This Kansas bill imposes a 3% excise tax on all sports wagers placed within the state, requiring individuals who make bets to pay the tax to lottery gaming facility managers, who then remit the funds to the state revenue department. The collected tax revenue is directed to the state school district finance fund, which is used to provide state foundation aid to school districts, while also reducing the statewide property tax levy for school districts by 1.5 mills. The legislation establishes new funds to manage the tax proceeds and refunds, and grants the director of taxation authority to enforce compliance and collect information from gaming facilities. This measure directly affects sports bettors, lottery gaming operators, school districts, and state education funding structures.
This bill introduces two new taxes on large wind farms and solar facilities in Kansas, targeting those with a capacity of at least 5,000 kilowatts. The first tax is a $4 annual fee per kilowatt of capacity, while the second is a $0.001 per kilowatt-hour tax on electricity produced, both payable by the year 2027. Revenue from these taxes will be placed in a new state fund designated for property tax relief, which will then be transferred to support school district financing. The legislation also amends existing school tax laws to allow for a reduction in the statewide property tax levy for schools using these funds.
HB 2784 lowers the property tax rate for Kansas school districts from 20 mills to 19 mills for the 2026-2027 school year. It directly affects school districts by reducing their local property tax revenue and requires the state to transfer funds from the general fund and budget stabilization fund to the state school district finance fund to offset this loss. The bill amends tax laws to automatically calculate and transfer the revenue difference based on the rate decrease, ensuring school districts maintain funding levels. This change applies specifically to the 2026-2027 school year as defined in the bill.
HB 2786 approves an election held by Ellsworth County to impose a countywide sales tax. The tax revenue will fund construction, equipment, and furnishings for a new law enforcement center and courthouse improvements. The tax will expire once all project costs are fully covered by collected revenue. This directly affects Ellsworth County residents through the sales tax and the county government through funding for specific public safety facilities.
HB 2630 allows Kansas counties and cities to levy a 2% additional tax on liquor sales revenue (from retailers, microbreweries, distributors, and other sellers), but only after voter approval via local election. The tax revenue must be used exclusively to reduce the following year's property tax levy by an equal amount. Local governments must hold an election and secure majority voter approval before implementing the tax, with collections starting 60 days after the election. This bill directly affects property taxpayers in participating counties and cities by providing a new funding mechanism for property tax relief.
HB 2292 creates a "STAR bonds food sales tax revenue replacement fund" to compensate cities and counties with STAR bond districts established before December 31, 2022, for lost food sales tax revenue. It requires the state to transfer funds from the general fund to this replacement fund, which then pays cities/counties the amount of food sales tax revenue they would have collected at the 6.5% rate (instead of the reduced rate) for the period January 2024 through June 2025, and monthly thereafter. The bill extends the sunset date of the STAR bonds financing act to July 1, 2031, ensuring ongoing funding for these districts.
HB 2004 would authorize Seward County to impose a countywide sales tax on retail purchases, subject to voter approval through an election. The tax revenue would specifically finance roadway and bridge construction, maintenance, and improvements within the county. The bill amends Kansas law (K.S.A. 12-187, 12-189, and 12-192) to add Seward County to the list of counties permitted to use this tax for infrastructure projects. The measure passed committee in March 2025 and is awaiting full legislative consideration.
HB 2390 amends Kansas tax law to allow Jackson County to impose a countywide retailers' sales tax (subject to voter approval) specifically for funding hospital services within the county. This replaces the previous use of a similar tax for the Banner Creek reservoir project, as referenced in historical elections. The key mechanism requires Jackson County's governing body to seek voter approval via election or petition (10% of eligible voters) before implementing the tax. The tax revenue would directly support local hospitals, affecting county residents through healthcare services and potential tax changes. This is a policy change to redirect existing tax authority toward healthcare infrastructure.
SB 223 authorizes Russell County to seek voter approval for a countywide sales tax on retail purchases, specifically to fund school district facilities like attendance centers. The bill amends Kansas law to allow Russell County commissioners to propose this tax after meeting standard voter petition thresholds (10% of voters or city resolutions), similar to existing provisions for other counties. If approved by voters, the tax revenue would directly support school facility costs, with the tax ending once all project costs are covered. This bill does not create the tax itself but provides Russell County the legal authority to pursue it through the established voter approval process.
SB 259 requires that future personal and corporate income tax rate decreases in Kansas can only occur if actual state tax revenues exceed an inflation-adjusted baseline revenue target set for fiscal year 2024 ($10.004 billion). The bill establishes a process where, each August 15, the state budget director compares the previous year's actual tax collections to revenues adjusted for inflation; only if collections exceed this target will tax rates be reduced. Tax rate reductions must first lower the lowest income tax bracket (starting at 3.1% for 2018-2023) until it reaches 4.5%, then reduce higher brackets and surtaxes until the combined rate equals 4.5%. This bill directly affects all Kansas taxpayers who pay state income tax by tying future rate cuts to specific revenue performance.
