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Council approves first reading of property tax ordinance to finance childcare and senior living
Idaho

Council approves first reading of property tax ordinance to finance childcare and senior living

City Council members voted 5-1 on Tuesday to approve the first reading of an ordinance that could lead to a property tax vote in Steamboat Springs in November.

The wording on the ballot has not yet been finalized, but the City Council has hired city attorney Dan Foote to draft a ballot question that Steamboat voters will vote on Nov. 5 to approve a 1 percent property tax “to provide child care and health services and facilities for senior citizens.” The proposed ordinance would provide a 10-year suspension of the tax collection.

The Council will vote on a second reading of the regulation on 3 September.



The first vote on Tuesday evening came in response to the impending closure of Casey’s Pond and the resulting displacement of residents of the senior living facility, which is currently undergoing bankruptcy proceedings.

Bellann Raile of Cordes & Company, the facility’s court-appointed receiver, said Monday that 32 residents of the facility’s nursing care unit who receive Medicaid benefits must move out by Oct. 27.



On August 15, Raile informed residents that the Casey’s Pond assisted living facility, which houses 36 other residents, would close in 90 days, on November 13.

The deadline to vacate Casey’s Pond prompted council members to pass an emergency ordinance on August 14 to allocate $2.5 million in short-term city tax revenue to purchase 15 employee apartments at the senior living complex.

But how the city’s proposed funding from short-term rental tax revenue will complete any kind of deal to save Casey’s Pond is unclear. The $2.5 million in funding would be a fraction of the estimated $28 million to $30 million needed to satisfy bondholders involved in the deal.

On the issue of the proposed property tax, most council members agreed that it was important with or without the ability to support Casey’s Pond.

“I don’t think child care or health care can ever create their own revenue stream… It’s very reassuring to me that we can actually deduct something from the property tax for those two things,” said Council Member Steve Muntean.

“If Casey’s Pond is not saved, the need for senior living and healthcare services and facilities will continue to be greater, and even greater,” said Council Member Joella West.

Council member Amy Dickson voted against adopting the first reading of the election ordinance.

“I have concerns about this … first of all, this was brought up because we hoped it would help save Casey’s Pond – the timing is bad, it’s not going to help, and we don’t know the outcome of Casey’s Pond when that election happens,” she said.

“I think we’re rushing this, and I think we need to step back and really remove ourselves from the discussion of higher property taxes or diversified revenue streams,” Dickson added. “I support Casey’s Pond 100%; that’s not going to help them get out of the situation they’re already in.”

Trevor Ballantyne is the city government and housing reporter. Reach him at 970-871-4254 or email [email protected].

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