KDSN RADIO News
Denison Discussing Changes to New Home Tax Abatement Program
The city of Denison is looking to improve the tax abatement program for people building new homes.
Mayor Pam Soseman says a few citizens approached the city about the topic and, according to Iowa code, Dension needs to update its Urban Revitalization Plan before it can change the tax abatement.
“We are classified under Chapter 404 Economic Development which could give you a five-year 100% but only in the first $75,000 of new value for tax abatement. We are looking at possibly being classified as Blight or Historic and then we could possibly go 10-year, 100% tax abatement,” said Soseman. “This all has to go before council. We do have to pay for upgrading our Urban Revitalization Plan before we can go into the new tax abatement program.”
The updates will cost Denison around $4,000. The city council handled this topic as a discussion-only item on Tuesday and seemed to favor the change to benefit the tax abatement program. The mayor says they have to take each proper step but they hope to finish the amendment process by the end of the calendar year.