Tax increase would affect ISU students

Kari Harapat

On Oct. 8, Story County residents will be voting on a local-option sales tax. If passed, the sales tax will fund a new middle school – but it will affect ISU students as well.

“A local-option sales tax is an additional 1 cent sales tax that goes toward school buildings and property tax relief,” said John Hascall, vice president of the Ames School Board.

Hascall said a tax is the best way to fund a new middle school because the financial burden will not sit entirely on Story County residents’ shoulders.

Along with the residents of Story County, visitors will also be paying the tax. All the people who come to Iowa State for concerts, football games and other athletic events would help pay for the new middle school.

If passed, the local-option sales tax would be applied to all goods that are typically taxed. Items such as unprepared foods, medicine, cars and rent would not be affected, Hascall said.

He said if the tax is passed, it will go into effect July 1, 2003, and will end on June 30, 2013. On that date, the tax will be dropped unless Story County residents vote to continue it.

If the local-option sales tax is not passed, the school board wants to propose an increase in property tax.

“There are only two ways of paying for buildings,” Hascall said. A property tax is the alternative to a local-option sales tax.

If a property tax is passed, Ames citizens would be the only people paying the tax. Since fewer people own property in Ames than spend money in Ames, each person paying the tax would pay a larger portion of the school’s bill.

But although most ISU students do not own property, a property tax would still affect them.

Landlords of apartments will likely raise rent to make up for the increase in property tax, Hascall said.

“Originally I didn’t like the idea of a sales tax, until I realized the property tax would be more a financial burden on students,” said Nicole Stotts, junior in interior design.

“I’d rather elect to spend the money on things of my choosing than having to spend it on an increase in rent.”

Chad Berg, senior in computer engineering, said he is glad he is graduating in the event the tax is passed. He said with the added increase in tuition and a new tax, he isn’t sure he could afford going to Iowa State.

The issue of ISU students paying the tax is a concern to some.

“I understand the need for a new middle school but I don’t think taking advantage of all college students in Ames is the best way of doing it,” said Luke Bishop, senior in computer engineering.

Others do not think students paying the sales tax is the issue.

“Do we as a society value education? Are we willing to subsidize it?” said Terry Alexander, adjunct associate professor of economics. He said ISU students have had their education subsidized along the way.

Students can voice their opinions with votes. To vote students must be registered in Story County. There will be polling places in both the Maple-Willow-Larch and Friley halls. Those interested in finding other polling places can contact the county auditors.

“This is a democratic society – come and make your voice heard,” Hascall said.