701—108.7 (422E) Local option school infrastructure sales and service tax payments to school districts. The director of revenue within 15 days of the beginning of each fiscal year shall send to each school district where the local option school infrastructure sales and service tax is imposed an estimate of the tax moneys each school district will receive for the year and for each month of the year. For periods after July 1, 2002, the director of revenue shall by August 15 of each fiscal year send to each school district where the local option school infrastructure sales and service tax is imposed an estimate of the tax moneys each school district will receive for the year and for each month of the year. At the end of each month, the director may revise the estimates for the year and remaining months. The director shall remit 95 percent of the estimated monthly tax receipts for the school district to the school district on or before August 31 of the fiscal year and the last day of each month thereafter. The director shall remit a final payment of the remainder of tax money due for the fiscal year before November 10 of the next fiscal year. If an overpayment has resulted during the previous fiscal year, the first payment of the new fiscal year shall be adjusted to reflect any overpayment. An adjustment for an overpayment that has resulted during the previous fiscal year will be reflected beginning with the November payment.
If more than one school district or a portion of a school district is located within the county, tax receipts shall be remitted to each school district or portion of a school district in which the county tax is imposed in a pro-rata share based upon the ratio which the percentage of actual enrollment for the school district that attends school in the county bears to the percentage of the total combined actual enrollments for all school districts that attend school in the county. A student’s enrollment is based on the residency of the student. The formula to compute this ratio is the following:

actual enrollment for the school district at issue	
combined actual enrollment for the county	
The combined actual enrollment for the county, for purposes of this tax, shall be determined for each county imposing the tax under this rule by the Iowa department of management based on the actual enrollment figures reported by October 1 of each year to the department of management by the department of education pursuant to Iowa Code section 257.6(1). Enrollment figures to be used for the purpose of this formula are the enrollment figures reported by the department of education for the fiscal year preceding the date of implementation of the local option school infrastructure sales and service tax.
Example:  In November of 1999, Polk County holds a valid election that results in a favorable vote to impose the local option school infrastructure sales and service tax. The tax will be implemented in Polk County on July 1, 2000. The fiscal year preceding the implementation of the tax is July 1, 1999, through June 30, 2000. To determine the proper ratio of funds to be distributed to the multiple school districts located in Polk County, the enrollment figures reported by the department of education to the department of management by October of 1999 must be obtained to compute the formula as set forth.
For additional information regarding the formula for tax revenues to be distributed to the school districts, see the department of education’s rules regarding this tax under 281—Chapter 96, Iowa Administrative Code.
This rule is intended to implement Iowa Code section 422E.3 as amended by 2002 Iowa Acts, House File 2622, section 13.