A few public hearings were held Thursday, August 25 for the City of Edgerton’s 2023 budget and plans to exceed the State’s Revenue Neutral Rate.
No one spoke at the public hearings.
The city’s set mill rate that will be used for the city’s budget is 29.669 mills.
Karen Kindle, finance director, said the mill levy was a reduction from 29.913 but still exceeded the RNR of 27.351.
She said adjustments were made for roll-off of incentives that include property tax abatements, new territory annexations, growth in assessed values of non-residential property and residential property due to inflation based on the CPI-U, issuance of general obligation debt and errors by Johnson County.
“The City will use the modest increase in revenue to invest in street maintenance, water and sewer infrastructure, public safety and to help cover increased operating costs because of inflation,”Kindle said.
Kansas Governor Laura Kelly signed Senate Bill 13 in March 2021 that repeals the previous tax lid focused to the total property tax revenue required for the budget and the mill rate and calculation of the Revenue Neutral Rate. The RNR uses last year’s property tax revenue and this year’s estimated assessed valuation to calculate the mill rate needed to receive the same property tax revenue as last year.
The Senate Bill 13 doesnt provide adjustments to capture economic growth, debts or county errors.
A video was played explaining the City’s 2023 budget. The video said the City’s building appraisals from Johnson County showed that property values continue to increase every year and the values of improvements in the city have risen.
20 percent of Edgerton’s revenues are from property taxes.
Kindle said a budget work session had been held July 7 and no changes had been made to the General Fund, Utilities, Water and Sewer, Special Highway, Gas Tax, Liquor Tax, Bond and Interest, TIF funds and Vehicles funds.
The budget will be approved at the September 8 city council meeting.
Don Roberts, mayor, said he appreciated the work the city administration had put into the budget video.
“Taxes are confusing and always have been for people,”he said.
Edgerton’s property tax will exceed their revenue neutral rate