FY26 Adopted Budget Final

The value of building permits issued reached an all-time high of $388 million in 2016. The value of building permits was at $130 million in 2024, which was below the ten-year average of $195 million.

One measure of local economic health is hotel/motel tax receipts. The City uses hotel/motel tax receipts to augment funds for public safety, Convention & Visitors Bureau. Generating revenue from non-Iowa City residents reduces the tax burden on residents. Fiscal year 2024 revenues were up and are a sign of continued recovery from the COVID 19 pandemic. parks & recreation services, and the

Hotel/Motel Tax Revenue in thousands

$2,500

$2,000

$1,500

$1,000

$500

FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 Hotel/Motel $1,057$1,079$1,137$1,046$1,302$1,135 $938 $1,708$1,885$2,043 % Change 9.31% 2.08% 5.38%-8.00%24.47%-12.83 -17.3682.09%10.36%8.38% $0

In 2009, the State of Iowa enacted legislation establishing

cities’ right to impose a franchise tax on gas and

electric utilities. On February 16, 2010, the City Council passed and approved an ordinance establishing a one percent (1%) tax. Of the $983,000 for fiscal year 2024, $590,700 funded a portion of the operational costs associated with Fire Station #4 and maintenance of street right-of-way.

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