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(Iowa City, IA) -- Iowa City is making plans for the additional $14-miilion they expect to collect when the Local Option Sales tax goes up by 1% on July 1st.
Voters approved the increase in November.
Half of the money collected must go to property tax relief under state law.
As they craft their 2027 budget, Iowa City plans to use 25% for affordable housing, 10% toward public infrastructure, and 15% toward community partnerships.
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