Share this article!

At a time when most states and municipalities are moving to lower property taxes, a city in southern Utah is going in the opposite direction with a substantial property tax hike.

The Salt Lake Tribune reports the City Council in Ivins, Utah, voted 4-1 to raise property taxes on residential and commercial properties by nearly 34%. The property tax hike will increase the city’s portion of the tax on a $743,000 home by roughly $122 a year, while property taxes on a $743,000 commercial property would rise by roughly $220.

The supporters of this measure cited a $540,000 budget shortfall for fiscal year 2026 and the need to restore funds lost to inflation since the city’s last tax increase in 2010.

“What business can sustain itself on a fixed revenue for 15 years?” said Mayor Chris Hart. “It is simply unsustainable.”

Hart noted rising costs on city services coupled with a 61% population increase over the past 15 years. Ivins Finance Director Cade Visser observed additional expenses were created when the city professionalized its mostly volunteer fire department and expanded police patrols.

“We have increased our level of service, increasing our costs and hopefully making the city a safer place and providing a better benefit,” Visser said.

Opponents to the tax hike stressed the city could have postponed its action until it could begin collecting sales and room taxes from Black Desert, a new $2 billion resort in Ivins. But Ivins countered that the tax revenue collected from Black Desert is below projections.

“We were hoping to get $300,000 worth of transient room tax, but were going to [collect] close to $120,000,” Visser said. “So, my expectations were off … I was too bullish.”