Senate File 587 S-3133 Amend Senate File 587 as follows: 1 1. Page 3, line 21, by striking < a and b > and inserting < a, 2 b, and c > 3 2. Page 4, by striking lines 4 and 5 and inserting: 4 < c. For fiscal years beginning on or after July 1, 2023, 5 the region’s cash flow amount , either reserved in the region’s 6 combined account or reserved among all separate county accounts 7 under the control of the governing board, shall not exceed 8 forty five percent of the gross actual expenditures from the 9 combined account or from all separate county accounts under 10 control of the governing board for the fiscal year preceding 11 the fiscal year in progress. > 12 3. Page 7, by striking lines 10 through 15 and inserting: 13 < Sec. ___. Section 331.432, subsection 3, Code 2021, is 14 amended to read as follows: 15 3. a. Except as authorized in section 331.477 , transfers 16 of moneys between the county services fund created pursuant 17 to section 331.424A and any other fund are prohibited. This 18 subsection paragraph does not apply to appropriations made or 19 the value of in-kind care and treatment provided pursuant to 20 section 347.7, subsection 1 , paragraph “c” , Code 2021, or to 21 transfers from a county public hospital fund under section 22 347.7 . This paragraph is repealed July 1, 2022. 23 b. Payments or transfers of moneys from any fund of the 24 county to a mental health and disability services region’s 25 combined account under section 331.391 are prohibited. This 26 paragraph applies to fiscal years beginning on or after July 27 1, 2022, but does not apply to transfers from a county public 28 hospital fund under section 347.7 for the fiscal year beginning 29 July 1, 2022, or the fiscal year beginning July 1, 2023. > 30 4. Page 10, by striking line 3 and inserting < actual 31 expenditures of the region for the fiscal year preceding the 32 fiscal year in progress, > 33 5. Page 10, by striking lines 8 and 9 and inserting < the 34 actual expenditures of the region for the fiscal year preceding 35 -1- SF587.1855 (2) 89 md/jh 1/ 17 #1. #2. #3. #4.
the fiscal year in progress, but the amount of the reduction 1 shall not exceed the > 2 6. Page 10, by striking line 23 and inserting < actual 3 expenditures of the region for the fiscal year preceding the 4 fiscal year in progress, > 5 7. Page 10, by striking lines 28 and 29 and inserting < the 6 actual expenditures of the region for the fiscal year preceding 7 the fiscal year in progress, but the amount of the reduction 8 shall not exceed the > 9 8. Page 11, by striking lines 6 through 11 and inserting 10 < services region for which the amount certified during the 11 fiscal year under section 331.391, subsection 4, paragraph “b” , 12 exceeds five percent of the actual expenditures of the region 13 for the fiscal year preceding the fiscal year in progress, 14 the remaining quarterly payments of the region’s regional 15 supplement payment shall be reduced by an amount equal to the 16 amount by which the region’s amount certified under section 17 331.391, subsection 4, paragraph “b” , exceeds five percent 18 of the actual expenditures of the region for the fiscal year 19 preceding the fiscal year in progress, but the amount of the 20 reduction > 21 9. Page 13, by striking lines 3 through 10 and inserting 22 < two mental health and disability services region governing 23 board members, two mental health and disability services region 24 fiscal officers or agents, a member of the mental health and 25 disability services commission who is not a governing board 26 member or chief operating officer of a mental health and 27 disability services region, a member of the county finance 28 committee created in chapter 333A who is not an elected 29 official, a representative of a provider of mental health or 30 developmental disabilities services selected from nominees 31 submitted by the Iowa association of community providers, a 32 representative of a provider of mental health developmental 33 disabilities services selected from nominees submitted by 34 the Iowa behavioral health association, one member of the 35 -2- SF587.1855 (2) 89 md/jh 2/ 17 #6. #7. #8.
children’s behavioral health system state board who is not a 1 governing board member or chief operating officer of a mental 2 health and disability services region, and two chief operating 3 officers of > 4 10. Page 13, line 18, by striking < county of origin > and 5 inserting < the region to which the member’s county belongs > 6 11. Page 13, line 34, by striking < Basic > and inserting 7 < In addition to application and assistance requirements under 8 subsections 6, 7, and 9, basic > 9 12. Page 14, by striking lines 5 through 7 and inserting: 10 < b. (1) In the fiscal year that commenced two years prior 11 to the > 12 13. Page 14, line 17, by striking < gross > 13 14. Page 14, line 22, by striking < gross > 14 15. Page 14, after line 25 by inserting: 15 < (c) For applications for assistance for fiscal years 16 beginning on or after July 1, 2023, five percent of the actual 17 expenditures of the mental health and disability services 18 region for the fiscal year that commenced two years prior to 19 the fiscal year of application for assistance. > 20 16. Page 15, line 17, by striking < mandated > and inserting 21 < core > 22 17. Page 15, line 20, by striking < consumers’ > and inserting 23 < an individual’s > 24 18. Page 15, lines 21 and 22, by striking < a mobile crisis 25 team or other critical emergency services > and inserting < core 26 crisis services > 27 19. Page 15, by striking lines 25 through 27. 28 20. Page 15, line 28, by striking < e. > and inserting < d. > 29 21. Page 15, line 29, by striking < consumers > and inserting 30 < an individual > 31 22. Page 15, line 31, by striking < consumers > and inserting 32 < individuals needing services and supports > 33 23. Page 16, line 22, after < commission, > by inserting < the 34 children’s behavioral health system state board, > 35 -3- SF587.1855 (2) 89 md/jh 3/ 17 #10. #11. #12. #13. #14. #15. #16. #17. #18. #19. #20. #21. #22.
24. Page 18, by striking lines 1 through 9 and inserting: 1 < Sec. ___. EFFECTIVE DATE. This division of this Act, being 2 deemed of immediate importance, takes effect upon enactment. > 3 25. Page 19, by striking lines 14 through 18 and inserting: 4 < b. For each fiscal year beginning on or after July 1, 2022, 5 but before July 1, 2027, each county treasurer shall be paid 6 by the department of revenue an amount equal to the sum of the 7 commercial and industrial property tax replacement claims for 8 all taxing authorities, or portion thereof, located in the 9 county, as calculated in subsection 4A. The county treasurer 10 shall pay to each taxing authority the taxing authority’s 11 commercial and industrial property tax replacement claim, or 12 portion thereof, as calculated in subsection 4A. > 13 26. Page 19, by striking lines 26 and 27 and inserting: 14 < b. On or before July 1, 2022, the department of management 15 shall calculate and report to the department of revenue > 16 27. Page 20, line 24, by striking < fourteen > and inserting 17 < twenty-four > 18 28. Page 21, by striking lines 27 and 28 and inserting: 19 < (3) The department of management shall calculate and 20 report to the department of revenue the amount received by > 21 29. Page 21, line 31, by striking < 2021 > and inserting 22 < 2021, and the portion of the amount attributable to each 23 county where the taxing authority is located, if applicable > 24 30. Page 22, line 21, by striking < 4A > and inserting < 4A, or 25 portion thereof, > 26 31. Page 22, line 22, by striking < taxing authority > 27 and inserting < appropriate county treasurer, as provided in 28 subsection 2, paragraph “b” , > 29 32. Page 22, line 24, by striking < The > and inserting < After 30 payment by the county treasurer to the taxing authority, the > 31 33. Page 25, by striking line 31 and inserting < 2023, and 32 ending June 30, 2024, shall be expended by the school > 33 34. Page 25, after line 33 by inserting: 34 < Sec. ___. Section 300.2, Code 2021, is amended by adding 35 -4- SF587.1855 (2) 89 md/jh 4/ 17 #24. #25. #26. #27. #28. #29. #30. #31. #32. #33. #34.
the following new subsection: 1 NEW SUBSECTION . 4. a. A levy under this chapter shall not 2 be approved by the voters on or after the effective date of 3 this division of this Act. 4 b. If the levy has not been discontinued under section 5 300.3, the authorization to impose the levy under this chapter 6 shall terminate July 1, 2024. 7 c. Notwithstanding subsection 2, including a proposition 8 approved at an election held before the effective date of this 9 division of this Act, the rate of a levy imposed by a board of 10 directors under this chapter for the fiscal year beginning July 11 1, 2023, shall not exceed one-half of the levy rate imposed by 12 the board of directors for the fiscal year beginning July 1, 13 2022. > 14 35. Page 26, line 20, by striking < This division > and 15 inserting < Except as otherwise provided in this division of 16 this Act, this division > 17 36. Page 26, line 21, by striking < 2022 > and inserting 18 < 2024 > 19 37. Page 26, after line 21 by inserting: 20 < Sec. ___. EFFECTIVE DATE. The following, being deemed of 21 immediate importance, takes effect upon enactment: 22 The section of this division of this Act enacting section 23 300.2, subsection 4. > 24 38. Page 26, line 22, by striking < This division > and 25 inserting < Except for the section of this division of this Act 26 enacting section 300.2, subsection 4, this division > 27 39. Page 26, line 23, by striking < 2022 > and inserting 28 < 2024 > 29 40. Page 26, line 30, by striking < 2 > and inserting < 1, 30 paragraph “b” > 31 41. By striking page 26, line 31, through page 27, line 2. 32 42. By striking page 29, line 34, through page 30, line 19, 33 and inserting: 34 < Sec. ___. Section 425.39, subsection 1, as amended by 2021 35 -5- SF587.1855 (2) 89 md/jh 5/ 17 #35. #36. #37. #38. #39. #40. #41. #42.
Iowa Acts, House File 368, section 33, is amended to read as 1 follows: 2 1. a. The elderly and disabled property tax credit fund is 3 created. There is appropriated annually from the general fund 4 of the state to the department of revenue to be credited to the 5 elderly and disabled property tax credit fund, from funds not 6 otherwise appropriated, an amount sufficient to implement this 7 subchapter for credits for property taxes due for claimants 8 described in section 425.17, subsection 2 , paragraph “a” , 9 subparagraph subparagraphs (1) and (3), subject to paragraph 10 “b” . 11 b. Regardless of the amount of the credit determined under 12 section 425.23, subsection 1, paragraph “c” , the amount paid by 13 the director of revenue to each county treasurer for credits 14 for claimants described under section 425.17, subsection 2, 15 paragraph “a” , subparagraph (3), shall not exceed the amount 16 calculated for the claimant under section 425.23, subsection 1, 17 paragraph “c” , subparagraph (1), and section 25B.7, subsection 18 1, shall not apply to the amount of the credit in excess of the 19 amount paid by the director of revenue. > 20 43. Page 37, after line 25 by inserting: 21 < DIVISION ___ 22 TRANSIT FUNDING 23 Sec. ___. Section 28M.3, subsection 1, Code 2021, is amended 24 to read as follows: 25 1. A regional transit district shall have all the rights, 26 powers, and duties of a county enterprise pursuant to sections 27 331.462 through 331.469 as they relate to the purpose for 28 which the regional transit district is created, including 29 the authority to issue revenue bonds for the establishment, 30 construction, reconstruction, repair, equipping, remodeling, 31 extension, maintenance, and operation of works, vehicles, and 32 facilities of a regional transit district. In addition, a 33 regional transit district, with the approval of the board of 34 supervisors, may issue general obligation bonds as an essential 35 -6- SF587.1855 (2) 89 md/jh 6/ 17 #43.
county purpose pursuant to chapter 331, subchapter IV, part 3 , 1 for the establishment, construction, reconstruction, repair, 2 equipping, remodeling, extension, maintenance, and operation of 3 works, vehicles, and facilities of a regional transit district. 4 Such general obligation bonds are payable from the property tax 5 levy authorized in section 28M.5 and from the transit hotel and 6 motel tax imposed under section 423A.4, subsection 1, paragraph 7 “b” , if applicable . 8 Sec. ___. Section 28M.4, subsection 3, Code 2021, is amended 9 to read as follows: 10 3. A commission shall adopt and certify an annual budget 11 for the regional transit district. A commission in its budget 12 shall allocate the revenue responsibilities of each county and 13 city participating in the regional transit district , subject 14 to reductions in the maximum authorized property tax levy 15 rate under section 28M.5, if applicable . A commission shall 16 be considered a municipality for purposes of adopting and 17 certifying a budget pursuant to chapter 24 . 18 Sec. ___. Section 28M.4, Code 2021, is amended by adding the 19 following new subsection: 20 NEW SUBSECTION . 4A. A commission may, following approval at 21 election, impose a transit hotel and motel tax under section 22 423A.4, subsection 1, paragraph “b” . 23 Sec. ___. Section 28M.4, subsections 5 and 6, Code 2021, are 24 amended to read as follows: 25 5. A commission shall levy for the tax under section 28M.5 26 and shall control any tax revenues paid to the regional transit 27 district the commission administers and , including all moneys 28 derived from the operation of the regional transit district, 29 a transit hotel and motel tax imposed under section 423A.4, 30 subsection 1, paragraph “b” , the sale of its the district’s 31 property, interest on investments, or from any other source 32 related to the regional transit district. 33 6. Tax revenues collected from a regional transit district 34 levy or a transit hotel and motel tax under section 423A.4, 35 -7- SF587.1855 (2) 89 md/jh 7/ 17
subsection 1, paragraph “b” , shall be held by the county 1 treasurer. Before the fifteenth day of each month, the county 2 treasurer shall send the amount collected for each fund through 3 the last day of the preceding month for direct deposit into 4 the depository and account designated by the commission. The 5 county treasurer shall send a notice to the secretary of the 6 commission or the secretary’s designee stating the amount 7 deposited, the date, the amount to be credited to each fund 8 according to the budget, and the source of the revenue. 9 Sec. ___. Section 28M.5, subsections 1 and 4, Code 2021, are 10 amended to read as follows: 11 1. a. The commission, with the approval of the board of 12 supervisors of participating counties and the city council of 13 participating cities in the chapter 28E agreement, may , subject 14 to the reductions required under paragraph “b” , levy annually a 15 tax not to exceed ninety-five cents per thousand dollars of the 16 assessed value of all taxable property in a regional transit 17 district to the extent provided in this section . The chapter 18 28E agreement may authorize the commission to levy the tax at 19 different rates within the participating cities and counties in 20 amounts sufficient to meet the revenue responsibilities of such 21 cities and counties as allocated in the budget adopted by the 22 commission. However, for a city participating in a regional 23 transit district, the total of all the tax levies imposed in 24 the city pursuant to section 384.12, subsection 10 , and this 25 section shall not exceed the aggregate of ninety-five cents per 26 thousand dollars of the assessed value of all taxable property 27 in the participating city or the levy rate determined under 28 paragraph “b” , whichever is less . 29 b. (1) If a regional transit district imposes a transit 30 hotel and motel tax under section 423A.4, subsection 1, 31 paragraph “b” , the maximum levy rate authorized under this 32 section shall be reduced as provided in this paragraph. For 33 each fiscal year beginning on or after July 1 following the 34 first calendar year for which the transit hotel and motel 35 -8- SF587.1855 (2) 89 md/jh 8/ 17
tax is imposed in the regional transit district, and until 1 subparagraph (4) applies, the levy rate imposed under this 2 section shall not exceed a rate equal to the rate that would 3 be required for the fiscal year beginning July 1 following the 4 election approving the transit hotel and motel tax to collect 5 an amount equal to the property taxes collected by the regional 6 transit district for the fiscal year beginning July 1 following 7 the election approving the transit hotel and motel tax minus 8 the amount of transit hotel and motel tax revenue received by 9 the regional transit district for the first calendar year for 10 which the transit hotel and motel tax is imposed. 11 (2) If the regional transit district authorizes the 12 commission to levy the tax at different rates within the 13 participating cities and counties, as authorized under 14 paragraph “a” , the levy rate reduction required under this 15 paragraph shall be applied by the department of management 16 to each participating city and county based upon the revenue 17 responsibilities of such cities and counties as provided in the 18 chapter 28E agreement on the date the transit hotel and motel 19 tax is approved at election. 20 (3) If a regional transit district increases the rate of the 21 transit hotel and motel tax, further reductions in the maximum 22 authorized levy rate under this section shall be implemented 23 in the same manner as provided under subparagraphs (1) and (2) 24 for the reductions following initial imposition of the transit 25 hotel and motel tax. 26 (4) If the regional transit district repeals the transit 27 hotel and motel tax, the maximum authorized levy rate shall be 28 ninety-five cents per thousand dollars of the assessed value 29 for fiscal years beginning after the date of termination under 30 section 423A.4, unless the transit hotel and motel tax is 31 reinstated. 32 4. The proceeds of the tax levy and other authorized 33 revenues of the regional transit district shall be used for 34 the operation and maintenance of a regional transit district, 35 -9- SF587.1855 (2) 89 md/jh 9/ 17
for payment of debt obligations of the district, and for the 1 creation of a reserve fund. The commission may divide the 2 territory of a regional transit district outside the boundaries 3 of a city into separate service areas and impose a regional 4 transit district levy not to exceed the maximum rate authorized 5 by this section in each service area. 6 Sec. ___. Section 303.52, subsection 4, paragraph a, Code 7 2021, is amended to read as follows: 8 a. The board of trustees may by ordinance impose a local 9 hotel and motel tax in accordance with chapter 423A . 10 Sec. ___. Section 331.402, subsection 2, paragraph f, Code 11 2021, is amended to read as follows: 12 f. Impose a local hotel and motel tax in accordance with 13 chapter 423A . 14 Sec. ___. Section 384.12, subsection 10, Code 2021, is 15 amended to read as follows: 16 10. a. A tax for the operation and maintenance of a 17 municipal transit system or for operation and maintenance of a 18 regional transit district, and for the creation of a reserve 19 fund for the system or district, in an amount not to exceed 20 ninety-five cents per thousand dollars of assessed value 21 each year or the levy rate determined under paragraph “b” , 22 if applicable , when the revenues from the transit system or 23 district are insufficient for such purposes. 24 b. (1) If the city participates in a regional transit 25 district under chapter 28M that imposes a transit hotel and 26 motel tax under section 423A.4, the maximum levy rate shall be 27 the levy rate determined under section 28M.5, subsection 1, 28 paragraph “b” . 29 (2) (a) If the city imposes a transit hotel and motel tax 30 under section 423A.4, the maximum levy rate shall be reduced as 31 provided in this subparagraph. For each fiscal year beginning 32 on or after July 1 following the first calendar year for which 33 the transit hotel and motel tax is imposed in the city, and 34 until subparagraph division (c) applies, the levy rate imposed 35 -10- SF587.1855 (2) 89 md/jh 10/ 17
under this subsection shall not exceed a rate equal to the rate 1 that would be required for the fiscal year beginning July 1 2 following the election approving the transit hotel and motel 3 tax to collect an amount equal to the property taxes collected 4 by the city under this subsection for the fiscal year beginning 5 July 1 following the election approving the transit hotel and 6 motel tax minus the amount of transit hotel and motel tax 7 revenue received by the city for the first calendar year for 8 which the transit hotel and motel tax is imposed. 9 (b) If a city increases the rate of the transit hotel and 10 motel tax, further reductions in the maximum authorized levy 11 rate under this subsection shall be implemented in the same 12 manner as provided under subparagraph division (a) for the 13 reduction following initial imposition of the transit hotel and 14 motel tax. 15 (c) If the city repeals the transit hotel and motel tax, 16 the maximum authorized levy rate shall be ninety-five cents 17 per thousand dollars of the assessed value for fiscal years 18 beginning after the date of termination under section 423A.4, 19 unless the transit hotel and motel tax is reinstated. 20 Sec. ___. Section 423A.4, Code 2021, is amended to read as 21 follows: 22 423A.4 Locally imposed Local hotel and motel tax —— transit 23 hotel and motel tax . 24 1. a. A city, a county, or a land use district created 25 under chapter 303, subchapter IV, may impose, by ordinance of 26 the city council or by resolution of the board of supervisors 27 or by ordinance of the board of trustees, a local hotel and 28 motel tax, at a rate not to exceed seven percent, which shall 29 be imposed in increments of one or more full percentage points 30 upon the sales price from the renting of lodging. The tax 31 when imposed by a city shall apply only within the corporate 32 boundaries of that city, when imposed by a county shall apply 33 only outside incorporated areas within that county, and when 34 imposed by a land use district shall apply only within the 35 -11- SF587.1855 (2) 89 md/jh 11/ 17
corporate boundaries of that district. A local hotel and motel 1 tax imposed by a city or county shall not be imposed within the 2 corporate boundaries of a land use district during any period 3 of time that the land use district is imposing a local hotel 4 and motel tax. 5 b. A regional transit district or a city that is not 6 participating in a regional transit district may impose, by 7 resolution of the regional transit district commission or by 8 ordinance of the city council, a transit hotel and motel tax, 9 at a rate not to exceed five percent, which shall be imposed 10 in increments of one or more full percentage points upon the 11 sales price from the renting of lodging. The tax when imposed 12 by a regional transit district shall apply only within the 13 boundaries of the regional transit district and may be imposed 14 in addition to any tax imposed under paragraph “a” . The tax 15 when imposed by a city shall apply only within the corporate 16 boundaries of that city and may be imposed in addition to any 17 tax imposed under paragraph “a” . 18 2. Within ten days of the election at which a majority of 19 those voting on the question favors the imposition, repeal, 20 or change in the rate of the local hotel and motel tax or the 21 transit hotel and motel tax , the county auditor shall give 22 written notice by sending a copy of the abstract of votes from 23 the favorable election to the director of revenue. 24 3. A local hotel and motel tax imposed by a city, county, 25 or land use district shall be imposed on January 1 or July 26 1, following the notification of the director of revenue. A 27 transit hotel and motel tax imposed by a regional transit 28 district or a city shall be imposed on January 1, following the 29 notification of the director of revenue. Once imposed, the tax 30 shall remain in effect at the rate imposed for a minimum of 31 one year. A local hotel and motel tax or a transit hotel and 32 motel tax shall terminate only on June 30 or December 31. At 33 least forty-five days prior to the tax being effective or prior 34 to a revision in the tax rate or prior to the repeal of the 35 -12- SF587.1855 (2) 89 md/jh 12/ 17
tax, a city, county, or land use district , or regional transit 1 district shall provide notice by mail of such action to the 2 director of revenue. The director shall have the authority to 3 waive the notice requirement. 4 4. a. A city, county, or land use district shall impose 5 or repeal a hotel and motel tax or increase or reduce the 6 tax rate only after an election at which a majority of those 7 voting on the question favors imposition, repeal, or change 8 in rate. A regional transit district or city shall impose or 9 repeal a transit hotel and motel tax or increase or reduce the 10 tax rate only after an election at which a majority of those 11 voting on the question favors imposition, repeal, or change in 12 rate. However, a local hotel and motel tax of a city or county 13 shall not be repealed or reduced in rate if obligations are 14 outstanding which are payable as provided in section 423A.7 , 15 unless funds sufficient to pay the principal, interest, and 16 premium, if any, on the outstanding obligations at and prior 17 to maturity have been properly set aside and pledged for that 18 purpose. 19 b. (1) If the local hotel and motel tax applies only within 20 the corporate boundaries of a city, only the registered voters 21 of the city shall be permitted to vote. The election shall be 22 held at the time of the regular city election or at a special 23 election called for that purpose. 24 (2) If the local hotel and motel tax applies only in the 25 unincorporated areas of a county or only within the corporate 26 boundaries of a land use district, only the registered voters 27 of the unincorporated areas of the county or the registered 28 voters of the land use district, as applicable, shall be 29 permitted to vote. The election shall be held at the time of 30 the general election or at a special election called for that 31 purpose. 32 (3) For a transit hotel and motel tax imposed by a regional 33 transit district, only the registered voters of the regional 34 transit district shall be permitted to vote. The election 35 -13- SF587.1855 (2) 89 md/jh 13/ 17
shall be held at the time of the general election or the 1 regular city election. 2 (4) For a transit hotel and motel tax imposed by a city, 3 only the registered voters of the city shall be permitted to 4 vote. The election shall be held at the time of the general 5 election or the regular city election. 6 5. The locally imposed local hotel and motel tax and the 7 transit hotel and motel tax shall be collected and remitted as 8 provided in section 423A.5A . 9 Sec. ___. Section 423A.5A, subsection 3, Code 2021, is 10 amended to read as follows: 11 3. Unless otherwise provided in this section , the 12 state-imposed tax under section 423A.3 and any locally , the 13 local hotel and motel tax imposed tax under section 423A.4 , and 14 the transit hotel and motel tax imposed under section 423A.4, 15 shall be collected by the lodging provider from the user of 16 that lodging and shall be remitted to the department. The 17 lodging provider shall add the state-imposed tax to the sales 18 price of the lodging and the tax, when collected, shall be 19 stated as a distinct item, separate and apart from the sales 20 price of the lodging and from the locally imposed tax taxes 21 imposed under section 423A.4 , if any. The lodging provider 22 shall add the locally imposed each tax imposed under section 23 423A.4 , if any, to the sales price of the lodging and the tax, 24 when collected, shall be stated as a distinct item, separate 25 and apart from the sales price of the lodging , and from the 26 state-imposed tax , and from the other taxes imposed under 27 section 423A.4 . 28 Sec. ___. Section 423A.6, subsections 1, 3, and 4, Code 29 2021, are amended to read as follows: 30 1. The director of revenue shall administer the state , 31 and local , and transit hotel and motel tax taxes as nearly as 32 possible in conjunction with the administration of the state 33 sales tax law, except that portion of the law which implements 34 the streamlined sales and use tax agreement. The director 35 -14- SF587.1855 (2) 89 md/jh 14/ 17
shall provide appropriate forms, or provide on the regular 1 state tax forms, for reporting state , and local , and transit 2 hotel and motel tax liability. All moneys received or refunded 3 one hundred eighty days after the date on which a city, county, 4 or land use district , or regional transit district, terminates 5 its local hotel and motel tax or transit hotel and motel tax 6 and all moneys received from the state hotel and motel tax 7 shall be deposited in or withdrawn from the general fund of the 8 state. 9 3. The director, in consultation with local officials, 10 shall collect and account for a local hotel and motel tax and a 11 transit hotel and motel tax and shall credit all revenues to 12 the local transient guest tax fund created in section 423A.7 . 13 Local authorities shall not require any tax permit not required 14 by the director of revenue. 15 4. Section 422.25, subsection 4 , sections 422.30 , 422.67 , 16 and 422.68 , section 422.69, subsection 1 , sections 422.70 , 17 422.71 , 422.72 , 422.74 , and 422.75 , section 423.14, subsection 18 1 , and sections 423.23 , 423.24 , 423.25 , 423.31 , 423.33 , 19 423.35 , 423.37 through 423.42 , and 423.47 , consistent with the 20 provisions of this chapter , apply with respect to the taxes 21 authorized under this chapter , in the same manner and with 22 the same effect as if the state , and local , and transit hotel 23 and motel taxes were retail sales taxes within the meaning of 24 those statutes. Notwithstanding this subsection , the director 25 shall provide for quarterly filing of returns and for other 26 than quarterly filing of returns both as prescribed in section 27 423.31 . The director may require all persons who are engaged 28 in the business of deriving any sales price subject to tax 29 under this chapter to register with the department. All taxes 30 collected under this chapter by a retailer, lodging provider, 31 lodging facilitator, lodging platform, or any other person are 32 deemed to be held in trust for the state of Iowa and the local 33 jurisdictions imposing the taxes. 34 Sec. ___. Section 423A.7, subsections 2 and 3, Code 2021, 35 -15- SF587.1855 (2) 89 md/jh 15/ 17
are amended to read as follows: 1 2. All moneys in the local transient guest tax fund shall 2 be remitted at least quarterly by the department, pursuant to 3 rules of the director of revenue, to each city in the amount 4 collected under section 423A.4, subsection 1, paragraph “a” , 5 from businesses in that city, to each county in the amount 6 collected under section 423A.4, subsection 1, paragraph “a” , 7 from businesses in the unincorporated areas of the county, and 8 to each land use district in the amount collected under section 9 423A.4, subsection 1, paragraph “a” , from businesses in that 10 land use district , to each regional transit district in the 11 amount collected under section 423A.4, subsection 1, paragraph 12 “b” , from businesses within the boundaries of the regional 13 transit district and to each city in the amount collected under 14 section 423A.4, subsection 1, paragraph “b” , from businesses 15 in that city . 16 3. Moneys received by the city from this fund collected 17 under section 423A.4, subsection 1, paragraph “a” , shall be 18 credited to the general fund of the city, subject to the 19 provisions of subsection 4 . 20 Sec. ___. Section 423A.7, Code 2021, is amended by adding 21 the following new subsection: 22 NEW SUBSECTION . 6. a. The revenue derived by a regional 23 transit district from the transit hotel and motel tax 24 authorized by section 423A.4 shall be expended exclusively for 25 the purposes of the regional transit district under chapter 28M 26 and shall result in a reduction in the maximum levy rate for 27 the regional transit district, as provided in section 28M.5, 28 subsection 1, paragraph “b” . However, the amount of revenue 29 derived by the regional transit district in the second calendar 30 year that transit hotel and motel tax is imposed that exceeds 31 the amount of revenue derived by the regional transit district 32 in the first calendar year that transit hotel and motel tax 33 is imposed shall be used for property tax relief for the levy 34 under section 28M.5 in addition to the reduction to the levy 35 -16- SF587.1855 (2) 89 md/jh 16/ 17
rate as the result of the revenue derived in the first calendar 1 year that the transit hotel and motel tax is imposed. 2 b. The revenue derived by a city from the transit hotel 3 and motel tax authorized by section 423A.4 shall be expended 4 exclusively for the operation and maintenance of a municipal 5 transit system and shall result in a reduction in the maximum 6 levy rate for the city under section 384.12, subsection 10. 7 However, the amount of revenue derived by the city in the 8 second calendar year that transit hotel and motel tax is 9 imposed that exceeds the amount of revenue derived by the 10 city in the first calendar year that transit hotel and motel 11 tax is imposed shall be used for property tax relief for the 12 levy under section 384.12, subsection 10, in addition to the 13 reduction to the levy rate as the result of the revenue derived 14 in the first calendar year that the transit hotel and motel tax 15 is imposed. > 16 44. By renumbering as necessary. 17 ______________________________ DAN DAWSON -17- SF587.1855 (2) 89 md/jh 17/ 17 #44.