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Senate File 204

Partial Bill History

Bill Text

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  1  1    Section 1.  COUNTY MENTAL HEALTH, MENTAL RETARDATION, AND
  1  2 DEVELOPMENTAL DISABILITIES ALLOWED GROWTH FACTOR ADJUSTMENT.
  1  3 There is appropriated from the general fund of the state to
  1  4 the department of human services for the fiscal biennium
  1  5 beginning July 1, 1997, and ending June 30, 1999, the
  1  6 following amounts, or so much thereof as is necessary, to be
  1  7 used for the purpose designated:
  1  8    For distribution to counties of the county mental health,
  1  9 mental retardation, and developmental disabilities allowed
  1 10 growth factor adjustment, in accordance with section 331.438,
  1 11 subsection 2, and section 331.439, subsection 3, as amended by
  1 12 this Act:  
  1 13 1997-98 FY ....................................... $  6,163,211
  1 14 1998-99 FY ....................................... $ 12,504,538
  1 15    For the fiscal year beginning July 1, 1997, the county
  1 16 mental health, mental retardation, and developmental
  1 17 disabilities allowed growth factor adjustment shall be 2.89
  1 18 percent, and for the fiscal year beginning July 1, 1998, the
  1 19 county mental health, mental retardation, and developmental
  1 20 disabilities allowed growth factor adjustment shall be 2.89
  1 21 percent.
  1 22    Sec. 2.  Section 331.424A, subsection 4, Code 1997, is
  1 23 amended to read as follows:
  1 24    4.  For the fiscal year beginning July 1, 1996, and for
  1 25 each subsequent fiscal year, the county shall certify a levy
  1 26 for payment of services.  For each fiscal year, county
  1 27 revenues from taxes imposed by the county credited to the
  1 28 services fund shall not exceed an amount equal to the amount
  1 29 of base year expenditures for services as defined in section
  1 30 331.438, less the amount of property tax relief to be received
  1 31 pursuant to section 426B.2, subsections 1 and 3, in the fiscal
  1 32 year for which the budget is certified.  The county auditor
  1 33 and the board of supervisors shall reduce the amount of the
  1 34 levy certified for the services fund by the amount of property
  1 35 tax relief to be received.  A levy certified under this
  2  1 section is not subject to the appeal provisions of sections
  2  2 331.426 and 444.25B or to any other provision in law
  2  3 authorizing a county to exceed, increase, or appeal a property
  2  4 tax levy limit.
  2  5    Sec. 3.  Section 331.438, subsection 2, Code 1997, is
  2  6 amended to read as follows:
  2  7    2.  Except as modified based upon the actual amount of the
  2  8 appropriation for purposes of state payment under section
  2  9 331.439, the amount of the state payment for a fiscal year
  2 10 shall be calculated by applying the inflation factor
  2 11 adjustment established in accordance with section 331.439,
  2 12 subsection 3, for that fiscal year to the amount of county
  2 13 expenditures for qualified services in the previous fiscal
  2 14 year.  A state payment is the state funding a county receives
  2 15 pursuant to section 426B.2, subsection 2.  Any state funding
  2 16 received by a county for property tax relief in accordance
  2 17 with section 426B.2, subsections 1 and 3, is not a state
  2 18 payment and shall not be included in the state payment
  2 19 calculation made pursuant to this subsection.
  2 20    2.  a.  A state payment to a county for a fiscal year shall
  2 21 consist of the sum of the state funding the county is eligible
  2 22 to receive from the property tax relief fund in accordance
  2 23 with section 426B.2 plus the county's portion of state funds
  2 24 appropriated for the allowed growth factor adjustment
  2 25 established by the general assembly under section 331.439,
  2 26 subsection 3.
  2 27    b.  A county's portion of the allowed growth factor
  2 28 adjustment appropriation for a fiscal year shall be determined
  2 29 in accordance with the following formula:
  2 30    (1)  One-half based upon the county's proportion of the
  2 31 state's general population.
  2 32    (2)  One-half based upon the county's proportion of the sum
  2 33 of the following for the fiscal year which commenced two years
  2 34 prior to the beginning date of the fiscal year in which the
  2 35 allowed growth factor adjustment moneys are distributed:
  3  1    (a)  The total net expenditure amount for qualified mental
  3  2 health, mental retardation, and developmental disabilities
  3  3 services for all counties as reported pursuant to section
  3  4 331.439, subsection 1, paragraph "a".
  3  5    (b)  The total of property tax relief payments distributed
  3  6 to counties in accordance with section 426B.2.
  3  7    c.  The department of human services shall provide for
  3  8 payment of the amount due a county for the county's allowed
  3  9 growth factor adjustment determined in accordance with this
  3 10 subsection.  The director of human services shall authorize
  3 11 warrants payable to the county treasurer for the amounts due
  3 12 and the warrants shall be mailed in January of each year.  The
  3 13 county treasurer shall credit the amount of the warrant to the
  3 14 county's services fund created under section 331.424A.
  3 15    Sec. 4.  Section 331.439, subsection 3, Code 1997, is
  3 16 amended to read as follows:
  3 17    3.  a.  For the fiscal year beginning July 1, 1996, and
  3 18 succeeding fiscal years, the county's mental health, mental
  3 19 retardation, and developmental disabilities service
  3 20 expenditures for a fiscal year are limited to a fixed budget
  3 21 amount.  The fixed budget amount shall be the amount
  3 22 identified in the county's management plan and budget for the
  3 23 fiscal year.  The county shall be authorized an allowed growth
  3 24 factor adjustment as established by the general assembly
  3 25 statute for services paid from the county's services fund
  3 26 under section 331.424A which is in accordance with the
  3 27 county's management plan and budget, implemented pursuant to
  3 28 this section.  The statute establishing the allowed growth
  3 29 factor adjustment shall establish the adjustment for the
  3 30 fiscal year which commences two years from the beginning date
  3 31 of the fiscal year in progress at the time the statute is
  3 32 enacted.
  3 33    b.  Based upon information contained in county management
  3 34 plans and budgets, the state-county management committee shall
  3 35 recommend an allowed growth factor adjustment to the governor
  4  1 by November 15 for the succeeding fiscal year which commences
  4  2 two years from the beginning date of the fiscal year in
  4  3 progress at the time the recommendation is made.  The allowed
  4  4 growth factor adjustment shall address costs associated with
  4  5 new consumers of service, service cost inflation, and
  4  6 investments for economy and efficiency.  The governor shall
  4  7 consider the committee's recommendation in developing the
  4  8 governor's recommendation for an allowed growth factor
  4  9 adjustment for inclusion in such fiscal year.  The governor's
  4 10 recommendation shall be submitted at the time the governor's
  4 11 proposed budget for the succeeding fiscal year is submitted in
  4 12 accordance with chapter 8.
  4 13    c.  The amount of the appropriation required to fund the
  4 14 allowed growth factor adjustment for a fiscal year shall be
  4 15 calculated by applying the adjustment established by statute
  4 16 for that fiscal year to the sum of the following:
  4 17    (1)  The total amount of base year expenditures for all
  4 18 counties.
  4 19    (2)  The total amount of the appropriations for allowed
  4 20 growth factor adjustments made to all counties in all of the
  4 21 fiscal years prior to that fiscal year.
  4 22    Sec. 5.  Section 426B.2, Code 1997, is amended to read as
  4 23 follows:
  4 24    426B.2  PROPERTY TAX RELIEF FUND DISTRIBUTIONS.
  4 25    Moneys in the property tax relief fund shall be utilized in
  4 26 each fiscal year as follows in the order listed:
  4 27    1.  The first sixty-one million dollars plus the amount
  4 28 paid pursuant to subsection 3 in the previous fiscal year in
  4 29 the property tax relief fund shall be distributed to counties
  4 30 under this subsection.  The moneys in the property tax relief
  4 31 fund available to counties for a fiscal year shall be
  4 32 distributed as provided in this section.  A county's
  4 33 proportion of the moneys shall be equivalent to the sum of the
  4 34 following three factors:
  4 35    a.  One-third based upon the county's proportion of the
  5  1 state's general population.
  5  2    b.  One-third based upon the county's proportion of the
  5  3 state's total taxable property valuation assessed for taxes
  5  4 payable in the previous fiscal year.
  5  5    c.  One-third based upon the county's proportion of all
  5  6 counties' base year expenditures, as defined in section
  5  7 331.438, Code 1995, and reported to the state on October 15,
  5  8 1994.
  5  9    Moneys provided to a county for property tax relief in a
  5 10 fiscal year in accordance with this subsection shall not be
  5 11 less than the amount provided for property tax relief in the
  5 12 previous fiscal year.
  5 13    2.  Payment of moneys to eligible counties of the state
  5 14 payment in accordance with the provisions of sections 331.438
  5 15 and 331.439.
  5 16    3. 2.  For the fiscal year beginning July 1, 1996, and
  5 17 succeeding fiscal years, the department of human services
  5 18 shall estimate the amount of moneys required for the state
  5 19 payment pursuant to subsection 2.  Moneys remaining in the
  5 20 property tax relief fund following the payment made pursuant
  5 21 to subsection 1 and the estimated amount of the state payment
  5 22 pursuant to subsection 2 shall be paid for property tax relief
  5 23 in the same manner as provided in subsection 1 to counties
  5 24 eligible for state payment under subsection 2.  These payments
  5 25 The distributions under subsection 1 shall continue to be made
  5 26 until the combined amount of the payments distributions made
  5 27 under this subsection and subsection 1 are equal to fifty
  5 28 percent of the total of all counties' base year expenditures
  5 29 as defined in section 331.438.  The amount of moneys paid to a
  5 30 county pursuant to this subsection shall be added in
  5 31 subsequent fiscal years to the amount of moneys paid under
  5 32 subsection 1.
  5 33    4.  Moneys remaining in the property tax relief fund
  5 34 following the payments made pursuant to subsections 1, 2, and
  5 35 3 shall be transferred to the homestead credit fund created in
  6  1 section 425.1.  This transfer shall continue until the
  6  2 homestead credit is fully funded.
  6  3    5. 3.  The department of human services shall notify the
  6  4 director of revenue and finance of the amounts due a county in
  6  5 accordance with the provisions of this section.  The director
  6  6 of revenue and finance shall draw warrants on the property tax
  6  7 relief fund, payable to the county treasurer in the amount due
  6  8 to a county in accordance with subsections subsection 1 and 3
  6  9 and mail the warrants to the county auditors in September and
  6 10 March of each year.  Warrants for the state payment in
  6 11 accordance with subsection 2 shall be mailed in January of
  6 12 each year.
  6 13    Sec. 6.  Section 426B.3, Code 1997, is amended to read as
  6 14 follows:
  6 15    426B.3  NOTIFICATION OF RELIEF FUND PAYMENT.
  6 16    1.  The county auditor shall reduce the certified budget
  6 17 amount received from the board of supervisors for the
  6 18 succeeding fiscal year for the county mental health, mental
  6 19 retardation, and developmental disabilities services fund
  6 20 created in section 331.424A by an amount equal to the amount
  6 21 the county will receive from the property tax relief fund
  6 22 pursuant to section 426B.2, subsections 1 and 3, for the
  6 23 succeeding fiscal year and the auditor shall determine the
  6 24 rate of taxation necessary to raise the reduced amount.  On
  6 25 the tax list, the county auditor shall compute the amount of
  6 26 taxes due and payable on each parcel before and after the
  6 27 amount received from the property tax relief fund is used to
  6 28 reduce the county budget.  The director of revenue and finance
  6 29 shall notify the county auditor of each county of the amount
  6 30 of moneys the county will receive from the property tax relief
  6 31 fund pursuant to section 426B.2, subsections 1 and 3, for the
  6 32 succeeding fiscal year.
  6 33    2.  The amount of property tax dollars reduced on each
  6 34 parcel as a result of the moneys received from the property
  6 35 tax relief fund pursuant to section 426B.2, subsections 1 and
  7  1 3, shall be noted on each tax statement prepared by the county
  7  2 treasurer pursuant to section 445.23.
  7  3    Sec. 7.  EFFECTIVE DATE.  This Act, being deemed of
  7  4 immediate importance, takes effect upon enactment.  
  7  5                           EXPLANATION
  7  6    This bill relates to the allowed growth factor adjustment
  7  7 for county mental health, mental retardation, and
  7  8 developmental disabilities services.
  7  9    The bill includes appropriations of moneys to the
  7 10 department of human services for fiscal years 1997-1998 and
  7 11 1998-1999 for distribution of allowed growth factor adjustment
  7 12 payments to counties as provided in the bill.  The adjustment
  7 13 is for increased costs to provide mental health, mental
  7 14 retardation, and developmental disabilities (MH/MR/DD)
  7 15 services.
  7 16    The bill amends Code sections 331.438 and 331.439 to
  7 17 provide that the allowed growth factor adjustment for counties
  7 18 is to be included in the amount of state payment to counties
  7 19 along with the property tax relief fund payment to counties.
  7 20 Under current law a county cannot receive a state payment
  7 21 unless the county is in compliance with various planning
  7 22 provisions administered by the department of human services
  7 23 under section 331.439.  The allowed growth factor
  7 24 appropriation is to be distributed to counties by applying a
  7 25 formula based upon a county's proportion of all counties' net
  7 26 expenditures for MH/MR/DD services and of property tax relief
  7 27 payments to counties, both in the fiscal year which began two
  7 28 years prior to the fiscal year in which the payments are to be
  7 29 distributed.  Moneys received by a county from the
  7 30 appropriation are to be deposited in the county's MH/MR/DD
  7 31 services fund.
  7 32    Code section 331.439 is amended to require the
  7 33 recommendations for the allowed growth factor adjustment to be
  7 34 made by the state-county management committee and the governor
  7 35 to apply to the fiscal year which commences two years after
  8  1 the beginning date of the fiscal year in progress at the time
  8  2 of the recommendation.  The general assembly is to establish
  8  3 the allowed growth factor adjustment by statute.
  8  4    Code section 331.439 is also amended to describe a method
  8  5 for calculating the amount of the appropriation needed to fund
  8  6 the adjustment amount established in statute by the general
  8  7 assembly.
  8  8    Current law provides for funding of the growth factor from
  8  9 the property tax relief fund in Code chapter 426B.  The bill
  8 10 strikes this requirement and instead provides for an
  8 11 appropriation from the general fund of the state.  Code
  8 12 chapter 426B also is amended to strike provisions that when
  8 13 payments from the property tax relief fund are equal to 50
  8 14 percent of county base year expenditures for MH/MR/DD
  8 15 services, any remaining moneys will be transferred for payment
  8 16 of the homestead credit.
  8 17    The bill includes conforming amendments to Code sections
  8 18 331.424A and 426B.3.
  8 19    The bill takes effect upon enactment.  
  8 20 LSB 1592SV 77
  8 21 jp/cf/24
     

Text: SF00203                           Text: SF00205
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