House Study Bill 205



                                       HOUSE FILE       
                                       BY  (PROPOSED COMMITTEE ON
                                            WAYS AND MEANS BILL BY
                                            CHAIRPERSON VAN FOSSEN)


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

                                      A BILL FOR

  1 An Act providing for the property taxation of the facilities of
  2    city=operated cable communications systems and including
  3    effective and applicability date provisions.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 1815HC 81
  6 mg/pj/5

PAG LIN



  1  1    Section 1.  Section 427.1, subsection 2, Code 2005, is
  1  2 amended to read as follows:
  1  3    2.  MUNICIPAL AND MILITARY PROPERTY.  The property of a
  1  4 county, township, city, school corporation, levee district,
  1  5 drainage district, or the Iowa national guard, when devoted to
  1  6 public use and not held for pecuniary profit, except property
  1  7 any of the following:
  1  8    a.  Property of a municipally owned electric utility held
  1  9 under joint ownership and property of an electric power
  1 10 facility financed under chapter 28F or 476A that shall be
  1 11 subject to taxation under chapter 437A and facilities.
  1 12    b.  Facilities of a municipal utility that are used for the
  1 13 provision of local exchange services pursuant to chapter 476,
  1 14 but only to the extent such facilities are used to provide
  1 15 such services, which shall be subject to taxation under
  1 16 chapter 433, except that section 433.11 shall not apply.
  1 17    c.  Facilities operated by a city as a cable communications
  1 18 system pursuant to section 364.3, but only to the extent such
  1 19 facilities are used to provide cable communications services,
  1 20 which shall be subject to taxation as provided in chapter 441.
  1 21    PARAGRAPH DIVIDED.  The exemption for property owned by a
  1 22 city or county also applies to property which is operated by a
  1 23 city or county as a library, art gallery or museum,
  1 24 conservatory, botanical garden or display, observatory or
  1 25 science museum, or as a location for holding athletic
  1 26 contests, sports or entertainment events, expositions,
  1 27 meetings or conventions, or leased from the city or county for
  1 28 any such purposes, or leased from the city or county by the
  1 29 Iowa national guard or by a federal agency for the benefit of
  1 30 the Iowa national guard when devoted for public use and not
  1 31 for pecuniary profit.
  1 32    PARAGRAPH DIVIDED.  Food and beverages may be served at the
  1 33 events or locations without affecting the exemptions, provided
  1 34 the city has approved the serving of food and beverages on the
  1 35 property if the property is owned by the city or the county
  2  1 has approved the serving of food and beverages on the property
  2  2 if the property is owned by the county.
  2  3    Sec. 2.  EFFECTIVE AND APPLICABILITY DATES.  This Act,
  2  4 being deemed of immediate importance, takes effect upon
  2  5 enactment and applies retroactively to January 1, 2005, for
  2  6 assessment years beginning on or after that date.
  2  7                           EXPLANATION
  2  8    This bill provides that facilities of city=operated cable
  2  9 communications systems are one of the exceptions to the
  2 10 general property tax exemption for city=owned property.  Thus
  2 11 such cable systems are made subject to property tax under the
  2 12 bill.
  2 13    The bill takes effect upon enactment and applies
  2 14 retroactively to January 1, 2005, for assessment years
  2 15 beginning on or after that date.
  2 16 LSB 1815HC 81
  2 17 mg/pj/5