Overview: Government

City

The City of McPherson is governed by an elected Mayor and two commissioners, with the assistance of an appointed City Administrator. A comprehensive city plan has been adopted and is reviewed and updated periodically. City Zoning has also been adopted and provides for the orderly expansion of residential property, commercial, and industrial zones. The city is served well with a full complement of municipal services:

Fire
Full-time fire department personnel: 18
Volunteer fire department personnel: 14

Fire Insurance Classification
Within the city: 4
Outside the city (depending on distance): .4 - 9

Police
Full-time police personnel: 27
Part-time police personnel (reserves): 6

Tax
Property Tax
(mills) 2005
City: 47.708
County: 33.383
School District: 53.608
State: 1.500

Sales Tax
City: .5%
County: 1.0%
State: 5.3%

Property Tax Exemption
Both the Kansas State Constitution and K.S.A. 12-740 et seq provide methods of exempting business real and personal property from ad valorem taxation. Since 1961 such exemptions have been available in connection with the issuance of industrial revenue bonds (IRBs) by cities and counties to finance the acquisition and/or improvement of such property. In 1986 the voters amended the Kansas Constitution (Article 11, Section 13) to authorize cities and counties to grant property tax exemptions for certain economic development purposes without the requirement of IRB usage.

Under the constitutional exemption procedure, the property exempted must be used exclusively for: (a) manufacturing articles of commerce, (b) conducting research and development, (c) storing goods or commodities which are sold or traded in interstate commerce, or (d) facilities used to house the headquarters or back office operations of retail enterprises. In 1994, the legislature clearly prohibited the use of this statute to exempt from taxation property, which is to be used by a retail enterprise, without the issuance of IRBs.

The City of McPherson and McPherson County each have respective property tax abatement policies. Since 1961, when property tax exemption first became allowable, both the City and County have traditionally followed this practice to qualifying applicants of new and expanding industries. Under both policies, exemptions are made by all taxing units: State, County, City, and School District.

County

McPherson County

State

Kansas

"The structure of Kansas' financial incentives, tax levies, and tax credits, has been thoughtfully planned to be fair and favorable for your business. Our tax basis ensures that no single industry is disproportionately burdened. Our incentives reflect an awareness of what it takes to attract and retain the companies who provide jobs for Kansans. And our state is constitutionally restrained from overspending, providing a foundation of fiscal integrity for our business climate."
Source: Kansas Data Book