Nov 03, 2023

Letter: Death and taxes

Posted Nov 03, 2023 2:44 PM

Benjamin Franklin is credited with saying, “Nothing is certain but death and taxes.” Local cities, school districts and the county have recently completed their 2024 budgets, and soon, property owners will receive their annual property tax statements.

Of course, none of us like to pay taxes, and there are few issues that generate more indigestion, but at the risk of creating heartburn, I thought I would provide some data that I believe is relevant.

I often hear the comment that “taxes are too high in Hays.” When I hear this, my initial thought is compared to what? Compared to other Kansas communities our size? Compared to what they were a few years ago? It isn’t reasonable to say something is too high without some basis for comparison.

The chart below reflects comparable communities across Kansas, the median listing price of homes for sale (per Realtor.com), their mill levies, and corresponding property taxes experienced in those communities.

We compare very well with these communities in terms of property tax costs.

Taxpayers in the city of Hays have long enjoyed one of the lowest mill levies in the state. There are several reasons for this.

● In 2004, the residents of the city of Hays voted to fund the city general fund via sales tax versus property taxes. This has resulted in a reduction in the city levy to about 25 mills since that time.
● Ellis County is consistently the top oil-producing county in the state of Kansas. In 2022, oil properties comprised 8.52 percent of the county's taxable valuation. The property taxes paid on these oil properties result in lower overall property taxes for other property owners.
● For 40 years, the residents of USD 489 chose not to invest in school facilities. By doing so, the levy for USD 489 remained low. However, the bill came due, and in May of 2022, a $143.5 million bond was passed, resulting in an 11 mill levy increase.

Another consideration is where our property tax dollars go. Below is a chart reflecting the break out of the levies by the various entities and the percentage of the property tax bill they represent.

Undoubtedly, increased costs of all types create a hardship for low and fixed-income residents, and this is an ongoing challenge. However, in my experience, Hays city commissioners, Ellis County commissioners, USD 489 board members, and their staffs do a very good job making financially prudent decisions and managing costs. They are mindful of spending and invest public funds wisely.

Property taxes fund much in our community, including schools, streets, county roads and bridges, fire departments, city and county law enforcement, parks and recreation, libraries, and many other quality-of-life amenities. We have a wonderful community and much to be thankful for, but Benjamin Franklin was right. “Nothing is certain but death and taxes.”

— Doug Williams, executive director of Grow Hays