House File 2058 - Introduced HOUSE FILE 2058 BY DRAKE A BILL FOR An Act establishing a property tax exemption for certain care 1 facilities. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5623YH (2) 84 md/sc

H.F. 2058 Section 1. Section 427.1, Code Supplement 2011, is amended 1 by adding the following new subsection: 2 NEW SUBSECTION . 38. Care facilities. 3 a. Property owned solely by a nonprofit organization and 4 operated on a nonprofit basis as a residential care facility or 5 nursing facility under chapter 135C, an elder group home under 6 chapter 231B, an assisted living program under chapter 231C, an 7 adult day services program under chapter 231D, or a retirement 8 facility under chapter 523D. The exemption shall apply to 9 all buildings, structures, and land which are used for such 10 purposes. The exemption shall apply to the assessment year 11 beginning after the application for the exemption is filed. 12 b. Applications for exemption shall be filed with the 13 assessing authority not later than February 1 of the first 14 year for which the exemption is requested, on forms provided 15 by the department of revenue. The application shall describe 16 and locate the specific property for which the exemption is 17 requested. 18 c. Once the exemption is granted, the exemption shall 19 continue to be granted for subsequent assessment years 20 without further filing of applications as long as the property 21 continues to meet the requirements of this subsection. The 22 taxpayer shall notify the assessing authority when the property 23 ceases to meet the requirements of this subsection. 24 Sec. 2. IMPLEMENTATION. Section 25B.7 shall not apply to 25 the provisions of this Act. 26 EXPLANATION 27 This bill establishes a property tax exemption for property 28 owned solely by a nonprofit organization and operated on a 29 nonprofit basis as a residential care facility or nursing 30 facility under Code chapter 135C, an elder group home under 31 Code chapter 231B, an assisted living program under Code 32 chapter 231C, an adult day services program under Code chapter 33 231D, or a retirement facility under Code chapter 523D. The 34 exemption applies to all buildings, structures, and land which 35 -1- LSB 5623YH (2) 84 md/sc 1/ 2

H.F. 2058 are used for such purposes. Once the exemption is granted, the 1 exemption continues to be granted for subsequent assessment 2 years without further filing of applications as long as the 3 property continues to meet the requirements of the exemption. 4 The taxpayer is required to notify the assessing authority when 5 the property ceases to meet the requirements for the exemption. 6 The bill provides that the provisions in Code section 25B.7, 7 relating to the obligation of the state to reimburse local 8 jurisdictions for property tax credits and exemptions, does not 9 apply to the exemption in the bill. 10 -2- LSB 5623YH (2) 84 md/sc 2/ 2