City to review proposed 2022 budget with mill levy increase

·2 min read

Jul. 10—Manhattan city commissioners Tuesday will look at a proposed 2022 city budget that will raise the property tax bill of an average homeowner by 12.6%.

The meeting starts at 5:30 p.m. at City Hall. Officials also will broadcast the meeting on Cox Cable Channel 3, the Manhattan city government website and Facebook.

City administrators are proposing a 2022 property tax rate of 54.914 mills, an increase over the 2021 rate of 49.835. A mill is $1 in tax for every $1,000 in assessed, taxable property value.

That would mean the owner of a $100,000 home paying $573.10 in taxes during 2021 would pay $645.40 in 2022, an increase of $72.30 or 12.6%.

Among the reasons given by city administrators for the increase include a 2.378-mill increase over 2021 for the Riley County Police Department, a 0.182-mill increase for the Manhattan Library Fund and a 2.579-mill increase for city-supported services in 2022, officials said.

The city is statutorily required to fund the combined 2.5 mill increase for the library and police department, officials said.

Additionally, city administrators adjusted the bond and interest fund with a slight decrease in the mill levy for 2022, but staff forecasts an increase to the fund in 2023.

This year, Kansas law changed to require cities to notify the state if the proposed budget is above "revenue neutral."

The commission on Tuesday will vote on a resolution to declaring their intent to levy a property tax rate above revenue neutral with a maximum levy of 54.914 mills.

Because property valuations are increasing, the city would have to lower the tax rate to stay revenue neutral. Because the city is looking at increasing the mill levy in 2022, the city must adhere to the state's budget process for cities exceeding revenue neutral budgets. City staff must notify Riley County about the increase by July 20, officials said.

Additionally, the Manhattan Area Chamber of Commerce will present its 2022 budget request for economic development to city commissioners. The Manhattan Convention and Visitors Bureau also will give a second quarter update.

Commissioners also will review the final draft of the city's new development code. Officials have updated Manhattan Development Code, formerly known as the Unified Development Ordinance, with new zoning regulations into one document. The main goal is to put all the zoning and design information into one document and make it easier for the public to understand. The commission will review the draft with Chad Bunger, assistant director of community development for the city government.

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