Facts and figures to help you figure out whether to gripe or not to gripe about Lawrence’s property tax rates

Complaining about local taxes is easy. Figuring out whether we have a good gripe is hard because it requires lots of numbers, an abacus and stretching exercises. (I can’t count on my toes without the exercises anymore.) But as local governments get ready to approve their new tax rates, I’m limber and full of figures. So, let’s take a look.

As a reminder, we’re in the midst of budget seasons for the Lawrence City Commission, the Douglas County Commission and the Lawrence school board. City commissioners tonight will give preliminary approval to a budget that holds the property tax rate steady. Douglas County commissioners have reached a consensus on a budget that holds the county’s property tax rate steady as well. The Lawrence school board is considering a budget that would increase the property tax rate by about 1.6 mills, or about $30 on a $160,000 home.

The numbers I have for you take a look at what we’re paying in property taxes right now compared with what residents in other large cities in the state pay. I could just list the property tax mill levies for each city and call it good. Local government leaders would be pleased because the total mill levy paid in Lawrence is quite a bit less than in some other cities. Lawrence’s combined property tax mill levy is approximately 129 mills. Compare that with Kansas City’s at 174 mills or Topeka’s at 161 mills or Manhattan’s at 135 mills.

But I think there are two other factors you have to look at to get a full picture: the average value of a home in a community and the average wage for a full-time worker. The price of the home directly affects the size of your tax bill, and your wage affects your ability to pay it. I use home values from the 2009-2013 Census Bureau’s American Community Survey, and I use a Census figure from the same source that estimate the median wage for a full-time, year round, male employee. I use that number because it factors out the thousands of college students who aren’t really in Lawrence to earn any money at the moment. I wish the Census Bureau made a combined male-female average year round wage available, but it is not in the tables that I’m looking at this morning.

Hopefully what these numbers will show you is if you are the Average Joe living in an average home in each of these communities, this is how much you will pay in property taxes, and this is how much of your paycheck it will take to pay those taxes. Obviously, everybody’s situation will be a bit different, but this is a math exercise aimed at making some fair comparisons.

So, here’s a look at Lawrence and the other nine Kansas communities with populations greater than 45,000 people:

• Lawrence: Property tax rate: 129.796 mills. Median home value: $178,500. Average earnings: $45,359. Total property tax: $2,664. Percent of earnings: 5.8 percent

• Kansas City, Kan.: Property tax rate: 173.412 mills. Median home value: $90,400. Average earnings: $37,844. Total property tax: $1,802. Percent of earnings: 4.7 percent

• Lenexa: Property tax rate: 106.193. Median home value: $218,900. Average earnings: $62,901. Total property tax: $2,673. Percent of earnings: 4.2 percent

• Manhattan: Property tax rate: 135.436 mills. Median home value: $180,800. Average earnings: $42,078. Total property taxes: $2,815. Percent of earnings: 6.6 percent

• Olathe: Property tax rate: 124.917 mills. Median home value: $193,800. Average earnings: $60,410. Total property taxes: $2,784. Percent of earnings: 4.6 percent.

• Overland Park: Property tax rate: 112.459 mills. Median home value: $223,800. Average earnings: $67,205. Total property taxes: $2,894. Percent of earnings: 4.3 percent

• Salina: Property tax rate: 133.852 mills. Median home value: $114,300. Average earnings: $38,251. Total property taxes: $1,759. Percent of earnings: 4.5 percent.

• Shawnee: Property tax rate: 121.407 mills. Median home value: $196,100. Average earnings: $59,981. Total property taxes: $2,737. Percent of earnings: 4.5 percent.

• Topeka: Property tax rate: 161.690 mills. Median home value: $95,600. Average earnings: $41,641. Total property taxes: $1,777. Percent of earnings: 4.2 percent.

• Wichita: Property tax rate: 119.844 mills. Median home value: $117,500. Average earnings: $45,288. Total property taxes: $1,619. Percent of earnings: 3.5 percent.

So, what to make of those numbers? Lawrence and Manhattan have higher tax rates compared to income than the other communities. Maybe that is because university communities have higher expectations for service levels from government. Maybe it is because the thousands of students drive up the price of real estate. Maybe it is because both communities don’t receive any property taxes from their largest employers — the universities. Maybe neither community captures enough retail sales, and thus they have to garner a larger percentage of their budgets from property taxes instead of sales taxes. Maybe it is because neither community has done enough to attract high-paying, high-tech jobs. I don’t know. But it is noteworthy, although not really new. I’ve done this type of figuring before, and the numbers consistently show Lawrence residents pay a bit of a premium to live here.

Most communities on the list end up having taxes that are somewhere in the 4 percent range of the average full-time wage of the community. If Lawrence could get taxes down to, let’s say, 4.5 percent of the average wage, that would result in a savings of about $600 per year for the Average Joe.

Another interesting tidbit from the numbers is that, evidently, there is a lot more that goes into making a community than its property tax rate. Both Lenexa and Topeka have taxes that are about 4.2 percent of the average earnings of a full-time worker. But Lenexa and Topeka are two very different communities, and many would argue are on different ends of the prosperity scale.

And then there is Wichita. It clearly has a lower tax rate than the others. But, like in any community, you have to look at whether you feel like you are getting a good value for what you spend. I’m not hating on Wichita, but the financial services firm WalletHub kind of is. The company this week put out a list of the best and worst large cities to live in. Wichita ranked near the bottom — 57 out of 62 cities that are greater than 300,000 in population. (Kansas City, in case you are wondering was No. 28) Wichita fared second to last in the education category, which is a big part of what your property tax dollars fund.

So, do Lawrence residents have a good reason to gripe about taxes? I don’t know, and furthermore I’ve got griping of my own to worry about. Complaints are mounting here. I think I’m going to have to put my shoes back on.

In other news and notes from around town:

• If you like talking about tax numbers and what the community should and should not become, then perhaps being part of the Lawrence chamber of commerce’s Leadership Lawrence program is your cup of tea. The chamber is wrapping up applications for the next multimonth session. The deadline to apply is 5 p.m. Aug. 10. You can find details about the cost and application process at LawrenceChamber.com.