TOPEKA — A coalition of agricultural organizations, real estate lobbyists, and a conservative think tank is pushing for a Senate bill to repeal the statewide 1.5-mill property tax that raises $84 million for public building projects in Kansas.

The legislation proposes replacing the property tax with funds from the state’s general treasury. Under the bill, $75 million would be allocated for projects at universities, veterans' homes, schools for the blind and deaf, state hospitals, and juvenile correctional facilities. This represents a $9 million reduction from the current property-tax allocation.

“The bill is a great starting point to provide much-needed relief to all Kansas property taxpayers,” said John Donley of Kansas Farm Bureau. “The state and local government’s reliance on property taxes has reached a point where action must be taken.”

The Kansas Livestock Association and Kansas Grain and Feed Association also testified in support of the bill. Mark Tomb, lobbyist for the Kansas Association of Realtors, echoed their sentiments, calling the change overdue.

“The two funds addressed in this legislation support institutions that work with Kansas' most vulnerable residents,” Tomb said. "Removing these property tax levies does not eliminate the state’s obligation to support these important programs."

Dave Trabert, CEO of the Kansas Policy Institute, emphasized that the state could afford this property tax relief through budget efficiencies.

Under Senate Bill 35, the changes would take effect in fiscal year 2026, with a 2% annual increase for building funds beginning in 2027. The law would expire in 10 years, requiring the Legislature to revisit the program in 2036.

Blake Flanders, CEO of the Kansas Board of Regents, expressed conditional support for the bill, recognizing the importance of funding for state university buildings. However, he recommended amendments, including an increased initial appropriation of $56 million for universities.

“If we don’t pay for this now, we will pay for it later at a higher cost,” said Colton Gibson, executive director of the University Contractors Association of Kansas.