by Tracy McCue, Sumner Newscow — The Wellington vs. Mulvane casino location fight of the mid-2000s had a rather Hatfield vs. McCoy quality to it. And today it is becoming quite clear why the casino location was so important to civic leaders in both communities.

With the Kansas Star Casino located at Exit 33 within the Mulvane city limits, the municipality received an extra $3 million in 2013 to its coffers. As a result, Mulvane property tax owners saw a 10 percent reduction in their property taxes and five percent on their electrical bills, said Kent Hixson, Mulvane City Manager.

Also, the increased budget has allowed Mulvane to provide a plethora of services that was unattainable in the past.

Mulvane saw its assessed valuation increase from $32.1 million in 2012 to $91.9 million in 2014.

At the same time, the city of Wellington saw its assessed valuation dip from 43.4 million in 2012 to 41.4 million in 2014. 

And yet, Wellington still has more expenses. Its projected expenditures in 2014 will be $35.8 million while Mulvane is expected to have $21.6 million in expenses. In 2012, Mulvane’s budget was at $12.07 million.

Mulvane city taxpayers are levied 41.80 mills to Wellington’s 51.49 mills. For a $100,000 appraised home, Mulvane homeowners pay $481 to Wellington’s $592. Not so in 2012 when Mulvane residents had a city tax rate higher than Wellington’s.

“The real prize of having the casino is the property tax extension,” Hixson said. “We received $1.8 million from gaming revenue. We also received $1.2 million in property tax valuation increase.”

The Wellington vs. Mulvane fight less than a decade ago was whether a Kansas casino would be located at Exit 19 within the Wellington city limits or at Exit 33, which was near Mulvane. Three lottery votes later, the Kansas Lottery Commission would award  it to Peninsula Gaming of Debuque, Iowa, to manage the facility at Exit 33. The city of Mulvane then did a snake annexation to incorporate the proposed facility which held up in Kansas Supreme Court.

The Kansas State Legislature then enacted into law that the city of Mulvane, Sumner County and Sedgwick County governments would receive one percent of every dollar made at the casino. The city of Wellington was to receive no gaming revenue.

While the dollars being doled out are the same for the three taxing entities, its impact is quite different. The Sedgwick County’s operating budget of 2013 is $390 million, so a $1.8 million increase may be nice, it hardly makes a huge impact on the county.

In Sumner County, the impact is much more significant with a $23.5 million budget. In Mulvane, the impact of a $12.5 million budget in 2012 is even more significant.

“Wow, I could have done all kinds of things with that money,” said Wellington City Manager Gus Collins, who directed his city council to raise property tax revenue two mills to pay for city expenses for 2014.

Here are things the city of Mulvane will be doing because of the casino revenue:

•Reduce city property taxes 10 percent- $310,000;

•Reduce electrical rates 5 percent – $275,000;

•Increase the library budget 63 percent -$90,000;

•Add two police officers -$90,000;

•Employee Health Insurance Premium increase- $210,000;

•Offer a secondary source of water treatment plant -yearly bond debt payment- $600,000;

•Alcohol and Drug Prevention grants-$50,000.

•Water tower yearly debt payments- $130,000;

•Electric system upgrades -$250,000;

•Street system improvements -$100,000;

•Sanitary sewer system improvements -$100,000;

•Water system improvements – $50,000;

•Park system improvements -$50,000;

•City hall improvements -$150,000;

•Fire and ambulance equipment replacement- $100,000;

•EMS substation staffing and operating costs – $345,000;

•Water treatment, plant staffing and operating expenses – $100,000.

The total expenses equal the $3 million Mulvane is receiving in gaming revenue.

•••••

Casino law enforcement

Several Sumner Newscow readers have expressed to us concerns about the amount of law enforcement being provided by Mulvane.

The Sumner County Sheriff’s office recently expanded its budget to $689,338 for 2014, in part to beef up county-wide security.

Hixson said Mulvane has beefed up its police officers with two extra officers costing the city an extra $90,000. The officers are not full-time but regularly patrol the area. The estimated drive is four miles from the west city limits to the casino.

Mulvane did add a Police/EMS service substation. That cost the city $345,000 and will include two full-time employees in the area.

Hixson said the reason the city went with a police/EMS service station is because of safety reasons.

“If something was to happen at the casino, we would be able to respond quickly,” Hixson said. “Otherwise, we might get caught by a train (which passes across the E. 119th Street that connects Mulvane to the casino. That could add up 27 minutes getting there and time is crucial during a medical emergency.”

Also, Mulvane EMS has a working relationship with Sumner and Sedgwick County for emergency protection.

As far as building a Mulvane police sub-station, Hixson said he didn’t think it was necessary. The Kansas Star provides its own security and the city of Mulvane also works closely with the Sumner County Sheriff’s office.

He said that crime is up in Mulvane because of the casino. But also has revenue because of casino crime which has helped the city financially.