Brief (1)
SB 545, as amended, would make a number of changes to local sales tax authorization statutes. Neosho, Wilson, Osage, and Wabaunsee counties would be added to a list of 15 other counties with special authority to retain all revenue from countywide sales taxes (and not be required to share such revenues with cities), provided the tax is imposed for financing the construction or remodeling of a courthouse, jail, law enforcement facility, or other county administrative facility. All such taxes are required to sunset when the Secretary of Revenue determines the cost incurred in the financing of such facilities has been collected by retailers. Wabaunsee County also would be granted an additional 0.25 percent rate authority for such purpose and Osage County would be granted either an additional 0.25 percent or 0.5 percent for such purpose.
Miami County would be granted special authority to retain all revenue from a countywide sales tax, and would be given an additional 1.0 percent authority, to finance road construction. Clay County would be given similar additional authority of 0.5 percent. Any such tax imposed would be required to sunset after five years.
Woodson County would be granted special authority to retain all revenue from a countywide sales tax imposed for the purpose of financing economic development initiatives or public infrastructure projects. The tax would have to be at the rate of 0.5 percent and would be required to sunset after five years.
Franklin County would be granted special authority to retain all revenue from a countywide sales tax, and would be given an additional 0.25 percent authority, to finance recreational facilities. Any such tax would be required to sunset upon payment of all financing costs associated with the facilities.
All cities in Harper and Woodson counties would be added to the list of Class D cities with up to 1.0 percent of additional rate authority for funding economic development initiatives, strategic planning initiatives, or public infrastructure projects. Any taxes so imposed after the effective date of the act by Class D cities would be required to sunset after ten years. Current law requires such taxes to sunset after five years.
Background
The City of Anthony, located in Harper County, supports the provisions relating to Class D cities.
All taxes authorized by the bill would require the approval of voters. Only two local sales taxes in state history have been imposed without a mandatory election: a 0.1 percent stormwater management sales tax in Johnson County; and a 0.65 percent tax imposed throughout Shawnee County by the Washburn University Board of Regents.
The original bill dealt only with Neosho County. The provisions related to Wilson, Wabaunsee, and Miami counties and cities in Harper County were Senate Assessment and Taxation Committee amendments. All other provisions hereinbefore described were House Taxation Committee amendments.
1. *Supplemental notes are prepared by the Legislative Research Department and do not express legislative intent. The supplemental note and fiscal note for this bill may be accessed on the Internet at http://www.ink.org/public/legislative/bill_search.html