Kansas Gov. Laura Kelly has vetoed a property tax bill, arguing it would not deliver meaningful relief and could create problems for local governments.
The measure, known as Senate Substitute for House Bill 2745, aimed to limit how much local governments could increase property tax revenues and allow residents to challenge those increases through petitions. However, Kelly said the proposal would restrict flexibility for cities, counties, and school districts while failing to actually lower taxes.
In her veto message, Kelly also warned the bill was already causing disruptions, with some local bond projects halted due to financial uncertainty tied to the legislation.
Alongside the veto, Kelly introduced her own three-part property tax relief plan. It includes:
- A one-time $250 tax credit for vehicle owners
- A state-funded incentive program rewarding local governments that limit budget growth
- Doubling the homestead exemption from $75,000 to $150,000, which she says would benefit more than 700,000 homeowners
Kelly emphasized that while most property taxes are set at the local level, the state should still play a role in providing relief and encouraging responsible spending.
Republican leaders criticized the veto, saying the bill was a step toward controlling rising taxes and that the fight for property tax relief is not over.
Lawmakers are expected to revisit the issue during the final days of the legislative session, where they could attempt to override the veto or pursue a new plan.
