House File 345 - Introduced
HOUSE FILE
BY STRUYK, FORRISTALL, DE BOEF,
HUSEMAN, PAULSEN, and
DEYOE
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to county and city budgets and budget publication
2 requirements for certain fiscal years.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 1543YH 83
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PAG LIN
1 1 Section 1. Section 331.434, subsection 1, Code 2009, is
1 2 amended to read as follows:
1 3 1. a. The budget shall show the amount required for each
1 4 class of proposed expenditures, a comparison of the amounts
1 5 proposed to be expended with the amounts expended for like
1 6 purposes for the two preceding years, the revenues from
1 7 sources other than property taxation, and the amount to be
1 8 raised by property taxation, in the detail and form prescribed
1 9 by the director of the department of management.
1 10 b. For each county that has established an urban renewal
1 11 area, the budget shall include estimated and actual tax
1 12 increment financing revenues and all estimated and actual
1 13 expenditures of the revenues, proceeds from debt and all
1 14 estimated and actual expenditures of the debt proceeds, and
1 15 identification of any entity receiving a direct payment of
1 16 taxes funded by tax increment financing revenues and shall
1 17 include the total amount of loans, advances, indebtedness, or
1 18 bonds outstanding at the close of the most recently ended
1 19 fiscal year, which qualify for payment from the special fund
1 20 created in section 403.19, including interest negotiated on
1 21 such loans, advances, indebtedness, or bonds. For purposes of
1 22 this subsection, "indebtedness" includes written agreements
1 23 whereby the county agrees to suspend, abate, exempt, rebate,
1 24 refund, or reimburse property taxes, provide a grant for
1 25 property taxes paid, or make a direct payment of taxes, with
1 26 moneys in the special fund. The amount of loans, advances,
1 27 indebtedness, or bonds shall be listed in the aggregate for
1 28 each county reporting. The county finance committee, in
1 29 consultation with the department of management and the
1 30 legislative services agency, shall determine reporting
1 31 criteria and shall prepare a form for reports filed with the
1 32 department pursuant to this section. The department shall
1 33 make the information available by electronic means.
1 34 c. If the equalization order issued by the department of
1 35 revenue to an assessing jurisdiction that is a county
2 1 provides, in the aggregate for all classes of property, a
2 2 percentage increase in assessed values for the assessing
2 3 jurisdiction, the auditor shall calculate the tax levy rate
2 4 that, when applied to the equalized valuation, would be
2 5 necessary to raise the amount of property tax dollars
2 6 certified in the previous year's budget and shall include that
2 7 information in the publication required under subsection 3.
2 8 Sec. 2. Section 384.16, subsection 1, Code 2009, is
2 9 amended to read as follows:
2 10 1. a. A budget must be prepared for at least the
2 11 following fiscal year. When required by rules of the
2 12 committee, a tentative budget must be prepared for one or two
2 13 ensuing years. A proposed budget must show estimates of the
2 14 following:
2 15 a. (1) Expenditures for each program.
2 16 b. (2) Income from sources other than property taxation.
2 17 c. (3) Amount to be raised by property taxation, and the
2 18 property tax rate expressed in dollars per one thousand
2 19 dollars assessed valuation.
2 20 b. A budget must show comparisons between the estimated
2 21 expenditures in each program in the following year, the latest
2 22 estimated expenditures in each program in the current year,
2 23 and the actual expenditures in each program from the annual
2 24 report as provided in section 384.22, or as corrected by a
2 25 subsequent audit report. Wherever practicable, as provided in
2 26 rules of the committee, a budget must show comparisons between
2 27 the levels of service provided by each program as estimated
2 28 for the following year, and actual levels of service provided
2 29 by each program during the two preceding years.
2 30 c. For each city that has established an urban renewal
2 31 area, the budget shall include estimated and actual tax
2 32 increment financing revenues and all estimated and actual
2 33 expenditures of the revenues, proceeds from debt and all
2 34 estimated and actual expenditures of the debt proceeds, and
2 35 identification of any entity receiving a direct payment of
3 1 taxes funded by tax increment financing revenues and shall
3 2 include the total amount of loans, advances, indebtedness, or
3 3 bonds outstanding at the close of the most recently ended
3 4 fiscal year, which qualify for payment from the special fund
3 5 created in section 403.19, including interest negotiated on
3 6 such loans, advances, indebtedness, or bonds. For purposes of
3 7 this subsection paragraph, "indebtedness" includes written
3 8 agreements whereby the city agrees to suspend, abate, exempt,
3 9 rebate, refund, or reimburse property taxes, provide a grant
3 10 for property taxes paid, or make a direct payment of taxes,
3 11 with moneys in the special fund. The amount of loans,
3 12 advances, indebtedness, or bonds shall be listed in the
3 13 aggregate for each city reporting.
3 14 d. (1) If the equalization order issued by the department
3 15 of revenue to an assessing jurisdiction that is a city
3 16 provides, in the aggregate for all classes of property, a
3 17 percentage increase in assessed values for the assessing
3 18 jurisdiction, the clerk shall calculate the tax levy rate
3 19 that, when applied to the equalized valuation, would be
3 20 necessary to raise the amount of property tax dollars
3 21 certified in the previous year's budget and shall include that
3 22 information in the publication required under subsection 3.
3 23 (2) If the equalization order issued by the department of
3 24 revenue to an assessing jurisdiction that is a county
3 25 provides, in the aggregate for all classes of property, a
3 26 percentage increase in assessed values for the assessing
3 27 jurisdiction, the clerk of each city located in that county
3 28 shall calculate the tax levy rate that, when applied to the
3 29 equalized valuation, would be necessary to raise the amount of
3 30 property tax dollars certified in the previous year's budget
3 31 and shall include that information in the publication required
3 32 under subsection 3.
3 33 e. The city finance committee, in consultation with the
3 34 department of management and the legislative services agency,
3 35 shall determine reporting criteria and shall prepare a form
4 1 for reports filed with the department pursuant to this
4 2 section. The department shall make the information available
4 3 by electronic means.
4 4 Sec. 3. APPLICABILITY DATE. This Act applies to budgets
4 5 certified for the fiscal year beginning July 1, 2012, and to
4 6 budgets certified for subsequent fiscal years beginning July 1
4 7 of the even=numbered year.
4 8 EXPLANATION
4 9 This bill provides, if an equalization order issued to an
4 10 assessing jurisdiction that is a county is, in the aggregate,
4 11 a percentage increase in assessed values, that the county
4 12 auditor, and the city clerk of each city in the county, shall
4 13 calculate the tax levy rate that, when applied to the
4 14 equalized valuation, would be necessary to raise the amount of
4 15 property tax dollars certified in the previous year's budget.
4 16 The bill requires the auditor and each clerk to include that
4 17 information in the published budget summary. The provisions
4 18 of the bill also apply to an assessing jurisdiction that is a
4 19 city.
4 20 The bill applies to budgets certified for the fiscal year
4 21 beginning July 1, 2012, and to budgets certified for
4 22 subsequent fiscal years beginning July 1 of the even=numbered
4 23 year.
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