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Legislators - Reclassifying Apartments THE CITY OF City Manager's Office 50 West 13th Street Dubuque, Iowa 52001-4864 (563) 589-4110 phone (563) 589-4149 fax ctymgr@cityofdubuque.org j I f. ~~~ March 10, 2005 VIA Email and 1 sl Class Mail <<Email>> c) ."\ <<CompleteLOCALName _Add ress>> I ; -~- I Re: Reclassifying Apartments .- .-) Dear <<Title>> <<Last>>, It is my understanding that there has been some discussion by the legislators to reclassifying apartments from commercial to residential. Should this reclassification occur, these buildings would be subject to the residential rollback and result in a tremendous loss of tax revenue for Dubuque. Below is an analysis of the impact that such a bill would have on Dubuque: Total assessed value Tax revenue loss for Dubuque $117,147,130 $ 544,932 It is my understanding that the intent of the legislation is to pass along the tax savings to low-income renters through lower rent costs. While I appreciate the intent of this bill, I do not believe that reclassification of apartments as residential is the answer to creating affordable housing. I strongly urge you to resist any efforts to reclassify apartments. Lastly, we would ask that you support efforts to bring about a comprehensive update of the existing property tax system rather than look at individual programs for modification such as would be the case with this reclassification. Service People Integrity Responsibility Innovation Teamwork Thank you for your attention to this matter. Sincerely, Michael C. Van Milligen City Manager MCVM:cms cc: Mayor Terry Duggan Dubuque City Council Tom Bredeweg, Executive Director, Iowa League of Cities Rick Dickinson, Greater Dubuque Development Corp. Steward Sandstrom, Dubuque Area Chamber of Commerce Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager Dawn Lang, Budget Director Dave Heiar, Economic Development Director Ken TeKippe, Finance Director Rick Engelken, City Assessor, Dubuque County The Honorable Mike Connolly Iowa State Senator 2600 Renaissance Dr #3 Dubuque, IA 52001 The Honorable Pam Jochum Iowa State Representative 2368 Jackson Dubuque, IA 52001 The Honorable Steven Lukan Iowa State Representative 7365 Columbus Street New Vienna IA 52065 The Honorable Tom Hancock Iowa State Senator 310 E Main Street Epworth, lA, 52045 The Honorable Pat Murphy Iowa State Representative 155 N. Grandview Avenue Dubuque, IA 52001 The Honorable Ray Zirkelbach Iowa State Representative 637 W. First Street Monticello, IA 52310 The Honorable Roger Stewart Iowa State Senator 3936317 Avenue Preston, IA 52069 The Honorable Thomas Schueller Iowa State Representative 503 W. Platt Street Maquoketa, IA 52060