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Oakley council adopts ordinance to implement 1% sales tax to help school bond

December 01, 2025 | Logan County, Kansas


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Oakley council adopts ordinance to implement 1% sales tax to help school bond
The Oakley City Council voted Dec. 1 to adopt Ordinance 1195, a formal step to implement a voter‑approved 1% general‑purpose sales tax intended primarily to help the local school district cover bond payments approved in the Nov. 4 election. The ordinance passed by unanimous voice vote after a motion recorded in the proceedings as moved by Russ and seconded by Steve.

Garth, the meeting presenter, told the council the city must pass the ordinance and publish it once in the official city newspaper before submitting it to the Kansas Department of Revenue through the department’s online portal. “04/01/2026 is the first available date that this sales tax can begin collection,” he said, adding the city will need a sales‑tax agreement with the school district to set the mechanics for remitting collected funds.

Garth described the timing link between bond sale and implementation: the school district’s bond sale was expected Feb. 9, 2026, with a closing Feb. 26; the final principal and interest amounts will be known after that process and incorporated into the sales‑tax agreement. He said the tax is a general‑purpose sales tax under state law and will end once costs associated with the school project and bond repayment have been paid — which could be later than 10 years but could end earlier if bonds are paid off sooner.

Council members asked about limits on use of proceeds; the presenter clarified the primary authorized use is repayment of the school district bond and that proceeds cannot be used for unrelated projects outside the bond scope. After the vote, Garth said he or his legal assistant Riley would follow up on signature pages and publication logistics, and that publication was anticipated Dec. 10. Once published, the ordinance must be submitted to the Kansas Department of Revenue prior to the effective quarter start.

Next steps: staff said a draft sales‑tax agreement would be circulated for city and school board review, with the council expecting to consider final agreement language in January once bond terms are finalized.

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Scribe from Workplace AI
Scribe from Workplace AI