Property Tax Increase

ALERT: Kansas Orders Independent Reappraisal of Sedgwick County Properties – Tax Increases Likely

March 12, 2025

The Kansas Department of Revenue’s Property Valuation Division (PVD) has initiated a third-party market-based appraisal process for commercial properties in Sedgwick County following the county's failure to meet minimum appraisal standards in the 2023 sales ratio study.

When a county’s commercial property valuations fall outside of state-mandated compliance thresholds, the Director of Property Valuation is authorized to perform independent market-based appraisals to verify the accuracy of the county’s valuation system. As a result, the Department has engaged a third-party appraisal firm to conduct appraisals of randomly selected commercial properties throughout Sedgwick County.

Key Takeaways for Commercial Property Owners:

  • What’s Happening? The PVD has contracted with a third-party appraisal firm to conduct on-site inspections and market-based appraisals of randomly selected commercial properties in Sedgwick County. The firm will apply all three approaches to value (cost, income, and sales comparison) to assess accuracy.
  • Why is This Happening? Sedgwick County’s commercial property valuations were found to be below the state’s required market valuation standards, leading to this review.
  • Who is Affected? Owners of randomly selected commercial properties in Sedgwick County will receive notices of review and should expect appraisers to conduct site visits and analyze relevant market data.
  • What to Expect? If your property is selected, you will be given the opportunity to provide pertinent data that may impact your property’s valuation.
  • Probable Outcome: Given the state’s findings that commercial properties in Sedgwick County were undervalued, commercial property owners should anticipate moderate to significant increases in assessed values for the 2026 tax year. These increases will likely lead to higher property tax liabilities unless successfully challenged.

AGH will continue to monitor developments and provide updates as new information emerges. For questions about this alert or any State and Local Tax matters, please contact Jerry Capps at 844.577.1122.

Gerald Capps, JD

Senior Vice President
State & Local Tax Services

Jerry Capps and the State and Local Tax (SALT) team provide sophisticated state and local tax planning, strategic advice and advocacy to numerous mid-market, Fortune 100 and industry-leading companies. The team has returned many millions of dollars in one-time and recurring tax savings to companies.

In addition to planning and compliance, the SALT practice includes legislation and policy, litigation, and controversy matters involving income, franchise, sales and use and property taxes. Jerry's work involves critical questions on nexus, apportionment, the Multistate Tax Compact, and the equal protection, due process and commerce clauses of the United States Constitution. He is a respected advocate on issues of tax policy and he represents clients in all phases of state and local tax controversy, including audit assistance and administrative hearings. He also provides counsel on state and local income and transactional costs for mergers, acquisitions and corporate reorganizations.

Jerry is a member of the Institute for Professionals in Taxation, the Kansas Society of Certified Public Accountants, the American Bar Association and the Kansas Bar Association. He has been engaged as a keynote speaker for organizations such as the Institute for Professionals in Taxation, state and local CPA societies, university and professional accounting conferences, and chambers of commerce.

NOTE: Any advice contained in this material is not intended or written to be tax advice, and cannot be relied upon as such, nor can it be used for the purpose of avoiding tax penalties that may be imposed by the IRS or states, or promoting, marketing or recommending to another party any transaction or matter addressed herein.

Making major business decisions? What are the tax consequences?
See how our professionals can add value to your decision-making process.