House Bill offers locals chance to improve FSCC

The public now has the opportunity to earn tax credits and help pay for capital improvements at Fort Scott Community College.

Last year, the Kansas Legislature approved House Bill 2237; legislation that is designed to address the deferred maintenance needs of designated state colleges and universities.

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The legislation provides for a new 60 percent state tax credit based on a specific percentage of a taxpayer's contribution made on or after July 1, 2008, to a community college or technical college for capital improvements or the purchase of technology or equipment.

To receive the tax credits, the donor simply provides FSCC with basic information that is sent to Topeka so the donation can be processed and the taxpayer can receive the rebate, Roller said.

"Then they'll get a credit on their state taxes back just like they would if they've given money to charities and mortgages, things like that," FSCC Director of Development Daryl Roller said. "We transmit their (tax) information to the state, then the taxpayer gets a receipt and a credit on their Kansas income tax."

As an example of the program, Roller said that a person who donates $1,000 to the FSCC Capital Improvement Program -- which is a plan designed to help generate funds needed to improve or repair equipment and buildings at FSCC -- would receive a $600 credit on their Kansas income tax, in addition to other normal deductions the taxpayer would qualify for under state and federal law. The credits are applicable to corporate and eligible individual income tax, insurance premiums tax, and bank privilege tax.

Roller added that the tax credits should entice and encourage more people to donate to FSCC so that many of the college's deferred maintenance issues can be addressed, and because the credits are an incentive for the donor.

"It would be hoped that this is a way for someone here to determine if their taxes are used here locally or in Topeka," he said.

HB 2237 provides funding for infrastructure improvement projects at colleges and universities statewide, excluding new construction of buildings, maintenance of athletic facilities, new property acquisition, or maintenance of the residences of the institution's president or chancellor.

"Due to them not wanting to raise mill levies (in recent years), some colleges and universities have put off some maintenance issues," Roller said. "They either didn't have the money, didn't establish a capital outlay program, or want to raise the mill levy to do that (address the issues.) So they put the maintenance off to help the taxpayer by not raising taxes. Now it's caught up with them."

Roller said there is currently a list of several minor repair projects, many of which are backlogged, that need to be completed on FSCC buildings, including remodeling, tuck-pointing, installation of new concrete on walkways, replacement of aging carpet, and upgrades to ceilings and lighting fixtures.

"The buildings are good and sound, there are just little things that need to be done," he said. "It's just regular maintenance, not issues caused by abuse or neglect. We get a lot of people through these buildings every year."

The amount of credits issued to FSCC for the 2008 tax year is $78,125. Roller said some of those credits have already been taken, but at least $60,000 are still available. There is a minimum contribution of $500, Roller said.

"This will be going on for a number of years," he said. "Every year, FSCC gets a little more money (in the program)."

FSCC will have $156,250 in tax credits available in 2009, and $208,233 for the 2010, 2011, and 2012 tax years. The tax credits are expected to generate nearly $2 million in state revenue, and more than $3 million in contributions next year, according to the Kansas Legislature Web site, www.kslegislature.org.

Qualifying gifts made to FSCC can be in the form of cash, credit card, stocks and bonds, or personal property.

In this year's legislative session, lawmakers approved $158 million in tax credits over five years for all Kansas Board of Regents universities and Washburn university to address maintenance woes in campus buildings statewide.

The program for universities and post-secondary institutions is similar to the tax credit program offered to community colleges and technical schools, however, the credit is 50 percent of the amount contributed during the tax year rather than 60 percent, Roller said.

"All 19 community colleges get something, and some of the technical schools," he said. "It (tax credit program) will help make us more competitive with colleges in other states."

For more information on the program or to reserve credits, contact Roller at (620) 223-2700, extension 503, or by e-mail at darylr@fortscott.edu. More information on the tax credit program can also be found online at www.ksrevenue.org/taxcredits-deferred.ht.... HB 2237 can be viewed online at www.kslegislature.org.