School districts would lower levies and raise home tax exemptions

School districts would levy a 18.5-mill property tax for the 2025-2026 school year. The levy would apply to taxable property in each Kansas school district and would support school funding and certain older redevelopment bonds. The tax would continue to support school costs and other purposes listed in the provision. Proceeds used for older redevelopment bonds would be treated differently from the other tax proceeds. The 18.5-mill rate would apply to the 2025-2026 school year.

Residential property would be exempt from the school property tax on up to $100,000 of its appraised value. The exemption would cover property used for residential purposes and would apply only to the school tax imposed under the listed school-funding law. The exemption would apply to the property's appraised value, not necessarily to all property taxes. The exemption would apply for tax year 2026 and every tax year after that.

State budget officials would calculate the tax revenue difference and transfer the certified amount to the state school district finance fund. The calculation would cover revenue affected by the residential exemption and the school district tax rate. Officials would compare the proposed exemption with a $42,049 exemption and the proposed rate with a 20-mill rate. The transfer would come from the state general fund. The transfer would occur when money is available. The budget director would certify the amount each August 15, and the accounts and reports director would transfer it after receiving the certification or as soon afterward as money is available.