Tuesday, July 24, 2012

When is a dollar not a dollar?

The answer is, "When it's a 'budget' dollar, of course."

We're knee deep in wrapping up the revised 2012 budget and the initial 2013 budget for the Unified Government. Commissioners and staff alike have been putting in lots of hours to make sure that we have the best budget possible for the residents of Kansas City, Kansas and Wyandotte County.

Property taxes account for the bulk of income into our city and county general funds. I'm not sure any of us like writing those checks every six months, but that money is critical to the operation of our city.

However, I was reminded again last night at our budget work session how easy it is to fall into a trap of misperception when we write the check to pay our property taxes.

In their budget presentation, our staff provided us with a reminder that less than half of every property tax dollar actually gets used to pay the expenses of the Unified Government.

Take a look at this graphic (click to enlarge)...



This picture clearly shows that only 47 cents of every property tax dollar actually goes to help the Unified Government pay its bills and provide services to its citizens. It's easy to overlook that fact since we all write our property tax checks to the "Unified Government Treasurer". But the UG passes over half of our money along to other taxing entities.

Here's the breakdown:


Unified Government (Kansas City)                 26 cents

Unified Government (Wyandotte County)       21 cents
USD 500 (K-12 public schools)                       34 cents
Kansas City, Kansas Community College      13 cents
Public Library                                                     5 cents
State of Kansas                                                 1 cent

Anyone who lives in Turner, Edwardsville or Bonner Springs has a slightly different breakdown since they contribute to a different school system, but the overall picture is the same.

I frequently hear people say that the Unified Government should work hard to lower property taxes. We hear you. We held the line on the property tax rate this year, and everyone associated with the UG is working hard to find ways to lower the property tax rate in the future.

But you have to remember that the UG only controls 47% of the total property tax bill. So, if you believe property taxes should be lower, be sure to share your thoughts with representatives of the Unified Government AND with representatives of the other organizations that receive property tax dollars.

~ Brian

bmckiernan@wycokck.org
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