Wichita Approves First Budget Decrease in 30 Years Amid Sales Tax Debate

The Derby City Council meeting held on August 26, 2025, focused on budget discussions and the implications of local tax rates in comparison to neighboring Wichita and Johnson County.

The meeting began with a review of Wichita's recent budget approval, which included a half-mill decrease—the first reduction in 30 years—bringing their mill rate down from 32.8 to approximately 32.3. This change was noted as a positive development for Wichita, but it raised concerns for Derby, particularly regarding the competitive landscape of local sales taxes.

Council members discussed how Derby's mill rates are slightly higher than those in Johnson County, where sales tax rates are significantly elevated. The conversation highlighted the challenges Derby faces due to Wichita's lack of a local sales tax, which can attract businesses looking for lower overall costs. The potential for Derby to implement a sales tax increase was debated, with concerns that such a move could drive consumers to Wichita for better deals, particularly on larger purchases.

Council member Coleman contributed to the discussion by referencing conversations with residents who are unaware of the higher sales tax rates in Johnson County, which can reach as high as 11.9%. This discrepancy was pointed out as a factor that contributes to lower property taxes in those areas.

The meeting concluded with a focus on Derby's competitive position in the region, emphasizing the importance of maintaining a favorable mill levy while navigating the complexities of local taxation. Further discussions on budget initiatives and strategies for enhancing Derby's economic standing are expected in future meetings.