What is a Self-Supported Municipal Improvement District?
Who proposed the Downtown Ames SSMID?
A SSMID is a self-imposed tax levy that eligible property owners within a district to fund improvements. It is a mechanism that was approved through the Iowa State Legislature to help revitalize areas and fund improvements and services.
The Downtown Ames SSMID has been proposed by Ames Main Street.
Who will manage the Downtown Ames SSMID?
Why should Downtown Ames implement a SSMID?
The Downtown Ames SSMID board will consist of 6-8 members, with a variety of property and business types and sizes represented.
SSMID provides a steady income which is essential to the success of Downtown Ames to advocate for and support the district in a way that solely fundraising could never do.
How does a SSMID get implemented?
Which properties would contribute to the SSMID?
Property owners will be asked to sign a petition supporting the self-assessment. A minimum of 26% of eligible property owners need to sign the petition as well as 26% of the eligible assessed value of the district.
All properties coded in the county property tax records as commercial, industrial, or multi-residential are included. Residential and Exempt are not included
What would be a property owner’s additional cost?
What happens to my assessment if the SSMID passes and I did not sign the petition of support?
We are requesting $2.00 per $1,000 of taxable value. For every $100,000 a property is valued, the annual impact would be $200.
If the petition passes, all property in the Downtown Ames district would be included in the SSMID levy.
How long will this program last?
How will the SSMID revenue be spent?
This petition will be in effect for five years. At the end of the period, the SSMID will be up for renewal.
Proposed spending includes capital improvements, downtown development programs, communications and advocacy, and downtown beautification.
Can you explain why the petition states $2.00 per $1,000 valuation?
SSMID consists of a property tax assessment contribution of up to $2.00 per $1000 valuation allowing the flexibility to react to commercial property tax changes.
Does the city council need to approve the SSMID petition before it can be implemented?
Yes. After signatures have been gathered for the petition, it is presented to the Planning and Zoning Commission for a recommendation to the City Council. The City Council will hold a public hearing with public notice to property owners prior to approving an ordinance establishing a SSMID. The City Council is required to publish notice of the meeting and notify all property owners within the proposed Downtown Ames SSMID area by certified mail not less than 15 days prior to the public hearing. The City Council must wait at least 30 days after the public hearing to adopt an ordinance establishing the district.
When will the levy go into effect?
The Downtown Ames SSMID petition proposes the levy would go into effect January 1, 2023. The tax will be applied to taxes in 2023 and the organization will receive initial funding in 2024.
What other communities have a SSMID in place?
Downtown Bettendorf – $2.75
Downtown Burlington – $3.00
Downtown Cedar Falls – $3.89
Downtown Cedar Rapids – $2.75
Downtown Davenport – $2.10/$3.10
Hilltop Campus/Davenport – $3.00
Village of East Davenport – $2.60
Des Moines Roosevelt District – $2.25
Des Moines SW 9th Corridor – $2.25
Des Moines The Avenues/Ingersoll – $2.25
Downtown Fort Dodge – $1.00/$2.50/$4.00
Downtown Iowa City – $2.50
Southside Iowa City – $5.00
Downtown Ottumwa – $1.00/$2.00/$3.00
Downtown Sioux City – $2.25
Downtown Spencer – $4.00