HF 2068 (LSB 5354YH (4) 85)

HOUSE FILE 2068

BY  WOOD, GASKILL, RUFF, WINCKLER, H. MILLER, ISENHART, MURPHY, JACOBY, LYKAM, HANSON, GAINES, BEARINGER, RIDING, DUNKEL, MASCHER, OLDSON, RUNNING-MARQUARDT, FORBES, OURTH, R. OLSON, MEYER, KRESSIG, BERRY, and STUTSMAN

A BILL FOR

An Act relating to the establishment of the state percent of growth and the categorical state percent of growth and including effective date and applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 257.8, subsections 1 and 2, Code 2014, are amended to read as follows:
   1.  State percent of growth.  The state percent of growth for the budget year beginning July 1, 2012, is two percent.  The state percent of growth for the budget year beginning July 1, 2013, is two percent. The state percent of growth for the budget year beginning July 1, 2014, is four percent. The state percent of growth for each subsequent budget year shall be established by statute which shall be enacted within thirty days of the submission in the year preceding the base year of the governor’s budget under section 8.21. The establishment of the state percent of growth for a budget year shall be the only subject matter of the bill which enacts the state percent of growth for a budget year.  If the statute establishing the state percent of growth for a budget year is not enacted within thirty days of the submission in the year preceding the base year of the governor’s budget under section 8.21, the director of the department of management shall set the state percent of growth for that budget year at a percent equal to the percent increase in the total amount of general fund revenues collected during the most recently completed fiscal year as compared to the total amount of general fund revenues collected during the fiscal year preceding the most recently completed fiscal year, as certified by the revenue estimating conference during its final meeting of the previous calendar year.
   2.  Categorical state percent of growth.  The categorical state percent of growth for the budget year beginning July 1, 2012, is two percent. The categorical state percent of growth for the budget year beginning July 1, 2013, is two percent. The categorical state percent of growth for the budget year beginning July 1, 2014, is four percent. The categorical state percent of growth for each budget year shall be established by statute which shall be enacted within thirty days of the submission in the year preceding the base year of the governor’s budget under section 8.21. The establishment of the categorical state percent of growth for a budget year shall be the only subject matter of the bill which enacts the categorical state percent of growth for a budget year. The categorical state percent of growth may include state percents of growth for the teacher salary supplement, the professional development supplement, the early intervention supplement, and the teacher leadership supplement.  If the statute establishing the categorical state percent of growth for a budget year is not enacted within thirty days of the submission in the year preceding the base year of the governor’s budget under section 8.21, the director of the department of management shall set the categorical state percent of growth for that budget year at a percent equal to the percent increase in the total amount of general fund revenues collected during the most recently completed fiscal year as compared to the total amount of general fund revenues collected during the fiscal year preceding the most recently completed fiscal year, as certified by the revenue estimating conference during its final meeting of the previous calendar year.
    Sec. 2.  EFFECTIVE UPON ENACTMENT.  This Act, being deemed of immediate importance, takes effect upon enactment.
    Sec. 3.  APPLICABILITY.  This Act applies to the establishment of the state percent of growth and the categorical state percent of growth for school budget years beginning on or after July 1, 2015.
EXPLANATION
The inclusion of this explanation does not constitute agreement with

the explanation’s substance by the members of the general assembly.
   Current Code section 257.8 requires the statute establishing the state percent of growth and the statute establishing the categorical state percent of growth to each be enacted within 30 days of the submission in the year preceding the base year of the governor’s budget. This bill provides that if for a budget year a statute establishing the state percent of growth is not enacted within such 30-day period, the state percent of growth established for that budget year shall be equal to the percent increase in the total amount of general fund revenues collected during the most recently completed fiscal year as compared to the total amount of general fund revenues collected during the fiscal year preceding the most recently completed fiscal year, as certified by the revenue estimating conference during its final meeting of the previous calendar year.
   The bill further provides that if for a budget year a statute establishing a categorical state percent of growth is not enacted within such 30-day period, the categorical state percent of growth established for that budget year shall be equal to the percent increase in the total amount of general fund revenues collected during the most recently completed fiscal year as compared to the total amount of general fund revenues collected during the fiscal year preceding the most recently completed fiscal year, as certified by the revenue estimating conference during its final meeting of the previous calendar year.
   The bill takes effect upon enactment. The bill applies to the establishment of the state percent of growth and the categorical state percent of growth for school budget years beginning on or after July 1, 2015.