Laura Kelly talks to reporters after a press conference.
Republicans and Democrats have promised for years that property tax relief will happen. (Blaise Mesa/The Beacon)

Kansas Gov. Laura Kelly has vetoed the state’s main property tax relief proposal, saying the bill doesn’t actually lower taxes. That’s left Kansas lawmakers with no significant proposal to adjust soaring property taxes with just days left in the legislative session. 

Takeaways
  1. Gov. Laura Kelly said the most significant property tax proposal passed this year was flawed. So she vetoed it. 
  2. Lawmakers have struggled to agree on property tax relief this year. No other alternative has yet to get enough support to pass. 
  3. Lawmakers return to Topeka April 9. 

Kansas lawmakers passed a bill that would cap how much local governments could increase spending. If local governments raised spending too much, residents could sign a petition to block the budget entirely. Under the legislation, only 10% of residents in the taxing jurisdiction needed to sign the petition. 

Municipalities could only increase budgets by either 3% or the Midwest Consumer Price Index for the last year to avoid the protest petition. The bill barely passed the House and Senate and is nowhere near a veto-proof majority. 

Kelly said the bill has already hurt cities and school districts. She said in her veto message that certain bond financing projects were stopped in anticipation of the law. 

“The harm this bill causes local communities is real,” Kelly said. “The legislature would be wise to focus their efforts on partnering with local elected officials to develop real property tax relief for Kansans, as opposed to shutting them out of the process and passing faulty legislation.”

Speaker of the House Dan Hawkins, a Wichita Republican, blasted Kelly’s veto. He said in a press release that families are tightening their budgets, so local governments should have to do the same to keep taxes low. 

“This conversation is not over,” he said, “and we will continue to fight to put Kansans who are suffering under out-of-control property taxes back in the driver’s seat.”

The legislative session is almost over. Lawmakers are returning to Topeka for a veto session, where lawmakers could vote to override the veto. They could also come up with an entirely new property tax plan. 

Finding property tax relief lawmakers can agree on has been an ongoing issue. Previous proposals failed to pass this year, and it took hours of negotiation between Senate and House lawmakers to agree to the current proposal that now appears dead. 

Aside from caps to budgets, lawmakers also debated capping how much a home valuation can increase each year. Both bills had similar drawbacks. Both Republicans and Democrats argued the bills don’t actually provide any real relief. Nobody’s taxes would go down and local governments could still raise taxes to make up for lost revenue. 

But Republican leadership touted both bills as a one-two punch for relief. They said making governments keep spending low and stopping massive home appraisal increases would keep money in Kansans’ pockets. 

Legislators have been promising property tax relief for years. It’s one of the few issues Democrats and Republicans agree on. But it isn’t immediately clear what the path forward is. 

Kelly did propose her own property tax plan. 

She wants lawmakers to approve a one-time, $250 tax credit for all vehicle owners. Kelly then wants lawmakers to create a $60 million fund to reimburse cities and counties that keep taxes low. The state would add funds annually, starting with $60 million and growing by 2% each year. She then wants lawmakers to double the size of home exemptions —  from $75,000 to $150,000. 

But some of these proposals don’t have the support to pass. Lawmakers debated a $60 million fund to reimburse cities when they passed the bill Kelly just vetoed. That provision was cut because it would cost too much. 

“Every $60 million we approve here is $60 million not available for core state obligations, tax relief or reserve stability,” said Rep. Kristey Williams, an Butler County Republican, during floor debate in February

Type of Story: News

Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources.

Blaise Mesa is The Beacon’s Kansas Statehouse reporter. He has covered the Kansas Statehouse for The Beacon since Nov. 2023 after reporting on social services for the Kansas News Service and crime and...