The proposed bill significantly reforms property taxation in Kansas by enabling taxpayers to initiate a protest petition if a taxing jurisdiction's budget surpasses a specified threshold, which is based on the previous year's property tax revenues adjusted for inflation and new construction. Taxpayers have a 30-day window to submit a petition after the jurisdiction certifies the tax amount, and if at least 10% of qualified voters sign, the jurisdiction will be restricted to the maximum allowable funding. Additionally, the bill requires county clerks to inform taxpayers about the protest petition process and their property tax details, while establishing a "protest petition notification costs fund" to cover clerks' expenses related to these notifications.

Moreover, the bill introduces amendments concerning property tax levies by taxing subdivisions, particularly school districts, clarifying that tax increases solely due to revenue adjustments will not be deemed as exceeding the revenue neutral rate. It mandates taxing subdivisions to certify ad valorem tax amounts by October 1 and outlines penalties for non-compliance, including reductions to align with the revenue neutral rate. The legislation also requires the Department of Administration to make budget documents and revenue neutral rate information publicly available online, and it allows governing bodies that unintentionally exceed their revenue neutral rate to levy a tax rate not exceeding the previous year's revenue. The bill includes repeals of certain existing statutes and will take effect upon publication in the statute book.

Statutes affected:
As introduced: 72-5137, 79-2988, 79-1801, 79-2929, 79-2989
As Amended by House Committee: 72-5137, 79-2988, 79-1801, 79-2929, 79-2989
S Sub for: 79-1801, 79-2988