House File 452 - Introduced HOUSE FILE BY FREVERT Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to the local option sales and services tax for 2 school infrastructure purposes and including an effective 3 date. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2433HH 81 6 mg/gg/14 PAG LIN 1 1 Section 1. Section 423E.4, subsection 3, paragraph a, Code 1 2 2005, is amended to read as follows: 1 3 a. The director of revenue by June 1 preceding each fiscal 1 4 year shall compute the guaranteed school infrastructure amount 1 5 for each school district, each school district's sales tax 1 6 capacity per student for each county, the statewide tax 1 7 revenues per student, and the supplemental school 1 8 infrastructure amount for the coming fiscal year. 1 9 Sec. 2. Section 423E.4, subsection 3, paragraph b, 1 10 subparagraph (3), Code 2005, is amended by striking the 1 11 subparagraph and inserting in lieu thereof the following: 1 12 (3) "Statewide tax revenues per student" means the amount 1 13 determined by estimating the total revenues that would be 1 14 generated by a one percent local option sales and services tax 1 15 for school infrastructure purposes if imposed by all the 1 16 counties during the entire fiscal year and dividing this 1 17 estimated revenue amount by the sum of the combined actual 1 18 enrollment for all counties as determined in section 423E.3, 1 19 subsection 5, paragraph "d", subparagraph (2). 1 20 Sec. 3. Section 423E.4, subsection 6, unnumbered paragraph 1 21 1, Code 2005, is amended to read as follows: 1 22 A school district with an actual enrollment of less than 1 23 two hundred fifty or with an actual enrollment of less than 1 24 one hundred in high school shall not expend the supplemental 1 25 school infrastructure amount received for new construction or 1 26 for payments for bonds issued for new construction against the 1 27 supplemental school infrastructure amount without prior 1 28 application to the department of education and receipt of a 1 29 certificate of need pursuant to this subsection. However, a 1 30 certificate of need is not required for the payment of 1 31 outstanding bonds issued for new construction pursuant to 1 32 section 296.1, before April 1, 2003. A certificate of need is 1 33 also not required for repairing schoolhouses or buildings, 1 34 equipment, technology, or transportation equipment for 1 35 transporting students as provided in section 298.3, or for 2 1 construction necessary for compliance with the federal 2 2 Americans With Disabilities Act pursuant to 42 U.S.C. } 2 3 12101==12117. In determining whether a certificate of need 2 4 shall be issued or denied, the department shall consider all 2 5 of the following: 2 6 Sec. 4. EFFECTIVE DATE. This Act, being deemed of 2 7 immediate importance, takes effect upon enactment. 2 8 EXPLANATION 2 9 This bill amends the Code chapter dealing with the local 2 10 sales and services tax for school infrastructure purposes by 2 11 requiring, in determining the definition of "statewide tax 2 12 revenues per student" for purposes of calculating a school 2 13 district's guaranteed amount, that instead of the present set 2 14 amount of $575, an estimated amount that would be generated by 2 15 a 1 cent statewide sales tax divided by the budget enrollment 2 16 would be used. 2 17 The bill also limits the applicability of the requirement 2 18 for a certificate of need before supplemental funding may be 2 19 used for new construction, to school districts with less than 2 20 250 actual enrollment or with less than 100 actual enrollment 2 21 in high school, as opposed to the present requirement which is 2 22 applicable to all school districts. 2 23 The bill takes effect upon enactment. 2 24 LSB 2433HH 81 2 25 mg:rj/gg/14.1