A judge on Thursday refused to block an election in Post Falls that lets voters decide whether they should approve offers of tax assistance to developers.

The City of Post Falls sought to delay the election.

Post Falls has argued that allowing voters to decide when incentives are given may hurt efforts to lure companies such as Micron Technology Inc. and the proposed International Expo at Post Falls.

But the Kootenai County Property Owners Association, a group that called for the election, disagrees.

“This isn’t about Micron. This isn’t about Expo. It’s about letting those who pay have a right to their say,” said Ron Rankin, the association’s president.

Because of Thursday’s ruling, voters on Feb. 7 will decide whether they should go to the ballot box each time the city proposes to extend tax increment assistance to developers. Such assistance defers developers’ costs for public infrastructure such as streets and utilities. It does not exempt developers from property taxes.

“I’m going to let the people of Post Falls speak their minds,” said District Judge Gary Haman. “I’m not convinced that this is going to be the end of the world for the city of Post Falls.”

Post Falls attorney Jerry Mason argued that future votes on tax increment financing will usurp the authority of the City Council and the Post Falls urban renewal agency.

After Thursday’s hearing, Post Falls Mayor Jim Hammond expressed anxiety about the pending election.

“I’m real concerned that people get educated about this,” he said. “There is so much misinformation out there … I don’t think people understand the issue.”

Some of that misinformation has come from Rankin, business advocates say.

Micron is considering Kootenai County, and a dozen other locations, as a place to locate a $1.3 billion semiconductor plant. Expo is a proposed retail mall under development west of town. Both projects want tax assistance from the city, something Rankin finds worrisome.

“I don’t want to say (Rankin) is intentionally misleading people,” Hammond said. “But if anyone pushes the limit on manipulating facts and figures to further his point of view, it’s Rankin.”

Consider the evidence:

At a recent City Council meeting in Post Falls, Rankin claimed Boise has higher taxes than Post Falls, even though it has made wide use of tax-increment financing. In reality, Post Falls’ tax rate is 14 percent higher than Boise’s.

Several residents who were asked to sign Rankin’s initiative petition calling for the vote say Rankin used scare tactics.

Rankin has referred to taxincrement financing as corporate welfare, even though it does not reduce a business’ tax burden.

Tax-increment financing allows a city urban renewal agency to sell bonds to pay for infrastructure. The bonds are then paid off with the business’ property taxes.

Rankin shrugs off claims that he is distorting the truth.

While bonds are being paid off, Rankin insists, homeowners get stuck footing the bill for demands that a new development places on streets, schools and other services.

“There’s no way that it cannot raise people’s taxes,” Rankin said.

Post Falls next week will hold public meetings in a last-ditch effort to explain tax-increment financing to the public.