House File 124

                                       HOUSE FILE       
                                       BY  ALONS


    Passed House,  Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act providing for an inflation factor adjustment to be added
  2    to authorized community college levies, and providing an
  3    applicability date provision.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 1369YH 80
  6 rn/cl/14

PAG LIN

  1  1    Section 1.  NEW SECTION.  260C.30  LEVIES == ANNUAL
  1  2 INFLATION FACTOR.
  1  3    1.  The maximum levy limits specified in sections 260C.17,
  1  4 260C.22, and 260C.28 shall be subject to an annual inflation
  1  5 factor adjustment.  The amount of the adjustment shall be
  1  6 calculated as provided in subsection 2 of this section.
  1  7    2.  a.  Notwithstanding section 260C.17, unnumbered
  1  8 paragraph 2, or any other provision of law to the contrary,
  1  9 for the fiscal year beginning in the 2004 calendar year and
  1 10 for each subsequent fiscal year, the maximum levy limits
  1 11 specified in sections 260C.17, 260C.22, and 260C.28 shall be
  1 12 multiplied by the cumulative adjustment factor for that fiscal
  1 13 year.  "Cumulative adjustment factor" means the product of the
  1 14 annual adjustment factor for the 2003 calendar year and all
  1 15 annual adjustment factors for subsequent calendar years.  The
  1 16 cumulative adjustment factor applies to the fiscal year
  1 17 beginning in the calendar year for which the latest annual
  1 18 adjustment factor has been determined.
  1 19    b.  The annual adjustment factor for the 2003 calendar year
  1 20 is one hundred percent.  For each subsequent calendar year,
  1 21 the annual adjustment factor equals the annual inflation
  1 22 factor for the calendar year as computed in section 422.4 for
  1 23 purposes of the individual income tax.
  1 24    Sec. 2.  APPLICABILITY DATES.  The inflation factor
  1 25 adjustment provisions in this Act are applicable to the
  1 26 maximum levy limits applicable to levies which have been
  1 27 authorized on or before the effective date of this Act,
  1 28 including the voter=approved levies pursuant to sections
  1 29 260C.22 and 260C.28, and to amounts which shall be certified
  1 30 for levy on or after the effective date of this Act.
  1 31                           EXPLANATION
  1 32    This bill provides for the addition of an annual inflation
  1 33 factor applicable to the maximum community college levy limits
  1 34 specified in Code sections 260C.17, 260C.22, and 260C.28.  The
  1 35 bill provides that the annual inflation factor shall be
  2  1 determined by a formula that multiplies the maximum levy limit
  2  2 for the fiscal year beginning in the 2004 calendar year by a
  2  3 cumulative adjustment factor for that fiscal year.  The bill
  2  4 provides that the cumulative adjustment factor refers to the
  2  5 product of an annual adjustment factor for the 2003 calendar
  2  6 year and all annual adjustment factors for subsequent calendar
  2  7 years, and applies to the fiscal year beginning in the
  2  8 calendar year for which the latest annual adjustment factor
  2  9 has been determined.  The bill provides that the annual
  2 10 adjustment factor for the 2003 calendar year is 100 percent,
  2 11 and that for each subsequent calendar year, the annual
  2 12 adjustment factor equals the annual inflation factor for the
  2 13 calendar year as computed in Code section 422.4 for purposes
  2 14 of the individual income tax.  The bill provides that the
  2 15 annual inflation factor shall be applied notwithstanding any
  2 16 other Code provision to the contrary, and shall be applicable
  2 17 to previously authorized levies, including voter=approved
  2 18 levies, in existence on the effective date of the bill, as
  2 19 well as levies authorized on or after that date.
  2 20 LSB 1369YH 80
  2 21 rn/cl/14