Dubuque city leaders say state mailer provides inaccurate picture of property tax plans

Dubuque city officials say a state-issued property tax flyer headed to mailboxes across the city is misleading and poised to rile up residents already upset over a slight increase in property taxes proposed for the coming fiscal year. The Iowa Department of Management mailer has calculations that assume a 10% increase in property valuations, which it then adds onto the actual increase being considered for residential properties, 3.9%, to generate an almost an 14% increase. City Finance Director Jenny Larson said there are two problems with that. Properties are only reassessed every two years and they were not reset this budget cycle, so valuations would only increase if property improvements are made. But even if valuations had increased during a routine reassessment, the state tax rollback law would protect owners from a large, double-digit increase suggested by the flyer. In actuality, the city’s portion of the tax bill is proposed to rise 3.9%, from $856 to $889 for the average Dubuque homeowner with a house valued at $197,000. The total tax bill last year for such a house was just under $2,600 with a homestead tax credit.