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Senate File 2029

Partial Bill History

Bill Text

PAG LIN
  1  1    Section 1.  Section 422E.3, subsection 5, paragraph c,
  1  2 unnumbered paragraph 2, Code Supplement 1999, is amended to
  1  3 read as follows:
  1  4    d.  (1)  If more than one school district, or a portion of
  1  5 a school district, is located within the county, tax receipts
  1  6 shall be remitted to each school district or portion of a
  1  7 school district in which the county tax is imposed in a pro
  1  8 rata share based upon the ratio which the percentage of actual
  1  9 enrollment for the school district that attends school in the
  1 10 county bears to the percentage of the total combined actual
  1 11 enrollments for all school districts that attend school in the
  1 12 county.
  1 13    (2)  The combined actual enrollment for a county, for
  1 14 purposes of this section, shall be determined for each county
  1 15 imposing a sales and services tax for school infrastructure
  1 16 purposes by the department of management based on the actual
  1 17 enrollment figures reported by October 1 to the department of
  1 18 management by the department of education pursuant to section
  1 19 257.6, subsection 1.  The combined actual enrollment count
  1 20 shall be forwarded to the director of the department of
  1 21 management revenue and finance by March 1, annually, for
  1 22 purposes of supplying estimated tax payment figures and making
  1 23 estimated tax payments pursuant to this section for the
  1 24 following fiscal year.
  1 25    e.  The actual tax receipts which a school district shall
  1 26 receive shall not exceed the limitation provided in subsection
  1 27 5A.
  1 28    Sec. 2.  Section 422E.3, Code Supplement 1999, is amended
  1 29 by adding the following new subsection:
  1 30    NEW SUBSECTION.  5A.  a.  The director of revenue and
  1 31 finance by June 1 preceding each fiscal year shall compute the
  1 32 statewide tax revenues per student for the coming fiscal year.
  1 33 The statewide tax revenues per student is determined by
  1 34 estimating the total revenues that would be generated by a one
  1 35 percent local option sales and services tax for school
  2  1 infrastructure purposes if imposed by all the counties during
  2  2 the entire fiscal year and dividing this estimated revenue
  2  3 amount by the sum of the combined actual enrollment for all
  2  4 counties as described in subsection 5, paragraph "d",
  2  5 subparagraph (2).
  2  6    b.  The maximum amount that may be paid per student
  2  7 pursuant to subsection 5 from tax receipts credited for the
  2  8 fiscal year under subsection 4 to the local sales and services
  2  9 tax account of a county equals the statewide tax revenues per
  2 10 student, estimated in paragraph "a", multiplied by the
  2 11 quotient of the tax rate percent divided by one percent and
  2 12 multiplied by the quotient of the number of quarters the tax
  2 13 is imposed during the fiscal year divided by four quarters.
  2 14    c.  If the amount of the receipts credited for the fiscal
  2 15 year under subsection 4 to the local sales and services tax
  2 16 account of a county is in excess of the maximum amount for
  2 17 that account as calculated under paragraph "b", the excess
  2 18 shall be transferred by the director of revenue and finance to
  2 19 a reserve fund to be distributed to each county which imposed
  2 20 the tax during the previous quarter that has not reached the
  2 21 maximum amount for that county as calculated under paragraph
  2 22 "b".  The moneys in the reserve fund shall be distributed
  2 23 quarterly to the eligible counties with each county receiving
  2 24 the same dollar amount per student until the county reaches
  2 25 the maximum amount calculated in paragraph "b".  However, for
  2 26 a county that has imposed the tax at a rate of less than one
  2 27 percent, the amount that county shall receive per student
  2 28 shall be a fraction of the amount the other counties received.
  2 29 The fraction equals the tax rate percent divided by one
  2 30 percent.
  2 31    Notwithstanding the limitation in paragraph "b", if any
  2 32 moneys remain in the reserve fund after all counties which
  2 33 have imposed the tax during the previous quarter have reached
  2 34 the limitation in paragraph "b", the remaining moneys shall be
  2 35 distributed to each county at the same dollar amount per
  3  1 student.  However, for a county that has imposed the tax at a
  3  2 rate of less than one percent, the amount that county shall
  3  3 receive per student shall be a fraction of the amount the
  3  4 other counties received.  The fraction equals the tax rate
  3  5 percent divided by one percent.
  3  6    d.  School districts that have issued bonds prior to
  3  7 January 1, 2000, under authority of section 422E.4 that remain
  3  8 outstanding, or have entered into construction contracts for
  3  9 infrastructure projects prior to January 1, 2000, in
  3 10 anticipation of the receipt of tax revenues under this
  3 11 chapter, which projects are not completed and that are located
  3 12 in a county that has had moneys transferred to the reserve
  3 13 fund are entitled to additional funds from the reserve fund to
  3 14 meet their bond or contractual obligations.  These additional
  3 15 funds shall be provided prior to any transfers under paragraph
  3 16 "c" from the reserve fund.  The department of revenue and
  3 17 finance shall establish procedures for school districts to
  3 18 request the additional funds from the department, including
  3 19 requirements regarding the provision of any information,
  3 20 documents, and statistics needed to justify the request.
  3 21    Sec. 3.  EFFECTIVE AND APPLICABILITY DATES.  This Act,
  3 22 being deemed of immediate importance, takes effect upon
  3 23 enactment and applies to fiscal years beginning after the
  3 24 effective date.  
  3 25                           EXPLANATION
  3 26    The bill provides a limitation on the local option sales
  3 27 and services tax revenues collected in a county which are to
  3 28 be distributed to school districts in that county.  The limit
  3 29 is equal to the total tax revenue that would be generated by a
  3 30 1 percent school sales and services tax if imposed by all 99
  3 31 counties divided by the actual enrollment for school districts
  3 32 in the state for the previous school year.  Counties that
  3 33 collect tax revenue in excess of this per student limit will
  3 34 have the revenues transferred to a reserve fund.  The moneys
  3 35 in the reserve fund will be used to provide additional
  4  1 revenues to those counties which have imposed the tax but have
  4  2 not reached their per student limit.
  4  3    The per student limit is decreased for those counties which
  4  4 impose the local sales and services tax for school
  4  5 infrastructure purposes at less than 1 percent or impose it
  4  6 for less than the entire fiscal year.
  4  7    School districts in a county that have reached their per
  4  8 student limit and have issued bonds or entered into capital
  4  9 projects prior to January 1, 2000, are entitled to receive
  4 10 reserve moneys from the reserve fund to meet their bond
  4 11 obligations or contractual obligations prior to the
  4 12 distribution of the reserve fund moneys to any other school
  4 13 district.
  4 14    The bill takes effect upon enactment and applies to fiscal
  4 15 years beginning after the effective date.  
  4 16 LSB 5511XS 78
  4 17 mg/as/5
     

Text: SF02028                           Text: SF02030
Text: SF02000 - SF02099                 Text: SF Index
Bills and Amendments: General Index     Bill History: General Index

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