Waukee faces budget shortfalls after Apple tax exemption misapplied

Dallas County explains tax error impacting Waukee schools, city budget

The letter notes assessment notices were mailed out, but an exemption was not applied, which led to the property having a higher net taxable assessment.

Dallas County explains tax error impacting Waukee schools, city budget

The letter notes assessment notices were mailed out, but an exemption was not applied, which led to the property having a higher net taxable assessment.

1992. TONIGHT, WE’RE LEARNING MORE ABOUT WHAT CAUSED A BUDGET SHORTFALL. THAT’S LEFT WAUKEE’S SCHOOLS AND THE CITY OF WAUKEE WITH MILLIONS OF DOLLARS LESS IN THEIR CURRENT BUDGETS. ��vlog KAYLA JAMES JOINS US NOW. KAYLA. DALLAS COUNTY IS TELLING US MORE ABOUT THIS PROPERTY TAX VALUATION ERROR. THAT’S CORRECT. THE DALLAS COUNTY ASSESSOR SAYS APPLE’S PROPERTY IN WAUKEE IS SUBJECT TO A MINIMUM ASSESSMENT AGREEMENT. HOWEVER, THE COUNTY ASSESSOR SAYS THE COMPANY WAS ALSO ENTITLED TO AN EXEMPTION THROUGH AN IOWA ECONOMIC DEVELOPMENT AUTHORITY PROGRAM, AND IT WAS NOT ORIGINALLY APPLIED. THIS IS THE COPY OF THE LETTER SENT BY THE DALLAS COUNTY ASSESSOR’S OFFICE TO THE WAUKEE COMMUNITY SCHOOL DISTRICT. IT COMES AFTER MONDAY’S SCHOOL BOARD MEETING WHERE MEMBERS PRESENTED THE ISSUE THAT WILL LEAD TO THE DISTRICT’S BUDGET LOSING MORE THAN $2 MILLION THIS YEAR. THERE WAS NOTHING THAT THE DISTRICT COULD HAVE KNOWN OR DONE THAT WOULD HAVE THAT WE WOULD HAVE SEEN THIS COMING IN ANY WAY. NO, NO, WE DIDN’T WE DIDN’T KNOW ABOUT IT UNTIL OCTOBER 2ND. IN THE LETTER, THE DALLAS COUNTY ASSESSOR WRITES THAT THE APPLE DATA CENTER PROPERTY IS SUBJECT TO A MINIMUM ASSESSMENT AGREEMENT OF $200 MILLION. THAT WAS DONE IN 2023, BUT THE LETTER NOTES APPLE IS ALSO ENTITLED TO A HIGH QUALITY JOBS EXEMPTION THROUGH THE STATE, AN EXEMPTION TO DALLAS COUNTY ASSESSOR’S OFFICE SAYS THE CITY OF WAUKEE GRANTED IN AUGUST OF 2017. THE SAME MONTH, APPLE CEO TIM COOK CELEBRATED THE ADDITIONS COMING TO WAUKEE. APPLE IS MAKING AN INITIAL INVESTMENT, ACCORDING TO THE LETTER FROM THE DALLAS COUNTY ASSESSOR’S OFFICE. APPLE’S PROPERTY WAS ASSESSED PER THE MINIMUM AGREEMENT FOR ASSESSMENT YEAR 2024. IT SAYS ON APRIL 1ST OF THAT YEAR, ASSESSMENT NOTICES WERE MAILED TO, QUOTE, RELEVANT PARTIES, END QUOTE. BUT THE LETTER ALSO NOTES THE HIGH QUALITY JOBS EXEMPTION WAS NOT APPLIED, WHICH LEFT THE PROPERTY HAVING A HIGHER NET TAXABLE ASSESSMENT. THE COUNTY SAYS THE EXEMPTION WAS VERIFIED AND APPLIED IN AUGUST OF 2025, WHEN THE COUNTY WAS NOTIFIED, BUT THAT AFFECTS THE BUDGET. WAUKEE SCHOOLS IS OPERATING OUT OF RIGHT NOW. THE GOOD NEWS IS GUIDED BY THE THIS BOARD AND THROUGH CONSERVATIVE PRACTICES THAT WE’VE BEEN DOING OVER THE LAST SEVERAL YEARS, THIS WON’T LEAD TO LAYOFFS. IT WON’T LEAD TO ANY REDUCTION IN PROGRAMING IN THE CURRENT YEAR. NOW, THE CITY OF WAUKEE SAYS IT WILL ALSO LOSE MORE THAN $3 MILLION FROM ITS BUDGET, BUT THAT THE CITY HAS A RESERVE FUND TO COVER SOME LOSSES. WHEN WE SPOKE WITH WAUKEE SCHOOL SUPERINTENDENT BRAD BUCK YESTERDAY, HE SAID THE DISTRICT PLANS TO ASK STATE LAWMAKERS TO HELP RECOVER SOME OF THE LOST FUNDING, AND IT’S DISCUSSING LEGAL OPTIONS.

Updated: 10:48 PM CDT Oct 29, 2025

Editorial Standards ⓘ

Dallas County explains tax error impacting Waukee schools, city budget

The letter notes assessment notices were mailed out, but an exemption was not applied, which led to the property having a higher net taxable assessment.

Updated: 10:48 PM CDT Oct 29, 2025

Editorial Standards ⓘ

A letter from the Dallas County Assessor’s Office shares the timeline of what occurred that led to the property tax valuator error, leaving the Waukee Community School District and the City of Waukee with budget shortfalls.In a letter, the county assessor said the Apple data center in Waukee was subject to a minimum assessment agreement in 2023, with an assessed valuation of at least $200 million. The letter also notes Apple was entitled to an exemption through a state program, called the High-Quality Jobs program, which was agreed upon in August 2017 by the city of Waukee and Apple. The Iowa Economic Development Authority says the High-Quality Jobs program provides assistance to offset some of the costs businesses take on to locate, expand or modernize a facility in Iowa.According to the letter, a development agreement between Apple and the City of Waukee notes that "the City and Developer shall work cooperatively to communicate with the County Assessor on the appropriate abatement percentage and the applicable commencement date for such exemption."In April 2024, assessment notices were mailed out, but the exemption was not applied, which led to the property having a higher net taxable assessment.The Dallas County Assessor's Office's letter states it was told in August 2025 that Apple was entitled to have the High-Quality Jobs exemption applied. The exemption was later verified and applied. According to the letter, when the exemption was applied to the assessment, it "lowered the next taxable assessed value to the amount that the City of Waukee had granted to Apple as part of their private development agreement."The property tax mix-up led to Waukee schools having $2.3 million less in the budget and the city $3 million less.» Subscribe to ��vlog's YouTube page» Download the free ��vlog app to get updates on the go: Apple | Google Play

WAUKEE, Iowa —

In a letter, the county assessor said the Apple data center in Waukee was subject to a minimum assessment agreement in 2023, with an assessed valuation of at least $200 million.

The letter also notes Apple was entitled to an exemption through a state program, called the High-Quality Jobs program, which was agreed upon in August 2017 by the city of Waukee and Apple. The Iowa Economic Development Authority says the High-Quality Jobs program provides assistance to offset some of the costs businesses take on to locate, expand or modernize a facility in Iowa.

According to the letter, a development agreement between Apple and the City of Waukee notes that "the City and Developer shall work cooperatively to communicate with the County Assessor on the appropriate abatement percentage and the applicable commencement date for such exemption."

In April 2024, assessment notices were mailed out, but the exemption was not applied, which led to the property having a higher net taxable assessment.

The Dallas County Assessor's Office's letter states it was told in August 2025 that Apple was entitled to have the High-Quality Jobs exemption applied. The exemption was later verified and applied. According to the letter, when the exemption was applied to the assessment, it "lowered the next taxable assessed value to the amount that the City of Waukee had granted to Apple as part of their private development agreement."

The property tax mix-up led to Waukee schools having $2.3 million less in the budget and the city $3 million less.

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Dallas County explains tax error impacting Waukee schools, city budget

The letter notes assessment notices were mailed out, but an exemption was not applied, which led to the property having a higher net taxable assessment.

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