Polk County sales tax 1-cent increase: Here's how cities would spend the money

Dramatic improvements to metro parks. Faster repairs to city streets. And fewer blighted properties dragging down property values.

These are just a few of the ways Des Moines and its suburbs plan spend the $79 million annual windfall from a proposed 1-cent sales tax increase.

Polk County voters will decide March 6 whether to raise the local sales tax from 6 cents to 7 cents.

But before voters head to the polls, they can get a look at how cities plan to spend the money.

CAST YOUR BALLOT: What you need to know about Polk County sales tax vote

Property tax relief is featured prominently on spending plans released by each city —Polk County's largest cities all plans to dedicate at least 50 percent of the sales tax revenue to reducing property taxes.

Des Moines could cut property taxes by as much as 40 cents per $1,000 of taxable valuation, or about $46 per year for a $200,000 home. West Des Moines property taxes could drop as much as 74 cents.

With the rest of the money, most cities are promising to build.

Bondurant wants to replace a crumbling bridge. Clive could upgrade its popular Greenbelt Trail. And West Des Moines could build park projects, including a 26.2-mile trail loop connecting the Raccoon River, Jordan Creek, Sugar Creek and a future lake west of Interstate Highway 35.

WHAT'S AN EXTRA PENNY? Use our sales tax calculator to find out.

Here's a breakdown of how cities plan to spend money from the penny tax if it's approved by voters in March:

Des Moines

Sales tax revenue: $37 million

Property tax relief: 50 percent

The Des Moines City Council approved a resolution in December that devotes 50 percent of the sale tax revenue to property tax relief.

That could allow the city to reduce its property tax rate by 40 cents next year.

Des Moines would funnel about 20 percent of the sales tax money into street improvements and another 20 percent into neighborhoods. The remaining 10 percent would be added to the public safety budget.

The additional $7.4 million for streets would allow the city to accelerate Pennsylvania Avenue and East Court Avenue repair work.

The city would dedicate $5 million a year to eliminate blighted properties. It currently tears down 10 to 15 properties per year, but about 25 new properties are added to the list each year.

If the sales tax passes, Des Moines could eliminate neighborhood eyesores in seven years, Sanders said.

The additional money would allow the fire department to keep 13 firefighters positions currently paid for through a federal grant, which runs out this fall.

The Des Moines Fire Department had 312 staff positions in 2008. It currently has 295 positions.

West Des Moines

Sales tax revenue: $7 million

Property tax relief: 50 percent

West Des Moines is one of three cities — Clive and Urbandale are the others— that straddle Polk and Dallas counties.

Dallas County voters approved a 1-cent sales tax increase in November, becoming the 97th of Iowa's 99 counties to approve the local sales tax. (Polk and Johnson counties are the only two counties in the state that have not approved the tax.)

West Des Moines receives about $1.5 million annually from the Dallas County sales tax, which it splits between property tax relief and capital projects.

If the sales tax passes in Polk County, City Manager Tom Hadden said West Des Moines would reduce property taxes by 74 cents per $1,000 of taxable valuation, adding to the 21-cent reduction that comes from the Dallas County sales tax.

Combined, the 95-cent property tax reduction would result in a $108 property tax reduction for the owner of a home valued at $200,000.

West Des Moines would put the rest of the sales tax revenue toward projects like its 10-year, $32 million parks plan, which includes a marathon-distance trail loop, a pedestrian bridge over the Raccoon River, a boat house, an outdoor amphitheater and a greenway park along the river.

Clive

Sales tax revenue: $1.7 million

Property tax relief: 50 percent

Clive plans to spend 50 percent of the revenue on property tax relief and the rest on projects like relocating the city's fire station, remodeling the current public safety center, completing roadway rehabilitation projects citywide and finishing projects identified in the Greenbelt Trail master plan, Assistant City Manager Matt McQuillan said.

McQuillan said the $11.5 million needed to update public safety facilities would require a 55-cent property tax increase. With the sales tax, Clive could potentially complete the project without increasing property taxes, he said.

Urbandale

Sales tax revenue: $5.2 million

Property tax relief: 50 percent

Urbandale is using the same ballot language voters saw during the Dallas County vote: 50 percent for property tax relief and 50 percent for projects.

A.J. Johnson, Urbandale's city manager, estimates the city could cut property taxes by 83 cents.

Some of that money could be used to build a $24 million aquatic center at Walnut Creek Regional Park. The project has been part of the city's long-range plans for years.

But Mayor Bob Andeweg said the 1-cent sales tax would not affect the timeline of the aquatic center. "We're a long ways away," he said.

Windsor Heights

Sales tax revenue: $853,000

Property tax relief: 50 percent

Aside from tax relief, Windsor Heights would put the sales tax money toward street, sewer and storm water improvements, city buildings or other projects, including possible sports facilities or trail improvements.

Bondurant

Sales tax revenue: $563,000

Property tax relief: 60 percent

City Manager Marketa Oliver said Bondurant plans to use 60 percent of the money to lower the city's property tax rate by about $1.95.

The rest of that money would support infrastructure projects like the $1.5 million replacement of the deteriorating 15th Street Southwest bridge.

The bridge, an important east-west connection in the city, received a low rating during an inspection last year. If its rating drops any further, the city could be forced to close it, Oliver said.

"While we’re growing quickly, we also have older areas of town that need to have street and infrastructure replacements," Oliver said.

Ankeny

Sales tax revenue: $6.7 million

Property tax relief: 65 percent

Ankeny has promised to put 65 percent of sales tax revenue toward property tax relief, according to a council resolution.

The remaining money would support projects like building a new senior center, street repairs, and additional parks and trails.

Altoona

Sales tax revenue: $2.1 million

Property tax relief: 50 percent

Altoona would dedicate half its revenue toward capital projects, including a combined police station and city hall, rebuilding portions of Eighth Street and First Avenue, and adding a new community center.

Those projects will cost around $70 million. Without the sales tax revenue, the city's property tax rate could increase by $3, City Administrator Jeff Mark said.

Other cities

Elkhart, Grimes, Johnston and Mitchellville would all dedicate 50 percent of the sale tax revenue to property tax relief. The remainder would be spent on capital improvements and quality of life projects. Granger would put 25 percent to tax relief and the rest of city projects. Alleman, Carlisle, Pleasant Hill and Runnells would dedicate 100 percent of sales tax revenue to projects or debt reduction.

Potential revenue

A 1-cent sales tax increase would generate an estimated $79 million annually, according to the Iowa Department of Revenue.

The sales tax must pass in contiguous cities for it to take effect. Two cities in Polk County — Polk City and Sheldahl — already have a local 1-cent sales tax in place.

The Department of Revenue has provided revenue estimates by city, based on tax receipts from fiscal year 2016: