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Des Moines City Manager Warns Property Tax Cap Could Force $3M to $4.5M in Annual Cuts

Monday, October 19, 2026 · States · GSM News

In Des Moines, the seat of Polk County, Iowa, City Manager Scott Sanders told a City Council work session on October 19 that the city can expect to cut $3 million to $4.5 million from its budget each year for the foreseeable future because of Iowa's new property tax cap.

The law, signed by Governor Kim Reynolds in May, limits cities' annual property tax revenue growth to 2 percent, well below the average inflation rate since 2021. In September, the council approved $11.5 million in cuts for the fiscal 2028 budget to close an anticipated shortfall, including $5.5 million in personnel reductions involving 15 layoffs and $2.9 million in program cuts.

Sanders said the fiscal 2028 budget is balanced, but the fiscal 2029 gap remains very significant, and the city will continue to scrutinize vacancies and consider reorganizations and further cutbacks. He said annual cuts of $3 million to $4.5 million could become somewhat of a standard. (GSM, based on Des Moines Register reporting)

Published by GSM · USA (original Chinese edition)

Photo: 图:得梅因市中心天际线(资料图)。照片:Wikimedia Commons。Downtown Des Moines skyline (file photo). Photo: Wikimedia Commons.

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