City, county, NIC to see tax windfall
Keith Cousins | Hagadone News Network | UPDATED 8 years, 4 months AGO
COEUR d'ALENE — The tax man taketh.
And sometimes he giveth back.
The Coeur d'Alene City Council unanimously passed two ordinances Wednesday allowing the distribution of more than $1.3 million of property tax revenue because of the de-annexation of urban renewal property.
Each of the ordinances represents the removal of property controlled by ignite cda — the city's urban renewal agency — from the city's two urban renewal districts, the Lake District and River District. According to a financial analysis prepared by the Panhandle Area Council, municipalities and institutions receiving additional property tax revenue through the de-annexation can add those funds to their budgets for the upcoming fiscal year, or use the revenue to lower taxes.
The city of Coeur d'Alene, according to the analysis, will receive an additional $500,000 and plans to use the funds to staff a fourth fire station.
Tony Berns, executive director of ignite cda, told The Press the urban renewal agency's board of directors has passed resolutions agreeing to the de-annexation.
"The board is on board and is supportive of helping out with public safety," Berns said.
Berns added ignite cda will likely not be hurt by the removal of revenue.
Kootenai County will receive the second-largest amount of additional property tax revenue — $271,248.88 — because of the de-annexation.
North Idaho College is expected to receive $93,794.38 as a result of the de-annexation. Chris Martin, NIC vice president for Finance and Business Affairs, told The Press the money will be directed to the college's general fund.
“This will allow the board of trustees to further support students and expand offerings at North Idaho College,” Martin said. “In a time of declining state support and challenges with enrollment, additional revenue and support is always a positive development.”
City Administrator Jim Hammond told the council its approval of the two ordinances is the final step in the de-annexation process. According to Hammond, the ordinances will be printed in The Press for a period of time, and city officials will then overnight necessary documents to the Idaho State Tax Commission.
The meeting was noticed and scheduled with a public hearing for each of the ordinances on the agenda. However, there was not a single member of the public present.
"These are public hearings and we are holding them at 8 a.m., which is not a public hour," said Councilman Dan Gookin. "I know time is of the essence for these but I hope, in the future, we hold these meetings at a time that is more accommodating to the public."