Why do local governments believe they need so much of your money? In recent years, Iowa property valuations have increased considerably. Large valuation increases usually translate into increased revenue for local governments in the form of property taxes.
ITR Foundation Research Director Sarah Curry joins the podcast to talk about what's facing the people of Indianola. Several different tax authorities are all making big new demands of property taxpayers. The city has two new bond issues for a new public safety building and a library with a cost of $62.2 million. The school district is planning to build a new high school with an estimated price tag between $71 million and $144 million, and Warren County is opening a new justice center that was $10 million over budget, coming in roughly 30% more expensive than planned.
How can they justify all of this spending? As one county supervisor explained, "When our tax revenues and property valuations are going up every year, it's easy."