College Hill opts out of plan to tax itself

Nov 17, 2009 — Waterloo-Cedar Falls Courier

Jon Ericson

Nov. 17, 2009 (McClatchy-Tribune Regional News delivered by Newstex) -- CEDAR FALLS -- Early results show consolidating College Hill's promotional efforts may be an uphill climb.

College Hill has opted out of a self-taxing district to pay for a manager and promote the retail district.

The College Hill Partnership had been exploring a self-taxing district similar to the one downtown that finances Community Main Street. The partnership started last year, combining efforts from neighborhood and business associations.

A petition started in August needed to gain signatures from 25 percent of the property owners in the district. That part of the petition drive was successful, but opponents of the district drew signatures from 40 percent of property owners, a ratio that killed the possibility of starting the district.

On Monday, the College Hill Partnership requested that its petition for a Self Supporting Municipal Improvement District be withdrawn from City Council consideration.

Estimates show a SSMID would have generated $31,000 to $32,000 per year. The district would have taxed property owners an extra $2.75 per $1,000 in valuation.

"It would have mostly paid for the director or staff member to represent College Hill," said Adam Bentley the current coordinator for the College Hill Partnership.

Bentley said the SSMID result was disappointing, but perhaps it's what's best for College Hill. The committee has been working on alternate ideas for funding a staff position, but have not yet come up with anything that seems to work.

"We think we will be able to pull something off and get something going," Bentley said.

Mayor Jon Crews says he expects another SSMID proposal will come at some point, perhaps changing the size of the district.

While the SSMID has stalled, two other programs designed to spruce up College Hill are still in progress. A proposal to establish a Tax Increment Financing district for College Hill businesses is being written by city legal staff. Another proposal for a residential improvement district to give tax incentives for homeowners who improve their properties is also in the works.

Both of those proposals could go for council approval in December.

Newstex ID: KRTB-0150-39798413