Committee talks about potential fixes to local taxation projects
JEFFERSON CITY - State lawmakers are considering tax changes like capping property taxes, which rapidly growing school districts believe will affect their funding.
The Interim Committee on Oversight of Local Taxation met Monday at the Capitol. It also held hearings in Kansas City and St. Louis to learn more about local taxes such as property taxes, sales tax and other local project taxing districts.
The discussion comes after KSHB, our NBC affiliate in Kansas City, reported about a dramatic increase in property taxes where property taxes sometimes tripled for homeowners.
Chris Felmlee, who is the superintendent of Southern Boone School District in Ashland, said a cap on increasing property taxes in one year could hurt growing schools because they are a large part of school funding.
"We could be looking at overcrowding," he said. "We could be looking at cutting services or athletics or different programs because of the caps that are detrimental to our educational program."
Archie Hendren Jr., who just moved to Ashland a year ago, said he noticed the higher property taxes and believes they are necessar,y but wishes they found a different way of income.
"I know taxes are important, but if you are just taxing, taxing, taxing," he said. "As a city you need to find a different way of income."
The committee also discussed the pros and cons of local project taxing districts like, Community Improvement Districts and Tax Increment Financing.
Columbia has used Tax Increment Financing to fund projects for downtown community development, like a second tower at the Broadway Hotel.
No idea is expected to be voted on or proposed until the regular legislative session starting January 2020.