Are Impact Fees just around the corner in our State? Will the impact of the Flood of 2008 play a role in opening the door? Will impact of the flood, lobbying by our city and a special session of our State's Legislature this fall, all come together and lead to the legalization of impact fees in the State of Iowa?
We need a comprehensive overall of our State's tax system. The State of Iowa is over 150 years old and much of its infrastructure and government needs to be revisited and improved.
Today's headline in The Gazette, written by Rick Smith, "C.R. to request state's help" is a revisit to our City Manger's lobbying efforts this spring in Des Moines for "options for diversification" in local tax and revenue authority. Without the Flood of '08, the city was pushing for authority to raise money other than through property taxes.
There is no question. The State of Iowa relies too much on property taxes.
Locally, taxpayers should visit with our City Council, neighbors and community leaders to suggest a 1% local option tax for the City. We should have a discussion and strongly consider use of a local sales tax in flood recovery and improves to our infrastructure. Look at city like Sioux Falls. Sioux Falls uses a sales tax for both operations and infrastructure.
However, our State needs to be careful, not to jump on the Impact Fee bandwagon. Economic development and our ability to compete with other cities and states could be greatly impacted.
peace
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