Property tax cuts may cost Iowans more

Iowa lawmakers are promoting property tax cuts as a welcome relief for Iowans. In reality, these state-level cuts are likely to cost many residents more — through higher local taxes, reduced services, or both.

Cities, counties, and school districts rely on property taxes to fund essential services such as police and fire protection, libraries, public health, road and bridge maintenance, and schools. When the state reduces its financial commitment, local governments are left with impossible choices. They can cut services residents depend on, or they can raise local property taxes to make up the difference. Either way, the burden is shifted onto communities; too often, local voters don’t have a choice.

This approach erodes local control. Iowans take pride in community decision-making, yet state-imposed tax cuts tie the hands of local officials who best understand local needs. Residents may be told their taxes are going down, only to discover that local levies rise or services disappear. That is not tax relief — it’s a shell game.

After years of underfunding, budget cuts, and mismanagement, Iowa now faces a budget deficit. At the same time, families are struggling with rising costs driven by inflation, tariffs, higher health care and property insurance premiums, and wages that have failed to keep pace with the cost of living. Instead of addressing these challenges, the Legislature continues to prioritize tax cuts for corporations, removes income caps on private-school vouchers that disproportionately benefit wealthy families, and supports trade policies that drag on Iowa’s economy.

When state funding does not keep up with rising costs, school districts are forced to consolidate and increase travel time and costs, cut programs, delay building repairs, or turn to local taxpayers to fill the gap. This creates deeper inequities between communities that can raise local revenue and those that cannot, leaving rural and lower-income districts especially vulnerable.

Making matters worse, these decisions fall hardest on Iowans who are already struggling financially. Families facing food insecurity, high child care costs, and skyrocketing health insurance premiums are not helped when local services are cut, or taxes quietly rise elsewhere. These policies add stress and uncertainty to everyday life.

The Legislature should focus on policies that address the real challenges facing our state: affordable and accessible child care, rising property and health insurance costs, a shrinking workforce, and stagnant wages. Investments in these areas strengthen families, communities, and the economy as a whole.

Property tax cuts that hollow out local services and shift costs onto communities fail that test. Passing those costs down to cities, counties, and schools is not fiscal responsibility — it’s avoidance, and Iowans deserve better.

Iowans are not asking for handouts. They are asking for accountability, transparency, and fairness, which provides responsible budgeting that reflects Iowa values. True relief means strengthening Iowa from the ground up — not weakening the very institutions that make our communities work.

Linda Schreiber lives in Iowa City.