Bill Summary – FastDemocracy

Session of 2024
                   House Concurrent Resolution No. 5022
       By Representatives Fairchild, Neelly, Poetter Parshall, Rahjes and Waggoner
                                          1-24

 A PROPOSITION to amend section 1 of article 11 of the constitution of
    the state of Kansas, relating to classification and taxation of all-terrain
    vehicles.
 4
 Be it resolved by the Legislature of the State of Kansas, two-thirds of the
     members elected (or appointed) and qualified to the House of
     Representatives and two-thirds of the members elected (or appointed)
     and qualified to the Senate concurring therein:
     Section 1. The following proposition to amend the constitution of
 the state of Kansas shall be submitted to the qualified electors of the state
 for their approval or rejection: Section 1 of article 11 of the constitution
 of the state of Kansas is hereby amended to read as follows:
        "§ 1. System of taxation; classification; exemption. (a) The
     provisions of this subsection shall govern the assessment and
     taxation of property on and after January 1, 2013 2025, and each
     year thereafter. Except as otherwise hereinafter specifically
     provided, the legislature shall provide for a uniform and equal
     basis of valuation and rate of taxation of all property subject to
     taxation. The legislature may provide for the classification and the
     taxation uniformly as to class of all-terrain vehicles, recreational
     vehicles and watercraft, as defined by the legislature, or may
     exempt such class from property taxation and impose taxes upon
     another basis in lieu thereof. The provisions of this subsection shall
     not be applicable to the taxation of motor vehicles, except as
     otherwise hereinafter specifically provided, mineral products,
     money, mortgages, notes and other evidence of debt and grain.
     Property shall be classified into the following classes for the
     purpose of assessment and assessed at the percentage of value
     prescribed therefor:
 Class 1 shall consist of real property. Real property shall be further
       classified into seven subclasses. Such property shall be defined by
       law for the purpose of subclassification and assessed uniformly as to
       subclass at the following percentages of value:
 (1) Real property used for residential purposes including multi-family
       residential real property and real property necessary to
       accommodate a residential community of mobile or manufactured
     HCR 5022                                            2

      homes including the real property upon which such homes are
      located.......................................................................................111/2%
 (2) Land devoted to agricultural use which shall be valued upon the
      basis of its agricultural income or agricultural productivity pursuant
      to section 12 of article 11 of the constitution...............................30%
 (3) Vacant lots....................................................................................12%
 (4) Real property which is owned and operated by a not-for-profit
      organization not subject to federal income taxation pursuant to
      section 501 of the federal internal revenue code, and which is
      included in this subclass by law...................................................12%
 (5) Public utility real property, except railroad real property which shall
      be assessed at the average rate that all other commercial and
      industrial property is assessed......................................................33%
 (6) Real property used for commercial and industrial purposes and
      buildings and other improvements located upon land devoted to
      agricultural use.............................................................................25%
 (7) All other urban and rural real property not otherwise specifically
      subclassified..................................................................................30%
        Class 2 shall consist of tangible personal property. Such
    tangible personal property shall be further classified into six
    subclasses, shall be defined by law for the purpose of
    subclassification and assessed uniformly as to subclass at the
    following percentages of value:
 (1) Mobile homes used for residential purposes..............................111/2%
 (2) Mineral leasehold interests except oil leasehold interests the average
      daily production from which is five barrels or less, and natural gas
      leasehold interests the average daily production from which is 100
      mcf or less, which shall be assessed at 25%.................................30%
 (3) Public utility tangible personal property including inventories
      thereof, except railroad personal property including inventories
      thereof, which shall be assessed at the average rate all other
      commercial and industrial property is assessed............................33%
 (4) All categories of motor vehicles not defined and specifically valued
      and taxed pursuant to law enacted prior to January 1, 1985.........30%
 (5) Commercial and industrial machinery and equipment which, if its
      economic life is seven years or more, shall be valued at its retail cost
      when new less seven-year straight-line depreciation, or which, if its
      economic life is less than seven years, shall be valued at its retail
      cost when new less straight-line depreciation over its economic life,
      except that, the value so obtained for such property, notwithstanding
      its economic life and as long as such property is being used, shall
      not be less than 20% of the retail cost when new of such property
      ......................................................................................................25%
     HCR 5022                                           3

 (6) All other tangible personal property not otherwise specifically
        classified.......................................................................................30%
         (b) All property used exclusively for state, county, municipal,
     literary, educational, scientific, religious, benevolent and charitable
     purposes, farm machinery and equipment, merchants' and
     manufacturers' inventories, other than public utility inventories
     included in subclass (3) of class 2, livestock, and all household
     goods and personal effects not used for the production of income,
     shall be exempted from property taxation."
     Sec. 2. The following statement shall be printed on the ballot with
 the amendment as a whole:
     "Explanatory statement. This amendment would allow the
         legislature to classify and tax all-terrain vehicles upon a
         basis different from other property.
     "A vote for this proposition would would permit the legislature
         to provide for separate classification and taxation of all-
         terrain vehicles or to exempt such property from property
         taxation and impose taxes upon a different basis in lieu
         thereof.
     "A vote against this proposition would continue the taxation of
         all-terrain vehicles in the same manner as all other property."
     Sec. 3. This resolution, if approved by two-thirds of the members
 elected (or appointed) and qualified to the House of Representatives and
 two-thirds of the members elected (or appointed) and qualified to the
 Senate, shall be entered on the journals, together with the yeas and nays.
 The secretary of state shall cause this resolution to be published as
 provided by law and shall cause the proposed amendment to be submitted
 to the electors of the state at the general election in November in the year
 2024, unless a special election is called at a sooner date by concurrent
 resolution of the legislature, in which case the proposed amendment shall
 be submitted to the electors of the state at the special election.