Bill > SB490

This bill authorizes municipalities to impose a "community improvement district privilege tax," which is a tax on the privilege of selling alcoholic beverages, food and food ingredients, and tobacco within a designated community improvement district, with the revenue used to fund projects within that district. This tax can be up to 1% and is collected by sellers from consumers, then remitted to the state Department of Revenue, which in turn sends it to the municipalities. The bill also makes several amendments to existing laws related to community improvement districts, including clarifying that this new privilege tax is an additional financing option alongside existing sales taxes and bonds, and it specifies how the tax revenue is managed and accounted for, including its expiration when bonds are repaid or projects are fully funded.

Budget and Finance

Assessment and Taxation (Senate)

https://kslegislature.gov/li/b2025_26/measures/sb490/