Search Results for: historic tax credits

Redesigned Naftzger Park likely not only subsidy

The developers of property near Naftzger Park in downtown Wichita will possibly receive millions in other subsidy. The powerful impetus to redevelop Naftzger Park in downtown Wichita is attributed to two sources: The NCAA basketball games in March and the desire of TGC Development Group to develop property it owns near the park. How much motivation comes from which source depends on who you ask. But it's clear that the present state of the park is a problem for TGC. A newly redesigned park will effectively serve as the "front yard" for TGC's projects, and will greatly benefit that company. If the park redesign is paid for with tax increment financing, or TIF, this new park comes at no cost to TGC. But this is likely not the only benefit…
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Errors in Wichita Union Station development proposal

Documents the Wichita City Council will use to evaluate a development proposal contain material errors. Despite the city being aware of the errors for more than one month, they have not been corrected. On August 19, 2014 the Wichita City Council considered an agenda item titled "Resolution Considering the Establishment of the Union Station Redevelopment District, Tax Increment Financing." The purpose of the item was to set October 7, 2014 as the date for the public hearing on the formation of a TIF district. The council passed this resolution. On August 27 Bob Weeks inquired this of Wichita city officials based on information contained in city documents that were prepared for the August 19 meeting: "On the Union station TIF proposal, there is mentioned '$3,766,156 in monetized historic tax credits.'…
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Kansas tax policy facts from AFP

Americans For Prosperity — Kansas has prepared some information about Kansas tax policy. This information is timely, as there are people -- including our new governor Mark Parkinson -- who want to "adjust" our tax system in ways that will harm the Kansas economy. The result is what's termed "revenue solutions." Specifically, some want to delay the implementation of some tax reductions that were passed a few years ago by the Kansas legislature. It's claimed that since these tax reductions are for Kansas businesses, it's possible to take them back without harming the Kansas economy. This is false. Also, some want to decouple Kansas tax law from the federal tax code, so that when Congress grants a tax cut to Americans, the state of Kansas won't be harmed. Kansas Tax…
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Obama’s tax hikes must be resisted

As our nation's leaders consider the possibility of raising income tax rates, we need to be aware of the negative impact of higher marginal tax rates on the economy and make sure we resist the lure of higher taxes. This is especially important even if the new higher tax rates are confined to to the rich. The concept of marginal tax rates is important to understand, as it holds the key to understanding how we can drive economic growth, and how we can kill it, too. President Barack Obama believes he has already cut taxes in the name of economic growth. These tax "cuts" -- I use quotes deliberately -- are part of the stimulus bill passed in February 2009. So what are the Obama tax cuts? There was one…
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In Wichita, why do some pay taxes, and others don’t?

A request by a luxury development in downtown Wichita raises issues, for example, why do we have to pay taxes? Tomorrow the Wichita City Council considers yet another layer of business welfare for The Lux, a luxury real estate development in downtown Wichita. This project, despite having already received millions in assistance from taxpayers, is not economically viable, according to city documents. Because the transaction contemplated tomorrow is shrouded in the mystery of Internal Revenue Bonds (IRBs), we can expect that the important aspects of this transaction will be under-reported. We're likely to see headlines that The Lux is receiving $14,450,000 in IRBs. City council members may clumsily explain to citizens that the city is not lending this money, and that taxpayers are not on the hook if the bonds…
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Wichita sales tax issue 2014

Essential reading Art Hall: Embracing Dynamism: The Next Phase in Kansas Economic Development Policy Alan Peters and Peter Fisher: The Failures of Economic Development Incentives, Journal of the American Planning Association The Colorado Springs Model: A Voluntary, Entrepreneurial City Contrary to officials, Wichita has many incentive programs. Wichita government leaders complain that Wichita can’t compete in economic development with other cities and states because the budget for incentives is too small. But when making this argument, these officials don’t include all incentives that are available. News articles Real People, Real Life. A local Wichita televised talk show. The August 19, 2014 episode featured Jennifer Baysinger speaking on the sales tax. This link is to the show on YouTube, starting with Jennifer's appearance. She also appeared in part two of the…
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Century II resource center

A resource of information about the Century II Performing Arts and Convention Center in Wichita. Send suggestions for additions to bob.weeks@gmail.com. This document has three sections: Websites and online sources Documents News and opinion. The last update was Saturday, January 9, 2021. Websites and online Professional Management Services for Century II This is a page created by the City of Wichita with information about the possible private management of Century II. There is an opportunity to leave a comment, until January 18, 2021. Link to page: https://www.wichita.gov/Century2/Pages/default.aspx. Facebook group: Century II, Its Future. https://www.facebook.com/groups/CenturyII/ Riverfront Legacy Master Plan. https://www.riverfrontlegacywichita.org/ Century II Citizens Advisory Committee. As of March 4, 2020, this website may no longer exist. Here is its link at archive.org: https://web.archive.org/web/2019*/www.centuryiicitizenscommittee.com. The original website was here: https://www.centuryiicitizenscommittee.com/ Save Century…
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The Lux in Wichita: Taxpayer funding of lifestyle choices

This week the Wichita City Council approved the issuance of industrial revenue bonds to The Lux, a luxury real estate development in downtown Wichita. That action, along with historic preservation tax credits, results in taxpayers paying for the lifestyle choices of a relative few. IRBs are confusing. Many people criticize them on the basis that the city shouldn't be lending money. That's not what happens. Someone else buys the bonds, in effect making the loan. The city is not at risk if the bonds are not repaid. Instead, the sole purpose of these IRBs is to provide a sales tax exemption on the purchase of construction materials and perhaps other material. City documents didn't provide an estimate of the tax savings, but it could be hundreds of thousands of dollars.…
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Analysis of proposed tax changes in Kansas

Proposed changes in the Kansas motor fuel tax and sales tax on groceries affects households in different ways. As part of a revision to the tax regime in Kansas, a bill proposes to raise the motor fuel tax and reduce the sales tax on most types of groceries. (Restaurant meals would not be affected.) The bill is HB 2237.[1. Kansas House of Representatives, Committee on Taxation. HB 2237, Concerning taxation; relating to income tax, rates, determination of income, tax credits; motor fuels tax, rates, trip permits, distribution; sales and compensating use tax, food and food ingredients. http://www.kslegislature.org/li/b2017_18/measures/hb2237/.] It implements most or all of the elements of a plan called "The Path Forward."[1. Riseupkansas.org. *The Path Forward." http://riseupkansas.org/the-path-forward/.] Excise taxes (the motor fuel tax) and sales taxes are usually regressive, meaning…
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Tax rates and taxes paid

Those who call for a return to 90 percent tax rates should be aware that few people actually paid tax at those rates. Progressives are calling for higher income tax rates on the rich. The top marginal tax rate -- that's the rate that applies to high income earners on most of their income -- was above 90 percent during most of the 1950s. From 2003 to 2012 it was 35 percent, and is now 39.6 percent. Some see that as a lost opportunity. If we could return to the tax rates of the 1950s, they say, we could generate much more revenue for government. The top marginal tax rate is the rate that applies to income. It's not the same as what is actually paid. This fact is unknown…
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