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PAG LIN 1 1 Section 1. Section 25B.2, subsection 3, Code 2001, is 1 2 amended by striking the subsection. 1 3 Sec. 2. NEW SECTION. 25B.5A UNFUNDED STATE MANDATES – 1 4 EFFECT. 1 5 If, on or after July 1, 2003, a state mandate is enacted by 1 6 the general assembly, or otherwise imposed, on a political 1 7 subdivision and the state mandate requires a political 1 8 subdivision to engage in any new activity, to provide a new 1 9 service, or to provide any service beyond that required by any 1 10 law enacted prior to July 1, 2003, and the state does not 1 11 appropriate moneys to fully fund the cost of the state mandate 1 12 as identified pursuant to section 25B.5, subsections 1 and 2, 1 13 the political subdivision is not required to perform the 1 14 activity or provide the new or increased service and the 1 15 political subdivision shall not be subject to any liabilities 1 16 imposed by the state or the imposition of any fines or 1 17 penalties for the failure to comply with the state mandate. 1 18 Sec. 3. Section 25B.7, subsection 2, paragraph a, Code 1 19 2001, is amended by striking the paragraph. 1 20 Sec. 4. Section 100.18, subsection 2, paragraph b, Code 1 21 2001, is amended to read as follows: 1 22 b. The rules shall require the installation of smoke 1 23 detectors in existing single-family rental units and multiple- 1 24 unit residential buildings. Existing single-family dwelling 1 25 units shall be equipped with approved smoke detectors.A1 26person who files for a homestead credit pursuant to chapter1 27425 shall certify that the single-family dwelling unit for1 28which the credit is filed has a smoke detector installed in1 29compliance with this section, or that one will be installed1 30within thirty days of the date the filing for the credit is1 31made.The state fire marshal shall adopt rules and establish 1 32 appropriate procedures to administer this subsection. 1 33 Sec. 5. Section 216.12, subsection 5, Code 2001, is 1 34 amended to read as follows: 1 35 5. The rental or leasing of a housing accommodation in a 2 1 building which contains housing accommodations for not more 2 2 than four families living independently of each other, if the 2 3 owner resides in one of the housing accommodations forwhich2 4the owner qualifies for the homestead tax credit under section2 5425.1at least six months of the calendar year. 2 6 Sec. 6. Section 331.401, subsection 1, paragraph g, Code 2 7 2001, is amended by striking the paragraph. 2 8 Sec. 7. NEW SECTION. 331.423A ENDING FUND BALANCE. 2 9 Effective for a fiscal year beginning on or after July 1, 2 10 2007, budgeted ending fund balances shall not exceed twenty- 2 11 five percent of actual expenditures in the previous fiscal 2 12 year for either the general fund or the rural services fund. 2 13 An ending fund balance does not include funds reserved or 2 14 designated for a specific purpose and specifically described 2 15 in the certified budget. For purposes of this section, the 2 16 general fund includes the general services basic fund and the 2 17 general services supplemental fund and the rural services fund 2 18 includes the rural services basic fund and the rural services 2 19 supplemental fund. 2 20 Sec. 8. Section 331.424A, subsection 4, Code Supplement 2 21 2001, is amended to read as follows: 2 22 4. For the fiscal year beginning July 1, 1996, and for 2 23 each subsequent fiscal year, the county shall certify a levy 2 24 for payment of services. For each fiscal year, county 2 25 revenues from taxes imposed by the county credited to the 2 26 services fund shall not exceed an amount equal to the amount 2 27 of base year expenditures for services as defined in section 2 28 331.438, less the amount of property tax relief to be received 2 29 pursuant to section 426B.2, in the fiscal year for which the 2 30 budget is certified. The county auditor and the board of 2 31 supervisors shall reduce the amount of the levy certified for 2 32 the services fund by the amount of property tax relief to be 2 33 received. A levy certified under this section is not subject 2 34 to the appeal provisions ofsectionssection 331.426and2 35444.25Bor to any other provision in law authorizing a county 3 1 to exceed, increase, or appeal a property tax levy limit. 3 2 Sec. 9. Section 331.424B, Code 2001, is amended to read as 3 3 follows: 3 4 331.424B CEMETERY LEVY. 3 5 The board may levy annually a tax not to exceed six and 3 6 three-fourths cents per thousand dollars of the assessed value 3 7 of all taxable property in the county to repair and maintain 3 8 all cemeteries under the jurisdiction of the board including 3 9 pioneer cemeteries and to pay other expenses of the board or 3 10 the cemetery commission as provided in section 331.325. The 3 11 proceeds of the tax levy shall be credited to the county 3 12 general fund.Sections 444.25A and 444.25B do not apply to3 13the property tax levied or expended for cemeteries pursuant to3 14section 331.325.3 15 Sec. 10. Section 331.429, subsection 1, paragraphs a and 3 16 b, Code Supplement 2001, are amended to read as follows: 3 17 a. Transfers from the general fund not to exceed in any 3 18 year the dollar equivalent of a tax of sixteen and seven- 3 19 eighths cents per thousand dollars of assessed value on all 3 20 taxable property in the county multiplied by the ratio of 3 21 current taxes actually collected and apportioned for the 3 22 general basic levy to the total general basic levy for the 3 23 current year, and an amount equivalent to the moneys derived 3 24 by the general fund from military service tax credits under 3 25 chapter 426A,manufactured or mobile home taxes under section3 26435.22,and delinquent taxes for prior years collected and 3 27 apportioned to the general basic fund in the current year, 3 28 multiplied by the ratio of sixteen and seven-eighths cents to 3 29 three dollars and fifty cents. 3 30 b. Transfers from the rural services fund not to exceed in 3 31 any year the dollar equivalent of a tax of three dollars and 3 32 three-eighths cents per thousand dollars of assessed value on 3 33 all taxable property not located within the corporate limits 3 34 of a city in the county multiplied by the ratio of current 3 35 taxes actually collected and apportioned for the rural 4 1 services basic levy to the total rural services basic levy for 4 2 the current year and an amount equivalent to the moneys 4 3 derived by the rural services fund from military service tax 4 4 credits under chapter 426A,manufactured or mobile home taxes4 5under section 435.22,and delinquent taxes for prior years 4 6 collected and apportioned to the rural services basic fund in 4 7 the current year, multiplied by the ratio of three dollars and 4 8 three-eighths cents to three dollars and ninety-five cents. 4 9 Sec. 11. Section 331.512, subsection 3, Code 2001, is 4 10 amended by striking the subsection. 4 11 Sec. 12. Section 331.559, subsection 12, Code Supplement 4 12 2001, is amended by striking the subsection. 4 13 Sec. 13. Section 331.559, subsection 13, Code Supplement 4 14 2001, is amended by striking the subsection. 4 15 Sec. 14. Section 403.19, subsection 2, Code Supplement 4 16 2001, is amended to read as follows: 4 17 2. That portion of the taxes each year in excess of such 4 18 amount shall be allocated to and when collected be paid into a 4 19 special fund of the municipality to pay the principal of and 4 20 interest on loans, moneys advanced to, or indebtedness, 4 21 whether funded, refunded, assumed, or otherwise, including 4 22 bonds issued under the authority of section 403.9, subsection 4 23 1, incurred by the municipality to finance or refinance, in 4 24 whole or in part, an urban renewal project within the area, 4 25 and to provide assistance for low and moderate income family 4 26 housing as provided in section 403.22, except that taxesfor4 27the regular and voter-approved physical plant and equipment4 28levy oflevied by a school districtimposed pursuant to4 29section 298.2and taxes for the payment of bonds and interest 4 30 of each taxing district must be collected against all taxable 4 31 property within the taxing district without limitation by the 4 32 provisions of this subsection. However, all or a portion of 4 33the taxes for the physical plant and equipment levyschool 4 34 district property tax revenue shall be paid by the school 4 35 district to the municipality if the auditor certifies to the 5 1 school district by July 1 the amount of suchlevyschool 5 2 district property tax revenue that is necessary to pay the 5 3 principal and interest on bonds issued by the municipality to 5 4 finance an urban renewal project, which bonds were issued 5 5 before July 1,20012003. Indebtedness incurred to refund 5 6 bonds issued prior to July 1,20012003, shall not be included 5 7 in the certification. Such school district shall pay over the 5 8 amount certified by November 1 and May 1 of the fiscal year 5 9 following certification to the school district. Unless and 5 10 until the total assessed valuation of the taxable property in 5 11 an urban renewal area exceeds the total assessed value of the 5 12 taxable property in such area as shown by the last equalized 5 13 assessment roll referred to in subsection 1, all of the taxes 5 14 levied and collected upon the taxable property in the urban 5 15 renewal area shall be paid into the funds for the respective 5 16 taxing districts as taxes by or for the taxing districts in 5 17 the same manner as all other property taxes. When such loans, 5 18 advances, indebtedness, and bonds, if any, and interest 5 19 thereon, have been paid, all moneys thereafter received from 5 20 taxes upon the taxable property in such urban renewal area 5 21 shall be paid into the funds for the respective taxing 5 22 districts in the same manner as taxes on all other property. 5 23 Sec. 15. Section 403.19, subsection 7, Code Supplement 5 24 2001, is amended by striking the subsection and inserting in 5 25 lieu thereof the following: 5 26 7. For any fiscal year, a municipality may certify to the 5 27 county auditor for school district property tax revenue 5 28 necessary for payment of principal and interest on bonds 5 29 issued prior to July 1, 2003. The municipality may receive 5 30 school district property tax revenue only if the municipality 5 31 certified for such revenue for the fiscal year beginning July 5 32 1, 2003. A municipality shall not certify more than the 5 33 amount the municipality certified for the fiscal year 5 34 beginning July 1, 2003. If for any fiscal year a municipality 5 35 fails to certify to the county auditor for a school district 6 1 by July 1 the amount of school district property tax revenue 6 2 necessary for payment of principal and interest on such bonds, 6 3 as provided in subsection 2, the school district is not 6 4 required to pay over the revenue to the municipality. 6 5 If in any fiscal year a school district and a municipality 6 6 are unable to agree on the amount of school district property 6 7 tax revenue for which a municipality may certify, either party 6 8 may request that the state appeal board review and finally 6 9 pass upon the amount that may be certified. Such appeals must 6 10 be presented in writing to the state appeal board no later 6 11 than July 31 following certification. The burden shall be on 6 12 the municipality to prove that the school district property 6 13 tax revenue is necessary to pay principal and interest on 6 14 bonds issued prior to July 1, 2003. A final decision must be 6 15 issued by the state appeal board no later than the following 6 16 October 1. 6 17 Sec. 16. Section 403.20, Code 2001, is amended to read as 6 18 follows: 6 19 403.20 PERCENTAGE OF ADJUSTMENT CONSIDERED IN VALUE 6 20 ASSESSMENT. 6 21 In determining the assessed value of property within an 6 22 urban renewal area which is subject to a division of tax 6 23 revenues pursuant to section 403.19, thedifference between6 24the actual value of the property as determined by the assessor6 25each year and the percentage of adjustment certified for that6 26year by the director of revenue and finance on or before6 27November 1reductions applied to the property pursuant to 6 28 section 441.21, subsection94, 5, 5A, or 5B,multiplied by6 29the actual value of the property as determined by the6 30assessor,shall be subtracted from the actual value of the 6 31 property as determined pursuant to section 403.19, subsection 6 32 1. If the assessed value of the property as determined 6 33 pursuant to section 403.19, subsection 1, is reduced to zero, 6 34 the additional valuation reduction shall be subtracted from 6 35 the actual value of the property as determined by the 7 1 assessor. 7 2 Sec. 17. Section 404.3, subsection 1, Code 2001, is 7 3 amended to read as follows: 7 4 1. All qualified real estate assessed as residential 7 5 property is eligible to receive an exemption from taxation 7 6 based on the actual value added by the improvements. The 7 7 exemption is for a period of ten years. The amount of the 7 8 exemption is equal to a percent of the actual value added by 7 9 the improvements, determined as follows: One hundred fifteen 7 10 percent of the value added by the improvements. However, the 7 11 amount of the actual value added by the improvements which 7 12 shall be used to compute the exemption shall not exceed twenty 7 13 thousand dollarsand the granting of the exemption shall not7 14result in the actual value of the qualified real estate being7 15reduced below the actual value on which the homestead credit7 16is computed under section 425.1. 7 17 Sec. 18. Section 425.16, Code 2001, is amended to read as 7 18 follows: 7 19 425.16 ADDITIONAL TAX CREDIT. 7 20In addition to the homestead tax credit allowed under7 21section 425.1, subsections 1 to 4, personsPersons who own or 7 22 rent their homesteads and who meet the qualifications provided 7 23 in this division are eligible for an extraordinary property 7 24 tax credit or reimbursement. 7 25 Sec. 19. Section 425.23, subsection 1, Code 2001, is 7 26 amended to read as follows: 7 27 1. a. Thetentative credit or reimbursement for a 7 28 claimant described in section 425.17, subsection 2, paragraph 7 29 "a" and paragraph "b" if no appropriation is made to the fund 7 30 created in section 425.40 shall be determined in accordance 7 31 with the following schedule: 7 32 Percent of property taxes 7 33 due or rent constituting 7 34 property taxes paid 7 35 If the household allowed as a credit or 8 1 income is: reimbursement: 8 2 $ 0 – 8,499.99 .................... 100% 8 3 8,500 – 9,499.99 .................... 85 8 4 9,500 – 10,499.99 .................... 70 8 5 10,500 – 12,499.99 .................... 50 8 6 12,500 – 14,499.99 .................... 35 8 7 14,500 – 16,499.99 .................... 25 8 8 b. If moneys have been appropriated to the fund created in 8 9 section 425.40, thetentativecredit or reimbursement for a 8 10 claimant described in section 425.17, subsection 2, paragraph 8 11 "b", shall be determined as follows: 8 12 (1) If the amount appropriated under section 425.40 plus 8 13 any supplemental appropriation made for a fiscal year for 8 14 purposes of this lettered paragraph is at least twenty-seven 8 15 million dollars, thetentativecredit or reimbursement shall 8 16 be determined in accordance with the following schedule: 8 17 Percent of property taxes 8 18 due or rent constituting 8 19 property taxes paid 8 20 If the household allowed as a credit or 8 21 income is: reimbursement: 8 22 $ 0 – 8,499.99 .................... 100% 8 23 8,500 – 9,499.99 .................... 85 8 24 9,500 – 10,499.99 .................... 70 8 25 10,500 – 12,499.99 .................... 50 8 26 12,500 – 14,499.99 .................... 35 8 27 14,500 – 16,499.99 .................... 25 8 28 (2) If the amount appropriated under section 425.40 plus 8 29 any supplemental appropriation made for a fiscal year for 8 30 purposes of this lettered paragraph is less than twenty-seven 8 31 million dollars, thetentativecredit or reimbursement shall 8 32 be determined in accordance with the following schedule: 8 33 Percent of property taxes 8 34 due or rent constituting 8 35 property taxes paid 9 1 If the household allowed as a credit or 9 2 income is: reimbursement: 9 3 $ 0 – 8,499.99 .................... 50% 9 4 8,500 – 9,499.99 .................... 42 9 5 9,500 – 10,499.99 .................... 35 9 6 10,500 – 12,499.99 .................... 25 9 7 12,500 – 14,499.99 .................... 17 9 8 14,500 – 16,499.99 .................... 12 9 9 Sec. 20. Section 425.23, subsection 2, Code 2001, is 9 10 amended by striking the subsection. 9 11 Sec. 21. Section 425.23, subsection 3, paragraph a, Code 9 12 2001, is amended to read as follows: 9 13 a. A person who is eligible to file a claim for credit for 9 14 property taxes due and who has a household income of eight 9 15 thousand five hundred dollars or less and who has an unpaid 9 16 special assessment levied against the homestead may file a 9 17 claim for a special assessment credit with the county 9 18 treasurer. The department shall provide to the respective 9 19 treasurers the forms necessary for the administration of this 9 20 subsection. The claim shall be filed not later than September 9 21 30 of each year. Upon the filing of the claim, interest for 9 22 late payment shall not accrue against the amount of the unpaid 9 23 special assessment due and payable. The claim filed by the 9 24 claimant constitutes a claim for credit of an amount equal to 9 25 the actual amount due upon the unpaid special assessment, plus 9 26 interest, payable during the fiscal year for which the claim 9 27 is filed against the homestead of the claimant. However, 9 28 where the claimant is an individual described in section 9 29 425.17, subsection 2, paragraph "b", and thetentativecredit 9 30 is determined according to the schedule in subsection 1, 9 31 paragraph "b", subparagraph (2), of this section, the claim 9 32 filed constitutes a claim for credit of an amount equal to 9 33 one-half of the actual amount due and payable during the 9 34 fiscal year. The treasurer shall certify to the director of 9 35 revenue and finance not later than October 15 of each year the 10 1 total amount of dollars due for claims allowed. The amount of 10 2 reimbursement due each county shall be paid by the director of 10 3 revenue and finance by November 15 of each year, drawn upon 10 4 warrants payable to the respective treasurer. There is 10 5 appropriated annually from the general fund of the state to 10 6 the department of revenue and finance an amount sufficient to 10 7 carry out the provisions of this subsection. The treasurer 10 8 shall credit any moneys received from the department against 10 9 the amount of the unpaid special assessment due and payable on 10 10 the homestead of the claimant. 10 11 Sec. 22. Section 427.1, subsection 19, unnumbered 10 12 paragraph 3, Code Supplement 2001, is amended to read as 10 13 follows: 10 14 This exemption shall be limited to the first twenty-five 10 15 thousand dollars of market value, as defined in section 10 16 441.21, of the pollution-control or recycling property. If 10 17 the pollution-control or recycling property is assessed with 10 18 other property as a unit, this exemption shall be limited to 10 19 the net market value added by the pollution-control or 10 20 recycling property, determined as of the assessment date. 10 21 Sec. 23. Section 427.1, subsection 19, unnumbered 10 22 paragraph 4, Code Supplement 2001, is amended to read as 10 23 follows: 10 24 Application for this exemption shall be filed with the 10 25 assessing authority not later than the first of February of 10 26 the first year for which the exemption is requested, on forms 10 27 provided by the department of revenue and finance. The 10 28 application shall describe and locate the specific pollution- 10 29 control or recycling property to be exempted. A taxpayer can 10 30 only apply for one exemption per county. 10 31 Sec. 24. Section 427A.1, subsection 1, paragraph c, Code 10 32 Supplement 2001, is amended to read as follows: 10 33 c. Buildings, structures or improvements, any of which are 10 34 constructed on or in the land, attached to the land, or placed 10 35 upon a foundation whether or not attached to the foundation. 11 1However, property taxed under chapter 435 shall not be11 2assessed and taxed as real property.11 3 Sec. 25. Section 427C.12, unnumbered paragraph 2, Code 11 4 2001, is amended to read as follows: 11 5 The board of supervisors shall designate the county 11 6 conservation board or the assessor who shall inspect the area 11 7 for which an application is filed for a fruit-tree or forest 11 8 reservation tax exemption before the application is accepted. 11 9 Use of aerial photographs may be substituted for on-site 11 10 inspection when appropriate. The application can only be 11 11 accepted if it meets the criteria established by the natural 11 12 resource commission to be a fruit-tree or forest reservation. 11 13 Once the application has been accepted, the area shall 11 14 continue to receive the tax exemption during each year in 11 15 which the area is maintained as a fruit-tree or forest 11 16 reservation without the owner having to refile. Acres in a 11 17 forest reservation shall be exempt from school district levies 11 18 only. 11 19 PARAGRAPH DIVIDED. If the property is sold or transferred, 11 20 the seller shall notify the buyer that all, or part of, the 11 21 property is in fruit-tree or forest reservation and subject to 11 22 the recapture tax provisions of this section. The tax 11 23 exemption shall continue to be granted for the remainder of 11 24 the eight-year period for fruit-tree reservation and for the 11 25 following years for forest reservation or until the property 11 26 no longer qualifies as a fruit-tree or forest reservation. 11 27 The owner of the forest or fruit-tree reservation shall 11 28 annually certify to the county conservation board or the 11 29 assessor that the area is being maintained with proper forest 11 30 or fruit-tree management, including necessary pruning and 11 31 planting of trees. The area may be inspected each year by the 11 32 county conservation board or the assessor to determine if the 11 33 area is maintained as a fruit-tree or forest reservation. If 11 34 the area is not maintained or is used for economic gain other 11 35 than as a fruit-tree reservation during any year of the eight- 12 1 year exemption period and any year of the following five years 12 2 or as a forest reservation during any year for which the 12 3 exemption is granted and any of the five years following those 12 4 exemption years, the assessor shall assess the property for 12 5 taxation at its fair market value as of January 1 of that year 12 6 and in addition the area shall be subject to a recapture tax. 12 7 However, the area shall not be subject to the recapture tax if 12 8 the owner, including one possessing under a contract of sale, 12 9 and the owner's direct antecedents or descendants have owned 12 10 the area for more than ten years.TheIn the case of a fruit- 12 11 tree reservation, the tax shall be computed by multiplying the 12 12 consolidated levy for each of those years, if any, of the five 12 13 preceding years for which the area received the exemption for 12 14 fruit-treeor forestreservation times the assessed value of 12 15 the area that would have been taxed but for the tax exemption. 12 16 In the case of a forest reservation, the tax shall be computed 12 17 by multiplying the school district levy for each of those 12 18 years, if any, of the five preceding years for which the area 12 19 received the exemption for forest reservation times the 12 20 assessed value of the area that would have been taxed but for 12 21 the tax exemption.ThisThe tax shall be entered against the 12 22 property on the tax list for the current year and shall 12 23 constitute a lien against the property in the same manner as a 12 24 lien for property taxes. The tax when collected shall be 12 25 apportioned in the manner provided for the apportionment of 12 26 the property taxes for the applicable tax year. 12 27 Sec. 26. Section 433.6, Code 2001, is amended to read as 12 28 follows: 12 29 433.6 TAXABLE VALUE. 12 30 The taxable value shall bedetermined by taking the12 31percentage of the actual value so ascertained,reduced as 12 32 provided by section 441.21, and the ratio between the actual 12 33 value and the assessed or taxable value of the property of 12 34 each of said companies shall be the same as in the case of 12 35 property of private individuals. 13 1 Sec. 27. Section 435.22, unnumbered paragraph 1, Code 13 2 Supplement 2001, is amended by striking the unnumbered 13 3 paragraph and inserting in lieu thereof the following: 13 4 A mobile home or manufactured home shall be assessed as 13 5 residential property pursuant to section 441.21, subsection 4, 13 6 and shall be taxed an annual ad valorem tax in the same manner 13 7 as other residential property. Persons who own or rent a 13 8 mobile home or manufactured home as a homestead and who meet 13 9 the qualifications provided in sections 425.17 through 425.40 13 10 are eligible for an extraordinary property tax credit or 13 11 reimbursement. A person who owns a mobile home or 13 12 manufactured home is eligible to apply for the military tax 13 13 exemption as provided in section 426A.11. 13 14 Sec. 28. Section 435.24, subsections 1, 2, and 4, Code 13 15 Supplement 2001, are amended to read as follows: 13 16 1.The annual tax is due and payable to the county13 17treasurer on or after July 1 in each fiscal year and is13 18collectible in the same manner and at the same time as13 19ordinary taxes as provided in sections 445.36, 445.37, and13 20445.39. Interest at the rate prescribed by law shall accrue13 21on unpaid taxes. Both installments of taxes may be paid at13 22one time. The September installment represents a tax period13 23beginning July 1 and ending December 31. The March13 24installment represents a tax period beginning January 1 and13 25ending June 30.A mobile home, manufactured home, or modular 13 26 home coming into this state from outside the state, put in use 13 27 from a dealer's inventory, or put in use at any time after 13 28 July 1 or January 1, and located in a manufactured home 13 29 community or mobile home park, is subject to the taxes 13 30 prorated for the remaining unexpired months of the tax period, 13 31 but the purchaser is not required to pay the tax at the time 13 32 of purchase. Interest attaches the following April 1 for 13 33 taxes prorated on or after October 1. Interest attaches the 13 34 following October 1 for taxes prorated on or after April 1. 13 35 Interest at the rate prescribed by law shall accrue on unpaid 14 1 taxes. If the taxes are not paid, the county treasurer shall 14 2 send a statement of delinquent taxes as part of the notice of 14 3 tax sale as provided in section 446.9. The owner of a home 14 4 who sells the home between July 1 and December 31 and obtains 14 5 a tax clearance statement is responsible only for the 14 6 September tax payment and is not required to pay taxes for 14 7 subsequent tax periods. If the owner of a home located in a 14 8 manufactured home community or mobile home park sells the 14 9 home, obtains a tax clearance statement, and obtains a 14 10 replacement home to be located in a manufactured home 14 11 community or mobile home park, the owner shall not pay taxes 14 12 under this chapter for the newly acquired home for the same 14 13 tax period that the owner has paid taxes on the home sold. 14 14 Interest for delinquent taxes shall be calculated to the 14 15 nearest whole dollar. In calculating interest each fraction 14 16 of a month shall be counted as an entire month. 14 17 2. The home owners upon issuance of a certificate of title 14 18 or upon transporting to a new site shall file the address, 14 19 township, and school district, of the location where the home 14 20 is parked with the county treasurer's office. Failure to 14 21 comply is punishable as set out in section 435.18.When the14 22new location is outside of a manufactured home community or14 23mobile home park, theThe county treasurer shall provide to 14 24 the assessor a copy of the tax clearance statement for 14 25 purposes of assessment as real estate on the following January 14 26 1. 14 27 4. The tax is a lien on the vehicle senior to any other 14 28 lien upon it except a judgment obtained in an action to 14 29 dispose of an abandoned home under section 555B.8. The home 14 30 bearing a current registration issued by any other state and 14 31 remaining within this state for an accumulated period not to 14 32 exceed ninety days in any twelve-month period is not subject 14 33 to Iowa tax. However, when one or more persons occupying a 14 34 home bearing a foreign registration are employed in this 14 35 state, there is no exemption from the Iowa tax.This tax is15 1in lieu of all other taxes general or local on a home.15 2 Sec. 29. Section 435.26, subsection 1, paragraph a, Code 15 3 Supplement 2001, is amended to read as follows: 15 4 a. A mobile home or manufactured home which is located 15 5 outside a manufactured home community or mobile home park 15 6shall be converted to real estate by beingshall be placed on 15 7 a permanent foundation and shall be assessed for real estate 15 8 taxes.A home, after conversion to real estate, is eligible15 9for the homestead tax credit and the military tax exemption as15 10provided in sections 425.2 and 426A.11.Such mobile home or 15 11 manufactured home is subject to the requirements of this 15 12 section. 15 13 Sec. 30. Section 435.27, subsection 1, Code Supplement 15 14 2001, is amended to read as follows: 15 15 1. A mobile home or manufactured homeconverted to real15 16estateunder section 435.26may be reconverted to a home as15 17provided in this section when itthat is moved to a 15 18 manufactured home community or mobile home park or a 15 19 manufactured home retailer's inventory is subject to the 15 20 requirements of this section.When the home is located within15 21a manufactured home community or mobile home park, the home15 22shall be taxed pursuant to section 435.22, subsection 1.15 23 Sec. 31. Section 435.27, subsection 3, Code Supplement 15 24 2001, is amended by striking the subsection. 15 25 Sec. 32. Section 435.28, Code Supplement 2001, is amended 15 26 to read as follows: 15 27 435.28 COUNTY TREASURER TO NOTIFY ASSESSOR. 15 28 Upon issuance of a certificate of title to a mobile home or 15 29 manufactured home which is not located in amanufactured home15 30community or mobile home park ordealer's inventory, the 15 31 county treasurer shall notify the assessor of the existence of 15 32 the home for tax assessment purposes. 15 33 Sec. 33. Section 435.35, Code Supplement 2001, is amended 15 34 to read as follows: 15 35 435.35 EXISTING HOME OUTSIDE OF MANUFACTURED HOME 16 1 COMMUNITY OR MOBILE HOME PARK – EXEMPTION. 16 2 A taxable mobile home or manufactured home which is not 16 3 located in a manufactured home community or mobile home park 16 4 as of January 1, 1995,shall be assessed and taxed as real16 5estate. The homeisalsoexempt from the permanent foundation 16 6 requirements of this chapter until the home is relocated. 16 7 Sec. 34. Section 436.8, Code 2001, is amended to read as 16 8 follows: 16 9 436.8 ACTUAL VALUE PER MILE – TAXABLE VALUE. 16 10 The director of revenue and finance shall thereupon 16 11 ascertain the value per mile of the property within the state, 16 12 by dividing the total value as above ascertained, after 16 13 deducting the specific properties locally assessed within the 16 14 state, by the number of miles within the state, and the result 16 15 shall be deemed and held to be the actual value per mile of 16 16 the property of such company within the state. The assessed 16 17 or taxable value shall bedetermined by taking that percentage16 18of the actual value so ascertained,reduced as is provided by 16 19 section 441.21, and such valuation and assessment shall be in 16 20 the same ratio as that of the property of individuals. 16 21 Sec. 35. Section 437.7, Code 2001, is amended to read as 16 22 follows: 16 23 437.7 TAXABLE VALUE. 16 24 The taxable value of such line or lines of which the 16 25 director of revenue and finance by this chapter is required to 16 26 find the value,shall be determined by taking thepercentage16 27of the actualreduction in value so ascertained, as provided 16 28 by section 441.21, and the ratio between the actual value and 16 29 the assessed or taxable value of the transmission line or 16 30 lines of each of said companies located outside of cities 16 31 shall be the same as in the case of the property of private 16 32 individuals. 16 33 Sec. 36. Section 441.21, subsection 1, paragraphs e, f, 16 34 and g, Code Supplement 2001, are amended by striking the 16 35 paragraphs. 17 1 Sec. 37. Section 441.21, subsection 2, Code Supplement 17 2 2001, is amended to read as follows: 17 3 2. In the event market value of the property being 17 4 assessed cannot be readily established in the foregoing 17 5 manner, then the assessor may determine the value of the 17 6 property using the other uniform and recognized appraisal 17 7 methods including its productive and earning capacity, if any, 17 8 industrial conditions, its cost, physical and functional 17 9 depreciation and obsolescence and replacement cost, and all 17 10 other factors which would assist in determining the fair and 17 11 reasonable market value of the property but the actual value 17 12 shall not be determined by use of only one such factor. The 17 13 following shall not be taken into consideration: Special 17 14 value or use value of the property to its present owner, and 17 15 the good will or value of a business which uses the property 17 16 as distinguished from the value of the property as property. 17 17 However, in assessing property that is rented or leased to 17 18 low-income individuals and families as authorized by section 17 19 42 of the Internal Revenue Code, as amended, and which section 17 20 limits the amount that the individual or family pays for the 17 21 rental or lease of units in the property, the assessor shall 17 22 use the productive and earning capacity from the actual rents 17 23 received as a method of appraisal and shall take into account 17 24 the extent to which that use and limitation reduces the market 17 25 value of the property. The assessor shall not consider any 17 26 tax credit equity or other subsidized financing as income 17 27 provided to the property in determining the assessed value. 17 28 Upon adoption of uniform rules by the revenue department or 17 29 succeeding authority covering assessments and valuations of 17 30 such properties, said valuation on such properties shall be 17 31 determined in accordancetherewithwith such uniform rules for 17 32 assessment purposes to assure uniformity, but such rules shall 17 33 not be inconsistent with or change the foregoing means of 17 34 determining the actual, market, taxable, and assessed values. 17 35 In the event market value of newly constructed residential 18 1 property being assessed cannot be readily established because 18 2 of insufficient comparable sales, the assessor shall use the 18 3 replacement cost method to value the property. 18 4 Sec. 38. Section 441.21, subsection 4, Code Supplement 18 5 2001, is amended by striking the subsection and inserting in 18 6 lieu thereof the following: 18 7 4. For valuations established as of January 1, 2003, the 18 8 actual value at which residential property is assessed shall 18 9 be reduced by ten thousand dollars on each parcel of 18 10 residential property assessed for taxation. 18 11 Sec. 39. Section 441.21, subsection 5, Code Supplement 18 12 2001, is amended to read as follows: 18 13 5.For valuations established as of January 1, 1979,18 14commercial property and industrial property, excluding18 15properties referred to in section 427A.1, subsection 7, shall18 16be assessed as a percentage of the actual value of each class18 17of property. The percentage shall be determined for each18 18class of property by the director of revenue for the state in18 19accordance with the provisions of this section. For18 20valuations established as of January 1, 1979, the percentage18 21shall be the quotient of the dividend and divisor as defined18 22in this section. The dividend for each class of property18 23shall be the total actual valuation for each class of property18 24established for 1978, plus six percent of the amount so18 25determined. The divisor for each class of property shall be18 26the valuation for each class of property established for 1978,18 27as reported by the assessors on the abstracts of assessment18 28for 1978, plus the amount of value added to the total actual18 29value by the revaluation of existing properties in 1979 as18 30equalized by the director of revenue pursuant to section18 31441.49.For valuations established as of January 1, 1979, 18 32 property valued by the department of revenue pursuant to 18 33 sections 428.24 through 428.29, and chapters428,433, 436, 18 34 437, and 438 shall be considered as one class of property and 18 35 shall be assessed as a percentage of its actual value. The 19 1 percentage shall be determined by the director of revenue in 19 2 accordance with the provisions of this section. For 19 3 valuations established as of January 1, 1979, the percentage 19 4 shall be the quotient of the dividend and divisor as defined 19 5 in this section. The dividend shall be the total actual 19 6 valuation established for 1978 by the department of revenue, 19 7 plus ten percent of the amount so determined. The divisor for 19 8 property valued by the department of revenue pursuant to 19 9 sections 428.24 through 428.29, and chapters428,433, 436, 19 10 437, and 438 shall be the valuation established for 1978, plus 19 11 the amount of value added to the total actual value by the 19 12 revaluation of the property by the department of revenue as of 19 13 January 1, 1979.For valuations established as of January 1,19 141980, commercial property and industrial property, excluding19 15properties referred to in section 427A.1, subsection 7, shall19 16be assessed at a percentage of the actual value of each class19 17of property. The percentage shall be determined for each19 18class of property by the director of revenue for the state in19 19accordance with the provisions of this section. For19 20valuations established as of January 1, 1980, the percentage19 21shall be the quotient of the dividend and divisor as defined19 22in this section. The dividend for each class of property19 23shall be the dividend as determined for each class of property19 24for valuations established as of January 1, 1979, adjusted by19 25the product obtained by multiplying the percentage determined19 26for that year by the amount of any additions or deletions to19 27actual value, excluding those resulting from the revaluation19 28of existing properties, as reported by the assessors on the19 29abstracts of assessment for 1979, plus four percent of the19 30amount so determined. The divisor for each class of property19 31shall be the total actual value of all such property in 1979,19 32as equalized by the director of revenue pursuant to section19 33441.49, plus the amount of value added to the total actual19 34value by the revaluation of existing properties in 1980. The19 35director shall utilize information reported on the abstracts20 1of assessment submitted pursuant to section 441.45 in20 2determining such percentage.For valuations established as of 20 3 January 1, 1980, property valued by the department of revenue 20 4 pursuant to sections 428.24 through 428.29, and chapters428,20 5 433, 436, 437, and 438 shall be assessed at a percentage of 20 6 its actual value. The percentage shall be determined by the 20 7 director of revenue in accordance with the provisions of this 20 8 section. For valuations established as of January 1, 1980, 20 9 the percentage shall be the quotient of the dividend and 20 10 divisor as defined in this section. The dividend shall be the 20 11 total actual valuation established for 1979 by the department 20 12 of revenue, plus eight percent of the amount so determined. 20 13 The divisor for property valued by the department of revenue 20 14 pursuant to sections 428.24 through 428.29, and chapters428,20 15 433, 436, 437, and 438 shall be the valuation established for 20 16 1979, plus the amount of value added to the total actual value 20 17 by the revaluation of the property by the department of 20 18 revenue as of January 1, 1980.For valuations established as20 19of January 1, 1981, and each year thereafter, the percentage20 20of actual value as equalized by the director of revenue and20 21finance as provided in section 441.49 at which commercial20 22property and industrial property, excluding properties20 23referred to in section 427A.1, subsection 7, shall be assessed20 24shall be calculated in accordance with the methods provided20 25herein, except that any references to six percent in this20 26subsection shall be four percent.For valuations established 20 27 as of January 1, 1981, and each year thereafter, the 20 28 percentage of actual value at which property valued by the 20 29 department of revenue and finance pursuant to sections 428.24 20 30 through 428.29, and chapters428,433, 436, 437, and 438 shall 20 31 be assessed shall be calculated in accordance with the methods 20 32 providedhereinin this section, except that any references to 20 33 ten percent in this subsection shall be eight percent. 20 34 Beginning with valuations established as of January 1, 1979, 20 35 and each year thereafter, property valued by the department of 21 1 revenue and finance pursuant to chapter 434 shall also be 21 2 assessed at a percentage of its actual value which percentage 21 3 shall be equal to the percentage determined by the director of 21 4 revenue and finance for commercial property, industrial 21 5 property, or property valued by the department of revenue and 21 6 finance pursuant to sections 428.24 through 428.29, and 21 7 chapters428,433, 436, 437, and 438, whichever is lowest. 21 8 Sec. 40. Section 441.21, Code Supplement 2001, is amended 21 9 by adding the following new subsections: 21 10 NEW SUBSECTION. 5A. For valuations established as of 21 11 January 1, 2003, the actual value at which commercial property 21 12 and industrial property is assessed shall be reduced by 21 13 twenty-five thousand dollars on each parcel of commercial 21 14 property or industrial property assessed for taxation. 21 15 NEW SUBSECTION. 5B. For valuations established as of 21 16 January 1, 2003, the actual value at which agricultural 21 17 property is assessed shall be reduced by twenty-five thousand 21 18 dollars per tract of agricultural land. For purposes of this 21 19 subsection, "tract of agricultural land" means an area of 21 20 agricultural land which is comprised of all the contiguous 21 21 tracts under identical legal ownership that are located within 21 22 the same county. Before assigning assessed value per tract of 21 23 agricultural land, the assessor shall establish a per acre 21 24 assessment for the agricultural property. 21 25 Sec. 41. Section 441.21, subsections 9 and 10, Code 21 26 Supplement 2001, are amended to read as follows: 21 27 9. Not later than November 1,19792003, and November 1 of 21 28 each subsequent year, the director shall certify to the county 21 29 auditor of each county the percentages of actual value at 21 30 whichresidential property, agricultural property, commercial21 31property, industrial property, andproperty valued by the 21 32 department of revenue and finance pursuant to sections 428.24 21 33 through 428.29, and chapters428,433, 434, 436, 437, and 438 21 34 in each assessing jurisdiction in the county shall be assessed 21 35 for taxation. The county auditor shall proceed to determine 22 1 the assessed values ofagricultural property, residential22 2property, commercial property, industrial property, and22 3 property valued by the department of revenue and finance 22 4 pursuant to sections 428.24 through 428.29, and chapters428,22 5 433, 434, 436, 437, and 438 by applying such percentages to 22 6 the current actual value of such property, as reported to the 22 7 county auditor by the assessor, and the assessed values so 22 8 determined shall be the taxable values of such properties upon 22 9 which the levy shall be made. 22 10 10. The percentage of actual value computed by the 22 11 director for agricultural property, residential property, 22 12 commercial property, industrial property and property valued 22 13 by the department of revenue and finance pursuant to sections 22 14 428.24 through 428.29, and chapters428,433, 434, 436, 437, 22 15 and 438 and used to determine assessed values of those classes 22 16 of property does not constitute a rule as defined in section 22 17 17A.2, subsection 11. 22 18 Sec. 42. Section 441.22, Code 2001, is amended to read as 22 19 follows: 22 20 441.22 FOREST AND FRUIT-TREE RESERVATIONS. 22 21 Forest and fruit-tree reservations fulfilling the 22 22 conditions of sections 427C.1 to 427C.13 shall be exempt from 22 23 taxation, except as otherwise provided in section 427C.12. In 22 24 all other cases where trees are planted upon any tract of 22 25 land, without regard to area, for forest, fruit, shade, or 22 26 ornamental purposes, or for windbreaks, the assessor shall not 22 27 increase the valuation of the property because of such 22 28 improvements. 22 29 Sec. 43. Section 441.73, subsection 4, Code 2001, is 22 30 amended to read as follows: 22 31 4. The executive council shall transfer for the fiscal 22 32 year beginning July 1, 1992, and each fiscal year thereafter, 22 33 fromfundsthe fund established insectionssection 405A.8, 22 34425.1, and 426.1,an amount necessary to pay litigation 22 35 expenses. The amount of the fund for each fiscal year shall 23 1 not exceed seven hundred thousand dollars.The executive23 2council shall determine annually the proportionate amounts to23 3be transferred from the three separate funds.At any time 23 4 when no litigation is pending or in progress the balance in 23 5 the litigation expense fund shall not exceed one hundred 23 6 thousand dollars. Any excess moneys shall be transferredin a23 7proportionate amountback to thefundsfund from whichthey23 8wereit was originally transferred. 23 9 Sec. 44. Section 443.2, unnumbered paragraph 2, Code 2001, 23 10 is amended to read as follows: 23 11 The county auditor shall list the aggregate actual value 23 12 and the aggregate taxable value of all taxable property within 23 13 the county and each political subdivision including property 23 14 subject to the statewide property tax imposed under section 23 15 437A.18 on the tax list in order that the actual value of the 23 16 taxable property within the county or a political subdivision 23 17 may be ascertained and shown by the tax list for the purpose 23 18 of computing the debt-incurring capacity of the county or 23 19 political subdivision. As used in this section, "actual 23 20 value" is the value determined under section 441.21, 23 21 subsections 1 to 3, prior to the reductionto a percentage of23 22 in actual value as otherwise provided in section 441.21. 23 23 "Actual value" of property subject to statewide property tax 23 24 is the assessed value under section 437A.18. 23 25 Sec. 45. NEW SECTION. 444.25 PROPERTY TAX LIMITATION. 23 26 1. a. For property taxes due and payable in the fiscal 23 27 year beginning July 1, 2004, and all subsequent fiscal years, 23 28 property taxes levied by a county against residential property 23 29 shall not exceed an amount equal to one and one-half percent 23 30 of the actual value of the property as determined by the 23 31 assessor before the reduction in section 441.21, subsection 4, 23 32 is applied. 23 33 b. For property taxes due and payable in the fiscal year 23 34 beginning July 1, 2004, and all subsequent fiscal years, 23 35 property taxes levied by a city against residential property 24 1 shall not exceed an amount equal to one and one-half percent 24 2 of the actual value of the property as determined by the 24 3 assessor before the reduction in section 441.21, subsection 4, 24 4 is applied. 24 5 2. a. (1) For property taxes due and payable in the 24 6 fiscal year beginning July 1, 2004, property taxes levied by a 24 7 county against commercial property or industrial property 24 8 shall not exceed an amount equal to four percent of the actual 24 9 value of the property as determined by the assessor before the 24 10 reduction in section 441.21, subsection 5A, is applied. 24 11 (2) For property taxes due and payable in the fiscal year 24 12 beginning July 1, 2005, property taxes levied by a county 24 13 against commercial property or industrial property shall not 24 14 exceed an amount equal to three and three-fourths percent of 24 15 the actual value of the property as determined by the assessor 24 16 before the reduction in section 441.21, subsection 5A, is 24 17 applied. 24 18 (3) For property taxes due and payable in the fiscal year 24 19 beginning July 1, 2006, property taxes levied by a county 24 20 against commercial property or industrial property shall not 24 21 exceed an amount equal to three and one-half percent of the 24 22 actual value of the property as determined by the assessor 24 23 before the reduction in section 441.21, subsection 5A, is 24 24 applied. 24 25 (4) For property taxes due and payable in the fiscal year 24 26 beginning July 1, 2007, property taxes levied by a county 24 27 against commercial property or industrial property shall not 24 28 exceed an amount equal to three and one-fourth percent of the 24 29 actual value of the property as determined by the assessor 24 30 before the reduction in section 441.21, subsection 5A, is 24 31 applied. 24 32 (5) For property taxes due and payable in the fiscal year 24 33 beginning July 1, 2008, and all subsequent fiscal years, 24 34 property taxes levied by a county against commercial property 24 35 or industrial property shall not exceed an amount equal to 25 1 three percent of the actual value of the property as 25 2 determined by the assessor before the reduction in section 25 3 441.21, subsection 5A, is applied. 25 4 b. (1) For property taxes due and payable in the fiscal 25 5 year beginning July 1, 2004, property taxes levied by a city 25 6 against commercial property or industrial property shall not 25 7 exceed an amount equal to four percent of the actual value of 25 8 the property as determined by the assessor before the 25 9 reduction in section 441.21, subsection 5A, is applied. 25 10 (2) For property taxes due and payable in the fiscal year 25 11 beginning July 1, 2005, property taxes levied by a city 25 12 against commercial property or industrial property shall not 25 13 exceed an amount equal to three and three-fourths percent of 25 14 the actual value of the property as determined by the assessor 25 15 before the reduction in section 441.21, subsection 5A, is 25 16 applied. 25 17 (3) For property taxes due and payable in the fiscal year 25 18 beginning July 1, 2006, property taxes levied by a city 25 19 against commercial property or industrial property shall not 25 20 exceed an amount equal to three and one-half percent of the 25 21 actual value of the property as determined by the assessor 25 22 before the reduction in section 441.21, subsection 5A, is 25 23 applied. 25 24 (4) For property taxes due and payable in the fiscal year 25 25 beginning July 1, 2007, property taxes levied by a city 25 26 against commercial property or industrial property shall not 25 27 exceed an amount equal to three and one-fourth percent of the 25 28 actual value of the property as determined by the assessor 25 29 before the reduction in section 441.21, subsection 5A, is 25 30 applied. 25 31 (5) For property taxes due and payable in the fiscal year 25 32 beginning July 1, 2008, and all subsequent fiscal years, 25 33 property taxes levied by a city against commercial property or 25 34 industrial property shall not exceed an amount equal to three 25 35 percent of the actual value of the property as determined by 26 1 the assessor before the reduction in section 441.21, 26 2 subsection 5A, is applied. 26 3 3. a. For property taxes due and payable in the fiscal 26 4 year beginning July 1, 2004, and all subsequent fiscal years, 26 5 property taxes levied by a county against agricultural 26 6 property shall not exceed an amount equal to one and one-half 26 7 percent of the actual value of the property as determined by 26 8 the assessor before the reduction in section 441.21, 26 9 subsection 5B, is applied. 26 10 b. For property taxes due and payable in the fiscal year 26 11 beginning July 1, 2004, and all subsequent fiscal years, 26 12 property taxes levied by a city against agricultural property 26 13 shall not exceed an amount equal to one and one-half percent 26 14 of the actual value of the property as determined by the 26 15 assessor before the reduction in section 441.21, subsection 26 16 5B, is applied. 26 17 Sec. 46. Section 444.25A, Code 2001, is amended by 26 18 striking the section and inserting in lieu thereof the 26 19 following: 26 20 444.25A PROPERTY TAX LIMITATION – CONSUMER PRICE INDEX. 26 21 1. Notwithstanding the limitations in section 444.25, the 26 22 percentage increase in the amount of property taxes to be 26 23 levied against any class of property for the next fiscal year 26 24 cannot exceed the following percentage: the product of the 26 25 amount of property taxes paid as a percent of actual value in 26 26 the current fiscal year and the sum of one plus the consumer 26 27 price index. 26 28 2. This limitation does not apply to new construction, 26 29 reclassified property, and property for which a tax abatement 26 30 under chapter 404 has expired. 26 31 3. For purposes of this section, "consumer price index" 26 32 means the percentage rate of change in the consumer price 26 33 index as tabulated by the United States department of labor, 26 34 bureau of labor statistics, for the twelve-month period ending 26 35 June 30 of the previous fiscal year. 27 1 Sec. 47. Section 445.1, subsection 6, Code Supplement 27 2 2001, is amended to read as follows: 27 3 6. "Taxes" means an annual ad valorem tax, a special 27 4 assessment, a drainage tax, and a rate or charge, and taxes on27 5homes pursuant to chapter 435which are collectible by the 27 6 county treasurer. 27 7 Sec. 48. Section 445.39, Code 2001, is amended to read as 27 8 follows: 27 9 445.39 INTEREST ON DELINQUENT TAXES. 27 10 If the first installment of taxes is not paid by the 27 11 delinquent date specified in section 445.37, the installment 27 12 becomes due and draws interest of three-fourths of oneand27 13one-halfpercent per month until paid, from the delinquent 27 14 date following the levy. If the last half is not paid by the 27 15 delinquent date specified for it in section 445.37, the same 27 16 interest shall be charged from the date the last half became 27 17 delinquent. However, after April 1 in a fiscal year when late 27 18 delivery of the tax list referred to in chapter 443 results in 27 19 a delinquency date later than October 1 for the first 27 20 installment, interest on delinquent first installments shall 27 21 accrue as if delivery were made on the previous June 30. The 27 22 interest imposed under this section shall be computed to the 27 23 nearest whole dollar and the amount of interest shall not be 27 24 less than one dollar. In calculating interest each fraction 27 25 of a month shall be counted as an entire month. The interest 27 26 percentage on delinquent special assessments and rates or 27 27 charges is the same as that for the first installment of 27 28 delinquent ad valorem taxes. 27 29 Sec. 49. Section 447.1, unnumbered paragraph 1, Code 2001, 27 30 is amended to read as follows: 27 31 A parcel sold under this chapter and chapter 446 may be 27 32 redeemed at any time before the right of redemption expires, 27 33 by payment to the county treasurer, to be held by the 27 34 treasurer subject to the order of the purchaser, of the amount 27 35 for which the parcel was sold, including the fee for the 28 1 certificate of purchase, and interest oftwoone percent per 28 2 month, counting each fraction of a month as an entire month, 28 3 from the month of sale, and the total amount paid by the 28 4 purchaser or the purchaser's assignee for any subsequent year, 28 5 with interest at the same rate added on the amount of the 28 6 payment for each subsequent year from the month of payment, 28 7 counting each fraction of a month as an entire month. The 28 8 amount of interest must be at least one dollar and shall be 28 9 rounded to the nearest whole dollar. Interest shall accrue on 28 10 subsequent amounts from the month of payment by the 28 11 certificate holder. 28 12 Sec. 50. Section 499A.14, Code 2001, is amended to read as 28 13 follows: 28 14 499A.14 TAXATION. 28 15 The real estate shall be taxed in the name of the 28 16 cooperative, and each member of the cooperative shall pay that 28 17 member's proportionate share of the tax in accordance with the 28 18 proration formula set forth in the bylaws, and eachmember28 19occupying an apartment as a residence shall receive that28 20member's proportionate homestead tax credit and eachveteran 28 21 of the military services of the United States identified as 28 22 such under the laws of the state of Iowa or the United States 28 23 shall receive as a credit that member's veterans tax benefit 28 24 as prescribed by the laws of the state of Iowa. 28 25 Sec. 51. Chapters 425A and 426, Code 2001 and Code 28 26 Supplement 2001, are repealed. Sections 435.33, 444.25B, 28 27 444.26, and 444.27, Code 2001, are repealed. Section 435.34, 28 28 Code Supplement 2001, is repealed. Sections 425.1 through 28 29 425.15, Code 2001 and Code Supplement 2001, are repealed. 28 30 Sec. 52. EFFECTIVE AND APPLICABILITY DATES. 28 31 1. This Act takes effect January 1, 2003, and, except as 28 32 provided in subsections 2 and 3, applies to assessment years 28 33 beginning on or after that date. 28 34 2. The sections of this Act amending section 403.19 apply 28 35 to taxes due and payable in the fiscal years beginning on or 29 1 after July 1, 2003. 29 2 3. The sections of this Act repealing chapters 425A and 29 3 426 and sections 425.1 through 425.15, apply to taxes due and 29 4 payable in fiscal years beginning on or after July 1, 2004. 29 5 EXPLANATION 29 6 This bill makes several changes relating to property 29 7 taxation. 29 8 The bill provides that if a new state mandate is imposed on 29 9 or after July 1, 2003, which requires the performance of a new 29 10 activity or service or the expansion of a service beyond what 29 11 was required before July 1, 2003, the state mandate must be 29 12 fully funded. If the state mandate is not fully funded, the 29 13 affected political subdivisions are not required to comply or 29 14 implement the state mandate. Also, no fines or penalties may 29 15 be imposed on a political subdivision for failure to comply or 29 16 carry out an unfunded state mandate. 29 17 The bill strikes Code section 25B.2, subsection 3, and 29 18 rewrites it as a new section outside the intent section of 29 19 Code chapter 25B. The rewritten section removes a qualifying 29 20 phrase which limits the circumstances under which a political 29 21 subdivision may still be required to carry out an unfunded 29 22 state mandate. The rewritten section also strikes the 29 23 exception for federal mandates and for mandates relating to 29 24 public retirement systems. 29 25 The bill limits the ending general fund and rural services 29 26 fund balances of a county to 25 percent of actual expenditures 29 27 from each fund in the previous fiscal year. The limitation 29 28 applies to fiscal years beginning on or after July 1, 2007. 29 29 The bill provides that the revenues from school district 29 30 property taxes imposed in an urban renewal area that is 29 31 utilizing tax increment financing shall not be paid to the 29 32 municipality implementing the urban renewal plan, but shall be 29 33 paid to the school district imposing the taxes unless the 29 34 school district revenue is needed to pay indebtedness for the 29 35 urban renewal area incurred before July 1, 2003. The 30 1 municipality must have certified for the school revenue by 30 2 July 1, 2003. The amount certified is to be paid to the 30 3 municipality by November 1 and May 1 following certification. 30 4 The bill provides that any land in a forest reservation is 30 5 exempt from school district levies only. The bill requires 30 6 the owner of land in a forest or fruit-tree reservation to 30 7 annually certify that proper management techniques, such as 30 8 pruning and planting, are being followed. 30 9 The bill limits the pollution-control property tax 30 10 exemption to $25,000 of value and a taxpayer may only apply 30 11 for one exemption per county. 30 12 The bill removes the square footage tax on mobile homes and 30 13 manufactured homes and replaces it with the ad valorem tax 30 14 imposed on other residences. 30 15 The bill removes the property tax assessment limitations on 30 16 residential, commercial, industrial, and agricultural property 30 17 and requires that all such property be valued at its fair 30 18 market value. The bill provides a reduction from actual value 30 19 of $25,000 per tract of agricultural property. "Tract of 30 20 agricultural property" is defined in the bill. The bill also 30 21 provides a reduction from actual value of $10,000 for 30 22 residential property and $25,000 for commercial and industrial 30 23 property. 30 24 The bill makes conforming amendments to sections pertaining 30 25 to valuation of property in an urban renewal area and 30 26 valuation of property owned by telegraph and telephone 30 27 companies, express companies, and electric cooperatives. 30 28 The bill also provides that if the assessor is unable to 30 29 establish fair market value of newly constructed residential 30 30 property because of a lack of comparable sales, the assessor 30 31 shall use the replacement cost method to value the property. 30 32 The bill provides that, beginning with the fiscal year 30 33 beginning in 2004, a city or a county cannot levy property tax 30 34 in excess of 1.5 percent of the actual value of residential 30 35 and agricultural property and 4 percent of commercial or 31 1 industrial property. The 4 percent is lowered by one-fourth 31 2 of 1 percent for successive years until it reaches 3 percent. 31 3 The bill also provides that an individual taxpayer's property 31 4 tax bill cannot increase by more than the consumer price index 31 5 for the preceding 12 months. 31 6 The bill lowers the amount of interest that can be charged 31 7 against delinquent property taxes. The interest rate is 31 8 changed from one and one-half percent to three-fourths of 1 31 9 percent before tax sale. The interest rate is changed from 2 31 10 percent to 1 percent after the delinquent taxes are sold at 31 11 tax sale. 31 12 The bill repeals the homestead property tax credit, the 31 13 family farm property tax credit, and the agricultural land 31 14 property tax credit. The bill makes conforming amendments 31 15 pertaining to these repeals. 31 16 The bill takes effect January 1, 2003, and applies to 31 17 assessment years beginning on or after January 1, 2003. 31 18 The section of the bill amending Code section 403.19 on tax 31 19 increment financing applies to taxes due and payable in fiscal 31 20 years beginning on or after July 1, 2003. The sections of the 31 21 bill repealing the homestead tax credit, the family farm tax 31 22 credit, and the agricultural land tax credit apply to taxes 31 23 due and payable in fiscal years beginning on or after July 1, 31 24 2004. 31 25 LSB 5408XS 79 31 26 sc/cf/24.3
Text: SF02122 Text: SF02124 Text: SF02100 - SF02199 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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