Read the full stored bill text
Senate
File
2436
-
Introduced
SENATE
FILE
2436
BY
COMMITTEE
ON
LOCAL
GOVERNMENT
(SUCCESSOR
TO
SSB
3138)
A
BILL
FOR
An
Act
relating
to
the
division
of
revenue
of
school
district
1
foundation
property
taxes
for
urban
renewal
projects,
2
authorizing
voluntary
payments
by
school
districts,
and
3
including
applicability
provisions.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
TLSB
6611SV
(1)
91
ms/md
S.F.
2436
Section
1.
Section
403.19,
subsection
2,
paragraph
a,
Code
1
2026,
is
amended
to
read
as
follows:
2
a.
That
portion
of
the
taxes
each
year
in
excess
of
such
3
amount
shall
be
allocated
to
and
when
collected
be
paid
into
a
4
special
fund
of
the
municipality
to
pay
the
principal
of
and
5
interest
on
loans,
moneys
advanced
to,
or
indebtedness,
whether
6
funded,
refunded,
assumed,
or
otherwise,
including
bonds
7
issued
under
the
authority
of
section
403.9,
subsection
1
,
8
incurred
by
the
municipality
to
finance
or
refinance,
in
whole
9
or
in
part,
an
urban
renewal
project
within
the
area,
and
to
10
provide
assistance
for
low
and
moderate
income
family
housing
11
as
provided
in
section
403.22
.
However,
except
as
provided
12
in
paragraph
“b”
,
taxes
for
the
regular
and
voter-approved
13
physical
plant
and
equipment
levy
of
a
school
district
imposed
14
pursuant
to
section
298.2
,
foundation
property
taxes
of
a
15
school
district
imposed
under
section
257.3,
and
taxes
for
the
16
instructional
support
program
of
a
school
district
imposed
17
pursuant
to
section
257.19
,
taxes
for
the
payment
of
bonds
18
and
interest
of
each
taxing
district,
and
taxes
imposed
under
19
section
346.27,
subsection
22
,
related
to
joint
county-city
20
buildings
shall
be
collected
against
all
taxable
property
21
within
the
taxing
district
without
limitation
by
the
provisions
22
of
this
subsection
.
23
Sec.
2.
Section
403.19,
Code
2026,
is
amended
by
adding
the
24
following
new
subsection:
25
NEW
SUBSECTION
.
12.
For
any
fiscal
year
beginning
on
26
or
after
July
1,
2027,
following
written
request
filed
with
27
the
county
auditor
and
the
board
of
directors
of
the
school
28
district,
a
school
district
may
approve
by
resolution
of
the
29
board
of
directors
the
payment
from
the
school
district’s
30
general
fund
to
the
municipality
for
deposit
in
the
special
31
fund
under
this
section
all
or
a
portion
of
the
school
32
district’s
foundation
property
taxes
under
section
257.3
levied
33
against
property
located
in
the
urban
renewal
area
for
one
34
or
more
applicable
fiscal
years.
If
approved,
the
board
of
35
-1-
LSB
6611SV
(1)
91
ms/md
1/
2
S.F.
2436
directors
shall
file
such
resolution
with
the
county
auditor.
1
Payments
approved
under
this
subsection
are
voluntary
and
a
2
school
district
is
not
required
to
pay
over
the
revenue
to
the
3
municipality
unless
approved
by
resolution.
Amounts
paid
by
4
a
school
district
under
this
subsection
shall
continue
to
be
5
considered
foundation
property
taxes
levied
under
section
257.3
6
and
such
payment
shall
not
result
in
the
adjustment
of
state
7
foundation
aid
or
other
amounts
under
chapter
257.
8
Sec.
3.
APPLICABILITY.
This
Act
applies
to
property
taxes
9
due
and
payable
in
fiscal
years
beginning
on
or
after
July
1,
10
2027.
11
EXPLANATION
12
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
13
the
explanation’s
substance
by
the
members
of
the
general
assembly.
14
This
bill
excludes
the
school
district
foundation
property
15
tax
imposed
under
Code
section
257.3
from
the
division
of
16
revenue
under
Code
section
403.19
(tax
increment
financing).
17
The
bill
prohibits
the
foundation
property
tax
from
being
18
divided
and
paid
into
the
municipality’s
special
fund
for
the
19
payment
of
urban
renewal
indebtedness
and
instead
requires
the
20
tax
to
be
levied,
collected,
and
paid
to
the
school
district
in
21
the
same
manner
as
all
other
property
taxes.
22
In
lieu
of
a
division
of
revenue,
the
bill
authorizes
school
23
districts
to
voluntarily
approve
by
resolution
the
payment
from
24
the
school
district’s
general
fund
to
the
municipality
for
25
deposit
in
the
municipality’s
special
fund
all
or
a
portion
of
26
the
foundation
property
taxes
under
Code
section
257.3
levied
27
for
fiscal
years
beginning
on
or
after
July
1,
2027,
against
28
property
located
in
the
urban
renewal
area.
Amounts
paid
by
a
29
school
district
under
the
bill
shall
continue
to
be
considered
30
foundation
property
taxes
levied
under
Code
section
257.3
31
and
such
payment
shall
not
result
in
the
adjustment
of
state
32
foundation
aid
or
other
amounts
under
Code
chapter
257.
33
The
bill
applies
to
property
taxes
due
and
payable
in
fiscal
34
years
beginning
on
or
after
July
1,
2027.
35
-2-
LSB
6611SV
(1)
91
ms/md
2/
2