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Polk County Local Option Sales & Services Tax (LOSST)
The City of Clive is sure those residents living in the Polk County portion of Clive have some questions regarding the upcoming Local Option Sales and Services Tax (LOSST) vote in March. In December many City Councils in Polk County, including Clive, approved resolutions requesting the Polk County Board of Supervisors place a question on the ballot whether to approve a 1% local option sales tax in Polk County.
If approved, the LOSST revenue could be used to support property tax relief and a variety of capital improvement projects that the City of Clive has been planning and discussing over the past number of years. Those projects include:
- Roadway rehabilitation and street improvements throughout Clive.
- Relocation of Clive’s Fire Station to a more central location in the community.
- Remodeling of Dymond Public Safety Center for Police, once the Fire Station is relocated.
- Projects identified in the Greenbelt Master Plan.
- Streambank stabilization along Walnut Creek, and other stormwater improvement projects.
The City of Clive encourages Polk County residents of Clive to go to the polls on Tuesday, March 6 to weigh in on whether the City of Clive should have LOSST as a revenue source for property tax relief and the projects identified above.
February 26 - A town hall meeting will be held at 6:00 PM on Monday, February 26 in the Clive Council Chambers (1900 NW 114th St., Clive, IA 50325). During this town hall meeting City of Clive officials will offer a presentation educating the public on the upcoming Polk County LOSST vote and field questions from attendees on what the impact would be for the City of Clive.
February 27 - A town hall meeting will be held at 6:00 PM on Tuesday, February 27 in the Clive Public Safety Center, Training Room (8505 Harbach Blvd., Clive, IA 50325). During this town hall meeting City of Clive officials will offer a presentation educating the public on the upcoming Polk County LOSST vote and field questions from attendees on what the impact would be for the City of Clive.
March 6 - Polk County LOSST election is held. Voting open from 7:00 AM to 8:00 PM.
Frequent Asked Questions
- Why is the Local Option Sales Tax appearing on the ballot?
This is appearing due to resolutions passed by Polk County city councils requesting the County place the question before voters whether to pass a county wide local option sales tax. City Councils representing more than 50% of county residents can place an issue on a countywide ballot for voter consideration.
- What language will appear on the ballot?
This is the likely language as it will appear on the ballot: To authorize imposition of a local sales and services tax in the City of Clive, at the rate of one percent (1%) to be effective July 1, 2018. Revenues from the sales and services tax shall be allocated as follows: In the City of Clive: 50% for property tax relief. The specific purpose for which the revenue shall otherwise be expended is 50% for capital projects including, but not limited to, street improvements, park and trail improvements, public safety facilities and storm water improvements.
- Are there any other questions on this March special ballot?
No other referendum questions will appear on the ballot.
Does this have to pass in every city or just county-wide?
The contiguous cities of the Polk County portions of Clive, Urbandale, and West Des Moines and all of Grimes, Johnston, Des Moines, Windsor Heights, Altoona, Bondurant, Pleasant Hill and Carlisle vote together as a block and must approve it together for it to be implemented in the Polk County portions of these cities. Throughout the rest of Polk County, non-contiguous cities vote individually as well as unincorporated Polk County.
This means, for example, that the contiguous cities could approve the Local Option Sales Tax, but the rest of Polk County could not approve it and the revenue would be collected and distributed only in those contiguous cities.
- Who can participate in the election?
Any eligible voter in the Polk County portion of Clive may participate on or before March 6th.
- When is the election and where do I vote?
Election Day Tuesday, March 6th. Polls are open from 7:00am to 8:00pm. You can request an absentee ballot or stop by the Polk County Auditor’s office to vote early. Click here to visit the Polk County Election office page for more information.
- Can I vote at home in this election or at a satellite location?
At this time, satellite locations have not been announced. Please reference Polk county voter information here for information about voting early in-person or by mail.
- Does it require support of greater than 50% to pass?
Yes, for Clive the Polk County LOSST referendum requires support of 50% plus one vote of the votes cast in the contiguous cities as noted above.
- Will this vote impact my property taxes?
This vote will not increase your property taxes, but would provide property tax relief as stated in the City’s revenue purpose statement noted above in the ballot language.
- Who pays the additional sales tax?
The Local Option Sales Tax is paid based on point of delivery retail sales in Polk County. That means a resident of Polk County, or any visitor from outside the area, would pay this tax at retail establishments in Polk County.
- How much revenue will be generated from this sales tax?
Based on the 2016 data from the Iowa Department of Revenue, if the Local Option Sales Tax is approved by every city and unincorporated area in Polk County it is estimated to generate approximately $80.7 million in revenue annually.
10A. Where will be the sales tax be collected, which communities?
The following shows the percentage of taxable sales in Polk County based on 2016 data:
- City of Des Moines 47%
- City of West Des Moines 13%
- City of Ankeny 11%
- City of Urbandale 9.0%
- City of Altoona 7.0%
- City of Clive 6.0%
- City of Windsor Heights 0.5%
- Other Polk County Cities & County Area 6.5% combined
10B. How will the revenue be divided among the communities in Polk County?
Based on the State Code-established formula, a calculation is made using the most recent certified census population (75%) and the amount of property taxes levied in the early 1980’s (25%) within the County. If all cities and county areas approve the local option sales tax, the below is the distribution of local option sales tax revenue for each governmental entity.
- City of Des Moines 47%
- City of West Des Moines 8.9%
- City of Ankeny 8.5%
- City ofUrbandale 6.6%
- City of Altoona 2.7%
- City of Clive 2.1%
- City of Windsor Heights 1.1%
- Other Polk County Cities & County Area 23.1% combined
- If this passes, how much revenue will Clive receive?
Based on 2016 sales tax figures, Clive is estimated to receive approximately $1,700,000 in revenue annually.
- Do any other communities in Iowa have a Local Option Sales Tax?
Yes, according to the Iowa Department of Revenue 1,277 out of 1,373 (93 percent) communities in Iowa have a Local Option Sales Tax. Dallas County passed the Local Option in November and will begin collecting the additional 1% July 1, 2018 increasing the percentage of communities. This means Polk County residents are already paying Local Option Sales Tax in many communities that they visit across the state.
- What does Clive plan to do with any Local Option Sales Tax revenue it receives?
Revenue from the Local Option Sales Tax will help Clive hold the line on property taxes in the city and provide additional funding for capital projects, including:
- Street Improvements: Portions of the revenue could be used for pavement rehabilitation on existing Clive roadways.
- Public Safety Facilities: The relocation of Fire Station #32 from Harbach Blvd. to an area further West in the community and the remodeling of Dymond Public Safety Center entirely for police use.
- Stormwater Improvements: Streambank stabilization along Walnut Creek and its tributaries, including stormwater management throughout the community.
- Park & Trail Improvements: In particular the redevelopment of portions of the Clive Greenbelt. All projects have been identified in the City’s Greenbelt Master Plan.
- Has this issue been on the ballot before in Polk County?
Yes, the last time a Local Option Sales Tax vote was held in Polk County was in 2007.
- Will the Local Option Sales Tax increase only be paid by Polk County residents?
No, any visitor to Polk County retail and service businesses that charge sales tax would also be charged the 1% Local Option Sales Tax if approved. Currently, Clive residents pay a Local Option Sales Tax when visiting many other Iowa cities.
- What will this cost the average Clive resident per-year?
Clive residents will pay an additional one percent sales tax at retail establishments in Polk County. However, revenue from the Local Option Sales Tax will be used to hold the line on property taxes and support capital improvements across our community.
- Why is the Dallas County portion of Clive not voting on Local Option Sales Tax?
Dallas County residents of Clive already voted and passed the Local Option in November 2017.
- If approved, when would the Local Option Sales Tax be implemented?
If approved, the Local Option Sales Tax would become effective starting July 1, 2018.