SF 325 (LSB 2482XS (2) 88)

SENATE FILE 325

BY  WAHLS

A BILL FOR

An Act relating to the deposit and transfer of real estate transfer tax receipts, and including effective date provisions. 
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 428A.8, subsection 2, paragraph f, Code 2019, is amended to read as follows:
   f.  For the each fiscal year of the period beginning July 1, 2014, and each succeeding fiscal year ending June 30, 2019, sixty-five percent of the receipts shall be deposited in the general fund, thirty percent of the receipts shall be transferred to the housing trust fund, and five percent of the receipts shall be transferred to the shelter assistance fund.
    Sec. 2.  Section 428A.8, subsection 2, Code 2019, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  g.  For the fiscal year beginning July 1, 2019, and each succeeding fiscal year, fifty-five percent of the receipts shall be deposited in the general fund, thirty-five percent of the receipts shall be transferred to the housing trust fund, and ten percent of the receipts shall be transferred to the shelter assistance fund.
    Sec. 3.  Section 428A.8, subsection 3, Code 2019, is amended by striking the subsection.
    Sec. 4.  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.
   This bill relates to the deposit and transfer of receipts paid to the treasurer of state from the real estate transfer tax collected by the county recorders.
   Under current law, 65 percent of the receipts are deposited in the general fund, 35 percent of the receipts are transferred to the housing trust fund, and 5 percent are transferred to the shelter assistance fund. The bill changes the distribution effective with the fiscal year beginning July 1, 2019, with 55 percent of the receipts deposited in the general fund, 35 percent of the receipts transferred to the housing trust fund, and 10 percent transferred to the shelter assistance fund.
   Under current law, the amount of money transferred to the housing trust fund in any one fiscal year is limited to $3 million. Any money that otherwise would be transferred to the housing trust fund in excess of that amount is deposited in the general fund of the state. The bill removes the limitation on the amount of money that may be transferred to the housing trust fund.
   The bill takes effect upon enactment.