HSB 678 (LSB 6218YC (3) 87)

HOUSE FILE _____ 

BY  (PROPOSED COMMITTEE ON APPROPRIATIONS BILL BY CHAIRPERSON GRASSLEY)

A BILL FOR

An Act modifying appropriation amounts for payment of commercial and industrial property tax replacement claims and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 441.21A, subsection 1, paragraph a, Code 2018, is amended to read as follows:
   a.  For Subject to the limitations of subparagraphs (1), (2), (3), (4), and (5) of this paragraph, for each fiscal year beginning on or after July 1, 2014, there is appropriated from the general fund of the state to the department of revenue an amount necessary for the payment of all commercial and industrial property tax replacement claims under this section for the fiscal year. However, for a
   (1)  For the fiscal year beginning on or after July 1, 2017, the total amount of moneys appropriated from the general fund of the state to the department of revenue for the payment of commercial and industrial property tax replacement claims in that fiscal year shall not exceed the total amount of money moneys necessary to pay all commercial and industrial property tax replacement claims for the fiscal year beginning July 1, 2016.
   (2)  For the fiscal year beginning July 1, 2018, the total amount of moneys appropriated from the general fund of the state to the department of revenue for the payment of commercial and industrial property tax replacement claims in that fiscal year shall not exceed one hundred million dollars.
   (3)  For the fiscal year beginning July 1, 2019, the total amount of moneys appropriated from the general fund of the state to the department of revenue for the payment of commercial and industrial property tax replacement claims in that fiscal year shall not exceed seventy-five million dollars.
   (4)  For the fiscal year beginning July 1, 2020, the total amount of moneys appropriated from the general fund of the state to the department of revenue for the payment of commercial and industrial property tax replacement claims in that fiscal year shall not exceed fifty million dollars.
   (5)  For the fiscal year beginning July 1, 2021, and each succeeding fiscal year, the total amount of moneys appropriated from the general fund of the state to the department of revenue for the payment of commercial and industrial property tax replacement claims in that fiscal year shall not exceed twenty-five million dollars.
    Sec. 2.  EFFECTIVE DATE.  This Act, being deemed of immediate importance, takes effect upon enactment.
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 441.21A establishes and appropriates amounts from the general fund of the state for commercial and industrial property tax replacement claims. Such claims are calculated by the department of revenue based on the difference between the actual value and assessed value of all commercial and industrial property in each taxing district in the state. Current law appropriates an amount necessary for the payment of all commercial and industrial property tax replacement claims for each fiscal year beginning on or after July 1, 2014, subject to a maximum total appropriation for fiscal years beginning on or after July 1, 2017, of the total amount necessary for the payment of replacement claims in the fiscal year beginning July 1, 2016.
   This bill establishes maximum total appropriation amounts for the fiscal years beginning on or after July 1, 2018. The appropriation for the fiscal year beginning July 1, 2018, shall not exceed $100 million. The appropriation for the fiscal year beginning July 1, 2019, shall not exceed $75 million. The appropriation for the fiscal year beginning July 1, 2020, shall not exceed $50 million. The appropriation for the fiscal year beginning July 1, 2021, and each succeeding fiscal year, shall not exceed $25 million.
   The bill takes effect upon enactment.