House
File
656
-
Introduced
HOUSE
FILE
656
BY
COMMITTEE
ON
STATE
GOVERNMENT
(SUCCESSOR
TO
HSB
235)
A
BILL
FOR
An
Act
relating
to
the
authority
and
duties
of
the
auditor
of
1
state
by
modifying
provisions
relating
to
the
collection
2
of
certain
fees
and
the
provision
of
municipal
financial
3
management
training
and
including
applicability
provisions.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
TLSB
2766HV
(1)
88
md/jh
H.F.
656
Section
1.
Section
11.6,
subsection
11,
paragraph
a,
Code
1
2019,
is
amended
to
read
as
follows:
2
a.
The
auditor
of
state
shall
adopt
rules
in
accordance
with
3
chapter
17A
to
establish
and
collect
a
periodic
examination
4
fee
from
cities
that
are
not
required
to
have
an
audit
or
5
required
fiscal
year
examination
conducted
pursuant
to
6
subsection
1
during
a
fiscal
year.
Such
fees
are
due
on
March
7
31
each
year.
The
auditor
of
state
shall
base
the
periodic
8
examination
fees
on
established
by
the
auditor
of
state
9
shall
be
on
a
sliding
scale
,
based
on
the
city’s
budgeted
10
gross
expenditures
,
to
produce
total
revenue
of
not
more
than
11
three
hundred
seventy-five
thousand
dollars
for
each
fiscal
12
year
.
However,
cities
that
pay
a
filing
fee
for
an
audit
or
13
examination
pursuant
to
subsection
10
during
the
fiscal
year
14
are
not
required
to
pay
the
periodic
examination
fee.
The
15
funds
collected
shall
be
maintained
in
a
segregated
account
16
for
use
by
the
office
of
the
auditor
of
state
in
performing
17
periodic
examinations
conducted
pursuant
to
subsection
1
.
18
However,
if
the
fees
collected
in
one
fiscal
year
exceed
three
19
hundred
seventy-five
thousand
dollars,
the
The
auditor
of
20
state
shall
apply
the
excess
funds
to
provide
training
to
city
21
officials
on
municipal
financial
management
or
shall
contract
22
with
a
qualified
organization
to
provide
such
training.
23
Notwithstanding
section
8.33
,
any
fees
collected
by
the
auditor
24
of
state
for
these
purposes
that
remain
unexpended
at
the
end
25
of
the
fiscal
year
shall
not
revert
to
the
general
fund
of
the
26
state
or
any
other
fund
but
shall
remain
available
for
use
for
27
the
following
fiscal
year
for
the
purposes
authorized
in
this
28
subsection
.
29
Sec.
2.
APPLICABILITY.
This
Act
applies
to
fiscal
years
30
beginning
on
or
after
July
1,
2019.
31
EXPLANATION
32
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
33
the
explanation’s
substance
by
the
members
of
the
general
assembly.
34
Code
section
11.6(11)
authorizes
the
auditor
of
state
to
35
-1-
LSB
2766HV
(1)
88
md/jh
1/
2
H.F.
656
establish
and
collect
a
periodic
examination
fee
from
cities
1
that
are
not
required
to
have
an
audit
or
required
fiscal
year
2
examination
during
a
fiscal
year.
The
auditor
of
state
is
3
required
to
base
the
fees
on
a
sliding
scale,
based
on
the
4
city’s
budgeted
gross
expenditures,
to
produce
total
revenue
5
of
not
more
than
$375,000
for
each
fiscal
year.
Current
law
6
also
requires
the
auditor
of
state
to
provide
or
contract
for
7
training
to
city
officials
on
municipal
financial
management
if
8
the
periodic
examination
fees
collected
in
a
fiscal
year
exceed
9
$375,000.
10
This
bill
eliminates
the
$375,000
cap
on
total
periodic
11
examination
fees
collected
by
the
auditor
of
state.
The
12
bill
also
removes
the
prerequisite
of
exceeding
the
$375,000
13
periodic
examination
fee
threshold
in
order
to
require
the
14
auditor
of
state
to
provide
or
contract
for
training
to
city
15
officials
on
municipal
financial
management.
16
The
bill
applies
to
fiscal
years
beginning
on
or
after
July
17
1,
2019.
18
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2766HV
(1)
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md/jh
2/
2