Text: HF00523 Text: HF00525 Text: HF00500 - HF00599 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 422E.3, subsection 4, Code 2001, is 1 2 amended to read as follows: 1 3 4. The director of revenue and finance shall credit tax 1 4 receipts and interest and penalties from the local sales and 1 5 services tax for school infrastructure purposes to an account 1 6 within the county's local sales and services tax fund, as 1 7 created in section 422B.10, subsection 1, maintained in the 1 8 name of the school district or school districts located within 1 9 the county except as provided in subsection 4A. If the 1 10 director is unable to determine from which county any of the 1 11 receipts were collected, those receipts shall be allocated 1 12 among the possible counties based on allocation rules adopted 1 13 by the director. 1 14 Sec. 2. Section 422E.3, Code 2001, is amended by adding 1 15 the following new subsection: 1 16 NEW SUBSECTION. 4A. Counties that have imposed local 1 17 sales and services taxes for school infrastructure purposes 1 18 and are contiguous to each other are subject to this 1 19 subsection as follows: 1 20 a. The tax receipts and interest and penalties from all 1 21 local sales and services taxes collected in the area made up 1 22 of these contiguous counties shall be deposited into a 1 23 separate joint account in a local school infrastructure sales 1 24 and services tax fund established in the office of the 1 25 treasurer of state. 1 26 b. Moneys collected from the tax imposed during the fiscal 1 27 year in the group of contiguous counties, which are deposited 1 28 into a separate fund as provided in paragraph "a", shall be 1 29 distributed to school districts located in those counties on a 1 30 per student basis calculated by the director of revenue and 1 31 finance as follows: 1 32 (1) Calculate a preliminary per student amount by dividing 1 33 the moneys collected in the area made up of these contiguous 1 34 counties during the fiscal year by the sum of the combined 1 35 actual enrollment for all counties in the group as described 2 1 in subsection 5, paragraph "d", subparagraph (2). 2 2 (2) For school districts located in a county where the 2 3 rate of tax imposed is less than one percent or the tax is 2 4 imposed for less than the entire fiscal year, reduce the per 2 5 student amount calculated in subparagraph (1) by multiplying 2 6 that amount by the quotient of the tax rate percent divided by 2 7 one percent and multiplied by the quotient of the number of 2 8 quarters the tax is imposed during the fiscal year divided by 2 9 four quarters. This is the per student amount that the school 2 10 districts shall receive for each student residing in that 2 11 county. 2 12 (3) If an adjustment to the preliminary per student amount 2 13 calculated under subparagraph (1) for any school district was 2 14 made pursuant to subparagraph (2), the resulting leftover 2 15 moneys shall be used to increase the preliminary per student 2 16 amount calculated in subparagraph (1) for students residing in 2 17 the other counties in the group of contiguous counties that 2 18 have imposed the tax at the rate of one percent for the entire 2 19 fiscal year. This increased per student amount is the amount 2 20 each school district shall receive for each student residing 2 21 in those counties. If an adjustment is not made under 2 22 subparagraph (2), the per student amount each school district 2 23 shall receive equals the preliminary per student amount 2 24 calculated in subparagraph (1). 2 25 c. The remitting of the appropriate per student amounts to 2 26 the eligible school districts shall be done in the manner 2 27 provided in subsection 5, paragraphs "a", "b", and "c". 2 28 d. School districts that have issued bonds, prior to the 2 29 effective date of this Act under the authority of section 2 30 422E.4, which remain outstanding, or have entered into 2 31 construction contracts for infrastructure projects prior to 2 32 the effective date of this Act, in anticipation of the receipt 2 33 of tax revenues under this chapter, which projects are not 2 34 completed and are located in a county that is included in the 2 35 group of contiguous counties, are entitled to additional funds 3 1 from the group of counties' separate fund. These additional 3 2 funds shall be provided prior to computations under paragraph 3 3 "b". The department of revenue and finance shall establish 3 4 procedures for school districts to request the additional 3 5 funds from the department, including requirements regarding 3 6 the provision of any information, documents, and statistics 3 7 needed to justify the request. 3 8 e. For purposes of this subsection, a county which is 3 9 contiguous to another county which is contiguous to a third 3 10 county is contiguous to that third county, and the counties 3 11 shall be considered as a group. 3 12 Sec. 3. Section 422E.3, subsection 5, paragraph c, 3 13 unnumbered paragraph 2, Code 2001, is amended to read as 3 14 follows: 3 15 d. (1) If more than one school district, or a portion of 3 16 a school district, is located within the county, tax receipts 3 17 shall be remitted to each school district or portion of a 3 18 school district in which the county tax is imposed in a pro 3 19 rata share based upon the ratio which the percentage of actual 3 20 enrollment for the school district that attends school in the 3 21 county bears to the percentage of the total combined actual 3 22 enrollments for all school districts that attend school in the 3 23 county. 3 24 (2) The combined actual enrollment for a county, for 3 25 purposes of this section, is the actual number of students who 3 26 are residents of the county and shall be determined for each 3 27 county imposing a sales and services tax for school 3 28 infrastructure purposes by the department of management based 3 29 on the actual enrollment figures reported by October 1 to the 3 30 department of management by the department of education 3 31 pursuant to section 257.6, subsection 1. The combined actual 3 32 enrollment count shall be forwarded to the director ofthe3 33department of managementrevenue and finance by March 1, 3 34 annually, for purposes of calculating the preliminary and 3 35 final per student amounts pursuant to subsection 4A and for 4 1 purposes of supplying estimated tax payment figures and making 4 2 estimated tax payments pursuant to this section for the 4 3 following fiscal year. 4 4 Sec. 4. Section 422E.3, subsection 7, Code 2001, is 4 5 amended to read as follows: 4 6 7. Construction contractors may make application to the 4 7 department for a refund of the additional local sales and 4 8 services tax paid under this chapter by reason of taxes paid 4 9 on goods, wares, or merchandise under the conditions specified 4 10 in section 422B.11. The refund shall be paid by the 4 11 department from the appropriate school district's account in 4 12 the local sales and services tax fund or from the joint 4 13 account designated in subsection 4A, paragraph "a", as 4 14 appropriate. The penalty provisions contained in section 4 15 422B.11, subsection 3, shall apply regarding an erroneous 4 16 application for refund of local sales and services tax paid 4 17 under this chapter. 4 18 Sec. 5. EFFECTIVE AND APPLICABILITY DATES. This Act, 4 19 being deemed of immediate importance, takes effect upon 4 20 enactment and applies to fiscal years beginning after the 4 21 effective date. 4 22 EXPLANATION 4 23 This bill provides that for counties that impose a local 4 24 option school infrastructure sales and services tax and that 4 25 are contiguous to each other, all tax revenues would go into a 4 26 joint fund to be distributed on an equal per student basis to 4 27 the school districts located in the contiguous counties that 4 28 have imposed the tax. The per student amount is reduced for 4 29 school districts in those counties that have imposed the tax 4 30 at less than 1 percent or imposed it for less than the entire 4 31 fiscal year. 4 32 School districts that have issued bonds or entered into 4 33 contractual obligations in anticipation of the receipt of the 4 34 tax revenues are entitled to additional funds to meet these 4 35 obligations. These funds are from the tax revenues collected 5 1 in the entire area of the contiguous counties and are provided 5 2 prior to computing the per student amount to be remitted to 5 3 all of the school districts in the contiguous area. 5 4 The bill also makes a corrective change. The correction 5 5 provides that the combined actual enrollment count is to be 5 6 forwarded to the director of revenue and finance instead of 5 7 the director of the department of management since the 5 8 department of management already has the combined actual 5 9 enrollment count which it calculates. 5 10 The bill takes effect upon enactment and applies to fiscal 5 11 years beginning after the effective date. 5 12 LSB 2073YH 79 5 13 mg/cf/24
Text: HF00523 Text: HF00525 Text: HF00500 - HF00599 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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