Senate File 567 - Introduced



                                       SENATE FILE       
                                       BY  ANGELO


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

                                      A BILL FOR

  1 An Act making appropriations to reimburse local jurisdictions for
  2    certain property tax credits and including an effective date.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 2219XS 82
  5 mg/es/88

PAG LIN



  1  1    Section 1.  PROPERTY TAX CREDIT REIMBURSEMENT
  1  2 APPROPRIATIONS.  Notwithstanding the amount of the standing
  1  3 appropriation from the general fund of the state in the
  1  4 following designated sections, there is appropriated from the
  1  5 general fund of the state in lieu of the appropriation in the
  1  6 following designated sections for the fiscal year beginning
  1  7 July 1, 2007, and ending June 30, 2008, the following amounts
  1  8 for the following designated purposes:
  1  9    1.  For reimbursement for the homestead property tax credit
  1 10 under section 425.1:
  1 11 .................................................. $133,900,000
  1 12    2.  For reimbursement for the agricultural land tax credit
  1 13 under section 426.1:
  1 14 .................................................. $113,369,000
  1 15    3.  For reimbursement for the family farm tax credit under
  1 16 section 425A.1:
  1 17 .................................................. $ 55,000,000
  1 18    4.  For reimbursement for the military service tax credit
  1 19 under section 426A.1A:
  1 20 .................................................. $ 10,494,000
  1 21    Notwithstanding section 426A.2, the amount of military
  1 22 service tax credit for which the state shall reimburse local
  1 23 jurisdictions shall equal, to the extent of the appropriation
  1 24 made in this subsection, the amount of the property taxes
  1 25 which would be due on the properties eligible for the military
  1 26 service tax exemption.
  1 27    5.  For implementing the elderly and disabled tax credit
  1 28 and reimbursement pursuant to sections 425.16 through 425.39:
  1 29 .................................................. $ 20,900,000
  1 30    If the director of revenue determines that the amount of
  1 31 claims for credit for property taxes due plus the amount of
  1 32 claims for reimbursement for rent constituting property taxes
  1 33 paid which are to be paid during the fiscal year may exceed
  1 34 the amount appropriated, the director shall estimate the
  1 35 percentage of the credits and reimbursements which will be
  2  1 funded by the appropriation.  The county treasurer shall
  2  2 notify the director of the amount of property tax credits
  2  3 claimed by June 8, 2007.  The director shall estimate the
  2  4 percentage of the property tax credit and rent reimbursement
  2  5 claims that will be funded by the appropriation and notify the
  2  6 county treasurer of the percentage estimate by June 15, 2007.
  2  7 The estimated percentage shall be used in computing for each
  2  8 claim the amount of property tax credit and reimbursement for
  2  9 rent constituting property taxes paid for that fiscal year.
  2 10 If the director overestimates the percentage of funding,
  2 11 claims for reimbursement for rent constituting property taxes
  2 12 paid shall be paid until they can no longer be paid at the
  2 13 estimated percentage of funding.  Rent reimbursement claims
  2 14 filed after that point in time shall receive priority and
  2 15 shall be paid in the following fiscal year.  If the director
  2 16 underestimates the percentage of funding, the overage shall
  2 17 remain in the fund established in section 425.39 for payments
  2 18 to be made in the next fiscal year.
  2 19    Sec. 2.  EFFECTIVE DATE.  This Act, being deemed of
  2 20 immediate importance, takes effect upon enactment.
  2 21                           EXPLANATION
  2 22    This bill makes specific dollar amount appropriations in
  2 23 lieu of the standing appropriations in the Code for
  2 24 reimbursements to local jurisdictions for certain property tax
  2 25 credits.  The appropriations in the bill are for FY 2007=2008.
  2 26 The property tax credit reimbursements are those for the
  2 27 homestead tax credit, the agricultural land tax credit, family
  2 28 farm tax credit, military service tax credit, and the elderly
  2 29 and disabled tax credit and reimbursement.
  2 30    The bill takes effect upon enactment.
  2 31 LSB 2219XS 82
  2 32 mg:rj/es/88