Text: HF00392 Text: HF00394 Text: HF00300 - HF00399 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. Section 257.4, subsection 1, Code 1997, is
1 2 amended by adding the following new unnumbered paragraph:
1 3 NEW UNNUMBERED PARAGRAPH. However, for property taxes
1 4 payable in fiscal years beginning on or after July 1, 1997,
1 5 and ending prior to July 1, 2005, the additional property tax
1 6 levy rate shall be reduced, as provided in section 405B.3,
1 7 subsection 2, paragraph "c", for moneys to be received by the
1 8 school district for property tax relief under chapter 405B.
1 9 Sec. 2. Section 331.423, subsection 1, Code 1997, is
1 10 amended by adding the following new unnumbered paragraph:
1 11 NEW UNNUMBERED PARAGRAPH. However, for property taxes
1 12 payable in fiscal years beginning on or after July 1, 1997,
1 13 and ending prior to July 1, 2005, the maximum general county
1 14 services levy rate shall be reduced, as provided in section
1 15 405B.3, subsection 2, paragraph "b", for moneys to be received
1 16 by the county for property tax relief under chapter 405B.
1 17 Sec. 3. Section 384.1, Code 1997, is amended by adding the
1 18 following new unnumbered paragraph:
1 19 NEW UNNUMBERED PARAGRAPH. However, for property taxes
1 20 payable in fiscal years beginning on or after July 1, 1997,
1 21 and ending prior to July 1, 2005, the maximum general fund
1 22 levy rate, except for levies authorized in section 384.12,
1 23 shall be reduced, as provided in section 405B.3, subsection 2,
1 24 paragraph "a", for moneys to be received by the city for
1 25 property tax relief under chapter 405B.
1 26 Sec. 4. NEW SECTION. 405B.1 LOCAL PROPERTY TAX RELIEF
1 27 AND INFRASTRUCTURE FUND – APPROPRIATIONS.
1 28 1. A local property tax relief and infrastructure fund is
1 29 created in the office of the treasurer of state. The fund
1 30 shall not be considered part of the general fund of the state
1 31 and any interest earned on moneys in the fund shall be
1 32 credited to the fund. The fund shall consist of moneys
1 33 appropriated to it pursuant to subsection 2, interest earned
1 34 on moneys in the fund, and other moneys appropriated to or
1 35 deposited into the fund.
2 1 2. For purposes of this subsection, "revenues generated by
2 2 the sales tax" means the estimated revenue from the sales tax,
2 3 imposed under chapter 422, division IV, made by the revenue
2 4 estimating conference pursuant to section 8.22A in December
2 5 preceding the fiscal year for which the appropriation in this
2 6 subsection is to be made. There is appropriated from the
2 7 general fund of the state to the local property tax relief and
2 8 infrastructure fund the following amounts for the designated
2 9 fiscal years:
2 10 a. For the fiscal year beginning July 1, 1997, an amount
2 11 equal to five percent of the revenues generated by the sales
2 12 tax.
2 13 b. For the fiscal year beginning July 1, 1998, an amount
2 14 equal to five percent of the revenues generated by the sales
2 15 tax plus an additional five percent of the revenues generated
2 16 if subsection 3 is met.
2 17 c. For the fiscal year beginning July 1, 1999, an amount
2 18 equal to a percent of the revenues generated by the sales tax,
2 19 which percent equals the percentage figure used under
2 20 paragraph "b", plus an additional five percent of the revenues
2 21 generated, if subsection 3 is met.
2 22 d. For each fiscal year in the period beginning July 1,
2 23 2000, and ending June 30, 2005, an amount equal to a percent
2 24 of the revenues generated by the sales tax, which percent
2 25 equals the percentage figure used for the previous fiscal
2 26 year, plus an additional five percent of the revenues
2 27 generated, if subsection 3 is met. However, the amount
2 28 appropriated for a fiscal year shall not exceed a total of
2 29 twenty percent of revenues generated by the sales tax.
2 30 3. The additional five percent of revenues generated by
2 31 the sales tax, as specified in subsection 2, is appropriated
2 32 in any fiscal year only if the revenue estimate for the
2 33 general fund of the state for the fiscal year to which the
2 34 additional five percent would apply exceeds the revenue
2 35 estimate for the general fund of the state for the previous
3 1 fiscal year by four percent as both estimates are made by the
3 2 revenue estimating conference pursuant to section 8.22A in
3 3 December preceding the fiscal year to which the additional
3 4 five percent would apply.
3 5 Sec. 5. NEW SECTION. 405B.2 DISTRIBUTION TO LOCAL
3 6 GOVERNMENTS – APPROPRIATIONS.
3 7 Moneys in the local property tax relief and infrastructure
3 8 fund are appropriated quarterly no later than July 15, October
3 9 15, January 15, and April 15, and shall be distributed as
3 10 follows:
3 11 1. Sixty percent of the moneys shall be distributed to
3 12 school districts with each school district receiving an amount
3 13 equal to the percentage of the district's actual enrollment,
3 14 as defined in section 257.6, for the previous year to the
3 15 total actual enrollment for all school districts for the
3 16 previous year.
3 17 2. Twenty percent of the moneys shall be distributed to
3 18 cities with each city receiving a pro rata amount based upon
3 19 the population of the city to the population of all cities.
3 20 3. Twenty percent of the moneys shall be distributed to
3 21 counties with each county receiving a pro rata amount based
3 22 upon the population of the county to the population of all
3 23 counties.
3 24 Sec. 6. NEW SECTION. 405B.3 USE OF MONEYS – PROPERTY
3 25 TAX RELIEF – INFRASTRUCTURE.
3 26 1. Moneys received by school districts, cities, and
3 27 counties shall be used as follows:
3 28 a. At least seventy percent shall be used to reduce
3 29 property taxes on a dollar-for-dollar basis as computed
3 30 pursuant to subsection 2.
3 31 b. Up to thirty percent may be used for the construction
3 32 or repair of vertical or horizontal infrastructure. "Vertical
3 33 infrastructure" means facilities that are predominately
3 34 architectural in nature, have an element of aesthetics, and
3 35 are not merely functional in nature. This specifically
4 1 includes buildings and related site improvements; the
4 2 finishes, systems, equipment, and property that service the
4 3 building and site; and statues and monuments. "Horizontal
4 4 infrastructure" means facilities that are predominately
4 5 functional in nature and located at ground level, under ground
4 6 level, or parallel to and above ground level. This
4 7 specifically includes transportation facilities, such as
4 8 highways, bridges, streets, and bike trails; public works
4 9 utility distribution systems, such as sewer, water and waste
4 10 water pipes, and water retention facilities such as dams;
4 11 technological utility distribution systems, such as
4 12 telecommunication devices, transmission systems, and towers;
4 13 and utilitarian buildings directly related to the above
4 14 facilities, such as maintenance garages and water treatment
4 15 plants.
4 16 If a school district, city, or county does not use thirty
4 17 percent of the moneys received for infrastructure, the
4 18 remaining moneys shall be used for property tax relief under
4 19 paragraph "a".
4 20 2. a. Moneys to be received by each city in a fiscal year
4 21 which are to be used for property tax relief shall be used to
4 22 reduce the city's maximum levy rate for the general fund under
4 23 section 384.1. The maximum general fund levy rate for
4 24 property taxes payable in the fiscal year shall be reduced by
4 25 the rate per one thousand dollars that would raise the dollar
4 26 amount to be received by the city in the fiscal year.
4 27 b. Moneys to be received by each county in a fiscal year
4 28 which are to be used for property tax relief shall be used to
4 29 reduce the county's maximum levy rate for general county
4 30 services under section 331.423, subsection 1. The maximum
4 31 general county services levy rate for property taxes payable
4 32 in the fiscal year shall be reduced by the rate per one
4 33 thousand dollars that would raise the dollar amount to be
4 34 received by the county in the fiscal year.
4 35 c. Moneys to be received by each school district in a
5 1 budget year which are to be used for property tax relief shall
5 2 be used to reduce the additional property tax to be levied
5 3 pursuant to section 257.4. The additional property tax for
5 4 taxes payable in the budget year shall be reduced by the rate
5 5 per one thousand dollars that would raise the dollar amount to
5 6 be received by the school district in the budget year.
5 7 Sec. 7. NEW SECTION. 405B.4 CHAPTER APPLICATION AND
5 8 REPEAL.
5 9 This chapter applies to the fiscal years beginning on or
5 10 after July 1, 1997, and ending prior to July 1, 2005. This
5 11 chapter is repealed July 1, 2005, for fiscal years beginning
5 12 on or after July 1, 2005.
5 13 Sec. 8. This Act, being deemed of immediate importance,
5 14 takes effect upon enactment.
5 15 EXPLANATION
5 16 The bill provides for the sharing of state sales tax
5 17 revenue with school districts, cities, and counties beginning
5 18 with the 1997-1998 fiscal year and ending with the 2004-2005
5 19 fiscal year. The amount of the state sales tax revenue that
5 20 goes to local governments equals 5 percent of the sales tax
5 21 revenue. This is increased each of the next three years by an
5 22 additional 5 percent until the amount equals 20 percent, or
5 23 one cent, of the sales tax revenue. However, if the state
5 24 general fund revenue estimate for a fiscal year is not
5 25 expected to increase by 4 percent, then any scheduled increase
5 26 in revenue sharing is delayed.
5 27 Of moneys received by the local governments, at least 70
5 28 percent of the moneys are to be used for property tax relief
5 29 and up to 30 percent may be used for infrastructure needs.
5 30 The bill provides the method for providing property tax
5 31 relief. This involves reducing the maximum general fund levy
5 32 for cities, $8.10, the maximum general county services levy
5 33 for counties, $3.50, and the additional property tax levy for
5 34 school districts by the rate needed to raise the amount of
5 35 moneys received from the state which is to be used for
6 1 property tax relief.
6 2 The bill takes effect upon enactment. It applies to the
6 3 1997-1998 fiscal year through the 2004-2005 fiscal year.
6 4 LSB 1562HH 77
6 5 mg/jw/5
Text: HF00392 Text: HF00394 Text: HF00300 - HF00399 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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