(KNZA)--The Hiawatha City Commission Monday evening approved for publication a proposed 2022 city budget of $8.9 million with a “revenue-neutral” tax rate.

The budget contains an estimated tax rate of 46.259 mills, which is to generate more than $1.1 million in property tax revenue—the same as levied for this year.

The Kansas Legislature this year approved a bill repealing the previous property tax lid on yearly mill levy increases and instead established a “ revenue neutral rate”, which adjusts the effective tax rate to account for an increase in assessed valuation.

Local government entities that plan to exceed the “ revenue-neutral rate” are required to hold a special public hearing in addition to the regular public hearing on the budget.

The Hiawatha City Commission will consider adoption of the 2022 budget following a public hearing at their July 12 meeting.