A bill introduced in the Kansas Legislature would hike the property tax going to state universities by a factor of four.
Currently the State of Kansas collects a property tax levy of one mill that goes to state universities. A bill introduced in the Kansas House of Representatives would increase that to four mills starting next year.
The bill provides for a number of uses of the money: First for buildings, then for broadband, computing capabilities for human genome data, research on plant genomes, research on aircraft and composite manufacturing, and if there’s anything left over, “other research priorities.”
What does this bill mean to property owners? For homeowners, the calculations are these. (Remember, this bill does not affect the property taxes levied by your city, county, school district, fire district, cemetery district, etc.)
For a home valued at $150,000, the tax currently going to universities is:
($150,000 – $20,000 homestead exemption) times .115 assessment ratio times 1 mill divided by 1000 = $14.95 tax per year.
If the bill passes, the calculation is
($150,000 – $20,000 homestead exemption) times .115 assessment ratio times 4 mills divided by 1000 = $59.80 tax per year.
The tax is now 300 percent higher, or a four-fold increase.
Bob, I don’t quite understand. Would this bill increase property taxes or would it divert property tax now being spent on something else to state universities? If the latter, who decides who gets whacked to make it happen?