Waukee Basketball Complex Faces Possible Closure Without Dallas County Tax-Exempt Approval
The future of the Kettlestone Central Sports Complex in Waukee is uncertain as the Iowa Youth Athletic Foundation (IYAF) faces a possible closure. This non-profit organization is currently embroiled in a legal battle with Dallas County over the denial of tax-exempt status for its newly constructed facility.
Tax-Exempt Status Denied
The IYAF is suing Dallas County after the county’s Board of Review declined its appeal for tax-exempt status for the Kettlestone Central Sports Complex. With an estimated construction cost of $40 million, this 140,000-square-foot facility includes 12 basketball courts, an outdoor court, and stadium-style seating.
Implications of the Ruling
The foundation claims that without the tax exemption, it would incur an annual tax liability between $500,000 and $1 million. This financial burden could force the organization to close or sell the complex to a for-profit entity.
- Complex Valuation: Dallas County assessed the facility and land at over $19.2 million.
- Construction Opened: The Kettlestone Sports Complex officially opened on April 10.
- Projected Economic Impact: It is estimated to generate $125 million annually for the local economy.
Details of the Lawsuit
The lawsuit was filed in June after the Dallas County Board of Review asserted that IYAF did not provide sufficient evidence to support its claims for tax exemption. In a ruling notice from May, the county noted it had considered the facility taxable commercial property.
Historical Context
The foundation compares its situation to the local Waukee Family YMCA, which has received tax-exempt status since at least 2021 despite being valued over $15 million. The IYAF argues that the same criteria should apply to its complex.
Community Impact and Future Development
According to foundation founder Dickson Jensen, denying tax exemption would have severe ramifications. The IYAF is committed to enhancing youth athletics, and the Kettlestone Central Sports Complex is seen as vital to this mission.
- Community Development: Plans for Kettlestone Central include restaurants, hotels, and medical clinics, aimed at fostering local growth.
- Program Support: Surplus revenues from the complex would support IYAF’s charitable initiatives.
Legal Proceedings and Next Steps
A temporary injunction was granted in August, halting any property tax assessments on the facility while the case is pending. A trial is scheduled for April 14, 2026, which will determine the future tax obligations of the Kettlestone complex.
Conclusion
The outcome of this lawsuit is crucial for the Iowa Youth Athletic Foundation. Should the tax exemption status be denied, it could significantly impede the foundation’s ability to serve local youth through its programs and initiatives.
