Finally, this bill removes the property tax cap, which currently requires a public vote or certain property tax increases by cities and counties. Navigating the property tax cover can be cumbersome and often leads to no practical benefit for the taxpayer.
The process included in SB13 greatly improves the ability of Kansas taxpayers to understand what their local government is doing and then object. By requiring local officials to vote to exceed a revenue-neutral rate, taxpayers can hold local officials accountable. The House amended the bill to include all local tax jurisdictions in the state, including school districts. The Senate accepted the changes and the bill now goes to the governor.
The Kansas Senate voted on SB50, which will provide fairness to major Kansas road companies trying to compete with online non-state retailers. SB50 would require the collection and remittance of sales and compensation of the use tax by most market intermediaries from July 1, 2021. Firms with gross annual revenue from sales to Kansas greater than $ 100,000 would be subject to the mandate that would apply to out-of-state retailers with annual revenue from sales in Kansas exceeding $ 100,000. In the Wayfair ruling, the United States Supreme Court made it clear that states need a threshold in order to meet the requirements. This will help level the playing field for Kansas companies that already levy sales tax on sales in Kansas.
The Senate Means and Ways Committee completed our work on the budget last week, and the budget proposal is due to be discussed on the spot on Tuesday.
It is an honor and a pleasure to serve in the 40th Senate District of Kansas. Please do not hesitate to contact me by email at [email protected] You can also call me with your questions or concerns. My office number is 785 296-7399 or my cell phone number is 785-899-4700.
Rick Billinger, R-Goodland, is a Senator for the Kansas 40th Dist.
The 40th Senate District includes Cheyenne, Decatur, Ellis, Gove, Graham, Logan, Norton, Rawlins, Sheridan, Sherman, Thomas, Trego, and Wallace counties, as well as part of Phillips County.