SESSION OF 2024
SUPPLEMENTAL NOTE ON SENATE BILL NO. 468
As Amended by Senate Committee on
Assessment and Taxation

Brief*
SB 468, as amended, would require any city or county
that grants, approves, or otherwise authorizes any property
tax exemption related to economic development or industrial
revenue bonds in the prior calendar year to generate the
same amount of property tax revenue as levied in the
previous tax year under the revenue neutral rate law.
The bill would define “otherwise authorizing a property
tax exemption” as including, but not being limited to, adopting
any resolution or letter of intent, inducement resolution,
motion, or other document to grant, approve, or authorize a
property tax exemption or the issuance of industrial revenue
bonds.

Background
The bill was introduced by the Senate Committee on
Assessment and Taxation at the request of Senator Tyson.

Senate Committee on Assessment and Taxation
In the Senate Committee hearing, proponent testimony
was provided by Representative Tarwater, a representative of
the Americans for Prosperity, and a private citizen. The
proponents generally stated the bill would help reduce
property taxes for Kansas residential property owners.
____________________
*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.kslegislature.org
 Written-only proponent testimony was provided by a
representative of the Kansas Policy Institute.
Opponent testimony was provided by representatives of
the cities of Basehor, Olathe, and Topeka, the Greater Topeka
Chamber for METL (Manhattan, Emporia, Topeka, Lawrence),
and the League of Kansas Municipalities. The opponents
generally stated the bill would not allow the taxing districts to
attract commercial growth.
Written-only opponent testimony was provided by
representatives of 27 cities in Kansas, Chamber of Lawrence,
Dodge City Community College, Finney County Economic
Development Corporation, Harvey County Economic
Development, Kansas County Clerks and Election Officials,
Kansas Economic Development Alliance, Little Government
Relations, Manhattan Area Chamber of Commerce, Mitten
Inc., Newton Area Chamber of Commerce, Scott County
Development Committee, South Haven Fire Department,
Sumner County, Sumner County Board of Commissioners,
TriCentury Bank, Weigand Realtors, and Wyandotte Unified
Government.
No other testimony was provided.
The Senate Committee amended the bill to remove tax
increment financing from the city or county levies that would
require the city or county to not exceed the revenue neutral
rate in the following calendar year.

Fiscal Information
According to the fiscal note prepared by the Division of
Budget on the bill, as introduced, the Department of Revenue
indicates enactment of the bill would have no fiscal effect on
state property tax collections or operations.


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 The League of Kansas Municipalities and Kansas
Association of Counties indicate the fiscal effect on local
governments is unknown.
Any fiscal effect associated with the bill is not reflected
in The FY 2025 Governor’s Budget Report.
Property tax; Revenue neutral; revenue bonds; tax exemption


3- 468


Statutes affected:
As introduced: 79-2988
As Amended by Senate Committee: 79-2988