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HF1051 • 2026

A bill for an act authorizing cities to establish self-supported tourism improvement districts.(Formerly HF 760 , HF 38 .)

A bill for an act authorizing cities to establish self-supported tourism improvement districts.(Formerly HF 760 , HF 38 .)

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
COMMITTEE ON WAYS AND MEANS
Last action
2025-05-15
Official status
Rereferred to Local Government. H.J. 1222 .
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

A bill for an act authorizing cities to establish self-supported tourism improvement districts.(Formerly HF 760 , HF 38 .)

A bill for an act authorizing cities to establish self-supported tourism improvement districts.(Formerly HF 760 , HF 38 .)

What This Bill Does

  • A bill for an act authorizing cities to establish self-supported tourism improvement districts.(Formerly HF 760 , HF 38 .)

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2025-05-15 Iowa Legislature

    Rereferred to Local Government. H.J. 1222 .

  2. 2025-05-13 Iowa Legislature

    Amendment H-1332 filed. H.J. 1177 .

  3. 2025-05-13 Iowa Legislature

    Introduced, placed on Ways and Means calendar. H.J. 1149 .

Official Summary Text

A bill for an act authorizing cities to establish self-supported tourism improvement districts.(Formerly HF 760 , HF 38 .)

Current Bill Text

Read the full stored bill text
House

File

1051

-

Introduced

HOUSE

FILE

1051

BY

COMMITTEE

ON

WAYS

AND

MEANS

(SUCCESSOR

TO

HF

760)

(SUCCESSOR

TO

HF

38)

A

BILL

FOR

An

Act

authorizing

cities

to

establish

self-supported

tourism

1

improvement

districts.

2

BE

IT

ENACTED

BY

THE

GENERAL

ASSEMBLY

OF

THE

STATE

OF

IOWA:

3

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Section

1.

NEW

SECTION

.

358D.1

Definitions.

1

As

used

in

this

chapter,

unless

the

context

requires

2

otherwise:

3

1.

“Activities”

includes

but

is

not

limited

to

all

of

the

4

following

that

benefit

lodging

businesses

in

the

district:

5

a.

Promotion

of

public

events.

6

b.

Promotion

of

tourism

within

the

district.

7

c.

Promotion

of

business

activities.

8

d.

Marketing

and

tourism-related

economic

development,

9

including

but

not

limited

to

lodging

business

retention

and

10

recruitment.

11

e.

Workforce

development.

12

f.

Other

services

provided

for

the

purpose

of

conferring

13

benefits

upon

assessed

lodging

businesses

located

in

the

14

district.

15

2.

“Assessment”

means

a

levy

for

the

purpose

of

acquiring,

16

constructing,

installing,

or

maintaining

improvements

and

17

providing

activities

that

will

provide

certain

benefits

to

18

lodging

businesses

located

within

a

self-supported

tourism

19

improvement

district.

20

3.

“Benefit

zone”

means

a

subunit

of

a

district

plan

that

21

may

have

a

different

assessment.

22

4.

“Clerk”

means

the

city

clerk,

township

clerk,

or

23

an

employee

of

a

county

designated

by

the

county

board

of

24

supervisors.

25

5.

“District”

means

a

means

a

self-supported

tourism

26

improvement

district

established

pursuant

to

this

chapter.

27

6.

“District

plan”

or

“plan”

means

a

plan

that

complies

with

28

section

358D.3,

subsection

3.

29

7.

“Hosting

platform”

means

a

person

or

entity

who

collects

30

or

receives

a

fee,

directly

or

indirectly,

for

conducting

a

31

booking

transaction

using

any

medium

of

facilitation,

including

32

an

internet-based

platform.

33

8.

“Improvement”

means

the

acquisition,

construction,

34

installation,

or

maintenance

of

any

tangible

property

with

an

35

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1051

estimated

useful

life

of

five

years

or

more

designed

to

benefit

1

assessed

lodging

businesses.

2

9.

“Local

governing

body”

means

the

city

council

of

a

city,

3

the

board

of

supervisors

of

a

county,

or

the

board

of

trustees

4

of

a

township.

5

10.

“Lodging”

means

the

same

as

defined

in

section

423A.2.

6

11.

“Lodging

business”

means

any

type

of

business

engaged

7

in

lodging.

8

12.

“Lodging

business

owner”

or

“owner”

means

any

person

9

recognized

by

the

municipality

as

the

owner

of

the

lodging

10

business.

The

local

governing

body

has

no

obligation

to

obtain

11

other

information

as

to

the

ownership

of

the

lodging

business,

12

and

the

municipality’s

determination

of

ownership

shall

be

13

final

and

conclusive

for

the

purposes

of

this

subsection.

14

Wherever

this

chapter

requires

the

signature

of

the

lodging

15

business

owner,

the

signature

of

the

authorized

agent

of

the

16

lodging

business

owner

shall

be

sufficient.

17

13.

“Municipality”

means

a

city,

county,

or

township.

18

14.

“Ordinance”

means

an

ordinance

adopted

by

a

city

or

19

county

or

a

resolution

adopted

by

a

township.

20

15.

“Owners’

association”

means

a

private

nonprofit

21

corporation

that

is

under

contract

with

a

municipality

to

22

administer

or

implement

improvements

and

activities

specified

23

in

the

district

plan.

An

owners’

association

may

be

an

24

existing

nonprofit

corporation

or

a

newly

formed

nonprofit

25

corporation.

An

owners’

association

is

a

private

entity

and

26

shall

not

be

considered

a

public

entity

for

any

purpose,

nor

27

shall

the

owners’

association’s

board

members

or

staff

be

28

considered

to

be

public

officials

for

any

purpose.

If

an

29

existing

nonprofit

corporation

is

designated

as

the

owners’

30

association,

the

existing

nonprofit

corporation

shall

establish

31

a

self-supported

tourism

improvement

district

committee

32

comprised

solely

of

lodging

business

owners

paying

the

33

self-supported

tourism

improvement

district

assessment,

which

34

shall

manage

the

expenditure

of

revenues

derived

from

the

levy

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of

assessments,

pursuant

to

this

chapter.

If

a

newly

formed

1

nonprofit

corporation

is

designated

as

the

owners’

association,

2

the

board

of

directors

must

be

comprised

entirely

of

lodging

3

business

owners

paying

the

self-supported

tourism

improvement

4

district

assessment.

5

Sec.

2.

NEW

SECTION

.

358D.2

Authorization.

6

A

local

governing

body

which

proposes

to

create

a

district,

7

to

provide

for

its

existence

and

operation,

to

provide

for

8

activities

or

improvements

for

the

district,

to

authorize

and

9

issue

bonds

for

the

purposes

of

the

district,

and

to

levy

the

10

assessments

authorized

by

this

chapter

must

do

so

in

accordance

11

with

the

provisions

of

this

chapter.

12

Sec.

3.

NEW

SECTION

.

358D.3

Establishment

of

district.

13

1.

Districts

may

be

created

by

action

of

the

local

governing

14

body

in

accordance

with

the

provisions

of

this

chapter.

All

of

15

the

following

shall

apply

to

a

district,

as

applicable:

16

a.

A

city

or

township

shall

not

establish

a

district

within

17

the

unincorporated

area

of

a

county

without

the

consent

of

the

18

board

of

supervisors

of

the

county.

A

city

or

township

shall

19

not

establish

a

district

within

the

jurisdiction

of

another

20

city

or

township

without

the

consent

of

that

city

council

or

21

board

of

township

trustees.

A

county

shall

not

establish

a

22

district

within

the

jurisdiction

of

another

county

without

23

the

consent

of

that

county’s

board

of

supervisors.

However,

24

a

county

may

establish

a

district

within

a

city

or

township

25

located

within

the

county

without

requiring

consent

from

the

26

city

council

or

board

of

township

trustees.

27

b.

The

boundaries

of

a

district

created

pursuant

to

this

28

chapter

may

overlap

with

other

districts

established

pursuant

29

to

other

provisions

of

law,

or

other

districts

created

in

this

30

chapter.

31

c.

The

local

governing

body

may

establish

one

or

more

32

separate

benefit

zones

within

the

district

based

upon

the

33

degree

of

benefit

derived

from

the

improvements

or

activities

34

to

be

provided

within

the

benefit

zone,

and

may

impose

a

35

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1051

different

assessment

within

each

benefit

zone.

The

local

1

governing

body

may

also

define

categories

of

lodging

businesses

2

based

upon

the

degree

of

benefit

that

each

will

derive

from

the

3

improvements

or

activities

to

be

provided

within

the

district

4

and

may

impose

a

different

assessment

or

rate

of

assessment

5

on

each

category

of

lodging

business,

or

on

each

category

of

6

lodging

business

within

each

zone.

7

d.

The

local

governing

body

may

levy

assessments

on

lodging

8

businesses

pursuant

to

this

chapter.

The

local

governing

body

9

shall

structure

the

assessments

as

a

fixed

amount,

rate

per

10

transaction,

fixed

rate

per

transaction

per

day,

percentage

of

11

sales,

any

combination

of

these

methods,

or

in

whatever

manner

12

it

determines

corresponds

with

the

distribution

of

benefits

13

from

the

proposed

improvements

and

activities.

14

e.

The

collection

of

the

assessments

levied

pursuant

to

15

this

chapter

shall

be

made

at

the

time

and

in

the

manner

set

16

forth

by

the

local

governing

body

in

the

ordinance

levying

the

17

assessment.

All

assessments

levied

pursuant

to

this

chapter

18

may

be

subject

to

interest

and

penalties.

19

f.

Assessments

levied

pursuant

to

this

chapter

shall

be

20

levied

on

the

basis

of

the

estimated

benefit

to

the

lodging

21

businesses

within

the

self-supported

tourism

improvement

22

district.

23

g.

District

funds

allocated

for

the

activities

and

24

improvements

in

the

plan

are

intended

to

be

supplemental

to

25

existing

funding

for

tourism

promotion.

The

municipality

shall

26

not

reduce

any

existing

funding

as

a

result

of

a

self-supported

27

tourism

improvement

district.

28

2.

Upon

the

submission

of

a

written

petition,

signed

by

29

the

lodging

business

owners

in

the

proposed

district

who

will

30

pay

more

than

fifty

percent

of

the

assessments

proposed

to

be

31

levied,

the

local

governing

body

shall

conduct

a

public

hearing

32

on

the

establishment

or

extension

of

the

self-supporting

33

tourism

improvement

district.

The

petition

must

include

a

34

summary

of

the

district

plan.

That

summary

must

include

all

35

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of

the

following:

1

a.

A

map

showing

the

boundaries

of

the

district.

2

b.

Information

specifying

where

the

complete

district

plan

3

may

be

obtained.

4

c.

Information

specifying

that

the

complete

district

plan

5

shall

be

furnished

upon

request.

6

3.

The

district

plan

must

include

but

is

not

limited

to

all

7

of

the

following:

8

a.

A

map

of

the

district

in

sufficient

detail

to

locate

each

9

lodging

business

within

the

district.

The

map

must

identify

10

the

district

boundaries

in

sufficient

detail

to

allow

a

lodging

11

business

owner

to

reasonably

determine

whether

a

lodging

12

business

is

located

within

the

district

boundaries.

13

b.

The

name

of

the

proposed

district.

14

c.

A

description

of

the

boundaries

of

the

district,

15

including

the

boundaries

of

benefit

zones,

proposed

for

16

establishment

or

extension

in

a

manner

sufficient

to

identify

17

the

affected

lodging

businesses

included,

which

may

be

made

by

18

reference

to

any

plan

or

map

that

is

on

file

with

the

clerk.

19

d.

The

improvements

and

activities

proposed

for

each

year

20

of

operation

of

the

district

and

the

estimated

cost.

If

the

21

improvements

and

activities

proposed

for

each

year

of

operation

22

are

the

same,

a

description

of

the

first

year’s

proposed

23

improvements

and

activities

and

a

statement

that

the

same

24

improvements

and

activities

are

proposed

for

subsequent

years

25

shall

satisfy

the

requirements

of

this

paragraph.

26

e.

The

total

estimated

annual

amount

proposed

to

be

expended

27

for

improvements

or

activities,

and

debt

service

in

each

year

28

of

operation

of

the

district.

The

amount

may

be

estimated

29

based

upon

the

assessment

rate.

If

the

total

annual

amount

30

proposed

to

be

expended

in

each

year

of

operation

of

the

31

district

is

not

significantly

different,

the

amount

proposed

32

to

be

expended

in

the

initial

year

and

a

statement

that

a

33

similar

amount

applies

to

subsequent

years

shall

satisfy

the

34

requirements

of

this

paragraph.

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f.

The

proposed

source

or

sources

of

financing,

including

1

the

proposed

method

and

basis

of

levying

the

assessment

in

2

sufficient

detail

to

allow

each

lodging

business

owner

to

3

estimate

the

amount

of

the

assessment

to

be

levied

against

the

4

lodging

business

owner’s

lodging

business.

5

g.

A

statement

specifying

whether

bonds

will

be

issued

to

6

finance

improvements.

7

h.

The

time

and

manner

of

collecting

the

assessments.

The

8

plan

may

require

hosting

platforms

to

collect

the

assessment.

9

i.

The

specific

number

of

years

in

which

assessments

will

10

be

levied.

In

a

new

district,

the

maximum

number

of

years

11

shall

be

ten.

Upon

renewal,

the

maximum

number

of

years

shall

12

be

twenty.

Notwithstanding

these

limitations,

a

district

13

created

pursuant

to

this

chapter

that

issues

bonds

to

finance

14

improvements

may

levy

assessments

until

the

maximum

maturity

of

15

the

bonds.

The

district

plan

may

set

forth

specific

increases

16

in

assessments

for

each

year

of

operation

of

the

district.

17

j.

The

proposed

time

for

implementation

and

completion

of

18

the

district

plan.

19

k.

Any

proposed

rules

and

regulations

to

be

applicable

to

20

the

district.

21

l.

A

statement

that

an

owners’

association

will

administer

22

or

implement

improvements

and

activities

specified

in

the

23

district

plan.

The

municipality

shall

contract

with

the

24

owners’

association

to

provide

services

and

improvements.

25

m.

Any

other

item

or

matter

required

to

be

incorporated

26

therein

by

the

local

governing

body.

27

4.

At

least

thirty

days

before

the

hearing

pursuant

to

this

28

chapter,

the

clerk

shall

send

a

notice

by

mail

to

the

lodging

29

business

owners

proposed

to

be

assessed.

The

notice

must

state

30

the

following:

31

a.

A

general

description

of

the

improvements

and

activities

32

of

the

district.

33

b.

A

description

of

the

boundaries

of

the

district,

34

including

the

boundaries

of

benefit

zones,

proposed

for

35

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1051

establishment

or

extension

in

a

manner

sufficient

to

identify

1

the

affected

lodging

businesses

included,

which

may

be

made

by

2

reference

to

any

plan

or

map

that

is

on

file

with

the

clerk.

3

c.

A

description

of

the

proposed

assessment

rate

or

method

4

of

determining

the

assessment.

5

d.

The

time

and

place

when

and

where

the

local

governing

6

body

will

hear

all

complaints

or

protests

made

in

writing

or

7

verbally

to

the

proposed

assessments.

8

e.

Prominently

state

the

place,

date,

and

time

of

the

local

9

governing

body

hearing

on

the

establishment

of

the

proposed

10

district.

11

5.

A

protest

may

be

made

orally

or

in

writing

by

any

12

interested

person.

Every

written

protest

shall

be

filed

with

13

the

clerk

at

or

before

the

time

fixed

for

the

public

hearing.

14

The

clerk

may

waive

any

irregularity

in

the

form

or

content

15

of

any

written

protest.

A

written

protest

may

be

withdrawn

16

in

writing

at

any

time

before

the

conclusion

of

the

public

17

hearing.

Each

written

protest

shall

contain

a

description

of

18

the

lodging

business

in

which

the

person

supporting

the

protest

19

has

an

interest

in

a

manner

sufficient

to

identify

the

lodging

20

business

and,

if

a

person

is

not

shown

on

the

official

records

21

of

the

municipality

as

the

owner

of

the

lodging

business,

the

22

protest

shall

contain

or

be

accompanied

by

written

evidence

23

that

the

person

supporting

the

protest

is

the

owner

of

the

24

lodging

business

or

the

authorized

agent.

A

written

protest

25

that

does

not

comply

with

this

section

shall

not

be

counted

26

in

determining

a

majority

protest.

If

written

protests

are

27

received

from

the

owners

or

authorized

agents

of

lodging

28

businesses

in

the

proposed

district

that

will

pay

fifty

percent

29

or

more

of

the

assessments

proposed

to

be

levied

and

protests

30

are

not

withdrawn

so

as

to

reduce

the

protests

to

less

than

31

fifty

percent,

no

further

proceedings

to

levy

the

proposed

32

assessment

against

such

lodging

businesses

shall

be

taken

for

a

33

period

of

one

year

from

the

date

of

the

finding

of

a

majority

34

protest

by

the

local

governing

body.

35

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6.

At

the

conclusion

of

the

public

hearing

to

establish

the

1

district,

the

local

governing

body

may

adopt,

revise,

change,

2

reduce,

or

modify

the

proposed

assessment

or

the

type

or

types

3

of

improvements

and

activities

to

be

funded

with

the

revenues

4

from

the

assessments.

Proposed

assessments

may

only

be

revised

5

by

reducing

all

of

the

assessments.

At

the

public

hearing,

the

6

local

governing

body

may

only

make

changes

in,

to,

or

from

the

7

boundaries

of

the

proposed

self-supported

tourism

improvement

8

district

that

will

exclude

territory

that

will

not

benefit

from

9

the

proposed

improvements

and

activities.

10

7.

If

the

local

governing

body,

following

the

public

11

hearing,

decides

to

establish

a

proposed

self-supported

tourism

12

improvement

district,

the

local

governing

body

shall

adopt

an

13

ordinance

that

shall

include

but

is

not

limited

to

all

of

the

14

following:

15

a.

A

brief

description

of

the

proposed

improvements

and

16

activities.

17

b.

The

amount

of

the

proposed

assessment.

18

c.

A

statement

on

whether

bonds

will

be

issued.

19

d.

A

description

of

the

exterior

boundaries

of

the

proposed

20

district,

which

may

be

made

by

reference

to

any

plan

or

21

map

that

is

on

file

with

the

clerk.

The

descriptions

and

22

statements

need

not

be

detailed

and

shall

be

sufficient

if

23

the

descriptions

and

statements

enable

an

owner

to

generally

24

identify

the

nature

and

extent

of

the

improvements

and

25

activities

and

the

location

and

extent

of

the

proposed

26

district.

27

e.

The

time

and

place

where

the

public

hearing

was

held

28

concerning

the

establishment

of

the

district.

29

f.

A

determination

regarding

any

protests

received.

30

The

municipality

shall

not

establish

the

district

or

levy

31

assessments

if

a

majority

protest

was

received

pursuant

to

this

32

chapter.

33

g.

A

statement

that

the

district

established

by

the

34

ordinance

shall

be

subject

to

any

amendments

to

this

chapter.

35

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h.

A

statement

that

the

improvements

and

activities

to

be

1

conferred

on

lodging

businesses

in

the

district

will

be

funded

2

by

the

levy

of

the

assessments.

3

i.

A

finding

that

the

lodging

businesses

within

the

area

of

4

the

self-supported

tourism

improvement

district

will

benefit

5

by

the

improvements

and

activities

funded

by

the

proposed

6

assessments.

7

8.

If

the

lodging

business

owners

or

authorized

8

representatives

within

the

proposed

district

that

collectively

9

represent

fifty

percent

or

more

of

the

proposed

district

that

10

will

pay

fifty

percent

or

more

of

the

assessments

proposed

11

to

be

levied

file

written

objections

to

the

establishment

12

of

the

district

with

the

clerk

of

the

municipality

within

13

thirty

days

after

the

ordinance

levying

the

assessment

is

14

adopted

pursuant

to

subsection

7,

the

municipality

shall

not

15

establish

the

district

or

levy

assessments.

The

clerk

may

16

waive

any

irregularity

in

the

form

or

content

of

any

written

17

objection.

A

written

objection

may

be

withdrawn

in

writing

at

18

any

time

before

the

conclusion

of

the

thirty-day

period.

Each

19

written

objection

shall

contain

a

description

of

the

lodging

20

business

in

which

the

person

supporting

the

objection

has

an

21

interest

in

that

is

sufficient

to

identify

the

lodging

business

22

and,

if

a

person

supporting

the

objection

is

not

shown

on

23

the

official

records

of

the

municipality

as

the

owner

of

the

24

lodging

business,

the

objection

shall

contain

or

be

accompanied

25

by

written

evidence

that

the

person

supporting

the

objection

26

is

the

owner

of

the

lodging

business

or

the

authorized

27

representative.

A

written

objection

that

does

not

comply

with

28

this

subsection

shall

not

be

counted

in

determining

a

majority

29

written

objection.

30

9.

The

validity

of

an

assessment

levied

under

this

chapter

31

shall

not

be

contested

in

an

action

or

proceeding

unless

the

32

action

or

proceeding

is

commenced

within

thirty

days

after

33

the

ordinance

levying

the

assessment

is

adopted

pursuant

to

34

this

chapter.

An

appeal

from

a

final

judgment

in

an

action

35

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or

proceeding

shall

be

perfected

within

thirty

days

after

the

1

entry

of

judgment.

2

Sec.

4.

NEW

SECTION

.

358D.4

Renewal.

3

1.

If

a

self-supported

tourism

improvement

district

4

expires

due

to

the

time

limit

set

pursuant

to

section

358D.3,

5

subsection

3,

a

new

district

plan

may

be

created

and

the

6

district

may

be

renewed

pursuant

to

this

chapter.

7

2.

Any

district’s

term

that

has

expired,

or

is

about

to

8

expire

in

the

near

future,

may

be

renewed

by

following

the

same

9

procedures

for

the

establishment

of

a

district

as

provided

in

10

this

chapter.

11

3.

Upon

renewal,

any

remaining

revenues

derived

from

the

12

levy

of

assessments,

or

any

revenues

derived

from

the

sale

of

13

assets

acquired

with

the

revenues,

shall

be

transferred

to

the

14

renewed

district.

If

the

renewed

district

includes

additional

15

lodging

businesses

not

included

in

the

prior

district,

the

16

remaining

revenues

shall

be

spent

to

benefit

only

the

lodging

17

businesses

in

the

prior

district.

If

the

renewed

district

does

18

not

include

lodging

businesses

included

in

the

prior

district,

19

the

remaining

revenues

attributable

to

these

lodging

businesses

20

shall

be

spent

consistent

with

the

prior

district

plan.

21

4.

Upon

renewal,

a

district

shall

have

a

term

not

to

22

exceed

twenty

years

or,

if

the

district

is

authorized

to

issue

23

bonds,

until

the

maximum

maturity

of

those

bonds.

There

is

no

24

requirement

that

the

boundaries,

assessments,

improvements,

or

25

activities

of

a

renewed

district

be

the

same

as

the

original

26

or

prior

district.

27

Sec.

5.

NEW

SECTION

.

358D.5

Modification.

28

1.

The

owners’

association

may,

at

any

time,

request

that

29

the

local

governing

body

modify

the

district.

Any

modification

30

of

the

district

shall

be

made

pursuant

to

this

section.

31

2.

Upon

the

written

request

of

the

owners’

association,

the

32

local

governing

body

may

modify

the

district

after

conducting

33

one

public

hearing

on

the

proposed

modifications.

34

3.

If

the

modification

includes

the

levy

of

a

new

or

35

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increased

assessment,

the

local

governing

body

shall

comply

1

with

section

358D.3,

subsections

4

and

5.

2

4.

For

modifications

that

do

not

include

the

levy

of

a

new

3

or

increased

assessment,

the

clerk

shall

send

a

notice

of

the

4

public

hearing

on

the

proposed

modification

by

mail

to

the

5

lodging

business

owners

proposed

to

be

assessed.

The

notice

6

must

state:

7

a.

A

general

description

of

the

proposed

modification.

8

b.

The

place,

date,

and

time

of

the

local

governing

body

9

hearing

pursuant

to,

subsection

2,

which

shall

be

held

at

least

10

thirty

days

after

the

date

of

mailing

of

the

notices.

11

5.

Any

modification

shall

be

reflected

in

an

updated

12

district

plan

to

be

on

file

and

available

for

inspection

with

13

the

clerk.

14

Sec.

6.

NEW

SECTION

.

358D.6

Bonds.

15

1.

a.

The

local

governing

body

may,

by

resolution,

16

determine

and

declare

that

bonds

shall

be

issued

to

finance

17

the

estimated

cost

of

some

or

all

of

the

proposed

improvements

18

described

in

the

ordinance

adopted

pursuant

to

section

358D.3,

19

subsection

7.

20

b.

The

resolution

adopted

pursuant

to

this

section

shall

21

generally

describe

the

proposed

improvements

specified

in

the

22

ordinance

adopted

pursuant

to

section

358D.3,

subsection

7,

set

23

forth

the

estimated

cost

of

those

improvements,

and

specify

the

24

number

of

annual

installments

and

the

fiscal

years

it

will

take

25

to

pay

off

the

bonds.

26

2.

Notwithstanding

any

other

provision

of

this

chapter,

27

assessments

levied

to

pay

the

principal

and

interest

on

any

28

bond

issued

pursuant

to

this

chapter

shall

not

be

reduced

29

or

terminated

if

doing

so

would

interfere

with

the

timely

30

retirement

of

the

debt.

31

Sec.

7.

NEW

SECTION

.

358D.7

Annual

reports.

32

1.

The

owners’

association

shall

prepare

a

report

for

33

each

fiscal

year,

except

the

first

fiscal

year,

for

which

34

assessments

are

to

be

levied

and

collected

to

pay

the

costs

35

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of

the

improvements

and

activities

described

in

the

report.

1

The

owners’

association’s

first

report

shall

be

due

three

2

months

after

the

last

day

of

the

first

year

of

operation

of

the

3

district,

and

on

that

day

each

year

thereafter

the

district

is

4

in

operation.

5

2.

The

report

shall

be

filed

with

the

clerk

and

shall

refer

6

to

the

self-supported

tourism

improvement

district

by

name,

7

specify

the

fiscal

year

to

which

the

report

applies,

and,

with

8

respect

to

that

fiscal

year,

shall

contain

all

of

the

following

9

information:

10

a.

Improvements

and

activities

that

were

provided

in

the

11

previous

fiscal

year.

12

b.

An

estimate

of

the

cost

of

providing

the

improvements

and

13

activities

for

the

previous

fiscal

year.

14

c.

The

estimated

amount

of

any

surplus

or

deficit

from

15

the

previous

fiscal

year.

The

amount

of

surplus

or

deficit

16

shall

be

calculated

based

on

subtracting

the

previous

year’s

17

expenditures

from

the

revenues

of

the

previous

year.

18

d.

Any

proposed

changes

to

the

assessment

or

improvements

or

19

activities

that

are

authorized

in

accordance

with

the

district

20

plan.

21

3.

The

local

governing

body

may

approve

the

report

as

filed

22

by

the

owners’

association.

23

Sec.

8.

NEW

SECTION

.

358D.8

Repeal.

24

1.

Any

district

established

or

extended

pursuant

to

the

25

provisions

of

this

chapter,

where

there

is

no

indebtedness,

26

outstanding

and

unpaid,

incurred

to

accomplish

any

of

the

27

purposes

of

the

district,

may

be

repealed

by

the

local

28

governing

body

in

either

of

the

following

circumstances:

29

a.

If

the

local

governing

body

finds

there

has

been

30

misappropriation

of

funds,

malfeasance,

or

a

violation

of

law

31

in

connection

with

the

management

of

the

district,

the

local

32

governing

body

shall

provide

notice

to

the

public

about

the

33

hearing

on

the

proposed

repeal.

34

b.

During

the

operation

of

the

district,

there

shall

35

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be

a

thirty-day

period

each

year

in

which

assessed

lodging

1

businesses

may

request

repeal

of

the

establishment

of

the

2

district.

The

first

such

period

shall

begin

one

year

after

3

the

date

of

establishment

of

the

district

and

shall

continue

4

for

thirty

days.

The

next

such

thirty-day

period

shall

begin

5

two

years

after

the

date

of

the

establishment

of

the

district.

6

Each

successive

year

of

operation

of

the

district

shall

have

7

such

a

thirty-day

period.

Upon

the

written

petition

of

the

8

owners

or

authorized

representatives

of

lodging

businesses

in

9

the

district

who

pay

fifty

percent

or

more

of

the

assessments

10

levied

during

the

thirty-day

period,

the

local

governing

body

11

provide

notice

of

the

proposed

repeal,

and

shall

hold

a

hearing

12

about

the

proposed

repeal.

13

2.

The

local

governing

body

shall

hold

a

public

hearing

14

to

repeal

the

district.

The

notice

of

the

hearing

on

repeal

15

required

by

this

chapter

shall

be

given

by

mail

to

the

owner

of

16

each

lodging

business

subject

to

assessment

in

the

district,

17

as

appropriate.

The

municipality

shall

conduct

the

public

18

hearing

not

less

than

thirty

days

after

mailing

the

notice

to

19

the

lodging

business

owners.

20

3.

Upon

repeal

or

expiration

without

renewal

of

a

district,

21

any

remaining

revenues,

after

all

outstanding

debts

are

paid,

22

derived

from

the

levy

of

assessments,

or

derived

from

the

sale

23

of

assets

acquired

with

the

revenues,

or

from

bond

reserve

24

or

construction

funds,

shall

be

expended

consistent

with

the

25

district

plan.

26

Sec.

9.

NEW

SECTION

.

358D.9

Independent

provisions.

27

1.

This

chapter

provides

an

alternative

method

of

financing

28

certain

improvements

and

activities.

The

provisions

of

this

29

chapter

shall

not

affect

or

limit

any

other

provisions

of

law

30

authorizing

or

providing

for

the

furnishing

of

improvements

or

31

activities

or

the

raising

of

revenue

for

these

purposes.

32

2.

Any

provision

of

this

chapter

that

conflicts

with

any

33

other

provision

of

law

shall

prevail

over

the

other

provision

34

of

law

as

to

districts

created

under

this

chapter.

35

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EXPLANATION

1

The

inclusion

of

this

explanation

does

not

constitute

agreement

with

2

the

explanation’s

substance

by

the

members

of

the

general

assembly.

3

This

bill

authorizes

a

self-supported

tourism

improvement

4

district

(district).

5

The

bill

allows

a

levy

(assessment)

upon

lodging

businesses

6

for

the

purpose

of

acquiring,

constructing,

installing,

or

7

maintaining

improvements

and

providing

activities

that

will

8

provide

certain

benefits

to

lodging

businesses

located

within

9

the

district.

10

The

bill

defines

“activities”

to

include

promotion

of

public

11

events,

promotion

of

tourism

within

the

district,

promotion

12

of

business

activities,

marketing,

workforce

development,

and

13

other

related

services.

14

The

district

is

created

by

action

of

the

local

governing

body

15

where

the

district

is

located.

The

bill

establishes

specific

16

criteria

including

a

map

of

the

area

that

would

comprise

the

17

district,

the

rate

and

structure

of

the

assessment,

and

the

18

expiration

of

the

district.

The

assessments

shall

be

assessed

19

on

the

basis

of

the

estimated

benefit

to

the

lodging

business

20

within

the

district.

21

A

protest

of

a

district

plan

may

be

made

by

any

interested

22

person,

and

the

bill

specifies

procedures

for

when

a

protest

is

23

made

by

a

person.

24

If

the

lodging

business

owners

or

their

authorized

25

representatives

within

the

proposed

district

that

collectively

26

represent

more

than

50

percent

or

more

of

the

assessments

to

be

27

paid

file

a

written

objection,

the

bill

establishes

procedures

28

for

when

such

an

objection

is

made.

29

The

bill

allows

a

local

governing

body

to

modify

the

30

district,

and

establishes

procedures

for

renewal

of

a

district

31

set

to

expire.

32

The

bill

allows

a

local

governing

body

to

issue

bonds

by

33

resolution

to

finance

the

estimated

costs

of

the

proposed

34

improvements

in

the

district.

35

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H.F.

1051

The

bill

requires

the

authorized

representative

of

the

1

district

to

file

an

annual

report

with

the

governing

body

2

establishing

the

district.

3

The

local

governing

body

may

repeal

the

existence

of

the

4

district

based

upon

law

violations

or

malfeasance,

if

no

5

indebtedness

exists,

and

proper

notification

has

been

provided.

6

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15