Iowa City Proposes Tax to Help Pay for Flood Relief

A Cedar Rapids Iowa City Council member has proposed a 2 percent sales tax increase for two years to help pay for flood relief.

Justin Shields this week urged his colleagues to back the emergency local option sales tax to help flood victims.

Other members of the council and Mayor Kay Halloran said they are ready to talk about the idea.

Voters would have to approve the local-option sales tax. Among the City Council’s list of requests of state lawmakers is to let cities approve such a tax without a vote.

Officials say the proposed tax increase would generate an estimated $23 million per year for the city. If Linn County adopted it, the city would get about $18 million a year.