Voters are responsible for Kansas City’s surging taxes
If you want to know who is most responsible for the more than decadelong surge of taxes and fees in Kansas City, look to voters.
Elected officials starting with Mayor Kay Barnes in the early 2000s led the charge to put numerous tax plans on the ballot, along with plenty of fee increases.
More often than not, voters have embraced the priorities and goals sketched out by City Hall.
That’s a big reason, as The Star noted in a Sunday editorial, that City Hall’s proposed spending in the 2015-16 budget is a staggering 80 percent higher than 16 years ago.
Meanwhile, the cumulative inflation rate for that period was only 36 percent.
Much of the new money has been spent properly, some has been unfortunately diverted to other causes, and some has been wasted on non-essential personnel or programs.
Here’s one snapshot of how times have changed.
In late 2000, the city charged a 1 percent sales tax for public improvements and a half-percent tax for public transportation, for a total rate of just 1.5 percent.
But fast-forward to early 2015, and the city’s sales tax rate has surged to 2.875 percent after voters added two separate taxes for public safety, one for buses and another for parks. The city’s total sales tax collections are expected to exceed $210 million in the coming year, almost twice what they were in 2000.
Other major tax increases have affected Kansas Citians.
City residents who live in Jackson County also pay a higher sales tax for the Truman Sports Complex upgrades and another one for Kansas City Zoo improvements. City residents of Clay County pay the special zoo tax, while city homeowners in Platte County pay a higher parks sales tax. Voters endorsed all those actions in the past decade or so.
Then pile on the higher property tax for indigent care approved in 2005 plus higher fees and taxes for everything from hotels to building inspections to restaurant meals, and City Hall’s collections have soared.
Yet it’s still not enough, at least in the eyes of some city officials and residents.
Later this month, Mayor Sly James and the City Council will approve a $1.473 billion annual budget that takes effect May 1. But a number of people recently have complained that the city is not spending enough money on several priorities.
They want the city to hire more police, or take care of more indigent people, or tear down more dangerous buildings, or offer more activities for young people or provide smoother streets — or do all of that.
Two other points deserve mention.
First, voters have rejected some taxes, too, such as attempts to build light-rail systems.
Second, super-high sales taxes are being imposed in many retail districts without voter approval, such as the total sales tax rate that’s now 10.35 percent inside the downtown streetcar district.
Even higher taxes and fees could be ahead.
A measure that could increase stormwater fees could be on the June ballot. James last week talked about the possibility of asking voters to approve a tax increase for infrastructure upgrades, perhaps by late 2016. New taxes may be requested to expand the streetcar system.
Voters eventually may have to decide whether City Hall has sketched out reasonable plans to use the funds for the public good.
And if the past is any guide, the city has better than even chances of getting the extra money.
This story was originally published March 8, 2015 at 10:00 AM with the headline "Voters are responsible for Kansas City’s surging taxes."