CEDAR CITY — Citing the need for a new plus and rising operating costs due to inflation, Iron County officials say they intend to increase property tax revenue by nearly $6 million annually.
The proposed increase would roughly double the property tax budgeted revenue of Iron County’s general fund, with a 99.49% increase being a more precise figure.
For example, Iron County’s general fund property tax on a $405,000 residence would increase from $186.44 to $371.93 annually, or $185.49. Meanwhile, the tax on a $405,000 business would go from $338.99 to $676.25, an increase of $337.26 per year.
“The purpose of this increase is to pay to construct a long-needed sheriff’s complex and to fund continued operations for Iron County due to inflation,” Iron County Commissioner Paul Cozzens said during the commission’s regular meeting in Parowan on July 25.
Added Cozzens: “This issue has been a long time coming. We’ve been talking about a jail for many, many years. Our jail is the oldest in the state. We’ve got some major problems with maintenance. Our maintenance director has to go on eBay to order parts for a lot of the things.”
Cozzens added the decision to pursue a tax increase has been “very difficult” and something that “hasn’t been done for many, many years in our county.”
“This is something I’ve lost sleep over, and I’m sure everybody else has too, in elected positions,” Cozzens added, “But it’s a need. We have spent hundreds of hours talking about this and researching and seeing what we need to do, with contractors and architects. And we’re moving forward.”
Fellow commissioners Marilyn Wood and Mike Bleak were both in agreement with Cozzens, saying the additional tax revenue is needed for the new county jail.
“It’ll be the biggest project that Iron County probably will ever do, at least up to this point,” Wood said. “But it’s much needed and we just need to move forward with it.”
As previously reported, the County Commission considered multiple sites for the location of the new jail complex before ultimately deciding on a 33-acre parcel in an industrial area southeast of Cedar City Regional Aiport.
As part of the Truth in Taxation process, a public hearing on the proposed increase has been scheduled during a special Iron County Commission meeting on Tuesday, Aug. 15, starting at 6 p.m. at Festival Hall in Cedar City. Concerned citizens are invited to attend and express their opinions during the hearing.
An official notice announcing the proposed tax increase was published on Tuesday. Property owners will soon be receiving notices in the mail. Answers to frequently asked questions about the proposed tax increase and the jail can be found at this link or by visiting the webpage dedicated to that topic on Iron County’s website.
As an addendum to its FAQ, Iron County officials on Thursday addressed a common question that has arisen since news about the proposed increase has spread, which reads as follows:
An increase of 99.49%?!? Are my taxes going to double?
The short answer is no. While the Iron County General Fund has a proposed increase of
99.49%, it represents between 9% and 11% of your tax bill, depending on where your
property is located. There are as many as 11 different levies on Iron County tax bills.
Because the Iron County General Fund is a small part of the overall bill, the total
increase will be between 10% and 12% (see chart below). Not all levies are on every tax
bill. Some are specific to a city or town, some are countywide, and some, like the Central
Iron County Water Conservancy District, cover certain geographical areas of Iron
County.
Updated Aug. 3, 10:45 a.m. to clarify the proposed increase’s anticipated impact on a property’s total tax bill.
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