Cedar Rapids area Realtors back local-option sales tax entension for flood protection

CEDAR RAPIDS - The Cedar Rapids Area Realtors Association's board of directors has endorsed the proposal to extend the city's 1-percent local-option sales tax for 20 years to, in part, help pay for a flood-protection system to protect both sides of the city from future flooding.

In announcing its backing on Friday, the board noted that the Army Corps of Engineers' flood-protection plan for the city only would protect most of the east side of the city from the Cedar River while leaving the west side unprotected.

“Our organization is committed to the preservation of the rights of property owners,” said Kevin Heinbuch, the association's president. ” … (W) e feel strongly that protecting homes and businesses on both sides of the Cedar River is in the best interest of our community.”

Mayor Ron Corbett spoke in front of more than 100 members of the association late last month, making the case for the tax extension. He told the association that needed federal and state funding for a flood-protection system was contingent on the city raising money, too. At the time, Corbett said he was looking for a local group to be the first to come out and endorse the tax extension.

Kevin Platz, the director of the Realtors association, said Friday that the best way for the community to secure federal and state funds for a flood-protection system is to raise local funds through the tax extension.

Without a flood-protection system, future flooding would cost jobs, cut property values and impact the sale of residential and commercial property, Platz said.

In its endorsement announcement, the association says the city has used the existing local-option sales tax, which is in place through June 30, 2014, as intended to help flood victims and to leverage federal funds.

The tax-extension vote is May 3. The city will use 50 percent of the extension for the construction and maintenance of a flood-protection system, 40 percent for fixing existing streets and 10 percent for property-tax relief.