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Excise Taxes

CITY OF OLATHE EXCISE TAXES

Effective January 1, 2007 - (No updates in 2008)

STREET EXCISE:

In accordance with Ordinance No. 05-126, amending OMC Section 3.35.030 (an amendment of Ordinance No. 01-105) development in Olathe is subject to a street excise tax of $0.215 per square foot of land area.  Street excise is submitted to the Development Services Department prior to recording the final plat. Note: Arterial street right-of-way is exempt from street excise tax. 

Funds generated by the Street Excise are used to construct two lanes of an urban arterial and for traffic signals at the intersection of arterial roads.

TRANSPORTATION IMPROVEMENTS (SIGNAL) EXCISE: In accordance with Ordinance No. 05-126, amending OMC Section 3.35.030 (an amendment of Ordinance No. 01-105). Prior to recording a plat, this tax is submitted to the Development Services Department. Note: Arterial street right-of-way is exempt from signal excise tax.

  • Single Family Zoning Districts: Development is subject to transportation improvements (signal) excise tax of $0.0037 per square foot.
  • Multi-Family Zoning Districts: Development is subject to transportation improvements (signal) excise tax of $0.0120 per square foot.
  • Commercial Zoning Districts: Development is subject to the transportation improvements (signal) excise tax of $0.0576 per square foot.
  • Other Zoning Districts: Development is subject to the transportation improvements (signal) excise tax of $0.0098 per square foot.

Funds generated by the Transportation Improvements (Signal) Excise are used to construct traffic signals at the intersection of arterial roads and collector streets.  These funds are not available for private driveways intersecting arterial roads or other improvements required as part of a development approval.

PARK EXCISE TAX: Resolution 05-98 changes the park excise tax rate modifying Olathe Municipal Code 3.30.050.

The Park Excise Tax (PET) is collected on all new residential and non-residential development and expansions to existing development greater than 5% of an existing building within the City of Olathe. The PET is collected at the issuance of the building permit. 

  • Industrial development is subject to a park excise tax of $0.07 per square foot of gross floor area.
  • Office/Commercial development is subject to a park excise tax fee of $0.13 per square foot of gross floor area.
  • Residential development is subject to a park excise tax fee of $520.00 per dwelling unit.

Use of PET: The revenue generated from the PET is directed into the Neighborhood Park Fund or the General Park Fund depending on the use of the particular the building permit is issued for. Revenue from all single family and 2-family unit residential building permits are deposited in the Neighborhood Park Fund of the PET and used exclusively for the acquisition and development of neighborhood parks in the growth areas of Olathe. Revenue from all 3&> family dwelling unit building permits and all commercial and industrial building permits are deposited in the General Park Fund of the PET. The General Fund can be used throughout Olathe's park system, including neighborhood parks and open space, to acquire new parkland and open space, upgrade existing facilities or provide new facilities within Olathe's parks system.