Derby officials from the city to the Derby Recreation Commission are concerned with how a state-imposed property-tax lid could affect them.
[City manager Kathy] Sexton said the tax-lid law could be a problem, especially for a city like Derby, which may have to add new positions or purchase new equipment to keep up with servicing a growing population.
“So you don’t, as a community, benefit when new stuff gets built that you’re supposed to provide police and fire protection to,” Sexton said. “Without the tax revenue, you kind of have to ask yourself, ‘Is growth worth it?’”
The bill that passed last year is set to go into effect in 2018, giving the cities and counties time to figure out how their budget processes could change.
But a bill being looked at this session – and being lobbied for by the Kansas Association of Realtors – could move implementation up to 2017 and get rid of exemptions like raising taxes to cover unfunded mandates from the state and federal governments and new construction.
Sexton said this means the state could require the city to increase the payment to city employees’ retirement programs – which they have – but not allow them to raise the taxes to cover that increase.
(Read more: DerbyInformer.com – news,news/)