Text: HF00746                           Text: HF00748
Text: HF00700 - HF00799                 Text: HF Index
Bills and Amendments: General Index     Bill History: General Index



House File 747

Partial Bill History

Bill Text

PAG LIN
  1  1    Section 1.  Section 422B.8, unnumbered paragraph 1, Code
  1  2 1999, is amended to read as follows:
  1  3    A local sales and services tax at the rate of not more than
  1  4 one percent may be imposed by a county on the gross receipts
  1  5 taxed by the state under chapter 422, division IV.  A local
  1  6 sales and services tax shall be imposed on the same basis as
  1  7 the state sales and services tax and may shall not be imposed
  1  8 on the sale of any property or on any service not taxed by the
  1  9 state, except the tax shall not be imposed on the gross
  1 10 receipts from the sale of motor fuel or special fuel as
  1 11 defined in chapter 452A, on the gross receipts from the rental
  1 12 of rooms, apartments, or sleeping quarters which are taxed
  1 13 under chapter 422A during the period the hotel and motel tax
  1 14 is imposed, on the gross receipts from the sale of natural gas
  1 15 or electric energy in a city or county where the gross
  1 16 receipts are subject to a franchise fee or user fee during the
  1 17 period the franchise or user fee is imposed, on the gross
  1 18 receipts from the sale of equipment by the state department of
  1 19 transportation, on the gross receipts from the sale of
  1 20 personal property from a vending machine operated by insertion
  1 21 of a coin, paper currency, token, card, or key, and on the
  1 22 gross receipts from the sale of a lottery ticket or share in a
  1 23 lottery game conducted pursuant to chapter 99E.  A local sales
  1 24 and services tax is applicable to transactions within those
  1 25 incorporated and unincorporated areas of the county where it
  1 26 is imposed and shall be collected by all persons required to
  1 27 collect state gross receipts taxes.  All cities contiguous to
  1 28 each other shall be treated as part of one incorporated area
  1 29 and the tax would be imposed in each of those contiguous
  1 30 cities only if the majority of those voting in the total area
  1 31 covered by the contiguous cities favor its imposition.
  1 32    Sec. 2.  Section 422E.2, subsection 2, Code 1999, is
  1 33 amended by adding the following new paragraph:
  1 34    NEW PARAGRAPH.  c.  The rate and duration of tax, and text
  1 35 of the ballot proposition, shall be determined as follows:
  2  1    (1)  For a tax requested by the governing body or bodies of
  2  2 a school district or districts pursuant to paragraph "b", the
  2  3 rate and duration of tax shall be established by the governing
  2  4 body of each school district which adopted a motion requesting
  2  5 imposition of the tax within the county.  If the governing
  2  6 body of more than one school district adopts a motion, and the
  2  7 rate or duration established in the motions differs, the
  2  8 county board of supervisors shall establish the rate, the
  2  9 duration, or both if applicable, in consultation with the
  2 10 governing bodies of the school districts which adopted a
  2 11 motion requesting imposition of the tax.  For a tax imposed by
  2 12 petition pursuant to paragraph "a", or by the county board of
  2 13 supervisors pursuant to paragraph "b", the rate and duration
  2 14 of tax shall be established by the county board of supervisors
  2 15 in consultation with the governing bodies of all the school
  2 16 districts located in the county.
  2 17    (2)  For a tax requested by the governing body or bodies of
  2 18 a school district or districts pursuant to paragraph "b", the
  2 19 purpose or purposes for which the revenues shall be expended
  2 20 shall be determined by the governing body of each school
  2 21 district located within the county.  The school district shall
  2 22 notify the county board of supervisors of the purposes
  2 23 identified.  The county commissioner of elections shall
  2 24 determine the text of the ballot proposition, which shall be
  2 25 uniform throughout the county, and which shall separately list
  2 26 the specific purposes for which revenues shall be expended for
  2 27 each school district.  Revenue shall not be expended for a
  2 28 purpose authorized in this chapter unless that purpose was
  2 29 identified by a school district prior to the election and
  2 30 listed by the county commissioner of elections on the ballot
  2 31 proposition.  For a tax requested by petition pursuant to
  2 32 paragraph "a", or by the county board of supervisors pursuant
  2 33 to paragraph "b", the purpose or purposes for which the
  2 34 revenues shall be expended shall be established by the county
  2 35 board of supervisors in consultation with the governing bodies
  3  1 of all the school districts located in the county.
  3  2    (3)  The county board of supervisors shall file the rate
  3  3 and duration of tax, and statements of purposes for revenue
  3  4 expenditure, with the commissioner of elections no later than
  3  5 fourteen days prior to the publication of notice of the ballot
  3  6 proposition.
  3  7    Sec. 3.  Section 422E.2, subsection 3, Code 1999, is
  3  8 amended to read as follows:
  3  9    3.  The county commissioner of elections shall submit the
  3 10 question of imposition of a local sales and services tax for
  3 11 school infrastructure purposes at a state general election or
  3 12 at a special election held at any time other than the time of
  3 13 a city regular election.  The special election shall not be
  3 14 held in conjunction with any city or school election.  The
  3 15 election shall not be held sooner than sixty days after
  3 16 publication of notice of the ballot proposition by the county
  3 17 commissioner of elections.  The ballot proposition shall
  3 18 specify the rate of tax, the date the tax will be imposed and
  3 19 repealed, and shall contain a statement as to the specific
  3 20 purpose or purposes for which the revenues shall be expended.
  3 21 The rate of tax shall not be more than one percent as set by
  3 22 the county board of supervisors.  The state commissioner of
  3 23 elections shall establish by rule the form for the ballot
  3 24 proposition which form shall be uniform throughout the state.
  3 25    Sec. 4.  Section 422E.2, subsection 4, paragraph a, Code
  3 26 1999, is amended to read as follows:
  3 27    a.  The tax may be repealed or the rate increased, but not
  3 28 above one percent, or decreased after an election at which a
  3 29 majority of those voting on the question of repeal or rate
  3 30 change favored the repeal or rate change.  The election at
  3 31 which the question of repeal or rate change is offered shall
  3 32 be called and held in the same manner and under the same
  3 33 conditions as provided in this section for the election on the
  3 34 imposition of the tax.  The election may be held at any time
  3 35 but not sooner than sixty days following publication of the
  4  1 ballot proposition.  However, the The tax shall not be
  4  2 repealed before it has been in effect for one year.
  4  3    Sec. 5.  Section 422E.2, subsection 4, paragraph b,
  4  4 unnumbered paragraph 1, Code 1999, is amended to read as
  4  5 follows:
  4  6    Within ten days of the election at which a majority of
  4  7 those voting on the question favors the imposition, repeal, or
  4  8 change in the rate of the tax, the county board of supervisors
  4  9 shall give written notice to the director of revenue and
  4 10 finance of the result of the election.  Election costs shall
  4 11 be apportioned among school districts within the county on a
  4 12 pro rata basis in proportion to the number of registered
  4 13 voters in each school district who reside in the county and
  4 14 the total number of registered voters in all of the school
  4 15 districts within the county who reside in the county.
  4 16    Sec. 6.  Section 422E.3, subsection 2, Code 1999, is
  4 17 amended to read as follows:
  4 18    2.  The tax shall be imposed on the same basis as the state
  4 19 sales and services tax and shall not be imposed on the sale of
  4 20 any property or on any service not taxed by the state, except
  4 21 the tax shall not be imposed on the gross receipts from the
  4 22 sale of natural gas or electric energy in a city or county
  4 23 where the gross receipts are subject to a franchise fee or
  4 24 user fee during the period the franchise or user fee is
  4 25 imposed, on the gross receipts from the sale of motor fuel or
  4 26 special fuel as defined in chapter 452A, on the gross receipts
  4 27 from the rental of rooms, apartments, or sleeping quarters
  4 28 which are taxed under chapter 422A during the period the hotel
  4 29 and motel tax is imposed, on the gross receipts from the sale
  4 30 of equipment by the state department of transportation, and on
  4 31 the gross receipts from the sale of a lottery ticket or share
  4 32 in a lottery game conducted pursuant to chapter 99E.
  4 33    Sec. 7.  Section 422E.3, subsection 2, Code 1999, is
  4 34 amended to read as follows:
  4 35    2.  The tax shall be imposed on the same basis as the state
  5  1 sales and services tax and shall not be imposed on the sale of
  5  2 any property or on any service not taxed by the state, except
  5  3 the tax shall not be imposed on the gross receipts from the
  5  4 sale of motor fuel or special fuel as defined in chapter 452A,
  5  5 on the gross receipts from the rental of rooms, apartments, or
  5  6 sleeping quarters which are taxed under chapter 422A during
  5  7 the period the hotel and motel tax is imposed, on the gross
  5  8 receipts from the sale of equipment by the state department of
  5  9 transportation, on the gross receipts from the sale of
  5 10 personal property from a vending machine operated by insertion
  5 11 of a coin, paper currency, token, card, or key, and on the
  5 12 gross receipts from the sale of a lottery ticket or share in a
  5 13 lottery game conducted pursuant to chapter 99E.
  5 14    Sec. 8.  Section 422E.3, subsection 5, paragraph c, Code
  5 15 1999, is amended to read as follows:
  5 16    c.  The director shall remit a final payment of the
  5 17 remainder of tax moneys due for the fiscal year before
  5 18 November 10 of the next fiscal year.  If an overpayment has
  5 19 resulted during the previous fiscal year, the first November
  5 20 payment of the new fiscal year shall be adjusted to reflect
  5 21 any overpayment.
  5 22    Sec. 9.  Section 422E.3, Code 1999, is amended by adding
  5 23 the following new subsection:
  5 24    NEW SUBSECTION.  7.  Construction contractors may make
  5 25 application to the department for a refund of the additional
  5 26 local sales and services tax paid under this chapter by reason
  5 27 of taxes paid on goods, wares, or merchandise under the
  5 28 conditions specified in section 422B.11.  The refund shall be
  5 29 paid by the department from the appropriate school district's
  5 30 account in the local sales and services tax fund.  The penalty
  5 31 provisions contained in section 422B.11, subsection 3, shall
  5 32 apply regarding an erroneous application for refund of local
  5 33 sales and services tax paid under this chapter.
  5 34    Sec. 10.  Section 422E.4, unnumbered paragraph 2, Code
  5 35 1999, is amended to read as follows:
  6  1    A school district in which a local option sales tax for
  6  2 school infrastructure purposes has been imposed shall be
  6  3 authorized to enter into a chapter 28E agreement with one or
  6  4 more cities or a county whose boundaries encompass all or a
  6  5 part of the area of the school district.  A city or cities
  6  6 entering into a chapter 28E agreement shall be authorized to
  6  7 expend its designated portion of the local option sales and
  6  8 services tax revenues for any valid purpose permitted in this
  6  9 chapter or authorized by the governing body of the city.  A
  6 10 county entering into a chapter 28E agreement with a school
  6 11 district in which a local option sales tax for school
  6 12 infrastructure purposes has been imposed shall be authorized
  6 13 to expend its designated portion of the local option sales and
  6 14 services tax revenues to provide property tax relief within
  6 15 the boundaries of the school district located in the county.
  6 16 A school district shall be authorized to enter into a chapter
  6 17 28E agreement pursuant to this section only if the ballot
  6 18 proposition concerning imposition of the tax included entering
  6 19 into a chapter 28E agreement as a potential use of the
  6 20 revenue.
  6 21    Sec. 11.  EFFECTIVE DATE.  This Act, being deemed of
  6 22 immediate importance, takes effect upon enactment.  Sections
  6 23 5, 6, and 9 of this Act are retroactively applicable to July
  6 24 1, 1998, for apportionment of election costs for elections
  6 25 held on or after that date, for exemption of the tax on gross
  6 26 receipts from the sale of natural gas or electric energy
  6 27 subject to a franchise fee or user fee, and for refunds of tax
  6 28 payable to construction contractors, respectively.  
  6 29                           EXPLANATION
  6 30    This bill amends provisions regarding the regular and
  6 31 school district local option sales and services taxes.
  6 32    The bill contains provisions relating to the determination
  6 33 of, and contents of, ballot propositions for imposition of the
  6 34 local option sales tax for school districts.  The bill
  6 35 provides that the rate and duration of tax will be established
  7  1 by the governing bodies of the school districts located within
  7  2 the county.  The bill provides, however, that the county board
  7  3 of supervisors shall establish the rate of tax, duration of
  7  4 tax, or both in consultation with the school districts if the
  7  5 governing bodies of the school districts establish different
  7  6 rates or durations of tax.
  7  7    The bill provides that the text of the ballot proposition,
  7  8 determined by the county commissioner of elections, will be
  7  9 uniform throughout a county, and will separately list the
  7 10 specific purposes for which the revenues shall be expended for
  7 11 each school district located within the county.  The
  7 12 respective purposes for which the revenues shall be expended
  7 13 shall be determined by each school district, conveyed to the
  7 14 county board of supervisors, and filed with the commissioner
  7 15 for incorporation onto the ballot.  The bill provides that
  7 16 revenue cannot be expended for a purpose authorized by Code
  7 17 chapter 422E if not listed on the ballot proposition.  The
  7 18 bill also provides that the rate and duration of tax, and
  7 19 statements of purposes for revenue expenditure, shall be filed
  7 20 with the commissioner of elections by the county board of
  7 21 supervisors no later than 14 days prior to the publication of
  7 22 notice of the ballot proposition.
  7 23    The bill provides that the county board of supervisors will
  7 24 establish the rate, duration, and text of the ballot
  7 25 proposition in the event of a request to impose the school
  7 26 district local option tax by petition or by the county board
  7 27 of supervisors.
  7 28    The bill provides that regarding the apportionment of
  7 29 election costs among school districts within the county on a
  7 30 pro rata basis, the pro rata allocation shall be determined
  7 31 strictly with regard to registered voters residing in the
  7 32 county.
  7 33    The bill provides that a special election held on the
  7 34 question of imposition of the local option school district
  7 35 sales and services tax, or with regard to repeal, rate, or
  8  1 duration change, shall not be held in conjunction with any
  8  2 city or school election.
  8  3    The bill also provides that the gross receipts from the
  8  4 sale of natural gas or electric energy, in a city or county
  8  5 where the gross receipts are subject to a franchise fee or
  8  6 user fee during the period the franchise or user fee is
  8  7 imposed, will be exempt from the local option school district
  8  8 sales tax.
  8  9    In addition, the bill provides that construction
  8 10 contractors can apply for a refund of additional local sales
  8 11 and services tax paid pursuant to the provisions of Code
  8 12 section 422B.11, with the refund paid out of the appropriate
  8 13 school district's account in the local sales and services tax
  8 14 fund.
  8 15    The bill provides that the director of revenue and finance
  8 16 will adjust the payment due in November with regard to any
  8 17 overpayment for the previous fiscal year.
  8 18    The bill exempts from the local option sales and services
  8 19 tax and the local option school infrastructure sales and
  8 20 services tax the gross receipts from sales of personal
  8 21 property made by means of vending machines operated by
  8 22 insertion of coins, paper currencies, tokens, cards, or keys.
  8 23    The bill allows a school district and a county to enter
  8 24 into an agreement to share revenues.  However, before this may
  8 25 be done, the ballot proposition must specify that such
  8 26 agreement may be entered into.  In addition, the bill provides
  8 27 that the revenues received by the county may only be used for
  8 28 property tax relief within the school district.
  8 29    The bill takes effect upon enactment, and applies
  8 30 retroactively to July 1, 1998, with regard to apportionment of
  8 31 election costs for elections held on or after that date,
  8 32 exemption of the tax on gross receipts from the sale of
  8 33 natural gas or electric energy subject to a franchise fee or
  8 34 user fee, and refunds of tax payable to construction
  8 35 contractors.  
  9  1 LSB 3132HV 78
  9  2 mg/cf/24
     

Text: HF00746                           Text: HF00748
Text: HF00700 - HF00799                 Text: HF Index
Bills and Amendments: General Index     Bill History: General Index

Return To Home index


© 1999 Cornell College and League of Women Voters of Iowa


Comments about this site or page? webmaster@legis.iowa.gov.
Please remember that the person listed above does not vote on bills. Direct all comments concerning legislation to State Legislators.

Last update: Wed Jan 12 05:55:23 CST 2000
URL: /DOCS/GA/78GA/Legislation/HF/00700/HF00747/990326.html
jhf