The proposed 2 cent sales tax has people writing and talking. And you’re probably hearing talk about reverse referendums – which place the burden on individuals to get sales tax and bond issues on the ballot versus local governments putting the issues on the ballot.
While you’re watching the trial balloon on sales taxes catching flack, don’t forget that another trial balloon on bonding is likely to be released. The table below provides some facts to begin the discussion. Look at the bonding capacity of the various local government entities. Who has the most bonding capacity? And the least?
Why is the City of Cedar Rapids paying its consultants to include the Cedar Rapids Schools and Linn County in their co-location study at no charge to the School or County?
| 11/14/2008 | ||||||||
| Bonding Capacity | ||||||||
| 1/1/2007 | 5% of Assessed | Outstanding | Remaining | |||||
| Entity | Assessed Valuation | Valuation | Bonds | Bonding Capacity | ||||
| Cedar Rapids School | 7,859,827,407 | 392,991,370 | 35,350,000 | 357,641,370 | ||||
| College Community School | 1,664,249,893 | 83,212,495 | 70,491,000 | 12,721,495 | ||||
| Linn Mar School | 2,472,420,201 | 123,621,010 | 56,485,000 | 67,136,010 | ||||
| City of Cedar Rapids | 8,491,883,524 | 424,594,176 | 254,945,000 | 169,649,176 | ||||
| County of Linn | 14,120,992,389 | 706,049,619 | 1,200,000 | 704,849,619 |
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