As Further Amended by House Committee
As Amended by House Committee
Session of 2025
HOUSE BILL No. 2011
By Committee on Taxation
Requested by Representative A. Smith
1-15
1AN ACT concerning taxation; relating to property tax; decreasing the rate
2of ad valorem tax imposed by a school district; increasing the extent
3of exemption for residential property from the statewide school
4levy; providing for certain transfers to the state school district
5finance fund; amending K.S.A. 2024 2025 Supp. 72-5133a, 72-5142
6and 79-201x and repealing the existing section sections.
7
8Be it enacted by the Legislature of the State of Kansas:
9Section 1. K.S.A. 2024 2025 Supp. 72-5133a is hereby amended to
10read as follows: 72-5133a. (a) On August 15, 2024, and each August 15
11thereafter, the director of the budget, in consultation with the director
12of property valuation, shall certify to the director of accounts and
13reports if the:
14(1) Exemption provided by K.S.A. 79-201x, and amendments
15thereto, is increased from $42,049 for any tax year; or
16(2) rate of ad valorem tax levied by a school district pursuant to
17K.S.A. 72-5142, and amendments thereto, is decreased from 20 mills.
18(b) (1) The director of the budget shall certify to the director of
19accounts and reports and shall transfer a copy of such certification to
20the director of legislative research the amount of revenue that the:
21(A) Increase in the exemption provided by K.S.A. 79-201x, and
22amendments thereto, would have generated for the tax year if the
23exemption amount was $42,049; and
24(B) decrease in the rate of ad valorem tax levied by a school district
25pursuant to K.S.A. 72-5142, and amendments thereto, would have
26generated for the tax year if the tax rate levied would have been 20 mills.
27(2) Upon receipt of such certification, or as soon thereafter as
28moneys are available, the director of accounts and reports shall
29transfer such certified amount from the state general fund to the state
30school district finance fund of the department of education.
31Section 1. Sec. 2. K.S.A. 2024 Supp. 72-5142 is hereby amended to
32read as follows: 72-5142. (a) The board of education of each school
33district shall levy an ad valorem tax upon the taxable tangible property of
1the school district in the school years specified in subsection (b) for the
2purpose of:
3(1) Financing that portion of the school district's general fund budget
4that is not financed from any other source provided by law;
5(2) paying a portion of the costs of operating and maintaining public
6schools in partial fulfillment of the constitutional obligation of the
7legislature to finance the educational interests of the state; and
8(3) with respect to any redevelopment school district established prior
9to July 1, 1997, pursuant to K.S.A. 12-1771, and amendments thereto,
10paying a portion of the principal and interest on bonds issued by cities
11under authority of K.S.A. 12-1774, and amendments thereto, for the
12financing of redevelopment projects upon property located within the
13school district.
14(b) The tax required under subsection (a) shall be levied at a rate of
1520:
16(1) 18.5 mills in the school years 2023-2024 and 2024-2025 year
172025-2026; and
18(2) for the school year 2026-2027, and all school years thereafter, the
19rate of tax to be levied shall equal the tax rate for the current school year
20that would generate the same property tax revenue as levied for the 2025-
212026 school year using the current tax year's total assessed valuation. The
22director of property valuation shall calculate the tax rate for this annual
23adjustment.
24(c) The proceeds from the tax levied by a district under authority of
25this section, except the proceeds of such tax levied for the purpose
26described in subsection (a)(3), shall be remitted to the state treasurer in
27accordance with the provisions of K.S.A. 75-4215, and amendments
28thereto. Upon receipt of each such remittance, the state treasurer shall
29deposit the entire amount in the state treasury to the credit of the state
30school district finance fund.
31(d) No school district shall proceed under K.S.A. 79-1964, 79-1964a
32or 79-1964b, and amendments thereto.
33Sec. 2. K.S.A. 2025 Supp. 72-5142 is hereby amended to read as
34follows: 72-5142. (a) The board of education of each school district
35shall levy an ad valorem tax upon the taxable tangible property of the
36school district in the school years specified in subsection (b) for the
37purpose of:
38(1) Financing that portion of the school district's general fund
39budget that is not financed from any other source provided by law;
40(2) paying a portion of the costs of operating and maintaining
41public schools in partial fulfillment of the constitutional obligation of
42the legislature to finance the educational interests of the state; and
43(3) with respect to any redevelopment school district established
1prior to July 1, 1997, pursuant to K.S.A. 12-1771, and amendments
2thereto, paying a portion of the principal and interest on bonds issued
3by cities under authority of K.S.A. 12-1774, and amendments thereto,
4for the financing of redevelopment projects upon property located
5within the school district.
6(b) The tax required under subsection (a) shall be levied at a rate
7of:
8(1) 20 mills in the school years 2025-2026 and 2026-2027; and
9(2) for the school year 2027-2028, and all school years thereafter, the
10rate of tax to be levied shall equal the tax rate for the current school year
11using the current tax year's total assessed valuation that would generate
12the same property tax revenue as the prior tax year's property tax revenue.
13Such amount of property tax revenue shall be increased up to 3% in
14proportion to the same percentage increase that the current year's total
15assessed valuation is increased above the prior year's total assessed
16valuation, except that the current year's rate of tax shall not exceed the
17prior year's rate of tax. In no event shall the property tax revenue be
18decreased from the prior year. The director of property valuation shall
19calculate the tax rate for this annual adjustment.
20(c) The proceeds from the tax levied by a district under authority
21of this section, except the proceeds of such tax levied for the purpose
22described in subsection (a)(3), shall be remitted to the state treasurer
23in accordance with the provisions of K.S.A. 75-4215, and amendments
24thereto. Upon receipt of each such remittance, the state treasurer shall
25deposit the entire amount in the state treasury to the credit of the state
26school district finance fund.
27(d) No school district shall proceed under K.S.A. 79-1964, 79-
281964a or 79-1964b, and amendments thereto.
29Sec. 3. K.S.A. 2024 2025 Supp. 79-201x is hereby amended to read
30as follows: 79-201x. For taxable year 2024 2026, and all taxable years
31thereafter, the following described property, to the extent herein
32specified, shall be and is hereby exempt from the property tax levied
33pursuant to the provisions of K.S.A. 72-5142, and amendments
34thereto: Property used for residential purposes to the extent of $75,000
35$100,000 of its appraised valuation.
36Sec. 2. 4. K.S.A. 2024 2025 Supp. 72-5133a, 72-5142 is and 79-201x
37are hereby repealed.
38Sec. 3. 5. This act shall take effect and be in force from and after its
39publication in the statute book.