House File 2083

                                       HOUSE FILE       
                                       BY  WISE


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

                                      A BILL FOR

  1 An Act changing the budget certification deadline for cities and
  2    counties and providing an applicability date.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 6156HH 80
  5 sc/sh/8

PAG LIN

  1  1    Section 1.  Section 24.17, unnumbered paragraph 1, Code
  1  2 2003, is amended to read as follows:
  1  3    The local budgets of the various political subdivisions
  1  4 shall be certified by the chairperson of the certifying board
  1  5 or levying board, as the case may be, in duplicate to the
  1  6 county auditor not later than March 15 of each year on forms,
  1  7 and pursuant to instructions, prescribed by the department of
  1  8 management.  However, if the political subdivision is a school
  1  9 district, as defined in section 257.2, a city, or a county,
  1 10 its budget shall be certified not later than April 15 of each
  1 11 year.
  1 12    Sec. 2.  Section 24.27, Code 2003, is amended to read as
  1 13 follows:
  1 14    24.27  PROTEST TO BUDGET.
  1 15    Not later than March 25 or April 25 if the municipality is
  1 16 a school district, a number of persons in any municipality
  1 17 equal to one=fourth of one percent of those voting for the
  1 18 office of governor, at the last general election in the
  1 19 municipality, but the number shall not be less than ten, and
  1 20 the number need not be more than one hundred persons, who are
  1 21 affected by any proposed budget, expenditure, or tax levy, or
  1 22 by any item thereof, may appeal from any decision of the
  1 23 certifying board or the levying board by filing with the
  1 24 county auditor of the county in which the municipal
  1 25 corporation is located, a written protest setting forth their
  1 26 objections to the budget, expenditure, or tax levy, or to one
  1 27 or more items thereof, and the grounds for their objections.
  1 28 If a budget is certified after March 15 or April 15 in the
  1 29 case of a school district or a county, all appeal time limits
  1 30 shall be extended to correspond to allowances for a timely
  1 31 filing.  Upon the filing of a protest, the county auditor
  1 32 shall immediately prepare a true and complete copy of the
  1 33 written protest, together with the budget, proposed tax levy,
  1 34 or expenditure to which objections are made, and shall
  1 35 transmit them forthwith to the state board, and shall also
  2  1 send a copy of the protest to the certifying board or to the
  2  2 levying board, as the case may be.
  2  3    Sec. 3.  Section 24.32, Code 2003, is amended to read as
  2  4 follows:
  2  5    24.32  DECISION CERTIFIED.
  2  6    After a hearing upon the appeal, the state board shall
  2  7 certify its decision to the county auditor and to the parties
  2  8 to the appeal as provided by rule, and the decision shall be
  2  9 final.  The county auditor shall make up the records in
  2 10 accordance with the decision and the levying board shall make
  2 11 its levy in accordance with the decision. Upon receipt of the
  2 12 decision, the certifying board shall correct its records
  2 13 accordingly, if necessary.  Final disposition of all appeals
  2 14 shall be made by the state board on or before April 30 of each
  2 15 year or May 30 in the case of a city or a county.
  2 16    Sec. 4.  Section 24.48, unnumbered paragraphs 4 and 5, Code
  2 17 2003, are amended to read as follows:
  2 18    The city finance committee shall have officially notified
  2 19 any city of its approval, modification, or rejection of the
  2 20 city's appeal of the decision of the director of the
  2 21 department of management regarding a city's request for a
  2 22 suspension of the statutory property tax levy limitation prior
  2 23 to thirty=five days before March April 15.
  2 24    The state appeals board shall have officially notified any
  2 25 county of its approval, modification, or rejection of the
  2 26 county's request for a suspension of the statutory property
  2 27 tax levy limitation prior to thirty=five days before March
  2 28 April 15.
  2 29    Sec. 5.  Section 76.2, unnumbered paragraph 2, Code 2003,
  2 30 is amended to read as follows:
  2 31    If the resolution is filed prior to April 1 or May 1, if
  2 32 the political subdivision is a school district, a city, or a
  2 33 county, the annual levy shall begin with the tax levy for
  2 34 collection commencing July 1 of that year.  If the resolution
  2 35 is filed after April 1 or May 1, in the case of a school
  3  1 district, a city, or a county, the annual levy shall begin
  3  2 with the tax levy for collection in the next succeeding fiscal
  3  3 year.  However, the governing authority of a political
  3  4 subdivision may adjust a levy of taxes made under this section
  3  5 for the purpose of adjusting the annual levies and collections
  3  6 for property severed from the political subdivision, subject
  3  7 to the approval of the director of the department of
  3  8 management.
  3  9    Sec. 6.  Section 331.422, unnumbered paragraph 1, Code
  3 10 2003, is amended to read as follows:
  3 11    Subject to this section and sections 331.423 through
  3 12 331.426 or as otherwise provided by state law, the board of
  3 13 each county shall certify property taxes annually at its March
  3 14 April session to be levied for county purposes as follows:
  3 15    Sec. 7.  Section 331.434, subsection 7, Code 2003, is
  3 16 amended to read as follows:
  3 17    7.  Taxes levied by a county whose budget is certified
  3 18 after March April 15 shall be limited to the prior year's
  3 19 budget amount.  However, this penalty may be waived by the
  3 20 director of the department of management if the county
  3 21 demonstrates that the March April 15 deadline was missed
  3 22 because of circumstances beyond the control of the county.
  3 23    Sec. 8.  Section 331.436, Code Supplement 2003, is amended
  3 24 to read as follows:
  3 25    331.436  PROTEST.
  3 26    Protests to the adopted budget must be made in accordance
  3 27 with sections 24.27 through 24.32 as if the county were the
  3 28 municipality under those sections except that the protest must
  3 29 be filed no later than April 25 and the number of people
  3 30 necessary to file a protest under this section shall not be
  3 31 less than one hundred.
  3 32    Sec. 9.  Section 384.2, unnumbered paragraph 1, Code 2003,
  3 33 is amended to read as follows:
  3 34    Except as otherwise provided for special charter cities, a
  3 35 city's fiscal year shall be as provided in section 24.2,
  4  1 subsection 3.  All city property taxes must be certified by a
  4  2 city to the county auditor on or before the fifteenth day of
  4  3 March April 15 of each year, unless otherwise provided by
  4  4 state law.  However, municipal utilities, if not supported by
  4  5 taxation or the proceeds of outstanding indebtedness payable
  4  6 from taxes may, with the council's consent, choose to operate
  4  7 on a fiscal year which is the calendar year.  The receipt by
  4  8 the utility of payments from other governmental funds for
  4  9 public fire protection, street lighting, or other public use
  4 10 of the utility's services shall not be deemed support by
  4 11 taxation.  After notice and hearing in the same manner as
  4 12 required for the city's regular budget under section 384.16,
  4 13 the utility budget must be approved by resolution of the
  4 14 council not later than twenty days prior to the beginning of
  4 15 the calendar year for which the budget applies.
  4 16    Sec. 10.  Section 384.16, subsection 6, Code 2003, is
  4 17 amended to read as follows:
  4 18    6.  Taxes levied by a city whose budget is certified after
  4 19 March April 15 shall be limited to the prior year's budget
  4 20 amount.  However, this penalty may be waived by the director
  4 21 of the department of management if the city demonstrates that
  4 22 the March April 15 deadline was missed because of
  4 23 circumstances beyond the control of the city.
  4 24    Sec. 11.  APPLICABILITY DATE.  This Act applies to city and
  4 25 county budgets certified for fiscal years beginning on or
  4 26 after July 1, 2005.
  4 27                           EXPLANATION
  4 28    This bill moves the budget certification deadline for
  4 29 cities and counties from March 15 to April 15.
  4 30    The bill applies to budgets certified for fiscal years
  4 31 beginning on or after July 1, 2005.
  4 32 LSB 6156HH 80
  4 33 sc/sh/8