Where Do Iowa’s Property Taxes Go?

For the first time in state history, local governments collected over $7 billion in property taxes. In fiscal year 2025, Iowa property taxpayers reached an unprecedented milestone. For the first time in state history, local governments collected over $7 billion in property taxes during the fiscal year. This landmark was driven by a 6.79% increase in property tax collections compared […]

STOP High Property Taxes: CAP Local Government Spending

The “limits” placed on cities and counties by the recent property tax reform failed to address the direct cause of property tax increases: local government spending. Iowans are growing frustrated with high property taxes. In the last few election cycles, election officials from both political parties have remarked that a top concern that Iowans have shared consistently has been high […]

The Truth About Iowa’s Revenue: Tax Cuts Empower Growth, Not Decline

Iowa has more than enough money to pay for its financial obligations and budget priorities. 30-Second Summary: 1. Strong Fiscal Position: Despite lower revenue projections due to tax cuts, Iowa has sufficient funds to meet obligations, maintain reserves, and continue budget priorities. Surpluses are projected to remain robust, with a $3.9 billion Taxpayer Relief Fund balance expected by FY 2025. […]

Property Taxes Impact Economic Growth

This article was published in the Telegraph Herald. The state’s notorious property taxes, are getting in the way of broader economic prosperity in Iowa and should be lowered for everyone instead of just a select group of economic development projects. Iowa’s elected officials constantly tell us that state and local governments need to offer economic development, tax abatements and other […]

How Iowa Can Become a Model for Property Tax Reduction

This article was published in Governing. Iowa has helped prompt other states to adopt flat income tax rates. To bring down property taxes, the state has to address local government spending. Iowa’s emergence as the beacon of pro-growth income tax reform is no accident. It’s the result of disciplined budgeting and bold leadership under Gov. Kim Reynolds and forward-thinking lawmakers. […]

Income Tax Cuts Are Not Responsible for the “Sting” of Your Property Tax Bill

Income taxes are paid at the state level and are used for state government functions. Property taxes, on the other hand, are paid at the local level and used for local government functions.  There is not a connection between the two types of taxes. In the complex world of taxation, blame for painful bills is tossed around like a scalding hot […]

The Most Difficult Policy is the Most Important Policy: Conservative Budgeting in Iowa

By prioritizing taxpayer interests and limiting government expansion, Iowa has created an environment where economic freedom and opportunity can flourish. Fiscal restraint is essential to ensuring long-term fiscal health. Executive Summary Iowa’s steadfast commitment to conservative budgeting demonstrates how fiscally responsible governance benefits all, fostering an environment of economic prosperity and opportunity. By prioritizing disciplined spending over government expansion, Governor […]

The Solution to Iowa’s Property Tax Problem

This article was published in The Gazette. Spending drives taxation. A strict 2 percent property tax cap on the growth of property taxes would force local governments to restrain spending. Iowa has been successful at income tax reform because it has balanced prudent budgeting with pro-growth tax rate reductions. In addition to commonsensical conservative budgeting, Gov. Kim Reynolds also has […]

The Inconvenient Truth of Economic Development Failures in Des Moines

Tax breaks for businesses that may or may not follow through on their promises? Those are still alive and well. Local governments in Des Moines are doubling down on failed economic development policies, leaving taxpayers and essential public services to bear the cost for years. Elected officials are continuing their economic central planning efforts by subsidizing well-connected corporations and real […]

Advancing Taxpayer Protections in the 2025 Legislative Session

Constitutional protections exist for other state funds, and it is time for Iowa taxpayers to receive that same benefit. Securing the tax reforms already enacted in Iowa by adding protections to the state constitution is essential to preserving the progress made since 2018. These reforms, particularly the shift to a flat tax, have transformed Iowa’s tax system into one that […]

Property Tax Increases on the Ballot in 12 Counties

Voters will be asked to approve funding for emergency medical services (EMS), more commonly referred to as “the ambulance tax.” Current law (federal, state, and local) allows variation in how government entities provide (or do not provide) emergency medical services (EMS), including ambulance services. Iowa’s statutes require local delivery of law enforcement and fire protection, which may deliver first-responder medical […]

New Debt Proposals Exceed $1 Billion for November Election

Taxpayers across 59 counties, representing 82% of the state’s population, will be asked to increase their debt burden. The November 5, 2024, general election ballots in 59 counties will have bond questions. This potential new spending of $1.13 billion would, if enacted, directly affect 82.4% of the state’s population. The bond questions cover a variety of local government types: Nine […]

Federal Tax Law Change Raises Cost of Refinancing Debt for State and Local Governments

State and local governments have enjoyed hundreds of billions of dollars in interest cost savings by refinancing their debt, but that all changed in 2018, costing taxpayers billions. Iowa’s state and local governments have almost $21 billion in outstanding debt obligations, with two-thirds of that total borne by local property taxpayers. The combined debt of Iowa’s cities, counties, and schools […]

Universal Basic Income Programs: Less Work and Less Productivity

Recent evidence continues to demonstrate that UBI programs do not work as intended. Universal Basic Income (UBI) programs are gaining popularity across the nation. Some policymakers view UBI as a solution that solves poverty and provides greater economic security through wealth redistribution. Here in Iowa, Polk County joined with other Des Moines-area cities and nonprofit organizations to launch Uplift, a […]

Majority of Special Elections Approve Property Taxes; Low Turnout the Norm

Voter turnout for city and county measures was 10.5%, while school measures drew only 8.5%. On September 10, 2024, twenty-one local governments held special elections with property tax measures on the ballot. Unofficial results show most of the measures passed, adding up to nearly $14 million in property tax costs. Ten of the 13 participating school districts succeeded with their […]

September 10th Special Election: More Property Tax Increases on Ballots

Twenty-one local governments are seeking property tax hikes on top of already-elevated assessments. On September 10, 2024, 13 school districts, two counties, and five cities will place property tax questions before voters in a special election. Eleven school districts are requesting a renewal or an increase in physical plant and equipment levies (PPELs), which generate local property tax dollars for […]

A 2 Percent Property Tax Cap – A Necessary Step for Iowa

Had the 24 cities and counties examined in this report followed a 2 percent cap over the last decade, Iowans in those communities alone would have $160 million more in their wallets to satisfy their desires, including investing in the future, saving for a rainy day, and attaining their American Dream. OVERVIEW The Problem: Unchecked Property Tax Growth Lessons from […]

City Property Tax Pain Index

Of the 275 cities evaluated, nearly 90% chose to increase the property tax pain on their residents. Any Iowans looking at their property tax bills can see that they keep going up year after year, but how much exactly? And how much property tax pain are you and your family about to experience from the spending decisions your locally elected […]

County Property Tax Pain Index

91 counties increased their property tax revenue on a per capita basis since last year. Any Iowan looking at their property tax bills can see that they keep going up year after year, but how much exactly? And how much property tax pain are you and your family about to experience from the spending decisions your locally elected officials are […]