Lyon County and its communities should soon have a new source of revenue. Lyon County’s sales tax bill is headed to the governor for signature.
State Sen. Jim Barnett said this morning that House Bill 2026 passed the Kansas Senate about 5:30 p.m. Thursday.
On Aug. 5, voters in Lyon County approved a county-wide 1 percent sales tax, which the county was to begin collecting Oct. 1.
Despite overwhelming voter approval, the sales tax was negated by the state shortly after its passage by voters. The county already had a 1/2 percent sales tax in effect. Lyon County learned from the Department of Revenue that the tax could not be collected because it exceeds the 1 percent sales tax cap for the county.
The county had two options to deal with the sales tax: re-voting the tax to stay within the 1 percent cap or asking for special legislation to gain permission to collect more than the 1 percent cap.
The bill gives Lyon County legislative approval to have a 1.5 percent sales tax.
Barnett said he spoke with the chief of staff for Gov. Kathleen Sebelius two days ago.
“They are expecting the bill,” he said. “We have had numerous conversations with the Secretary of Revenue Joan Wagnor. She has been highly supportive of the bill from Day One. I’ve spoken with all the right people to move this through as quickly as possible.”
Once the bill is signed it will have to be published in the state’s register before the sales tax can be collected in Lyon County.