Senate Study Bill 1219 - Introduced SENATE FILE _____ BY (PROPOSED COMMITTEE ON APPROPRIATIONS BILL BY CHAIRPERSON DVORSKY) A BILL FOR An Act relating to the finances of state and local government 1 by providing for funding of property tax credits and 2 reimbursements, by making and adjusting appropriations, 3 providing for salaries and compensation of state employees, 4 providing for matters relating to tax credits, providing for 5 fees and penalties, providing for legal responsibilities, 6 and providing for properly related matters, and including 7 effective date and retroactive and other applicability 8 provisions. 9 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 10 TLSB 2824XC (22) 84 tm/jp
S.F. _____ DIVISION I 1 STANDING APPROPRIATIONS AND RELATED MATTERS —— FY 2011-2012 2 Section 1. BUDGET PROCESS FOR FISCAL YEAR 2012-2013. 3 1. For the budget process applicable to the fiscal year 4 beginning July 1, 2012, on or before October 1, 2011, in lieu 5 of the information specified in section 8.23, subsection 1 , 6 unnumbered paragraph 1, and paragraph “a”, all departments and 7 establishments of the government shall transmit to the director 8 of the department of management, on blanks to be furnished by 9 the director, estimates of their expenditure requirements, 10 including every proposed expenditure, for the ensuing fiscal 11 year, together with supporting data and explanations as called 12 for by the director of the department of management after 13 consultation with the legislative services agency. 14 2. The estimates of expenditure requirements shall be 15 in a form specified by the director of the department of 16 management, and the expenditure requirements shall include all 17 proposed expenditures and shall be prioritized by program or 18 the results to be achieved. The estimates shall be accompanied 19 by performance measures for evaluating the effectiveness of the 20 programs or results. 21 Sec. 2. LIMITATION OF STANDING APPROPRIATIONS. 22 Notwithstanding the standing appropriations in the following 23 designated sections for the fiscal year beginning July 1, 2011, 24 and ending June 30, 2012, the amounts appropriated from the 25 general fund of the state pursuant to these sections for the 26 following designated purposes shall not exceed the following 27 amounts: 28 1. For operational support grants and community cultural 29 grants under section 99F.11, subsection 3 , paragraph “d”, 30 subparagraph (1): 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 416,702 32 2. For regional tourism marketing under section 99F.11, 33 subsection 3 , paragraph “d”, subparagraph (2): 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 810,306 35 -1- LSB 2824XC (22) 84 tm/jp 1/ 102
S.F. _____ 3. For the center for congenital and inherited disorders 1 central registry under section 144.13A, subsection 4 , paragraph 2 “a”: 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 171,121 4 4. For primary and secondary child abuse prevention 5 programs under section 144.13A, subsection 4 , paragraph “a”: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 217,772 7 5. For programs for at-risk children under section 279.51 : 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 10,728,891 9 The amount of any reduction in this subsection shall be 10 prorated among the programs specified in section 279.51, 11 subsection 1 , paragraphs “a”, “b”, and “c”. 12 6. For payment for nonpublic school transportation under 13 section 285.2 : 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 7,060,931 15 If total approved claims for reimbursement for nonpublic 16 school pupil transportation exceed the amount appropriated in 17 accordance with this subsection, the department of education 18 shall prorate the amount of each approved claim. 19 7. For reimbursement for the homestead property tax credit 20 under section 425.1 : 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 86,188,387 22 8. For reimbursement for the family farm and agricultural 23 land tax credits under sections 425A.1 and 426.1 : 24 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 32,395,131 25 9. For the enforcement of chapter 453D relating to tobacco 26 product manufacturers under section 453D.8 : 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 18,416 28 Sec. 3. INSTRUCTIONAL SUPPORT STATE AID —— FY 2011-2012. In 29 lieu of the appropriation provided in section 257.20, 30 subsection 2, the appropriation for the fiscal year 31 beginning July 1, 2011, and ending June 30, 2012, for paying 32 instructional support state aid under section 257.20 for fiscal 33 year 2011-2012 is zero. 34 Sec. 4. Section 256.30, unnumbered paragraph 1, Code 2011, 35 -2- LSB 2824XC (22) 84 tm/jp 2/ 102
S.F. _____ is amended by striking the unnumbered paragraph and inserting 1 in lieu thereof the following: 2 For the fiscal year beginning July 1, 2011, and ending 3 June 30, 2012, and for each succeeding fiscal year, there 4 is appropriated from the general fund of the state to the 5 department the sum of one hundred thousand dollars. The 6 department shall distribute the appropriation to the tribal 7 council of the Sac and Fox Indian settlement for expenses of 8 educating American Indian children residing in the Sac and Fox 9 Indian settlement on land held in trust by the secretary of 10 the interior of the United States in excess of federal moneys 11 paid to the tribal council for educating the American Indian 12 children when moneys are appropriated for that purpose. The 13 tribal council shall administer the moneys distributed pursuant 14 to this section and shall submit an annual report and other 15 reports as required by the department to the department on the 16 expenditure of the moneys. 17 Sec. 5. Section 257.35, Code 2011, is amended by adding the 18 following new subsection: 19 NEW SUBSECTION . 5A. Notwithstanding subsection 1, and in 20 addition to the reduction applicable pursuant to subsection 21 2, the state aid for area education agencies and the portion 22 of the combined district cost calculated for these agencies 23 for the fiscal year beginning July 1, 2011, and ending June 24 30, 2012, shall be reduced by the department of management by 25 twenty million dollars. The reduction for each area education 26 agency shall be prorated based on the reduction that the agency 27 received in the fiscal year beginning July 1, 2003. 28 DIVISION II 29 SALARIES, COMPENSATION, AND RELATED MATTERS —— FY 2011-2012 30 Sec. 6. APPOINTED STATE OFFICERS. 31 1. The governor shall establish a salary for appointed 32 nonelected persons in the executive branch of state government 33 holding a position enumerated in and within the salary 34 ranges provided in 2008 Iowa Acts, chapter 1191, section 14, 35 -3- LSB 2824XC (22) 84 tm/jp 3/ 102
S.F. _____ by considering, among other items, the experience of the 1 individual in the position, changes in the duties of the 2 position, the incumbent’s performance of assigned duties, and 3 subordinates’ salaries. However, the attorney general shall 4 establish the salary for the consumer advocate, the chief 5 justice of the supreme court shall establish the salary for the 6 state court administrator, the ethics and campaign disclosure 7 board shall establish the salary of the executive director, and 8 the Iowa public broadcasting board shall establish the salary 9 of the administrator of the public broadcasting division of the 10 department of education, each within the salary range provided 11 in 2008 Iowa Acts, chapter 1191, section 14. 12 2. The governor, in establishing salaries as provided in 13 this section, shall take into consideration other employee 14 benefits which may be provided for an individual including but 15 not limited to housing. 16 3. A person whose salary is established pursuant to this 17 section and who is a full-time, year-round employee of the 18 state shall not receive any other remuneration from the state 19 or from any other source for the performance of that person’s 20 duties unless the additional remuneration is first approved by 21 the governor or authorized by law. However, this provision 22 does not exclude the reimbursement for necessary travel and 23 expenses incurred in the performance of duties or fringe 24 benefits normally provided to employees of the state. 25 Sec. 7. COLLECTIVE BARGAINING AGREEMENTS FUNDED. The 26 various state departments, boards, commissions, councils, 27 and agencies, including the state board of regents, for 28 the fiscal year beginning July 1, 2011, and ending June 30, 29 2012, shall provide from available sources pay adjustments, 30 expense reimbursements, and related benefits to fully fund the 31 following: 32 1. The collective bargaining agreement negotiated pursuant 33 to chapter 20 for employees in the blue collar bargaining unit. 34 2. The collective bargaining agreement negotiated pursuant 35 -4- LSB 2824XC (22) 84 tm/jp 4/ 102
S.F. _____ to chapter 20 for employees in the public safety bargaining 1 unit. 2 3. The collective bargaining agreement negotiated pursuant 3 to chapter 20 for employees in the security bargaining unit. 4 4. The collective bargaining agreement negotiated pursuant 5 to chapter 20 for employees in the technical bargaining unit. 6 5. The collective bargaining agreement negotiated pursuant 7 to chapter 20 for employees in the professional fiscal and 8 staff bargaining unit. 9 6. The collective bargaining agreement negotiated pursuant 10 to chapter 20 for employees in the clerical bargaining unit. 11 7. The collective bargaining agreement negotiated pursuant 12 to chapter 20 for employees in the professional social services 13 bargaining unit. 14 8. The collective bargaining agreement negotiated pursuant 15 to chapter 20 for employees in the community-based corrections 16 bargaining unit. 17 9. The collective bargaining agreements negotiated 18 pursuant to chapter 20 for employees in the judicial branch of 19 government bargaining units. 20 10. The collective bargaining agreement negotiated pursuant 21 to chapter 20 for employees in the patient care bargaining 22 unit. 23 11. The collective bargaining agreement negotiated pursuant 24 to chapter 20 for employees in the science bargaining unit. 25 12. The collective bargaining agreement negotiated pursuant 26 to chapter 20 for employees in the university of northern Iowa 27 faculty bargaining unit. 28 13. The collective bargaining agreement negotiated pursuant 29 to chapter 20 for employees in the state university of Iowa 30 graduate student bargaining unit. 31 14. The collective bargaining agreement negotiated pursuant 32 to chapter 20 for employees in the state university of Iowa 33 hospital and clinics tertiary health care bargaining unit. 34 15. The annual pay adjustments, related benefits, and 35 -5- LSB 2824XC (22) 84 tm/jp 5/ 102
S.F. _____ expense reimbursements referred to in the sections of this 1 division of this Act addressing noncontract state and state 2 board of regents employees who are not covered by a collective 3 bargaining agreement. 4 Sec. 8. STATE EMPLOYEES —— STATE BOARD OF REGENTS. For 5 the fiscal year beginning July 1, 2011, and ending June 30, 6 2012, funds shall be provided from available sources of the 7 state board of regents for funding of collective bargaining 8 agreements for state board of regents employees covered by 9 such agreements and for the following state board of regents 10 employees not covered by a collective bargaining agreement: 11 1. Regents merit system employees and merit supervisory 12 employees. 13 2. Faculty members and professional and scientific 14 employees. 15 Sec. 9. BONUS PAY. For the fiscal year beginning July 1, 16 2011, and ending June 30, 2012, employees of the executive 17 branch, judicial branch, and legislative branch shall not 18 receive bonus pay unless otherwise authorized by law, required 19 pursuant to a contract of employment entered into before July 20 1, 2011, or required pursuant to a collective bargaining 21 agreement. This section does not apply to employees of the 22 state board of regents. For purposes of this section, “bonus 23 pay” means any additional remuneration provided an employee in 24 the form of a bonus, including but not limited to a retention 25 bonus, recruitment bonus, exceptional job performance pay, 26 extraordinary job performance pay, exceptional performance pay, 27 extraordinary duty pay, or extraordinary or special duty pay, 28 and any extra benefit not otherwise provided to other similarly 29 situated employees. 30 Sec. 10. STATE TROOPER MEAL ALLOWANCE. For the fiscal 31 year beginning July 1, 2011, the sworn peace officers in the 32 department of public safety who are not covered by a collective 33 bargaining agreement negotiated pursuant to chapter 20 shall 34 receive the same per diem meal allowance as the sworn peace 35 -6- LSB 2824XC (22) 84 tm/jp 6/ 102
S.F. _____ officers in the department of public safety who are covered 1 by a collective bargaining agreement negotiated pursuant to 2 chapter 20. 3 Sec. 11. SALARY MODEL ADMINISTRATOR. The salary model 4 administrator shall work in conjunction with the legislative 5 services agency to maintain the state’s salary model used for 6 analyzing, comparing, and projecting state employee salary 7 and benefit information, including information relating to 8 employees of the state board of regents. The department of 9 revenue, the department of administrative services, the five 10 institutions under the jurisdiction of the state board of 11 regents, the judicial district departments of correctional 12 services, and the state department of transportation shall 13 provide salary data to the department of management and the 14 legislative services agency to operate the state’s salary 15 model. The format and frequency of provision of the salary 16 data shall be determined by the department of management and 17 the legislative services agency. The information shall be 18 used in collective bargaining processes under chapter 20 and 19 in calculating the funding needs contained within the annual 20 salary adjustment legislation. A state employee organization 21 as defined in section 20.3, subsection 4, may request 22 information produced by the model, but the information provided 23 shall not contain information attributable to individual 24 employees. 25 DIVISION III 26 PERFORMANCE OF DUTY 27 Sec. 12. Section 7D.10, Code 2011, is amended to read as 28 follows: 29 7D.10 Court costs. 30 If sufficient funds for court costs have not been 31 appropriated to a state department, or if sufficient funds are 32 not otherwise available for such purposes within the budget 33 of a state department, the executive council may pay, out of 34 any money in the state treasury not otherwise appropriated, 35 -7- LSB 2824XC (22) 84 tm/jp 7/ 102
S.F. _____ authorize, in accordance with section 7D.29, payment of 1 the expenses incurred, or costs taxed to the state, in any 2 proceeding brought by or against any of the state departments 3 or in which the state is a party or is interested. This section 4 shall not be construed to authorize the payment of travel or 5 other personal expenses of state officers or employees. 6 Sec. 13. Section 7D.10A, as amended by 2011 Iowa Acts, 7 Senate File 478, section 11, as enacted, is amended to read as 8 follows: 9 7D.10A Allocation Payment to livestock remediation fund. 10 If moneys are not sufficient to support the livestock 11 remediation fund as provided in chapter 459, subchapter V , the 12 executive council may allocate from moneys in the general fund 13 of the state, which are not otherwise obligated or encumbered, 14 authorize as an expense subject to section 7D.29 the payment 15 of an amount to the livestock remediation fund as provided 16 under section 459.501 , subsection 5 . However, not more than a 17 total of one million dollars shall be allocated shall be paid 18 pursuant to this section to the livestock remediation fund at 19 any time. 20 Sec. 14. Section 7D.29, Code 2011, is amended to read as 21 follows: 22 7D.29 Performance of duty —— expense. 23 1. The executive council shall not employ others, or incur 24 authorize any expense, for the purpose of performing any duty 25 imposed upon the council when the duty may, without neglect 26 of their usual duties, be performed by the members, or by 27 their regular employees, but, subject to this limitation, the 28 council may incur authorize the necessary expense to perform or 29 cause to be performed any legal duty imposed on the council , 30 and pay the same out of any money in the state treasury not 31 otherwise appropriated . Such expenses authorized by the 32 executive council in accordance with this section shall be paid 33 as follows: 34 a. From the appropriation made from the Iowa economic 35 -8- LSB 2824XC (22) 84 tm/jp 8/ 102
S.F. _____ emergency fund in section 8.55 for purposes of paying the 1 expenses authorized by the executive council under this 2 section. 3 b. To the extent the appropriation from the Iowa economic 4 emergency fund described in paragraph “a” is insufficient to 5 pay the expenses authorized by the executive council under this 6 section, there is appropriated from moneys in the general fund 7 of the state not otherwise appropriated the amount necessary to 8 fund the insufficiency. 9 2. At least two weeks prior to the executive council’s 10 approval of a payment authorization under this section , 11 the secretary of the executive council shall notify the 12 legislative services agency that the authorization request 13 will be considered by the executive council and shall provide 14 background information justifying the request. 15 3. The executive council shall receive requests from the 16 Iowa department of public health relative to the purchase, 17 storing, and distribution of vaccines and medication for 18 prevention, prophylaxis, or treatment. Upon review and after 19 compliance with subsection 2 , the executive council may approve 20 the request and may incur authorize payment of the necessary 21 expense and pay the same out of any money in the state treasury 22 not otherwise appropriated . The expense authorized by the 23 executive council under this subsection shall be paid from the 24 appropriations referred to in subsection 1. 25 Sec. 15. Section 7D.30, Code 2011, is amended to read as 26 follows: 27 7D.30 Necessary record. 28 Before incurring authorizing any expense authorized by in 29 accordance with section 7D.29 , the executive council shall, 30 in each case, by resolution, entered upon its records, set 31 forth the necessity for incurring authorizing such expense, 32 the special fitness of the one employed to perform such work, 33 the definite rate of compensation or salary allowed, and the 34 total amount of money that may be expended. Compensation or 35 -9- LSB 2824XC (22) 84 tm/jp 9/ 102
S.F. _____ salary for personal services in such cases must be determined 1 by unanimous vote of all members of the council. 2 Sec. 16. Section 8.55, subsection 3, paragraph a, Code 2011, 3 is amended to read as follows: 4 a. Except as provided in paragraphs “b” , and “c” , and 5 “0d” , the moneys in the Iowa economic emergency fund shall 6 only be used pursuant to an appropriation made by the general 7 assembly. An appropriation shall only be made for the fiscal 8 year in which the appropriation is made. The moneys shall 9 only be appropriated by the general assembly for emergency 10 expenditures. 11 Sec. 17. Section 8.55, subsection 3, Code 2011, is amended 12 by adding the following new paragraph: 13 NEW PARAGRAPH . 0d. There is appropriated from the Iowa 14 economic emergency fund to the executive council an amount 15 sufficient to pay the expenses authorized by the executive 16 council in accordance with section 7D.29. 17 Sec. 18. Section 8A.321, subsection 4, Code 2011, is amended 18 to read as follows: 19 4. Contract, with the approval of the executive council, 20 for the repair, remodeling, or, if the condition warrants, 21 demolition of all buildings and grounds of the state at 22 the seat of government, at the state laboratories facility 23 in Ankeny, and the institutions of the department of human 24 services and the department of corrections for which no 25 specific appropriation has been made, if the cost of repair, 26 remodeling, or demolition will not exceed one hundred thousand 27 dollars when completed. The cost of repair projects for which 28 no specific appropriation has been made shall be paid from 29 the fund as an expense authorized by the executive council as 30 provided in section 7D.29 . 31 Sec. 19. Section 8A.321, subsection 6, paragraphs a and b, 32 Code 2011, are amended to read as follows: 33 a. Lease all buildings and office space necessary to 34 carry out the provisions of this subchapter or necessary for 35 -10- LSB 2824XC (22) 84 tm/jp 10/ 102
S.F. _____ the proper functioning of any state agency at the seat of 1 government. For state agencies at the seat of government, the 2 director may lease buildings and office space in Polk county 3 or in a county contiguous to Polk county. If no specific 4 appropriation has been made, the proposed lease shall be 5 submitted to the executive council for approval authorization 6 as an expense in accordance with section 7D.29 . The cost of 7 any lease for which no specific appropriation has been made 8 shall be paid from the fund provided in section 7D.29 . 9 b. When the general assembly is not in session, the 10 director may request moneys from the executive council for 11 moving state agencies located at the seat of government from 12 one location to another. The request may include moving 13 costs, telecommunications costs, repair costs, or any other 14 costs relating to the move. The executive council may approve 15 and shall pay the costs from funds authorize the expenses 16 as provided in section 7D.29 if it determines the agency or 17 department has no available does not have funds available for 18 these expenses. 19 Sec. 20. Section 11.32, as amended by 2011 Iowa Acts, 20 House File 536, section 26, as enacted, is amended to read as 21 follows: 22 11.32 Certified accountants employed. 23 Nothing in this chapter shall prohibit the auditor of state, 24 with the prior written permission of the state executive 25 council, from employing certified public accountants for 26 specific assignments. The auditor of state may employ such 27 accountants for any assignment now expressly reserved to the 28 auditor of state. Payments, after approval by the executive 29 council, will shall be made to the accountants so employed from 30 funds from which the auditor of state would have been paid had 31 the auditor of state performed the assignment, or if no such 32 specific funds are indicated not available , then payment will 33 be made from the funds of authorization of the expense by the 34 executive council shall be requested in accordance with section 35 -11- LSB 2824XC (22) 84 tm/jp 11/ 102
S.F. _____ 7D.29 . 1 Sec. 21. Section 13.3, subsection 2, Code 2011, is amended 2 to read as follows: 3 2. If the governor or a department is represented by an 4 attorney other than the attorney general in a court proceeding 5 as provided in this section , at the conclusion of the court 6 proceedings, the court shall review the fees charged to the 7 state to determine if the fees are fair and reasonable. The 8 executive council shall not reimburse authorize reimbursement 9 of attorney fees in excess of those determined by the court to 10 be fair and reasonable. 11 Sec. 22. Section 13.7, Code 2011, is amended to read as 12 follows: 13 13.7 Special counsel. 14 Compensation shall not be allowed to any person for services 15 as an attorney or counselor to an executive department of 16 the state government, or the head thereof of an executive 17 department of state government , or to a state board or 18 commission. However, the executive council may employ 19 legal assistance, at a reasonable compensation, authorized 20 as an expense under section 7D.29, in a pending action or 21 proceeding to protect the interests of the state, but only 22 upon a sufficient showing, in writing, made by the attorney 23 general, that the department of justice cannot for reasons 24 stated by the attorney general perform the service , which . 25 The reasons and action of the council shall be entered upon 26 its records. When If the attorney general determines that 27 the department of justice cannot perform legal service in an 28 action or proceeding, the executive council shall request the 29 department involved in the action or proceeding to recommend 30 legal counsel to represent the department. If the attorney 31 general concurs with the department that the person recommended 32 is qualified and suitable to represent the department, the 33 person recommended shall be employed. If the attorney general 34 does not concur in the recommendation, the department shall 35 -12- LSB 2824XC (22) 84 tm/jp 12/ 102
S.F. _____ submit a new recommendation. This section does not affect the 1 general counsel for the utilities board of the department of 2 commerce, the legal counsel of the department of workforce 3 development, or the general counsel for the property assessment 4 appeal board. 5 Sec. 23. Section 29A.27, unnumbered paragraph 8, Code 2011, 6 is amended to read as follows: 7 All payments herein provided for under this section shall 8 be paid on the approval of the adjutant general from the 9 contingent fund of the executive council created in section 10 29C.20 . 11 Sec. 24. Section 29C.8, subsection 3, paragraph f, 12 subparagraph (3), Code 2011, is amended to read as follows: 13 (3) Upon notification of a compensable loss to a member of 14 a homeland security and emergency management response team, the 15 department of administrative services shall process the claim 16 and seek funding authorization from the executive council for 17 to pay as an expense under section 7D.29 those costs associated 18 with covered benefits. 19 Sec. 25. Section 29C.20, subsection 1, paragraph a, 20 unnumbered paragraph 1, Code 2011, is amended to read as 21 follows: 22 A contingent fund is created in the state treasury for the 23 use of the executive council which . Funding for the contingent 24 fund shall be an authorized expense by the executive council 25 under section 7D.29. Moneys in the contingent fund may be 26 expended for the following purposes: 27 Sec. 26. Section 96.13, subsection 3, paragraph c, Code 28 2011, is amended to read as follows: 29 c. The department may appear before the executive council 30 and request funds authorization of moneys to meet unanticipated 31 emergencies as an expense under section 7D.29 . 32 Sec. 27. Section 135.143, subsection 5, Code 2011, is 33 amended to read as follows: 34 5. Upon notification of a compensable loss, the department 35 -13- LSB 2824XC (22) 84 tm/jp 13/ 102
S.F. _____ of administrative services shall seek funding authorization 1 from the executive council for to pay as an expense under 2 section 7D.29 those costs associated with covered workers’ 3 compensation benefits. 4 Sec. 28. Section 135.144, subsection 11, Code 2011, is 5 amended to read as follows: 6 11. If a public health disaster or other public health 7 emergency situation exists which poses an imminent threat 8 to the public health, safety, and welfare, the department, 9 in conjunction with the governor, may provide financial 10 assistance, from funds appropriated to the department that are 11 not otherwise encumbered, to political subdivisions as needed 12 to alleviate the disaster or the emergency. If the department 13 does not have sufficient unencumbered funds, the governor may 14 request that the executive council , pursuant to the authority 15 of section 7D.29 , commit sufficient funds, to authorize the 16 payment of up to one million dollars , that are not otherwise 17 encumbered from the general fund, as needed and available, for 18 as an expense under section 7D.29 to alleviate the disaster or 19 the emergency. If additional financial assistance is required 20 in excess of one million dollars, approval by the legislative 21 council is also required. 22 Sec. 29. Section 163.3A, subsection 4, paragraph b, Code 23 2011, is amended to read as follows: 24 b. The department shall provide and update a list of 25 the registered members of each emergency response team, 26 including the members’ names and identifying information, to 27 the department of administrative services. Upon notification 28 of a compensable loss suffered by a registered member, the 29 department of administrative services shall seek funding 30 authorization from the executive council for to pay as an 31 expense under section 7D.29 those costs associated with covered 32 benefits. 33 Sec. 30. Section 163.10, Code 2011, is amended to read as 34 follows: 35 -14- LSB 2824XC (22) 84 tm/jp 14/ 102
S.F. _____ 163.10 Quarantining or destroying animals. 1 The department may quarantine or destroy any animal exposed 2 to or afflicted with an infectious or contagious disease. 3 However, cattle exposed to or infected with tuberculosis shall 4 not be destroyed without the owner’s consent, unless there are 5 sufficient moneys to reimburse the owner for the cattle, which 6 may be paid from the appropriation as an expense authorized 7 under section 7D.29 as provided in section 163.15 , from moneys 8 in the brucellosis and tuberculosis eradication fund created 9 in section 165.18 , or from moneys made available by the United 10 States department of agriculture. 11 Sec. 31. Section 163.15, subsection 2, paragraph a, 12 subparagraph (3), Code 2011, is amended to read as follows: 13 (3) A claim for an indemnity by the owner and a claim for 14 compensation and expenses by the appraisers shall be filed with 15 the department and submitted by the secretary of agriculture 16 to the executive council for its approval or disapproval 17 authorization of payment of the claim as an expense under 18 section 7D.29 . 19 Sec. 32. Section 163.15, subsection 2, paragraph a, 20 subparagraph (4), Code 2011, is amended by striking the 21 subparagraph. 22 Sec. 33. Section 163.15, subsection 2, paragraph b, 23 unnumbered paragraph 1, Code 2011, is amended to read as 24 follows: 25 A formula established by rule adopted by the department that 26 is effective as determined by the department in accordance 27 with chapter 17A and applicable upon approval of the plan 28 program of eradication approved by the executive council. 29 The formula shall be applicable to indemnify owners if the 30 executive council, upon recommendation by the secretary of 31 agriculture, determines that an animal population in this state 32 is threatened with infection from an exceptionally contagious 33 disease. 34 Sec. 34. Section 163.15, subsection 2, paragraph b, 35 -15- LSB 2824XC (22) 84 tm/jp 15/ 102
S.F. _____ subparagraph (4), Code 2011, is amended to read as follows: 1 (4) Upon approval by the The executive council , there is 2 appropriated to the department from any moneys in the general 3 fund of the state not otherwise appropriated moneys sufficient 4 to carry out the may authorize payment under the provisions of 5 this paragraph “b” as an expense under section 7D.29 . 6 Sec. 35. Section 307.45, subsection 3, Code 2011, is amended 7 to read as follows: 8 3. Assessments against property owned by the state and 9 not under the jurisdiction and control of the department’s 10 administrator of highways shall be made in the same manner 11 as those made against private property and payment shall 12 be made paid as an expense under section 7D.29, subject to 13 authorization by the executive council from any funds of the 14 state not otherwise appropriated . 15 Sec. 36. Section 384.56, subsection 1, Code 2011, is amended 16 to read as follows: 17 1. Cities may assess the cost of a public improvement which 18 extends through, abuts upon, or is adjacent to lands owned by 19 the state, and the executive council shall pay payment for the 20 assessable portion of the cost of the improvement through or 21 along the lands as provided shall be subject to authorization 22 by the executive council as an expense under section 7D.29 . 23 The executive council shall pay assessments as and payable in 24 the manner provided in section 307.45 for property owned by the 25 state and not under the jurisdiction and control of the state 26 department of transportation . 27 Sec. 37. Section 459.501, subsection 5, as amended by 2011 28 Iowa Acts, Senate File 478, section 1, as enacted, is amended 29 to read as follows: 30 5. The following shall apply to moneys in the fund: 31 a. (1) The executive council may allocate moneys from the 32 general fund of the state as authorize payment of moneys as 33 an expense under section 7D.29 and in the manner provided in 34 section 7D.10A in an amount necessary to support the fund, 35 -16- LSB 2824XC (22) 84 tm/jp 16/ 102
S.F. _____ including the following: 1 (a) The payment of claims as provided in section 459.505 . 2 (b) The allocation of moneys to the department of 3 agriculture and land stewardship for the payment of expenses 4 incurred by the department of agriculture and land stewardship 5 associated with providing for the sustenance and disposition of 6 livestock pursuant to chapter 717 . 7 (2) Notwithstanding subparagraph (1), the allocation of 8 moneys from the general fund of the state executive council’s 9 authorization for payment shall be made provided only if the 10 amount of moneys in the fund, which are not obligated or 11 encumbered, and not counting the department’s estimate of the 12 cost to the fund for pending or unsettled claims, the amount 13 to be allocated to the department of agriculture and land 14 stewardship, and any amount required to be credited to the 15 general fund of the state under this subsection , is less than 16 one million dollars. 17 b. The department of natural resources shall credit an 18 amount to the general fund of the state from which the expense 19 authorized by the executive council as provided in paragraph 20 “a” was appropriated which is equal to an amount allocated to 21 support the livestock remediation fund by the executive council 22 under paragraph “a” . The However, the department shall only be 23 required to credit the moneys to the general such fund of the 24 state if the moneys in the livestock remediation fund which are 25 not obligated or encumbered, and not counting the department’s 26 estimate of the cost to the livestock remediation fund for 27 pending or unsettled claims, the amount to be allocated to the 28 department of agriculture and land stewardship, and any amount 29 required to be transferred to the general fund under from which 30 appropriated as described in this paragraph, are in excess of 31 two million five hundred thousand dollars. The department is 32 not required to credit the total amount to the general fund 33 of the state from which appropriated as described in this 34 paragraph during any one fiscal year. 35 -17- LSB 2824XC (22) 84 tm/jp 17/ 102
S.F. _____ Sec. 38. Section 468.43, unnumbered paragraph 4, Code 2011, 1 is amended to read as follows: 2 The assessments against lands under the jurisdiction of the 3 department of natural resources shall be paid as an expense 4 under section 7D.29, if authorized by the executive council 5 upon certification of the amount by the county treasurer. 6 There is appropriated from any funds in the general fund of the 7 state not otherwise appropriated amounts sufficient to pay the 8 certified assessments. 9 Sec. 39. Section 568.16, Code 2011, is amended to read as 10 follows: 11 568.16 Purchase money refunded. 12 If the grantee of the state, or the grantee’s successors, 13 administrators, or assigns, shall be deprived of the land 14 conveyed by the state under this chapter by the final decree 15 of a court of record for the reason that the conveyance by the 16 state passed no title whatever to the land therein did not pass 17 title to the land described, because title thereto to the land 18 had previously for any reason been vested in others, then the 19 money so paid by the state for the said land shall be refunded 20 by the state to the person or persons entitled thereto to the 21 refund , provided the said grantee, or the grantee’s successors, 22 administrators, or assigns, shall file a certified copy of 23 the transcript of the said final decree with the executive 24 council within one year from the date of the issuance of 25 such decree, and shall also file satisfactory proof with the 26 executive council that the action over the title to the land 27 was commenced within ten years from the date of the issuance of 28 patent or deed by the state. The amount of money to be refunded 29 under the provisions of this section shall be certified 30 authorized and paid by the executive council to the director 31 of the department of administrative services, who shall draw a 32 warrant therefor, and the same shall be paid out of the general 33 fund as an expense under section 7D.29 . 34 Sec. 40. Section 602.10133, Code 2011, is amended to read 35 -18- LSB 2824XC (22) 84 tm/jp 18/ 102
S.F. _____ as follows: 1 602.10133 Costs and expenses. 2 The court costs incident to such proceedings , and the 3 reasonable expense of said the judges in attending said the 4 hearing after being approved by the supreme court shall be paid 5 as court costs an expense authorized by the executive council 6 under section 7D.29 . 7 Sec. 41. Section 663.44, Code 2011, is amended to read as 8 follows: 9 663.44 Costs. 10 1. If the plaintiff is discharged, the costs shall be 11 assessed to the defendant, unless the defendant is an officer 12 holding the plaintiff in custody under a commitment, or under 13 other legal process, in which case the costs shall be assessed 14 to the county. If the plaintiff’s application is refused, 15 the costs shall be assessed against the plaintiff, and, in 16 the discretion of the court, against the person who filed the 17 petition in the plaintiff’s behalf. 18 2. However, where Notwithstanding subsection 1, if 19 the plaintiff is confined in any state institution , and is 20 discharged in habeas corpus proceedings, or where if the habeas 21 corpus proceedings fail , and costs and fees cannot be collected 22 from the person liable to pay the same costs and fees , such 23 the costs and fees shall be paid by the county in which such 24 state institution is located. The facts of such payment and 25 the proceedings on which it is based, with a statement of the 26 amount of fees or costs incurred, with approval in writing by 27 the presiding judge appended to such the statement or endorsed 28 thereon on the statement , shall then be certified by the clerk 29 of the district court under the seal of office to the state 30 executive council. The executive council shall then review 31 the proceedings and authorize reimbursement , as expenses under 32 section 7D.29, for all such fees and costs or such part thereof 33 of the fees and costs as the executive council shall find finds 34 justified, and shall notify the director of the department 35 -19- LSB 2824XC (22) 84 tm/jp 19/ 102
S.F. _____ of administrative services to draw a warrant to such county 1 treasurer on the state general fund in accordance with section 2 7D.29 for the amount authorized. The costs and fees referred 3 to above shall include any award of fees made to a court 4 appointed attorney representing an indigent party bringing the 5 habeas corpus action. 6 DIVISION IV 7 STANDING APPROPRIATIONS AND RELATED MATTERS —— FY 2012-2013 8 Sec. 42. BUDGET PROCESS FOR FISCAL YEAR 2013-2014. 9 1. For the budget process applicable to the fiscal year 10 beginning July 1, 2013, on or before October 1, 2012, in lieu 11 of the information specified in section 8.23, subsection 1 , 12 unnumbered paragraph 1, and paragraph “a”, all departments and 13 establishments of the government shall transmit to the director 14 of the department of management, on blanks to be furnished by 15 the director, estimates of their expenditure requirements, 16 including every proposed expenditure, for the ensuing fiscal 17 year, together with supporting data and explanations as called 18 for by the director of the department of management after 19 consultation with the legislative services agency. 20 2. The estimates of expenditure requirements shall be 21 in a form specified by the director of the department of 22 management, and the expenditure requirements shall include all 23 proposed expenditures and shall be prioritized by program or 24 the results to be achieved. The estimates shall be accompanied 25 by performance measures for evaluating the effectiveness of the 26 programs or results. 27 Sec. 43. LIMITATION OF STANDING APPROPRIATIONS. 28 Notwithstanding the standing appropriations in the following 29 designated sections for the fiscal year beginning July 1, 2012, 30 and ending June 30, 2013, the amounts appropriated from the 31 general fund of the state pursuant to these sections for the 32 following designated purposes shall not exceed the following 33 amounts: 34 1. For operational support grants and community cultural 35 -20- LSB 2824XC (22) 84 tm/jp 20/ 102
S.F. _____ grants under section 99F.11, subsection 3 , paragraph “d”, 1 subparagraph (1): 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 208,351 3 2. For regional tourism marketing under section 99F.11, 4 subsection 3 , paragraph “d”, subparagraph (2): 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 405,153 6 3. For the center for congenital and inherited disorders 7 central registry under section 144.13A, subsection 4 , paragraph 8 “a”: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 85,560 10 4. For primary and secondary child abuse prevention 11 programs under section 144.13A, subsection 4 , paragraph “a”: 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 108,886 13 5. For programs for at-risk children under section 279.51 : 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 10,728,891 15 The amount of any reduction in this subsection shall be 16 prorated among the programs specified in section 279.51, 17 subsection 1 , paragraphs “a”, “b”, and “c”. 18 6. For payment for nonpublic school transportation under 19 section 285.2 : 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,530,465 21 If total approved claims for reimbursement for nonpublic 22 school pupil transportation exceed the amount appropriated in 23 accordance with this subsection, the department of education 24 shall prorate the amount of each approved claim. 25 7. For reimbursement for the homestead property tax credit 26 under section 425.1 : 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 86,188,387 28 8. For reimbursement for the family farm and agricultural 29 land tax credits under sections 425A.1 and 426.1 : 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 32,395,131 31 9. For the enforcement of chapter 453D relating to tobacco 32 product manufacturers under section 453D.8 : 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 9,208 34 Sec. 44. INSTRUCTIONAL SUPPORT STATE AID —— FY 35 -21- LSB 2824XC (22) 84 tm/jp 21/ 102
S.F. _____ 2012-2013. In lieu of the appropriation provided in section 1 257.20, subsection 2, the appropriation for the fiscal year 2 beginning July 1, 2012, and ending June 30, 2013, for paying 3 instructional support state aid under section 257.20 for fiscal 4 year 2012-2013 is zero. 5 DIVISION V 6 SALARIES, COMPENSATION, AND RELATED MATTERS —— FY 2012-2013 7 Sec. 45. COLLECTIVE BARGAINING AGREEMENTS FUNDED. The 8 various state departments, boards, commissions, councils, 9 and agencies, including the state board of regents, for 10 the fiscal year beginning July 1, 2012, and ending June 30, 11 2013, shall provide from available sources pay adjustments, 12 expense reimbursements, and related benefits to fully fund the 13 following: 14 1. The collective bargaining agreement negotiated pursuant 15 to chapter 20 for employees in the blue collar bargaining unit. 16 2. The collective bargaining agreement negotiated pursuant 17 to chapter 20 for employees in the public safety bargaining 18 unit. 19 3. The collective bargaining agreement negotiated pursuant 20 to chapter 20 for employees in the security bargaining unit. 21 4. The collective bargaining agreement negotiated pursuant 22 to chapter 20 for employees in the technical bargaining unit. 23 5. The collective bargaining agreement negotiated pursuant 24 to chapter 20 for employees in the professional fiscal and 25 staff bargaining unit. 26 6. The collective bargaining agreement negotiated pursuant 27 to chapter 20 for employees in the clerical bargaining unit. 28 7. The collective bargaining agreement negotiated pursuant 29 to chapter 20 for employees in the professional social services 30 bargaining unit. 31 8. The collective bargaining agreement negotiated pursuant 32 to chapter 20 for employees in the community-based corrections 33 bargaining unit. 34 9. The collective bargaining agreements negotiated 35 -22- LSB 2824XC (22) 84 tm/jp 22/ 102
S.F. _____ pursuant to chapter 20 for employees in the judicial branch of 1 government bargaining units. 2 10. The collective bargaining agreement negotiated pursuant 3 to chapter 20 for employees in the patient care bargaining 4 unit. 5 11. The collective bargaining agreement negotiated pursuant 6 to chapter 20 for employees in the science bargaining unit. 7 12. The collective bargaining agreement negotiated pursuant 8 to chapter 20 for employees in the university of northern Iowa 9 faculty bargaining unit. 10 13. The collective bargaining agreement negotiated pursuant 11 to chapter 20 for employees in the state university of Iowa 12 graduate student bargaining unit. 13 14. The collective bargaining agreement negotiated pursuant 14 to chapter 20 for employees in the state university of Iowa 15 hospital and clinics tertiary health care bargaining unit. 16 15. The annual pay adjustments, related benefits, and 17 expense reimbursements referred to in the sections of this 18 division of this Act addressing noncontract state and state 19 board of regents employees who are not covered by a collective 20 bargaining agreement. 21 Sec. 46. STATE EMPLOYEES —— STATE BOARD OF REGENTS. For 22 the fiscal year beginning July 1, 2012, and ending June 30, 23 2013, funds shall be provided from available sources of the 24 state board of regents for funding of collective bargaining 25 agreements for state board of regents employees covered by 26 such agreements and for the following state board of regents 27 employees not covered by a collective bargaining agreement: 28 1. Regents merit system employees and merit supervisory 29 employees. 30 2. Faculty members and professional and scientific 31 employees. 32 Sec. 47. BONUS PAY. For the fiscal year beginning July 33 1, 2012, and ending June 30, 2013, employees of the executive 34 branch, judicial branch, and legislative branch shall not 35 -23- LSB 2824XC (22) 84 tm/jp 23/ 102
S.F. _____ receive bonus pay unless otherwise authorized by law, required 1 pursuant to a contract of employment entered into before July 2 1, 2012, or required pursuant to a collective bargaining 3 agreement. This section does not apply to employees of the 4 state board of regents. For purposes of this section, “bonus 5 pay” means any additional remuneration provided an employee in 6 the form of a bonus, including but not limited to a retention 7 bonus, recruitment bonus, exceptional job performance pay, 8 extraordinary job performance pay, exceptional performance pay, 9 extraordinary duty pay, or extraordinary or special duty pay, 10 and any extra benefit not otherwise provided to other similarly 11 situated employees. 12 Sec. 48. STATE TROOPER MEAL ALLOWANCE. For the fiscal 13 year beginning July 1, 2012, the sworn peace officers in the 14 department of public safety who are not covered by a collective 15 bargaining agreement negotiated pursuant to chapter 20 shall 16 receive the same per diem meal allowance as the sworn peace 17 officers in the department of public safety who are covered 18 by a collective bargaining agreement negotiated pursuant to 19 chapter 20. 20 Sec. 49. SALARY MODEL ADMINISTRATOR. The salary model 21 administrator shall work in conjunction with the legislative 22 services agency to maintain the state’s salary model used for 23 analyzing, comparing, and projecting state employee salary 24 and benefit information, including information relating to 25 employees of the state board of regents. The department of 26 revenue, the department of administrative services, the five 27 institutions under the jurisdiction of the state board of 28 regents, the judicial district departments of correctional 29 services, and the state department of transportation shall 30 provide salary data to the department of management and the 31 legislative services agency to operate the state’s salary 32 model. The format and frequency of provision of the salary 33 data shall be determined by the department of management and 34 the legislative services agency. The information shall be 35 -24- LSB 2824XC (22) 84 tm/jp 24/ 102
S.F. _____ used in collective bargaining processes under chapter 20 and 1 in calculating the funding needs contained within the annual 2 salary adjustment legislation. A state employee organization 3 as defined in section 20.3, subsection 4, may request 4 information produced by the model, but the information provided 5 shall not contain information attributable to individual 6 employees. 7 DIVISION VI 8 CORRECTIVE PROVISIONS 9 Sec. 50. Section 8.6, subsection 9A, as enacted by 2011 Iowa 10 Acts, House File 45, section 39, is amended to read as follows: 11 9A. Budget and tax rate databases. To develop and make 12 available to the public a searchable budget database and 13 internet site as required under chapter 8G, division subchapter 14 I , and to develop and make available to the public a searchable 15 tax rate database and internet site as required under chapter 16 8G, division subchapter II . 17 Sec. 51. Section 8.57E, subsection 3, paragraph a, as 18 enacted by 2011 Iowa Acts, Senate File 209, section 30, is 19 amended to read as follows: 20 a. Moneys in the taxpayer’s taxpayers trust fund may be 21 used for cash flow purposes during a fiscal year provided that 22 any moneys so allocated are returned to the fund by the end of 23 that fiscal year. 24 Sec. 52. Section 8G.13, as enacted by 2011 Iowa Acts, House 25 File 45, section 50, is amended to read as follows: 26 8G.13 Updating database. 27 To facilitate the department of management’s efforts in 28 creating and maintaining a searchable database of the taxes 29 identified in section 8G.12, subsection 3 1 , for all taxing 30 jurisdictions in the state, each taxing jurisdiction may 31 annually be required to report its tax rates to the department 32 of management or the department of revenue and shall report any 33 changes to its tax rates within thirty days of the change. 34 Sec. 53. Section 16.193, subsection 3, paragraph a, Code 35 -25- LSB 2824XC (22) 84 tm/jp 25/ 102
S.F. _____ 2011, as amended by 2011 Iowa Acts, Senate File 475, section 1 11, is amended to read as follows: 2 a. During the term of the Iowa jobs program and Iowa jobs 3 II program, the Iowa finance authority shall collect data on 4 all of the projects approved for the program programs . The 5 department of management and the state agencies associated 6 with the projects shall assist the authority with the data 7 collection and in developing the report required by this 8 subsection . The authority shall report quarterly to the 9 governor and the general assembly concerning the data. 10 Sec. 54. Section 68A.401, subsection 4, Code 2011, as 11 amended by 2011 Iowa Acts, Senate File 475, section 17, is 12 amended to read as follows: 13 4. Political committees expressly advocating the 14 nomination, election, or defeat of candidates for both 15 federal office and any elected office created by law or the 16 Constitution of the State of Iowa shall file statements and 17 reports with the board in addition to any federal reports 18 required to be filed with the board. However, a political 19 committee that is registered and filing full disclosure 20 reports of all financial activities with the federal election 21 commission may file verified statements as provided in section 22 68B.201A 68A.201A . 23 Sec. 55. Section 139A.19, subsection 3, as enacted by 2011 24 Iowa Acts, House File 467, section 20, is amended to read as 25 follows: 26 3. This section does not preclude a hospital, clinic, other 27 health facility, or a health care provider from providing 28 notification to a care provider under circumstances in 29 which the hospital’s, clinic’s, other health facility’s, or 30 health care provider’s policy provides for notification of 31 the hospital’s, clinics clinic’s , other health facility’s, 32 or health care provider’s own employees of exposure to a 33 contagious or infectious disease that is not life-threatening 34 if the notice does not reveal a patient’s name, unless the 35 -26- LSB 2824XC (22) 84 tm/jp 26/ 102
S.F. _____ patient consents. 1 Sec. 56. Section 175.3, subsection 1, paragraph a, Code 2 2011, as amended by 2011 Iowa Acts, Senate File 429, section 1, 3 is amended to read as follows: 4 a. The agricultural development authority is established 5 within the department of agriculture and land stewardship. The 6 agency authority is constituted as a public instrumentality 7 and agency of the state exercising public and essential 8 governmental functions. 9 Sec. 57. Section 207.22, subsection 3, paragraph b, Code 10 2011, as amended by 2011 Iowa Acts, Senate File 475, section 11 47, is amended to read as follows: 12 b. Acquisition of coal refuse disposal sites and all 13 coal refuse thereon will serve the purposes of Tit. IV of 14 Pub. L. No. 95-87, Tit. IV, codified at 30 U.S.C. ch. 25, 15 subch. IV, or that public ownership is desirable to meet 16 emergency situations and prevent recurrences of the adverse 17 effect of past coal mining practices. 18 Sec. 58. Section 232.71D, subsection 3, paragraph a, 19 unnumbered paragraph 1, as enacted by 2011 Iowa Acts, House 20 File 562, section 3, is amended to read as follows: 21 Unless any of the circumstances listed in paragraph “b” are 22 applicable, cases to which any of the following circumstances 23 apply shall not be placed on in the central registry: 24 Sec. 59. Section 256.7, subsection 26, paragraph a, 25 subparagraph (1), as enacted by 2011 Iowa Acts, Senate File 26 453, section 1, is amended to read as follows: 27 (1) The rules establishing high school graduation 28 requirements shall authorize a school district or 29 accredited nonpublic school to consider that any student who 30 satisfactorily completes a high school-level unit of English 31 or language arts, mathematics, science, or social studies has 32 satisfactorily completed a unit of the high school graduation 33 requirements for that area as specified in this lettered 34 paragraph, and to shall authorize the school district or 35 -27- LSB 2824XC (22) 84 tm/jp 27/ 102
S.F. _____ accredited nonpublic school to issue high school credit for the 1 unit to the student. 2 Sec. 60. Section 321.34, subsection 20C, paragraph a, 3 if enacted by 2011 Iowa Acts, House File 651, section 2, is 4 amended to read as follows: 5 a. The department, in consultation with the adjutant 6 general, shall design combat infantryman badge, combat action 7 badge, combat action ribbon, air force combat action medal, 8 and combat medical badge distinguishing processed emblems. 9 Upon receipt of two hundred fifty orders for special combat 10 infantryman badge, combat action badge, combat action ribbon, 11 air force combat action medal, or combat medical badge special 12 registration plates, accompanied by a start-up fee of twenty 13 dollars per order, the department shall begin issuing special 14 registration plates with the applicable distinguishing 15 processed emblem as provided in paragraphs “b” and “c” . The 16 minimum order requirement shall apply separately to each of the 17 special registration plates created under this subsection. 18 Sec. 61. Section 321.34, subsection 25, paragraph a, if 19 enacted by 2011 Iowa Acts, House File 651, section 2, is 20 amended to read as follows: 21 a. The department, in consultation with the adjutant 22 general, shall design a civil war sesquicentennial 23 distinguishing processed emblem. Upon receipt of two hundred 24 fifty orders for special civil war sesquicentennial special 25 registration plates, accompanied by a start-up fee of twenty 26 dollars per order, the department shall begin issuing special 27 registration plates with a civil war sesquicentennial processed 28 emblem as provided in paragraph “b” . 29 Sec. 62. Section 327B.5, Code 2011, is amended to read as 30 follows: 31 327B.5 Penalty. 32 Any person violating the provisions of this chapter shall, 33 upon conviction, be subject to a scheduled fine as provided in 34 section 805.8A, subsection 13 , paragraphs paragraph “f” and “g” . 35 -28- LSB 2824XC (22) 84 tm/jp 28/ 102
S.F. _____ Sec. 63. Section 422.11O, subsection 5, paragraph a, 1 subparagraph (2), if enacted by 2011 Iowa Acts, Senate File 2 531, section 17, is amended to read as follows: 3 (2) The E-15 plus gasoline promotion tax credit pursuant to 4 section 422.11Y. 5 Sec. 64. Section 422.11Y, subsection 1, paragraph d, if 6 enacted by 2011 Iowa Acts, Senate File 531, section 35, is 7 amended to read as follows: 8 d. “Tax credit” means the E-15 plus gasoline promotion tax 9 credit as provided in this section. 10 Sec. 65. Section 422.11Y, subsection 3, unnumbered 11 paragraph 1, if enacted by 2011 Iowa Acts, Senate File 531, 12 section 35, is amended to read as follows: 13 The taxes imposed under this division, less the credits 14 allowed under section 422.12, shall be reduced by the amount of 15 the E-15 plus gasoline promotion tax credit for each tax year 16 that the taxpayer is eligible to claim a tax credit under this 17 subsection. 18 Sec. 66. Section 422.11Y, subsection 6, paragraph b, 19 subparagraph (2), if enacted by 2011 Iowa Acts, Senate File 20 531, section 35, is amended to read as follows: 21 (2) The retail dealer may claim the ethanol promotion 22 tax credit as provided in paragraph “a” for the same ethanol 23 gallonage used to calculate and claim the E-15 plus gasoline 24 promotion tax credit. 25 Sec. 67. Section 423.4, subsection 9, unnumbered paragraph 26 1, if enacted by 2011 Iowa Acts, Senate File 531, section 59, 27 is amended to read as follows: 28 A person who qualifies as a biodiesel producer as provided in 29 this subsection may apply to the director for a refund of the 30 amount of the sales or use tax imposed and paid upon purchases 31 made by the person. 32 Sec. 68. Section 483A.24A, Code 2011, as amended by 2011 33 Iowa Acts, Senate File 194, section 10, is amended to read as 34 follows: 35 -29- LSB 2824XC (22) 84 tm/jp 29/ 102
S.F. _____ 483A.24A License refunds —— military service. 1 Notwithstanding any provision of this chapter to the 2 contrary, a service member deployed for military service, both 3 as defined in section 29A.1, subsection 3 , shall receive a 4 refund of that portion of any license fee paid by the service 5 member representing the service member’s period of military 6 service. 7 Sec. 69. Section 501.101, subsection 01, as enacted by 2011 8 Iowa Acts, House File 348, section 7, is amended to read as 9 follows: 10 01. “Alternative voting method” means a method of voting 11 other than a written ballot, including voting by electronic, 12 telephonic, internet, or other means that reasonably allow 13 allows members the opportunity to vote. 14 Sec. 70. Section 501A.703, subsection 5, paragraph d, Code 15 2011, as amended by 2011 Iowa Acts, House File 348, section 19, 16 is amended to read as follows: 17 d. If the ballot of the member is received by the 18 cooperative on or before the date of the regular members’ 19 meeting or as otherwise prescribed for an alternative , voting 20 method, the ballot or alternative voting method shall be 21 accepted and counted as the vote of the absent member. 22 Sec. 71. Section 511.8, subsection 22, paragraph i, 23 unnumbered paragraph 1, as enacted by 2011 Iowa Acts, Senate 24 File 406, section 25, is amended to read as follows: 25 Securities held in the legal reserve of a life insurance 26 company or association pledged as collateral for financial 27 instruments used in highly effective hedging transactions as 28 defined in the national association of insurance commissioners’ 29 Statement statement of Statutory Accounting Principles No. 30 statutory accounting principles no. 86 shall continue to 31 be eligible for inclusion on in the legal reserve of the 32 life insurance company or association subject to all of the 33 following: 34 Sec. 72. Section 514J.109, subsection 3, paragraph f, 35 -30- LSB 2824XC (22) 84 tm/jp 30/ 102
S.F. _____ if enacted by 2011 Iowa Acts, House File 597, section 9, is 1 amended to read as follows: 2 f. The covered person or the covered person’s authorized 3 representative has provided all the information and forms 4 required by the commissioner that are necessary to process an 5 external review request pursuant to this section. 6 Sec. 73. Section 521F.4, subsection 1, paragraph b, as 7 enacted by 2011 Iowa Acts, Senate File 406, section 44, is 8 amended to read as follows: 9 b. The filing of a risk-based capital report by a health 10 organization which indicates that the health organization has 11 total adjusted capital which is greater than or equal to its 12 company-action-level risk-based capital but less than the 13 product of its authorized-control-level risk-based capital and 14 three and triggers the trend test determined in accordance with 15 the trend test calculations calculation included in the health 16 risk-based capital instructions. 17 Sec. 74. Section 524.310, subsection 5, paragraph b, Code 18 2011, as amended by 2011 Iowa Acts, Senate File 475, section 19 120, is amended to read as follows: 20 b. A corporate or company name reserved, registered, or 21 protected as provided in section 489.109, 490.402 , 490.403 , 22 490A.402 , 504.402 , or 504.403 . 23 Sec. 75. Section 717.3, subsection 5, paragraph b, Code 24 2011, as enacted by 2011 Iowa Acts, Senate File 478, section 6, 25 is amended to read as follows: 26 b. That the department shall assume supervision of and 27 provide for the sustenance of the livestock and as provided in 28 section 717.4. 29 Sec. 76. Section 717.4, subsection 2, as enacted by 2011 30 Iowa Acts, Senate File 478, section 7, is amended to read as 31 follows: 32 2. The court ordered lien shall be for the benefit of the 33 department. The amount of the lien shall not be not more than 34 for expenses incurred in providing sustenance to the livestock 35 -31- LSB 2824XC (22) 84 tm/jp 31/ 102
S.F. _____ pursuant to section 717.3 and providing for the disposition of 1 the livestock pursuant to section 717.5. 2 Sec. 77. Section 717.4A, as enacted by 2011 Iowa Acts, 3 Senate File 478, section 8, is amended to read as follows: 4 717.4A Livestock in immediate need of sustenance —— livestock 5 remediation fund. 6 The department may utilize the moneys deposited into the 7 livestock remediation fund pursuant to section 459.501 to pay 8 for any expenses associated with providing sustenance to or 9 the disposition of the livestock pursuant to a court order 10 entered pursuant to section 717.3 or 717.5. The department 11 shall utilize moneys from the fund only to the extent that 12 the department determines that expenses cannot be timely 13 paid by utilizing the available provisions of sections 717.4 14 and 717.5. The department shall deposit any unexpended and 15 unobligated moneys in the fund. The department shall pay to 16 the fund the proceeds from the disposition of the livestock and 17 associated products less expenses incurred by the department in 18 providing for the sustenance and disposition of the livestock, 19 as provided in section 717.5. 20 Sec. 78. Section 903A.5, subsection 1, as enacted by 2011 21 Iowa Acts, House File 271, section 3, is amended to read as 22 follows: 23 1. An inmate shall not be discharged from the custody 24 of the director of the Iowa department of corrections until 25 the inmate has served the full term for which the inmate was 26 sentenced, less earned time and other credits earned and not 27 forfeited, unless the inmate is pardoned or otherwise legally 28 released. Earned time accrued and not forfeited shall apply 29 to reduce a mandatory minimum sentence being served pursuant 30 to section 124.406 , 124.413 , 902.7 , 902.8 , 902.8A , or 902.11 . 31 An inmate shall be deemed to be serving the sentence from the 32 day on which the inmate is received into the institution. If 33 an inmate was confined to a county jail or other correctional 34 or mental facility at any time prior to sentencing, or after 35 -32- LSB 2824XC (22) 84 tm/jp 32/ 102
S.F. _____ sentencing but prior to the case having been decided on appeal, 1 because of failure to furnish bail or because of being charged 2 with a nonbailable offense, the inmate shall be given credit 3 for the days already served upon the term of the sentence. 4 However, if a person commits any offense while confined in a 5 county jail or other correctional or mental health facility, 6 the person shall not be granted jail credit for that offense. 7 Unless the inmate was confined in a correctional facility, 8 the sheriff of the county in which the inmate was confined 9 shall certify to the clerk of the district court from which 10 the inmate was sentenced and to the department of corrections’ 11 records administrator at the Iowa medical and classification 12 center the number of days so served. The department of 13 corrections’ records administrator, or the administrator’s 14 designee, shall apply jail credit as ordered by the court 15 of proper jurisdiction or as authorized by this section and 16 section 907.3, subsection 3 . 17 Sec. 79. EFFECTIVE DATES. 18 1. The section of this division of this Act amending section 19 422.11O, subsection 5, paragraph a, subparagraph (2), if 20 enacted by 2011 Iowa Acts, Senate File 531, section 17, takes 21 effect January 1, 2012. 22 2. Section 423.4, subsection 9, unnumbered paragraph 1, if 23 enacted by 2011 Iowa Acts, Senate File 531, section 59, takes 24 effect January 1, 2012. 25 Sec. 80. APPLICABILITY. 26 1. The section of this division of this Act amending section 27 422.11O, subsection 5, paragraph a, subparagraph (2), if 28 enacted by 2011 Iowa Acts, Senate File 531, section 17, applies 29 to tax years beginning on and after January 1, 2012. 30 2. The section of this division of this Act amending 31 section 422.11Y, subsection 1, paragraph d, if enacted by 2011 32 Iowa Acts, Senate File 531, section 35, applies to tax years 33 beginning on and after January 1, 2012, and to that part of a 34 retail dealer’s tax year or tax years occurring during that 35 -33- LSB 2824XC (22) 84 tm/jp 33/ 102
S.F. _____ portion of the calendar year beginning on and after July 1, 1 2011, and ending on December 31, 2011. 2 3. The section of this division of this Act amending section 3 422.11Y, subsection 3, unnumbered paragraph 1, if enacted by 4 2011 Iowa Acts, Senate File 531, section 35, applies to tax 5 years beginning on and after January 1, 2012, and to that part 6 of a retail dealer’s tax year or tax years occurring during 7 that portion of the calendar year beginning on and after July 8 1, 2011, and ending on December 31, 2011. 9 4. The section of this division of this Act amending section 10 422.11Y, subsection 6, paragraph b, subparagraph (2), if 11 enacted by 2011 Iowa Acts, Senate File 531, section 35, applies 12 to tax years beginning on and after January 1, 2012, and to 13 that part of a retail dealer’s tax year or tax years occurring 14 during that portion of the calendar year beginning on and after 15 July 1, 2011, and ending on December 31, 2011. 16 DIVISION VII 17 MISCELLANEOUS PROVISIONS AND APPROPRIATIONS 18 Sec. 81. VISION SCREENING PROGRAM —— DEPARTMENT OF PUBLIC 19 HEALTH. There is appropriated from the general fund of the 20 state to the department of public health for the fiscal year 21 beginning July 1, 2011, and ending June 30, 2012, the following 22 amount, or so much thereof as is necessary, to be used for the 23 purposes designated: 24 For a grant to a national affiliated volunteer eye 25 organization that has an established program for children and 26 adults and that is solely dedicated to preserving sight and 27 preventing blindness through education, nationally certified 28 vision screening and training, and community and patient 29 service programs: 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 100,000 31 Sec. 82. APPROPRIATION —— FARMERS WITH DISABILITIES. There 32 is appropriated from the general fund of the state to the 33 department of agriculture and land stewardship for the fiscal 34 year beginning July 1, 2011, and ending June 30, 2012, the 35 -34- LSB 2824XC (22) 84 tm/jp 34/ 102
S.F. _____ following amount, or so much thereof as is necessary, for a 1 program for farmers with disabilities: 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 97,000 3 The moneys appropriated in this section shall be used 4 for the public purpose of providing a grant to a national 5 nonprofit organization with over 80 years of experience in 6 assisting children and adults with disabilities and special 7 needs. The moneys shall be used to support a nationally 8 recognized program that began in 1986 and has been replicated 9 in at least 30 other states, but which is not available through 10 any other entity in this state, and that provides assistance 11 to farmers with disabilities in all 99 counties to allow the 12 farmers to remain in their own homes and be gainfully engaged 13 in farming through provision of agricultural worksite and home 14 modification consultations, peer support services, services 15 to families, information and referral, and equipment loan 16 services. Notwithstanding section 8.33, moneys appropriated 17 in this section that remain unencumbered or unobligated at the 18 close of the fiscal year shall not revert but shall remain 19 available for expenditure for the purposes designated until the 20 close of the succeeding fiscal year. 21 Sec. 83. APPROPRIATION —— BATTLESHIP IOWA, BB-61. 22 1. There is appropriated from the general fund of the state 23 to the department of cultural affairs for the fiscal year 24 beginning July 1, 2010, and ending June 30, 2011, the following 25 amount, or so much thereof as is necessary, to be credited to 26 the BB-61 fund created in 2010 Iowa Acts, chapter 1194: 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 28 2. If the department of the navy, pursuant to a process 29 outlined in a notice published in the federal register on 30 May 24, 2010, volume 75, number 99, awards possession or 31 conditionally awards possession of the battleship Iowa, 32 BB-61, to a nonprofit group that is eligible to receive the 33 battleship, the department of cultural affairs shall award a 34 grant to the nonprofit group in an amount equal to $3 million 35 -35- LSB 2824XC (22) 84 tm/jp 35/ 102
S.F. _____ in addition to any moneys awarded as a grant from the BB-61 1 fund. 2 3. Notwithstanding section 8.33, moneys appropriated in 3 this section that remain unencumbered or unobligated at the 4 close of the fiscal year shall not revert but shall remain 5 available for expenditure for the purposes designated for 6 succeeding fiscal years. 7 Sec. 84. GROUP HOME GRANT. There is appropriated from the 8 general fund of the state to the Iowa finance authority for the 9 fiscal year beginning July 1, 2010, and ending June 30, 2011, 10 the following amount, or so much thereof as is necessary, to be 11 used for the purposes designated: 12 For a grant to a nonprofit organization providing 13 residential services for persons with an intellectual 14 disability at the intermediate care facility level and services 15 under the medical assistance program habilitation and brain 16 injury home and community-based services waivers, that is 17 located in and providing such services in a county with a 18 population between 90,000 and 95,000, according to the latest 19 certified federal census: 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 100,000 21 The grant under this section shall be used for purchase or 22 remodeling costs to develop a group home for not more than four 23 individuals with intellectual disabilities or brain injury. 24 Notwithstanding section 8.33, moneys appropriated in this 25 section that remain unencumbered or unobligated at the close of 26 the fiscal year shall not revert but shall remain available for 27 expenditure for the purposes designated until the close of the 28 succeeding fiscal year. 29 Sec. 85. INVESTIGATIONS DIVISION OF DEPARTMENT OF 30 INSPECTIONS AND APPEALS —— CONTINGENT FTE AUTHORIZATION. If 31 Senate File 313 or successor legislation providing for debt 32 setoff or other recovery activities for nonpayment of premiums 33 pursuant to section 249A.3, subsection 2, paragraph “a”, 34 subparagraph (1), relating to a special income eligibility 35 -36- LSB 2824XC (22) 84 tm/jp 36/ 102
S.F. _____ group under the Medicaid program, or pursuant to section 1 249J.8, subsection 1, relating to the expansion population 2 eligibility group under the IowaCare program, is enacted by 3 the Eighty-fourth General Assembly, 2011 Session, in addition 4 to other full-time equivalent positions authorized for the 5 investigations division of the department of inspections and 6 appeals for the fiscal year beginning July 1, 2011, not more 7 than 2.00 FTEs are authorized, to the extent funded through 8 moneys available to the department of human services, to 9 be used to implement such provisions of Senate File 313 or 10 successor legislation. 11 Sec. 86. SPECIAL EDUCATION INSTRUCTIONAL PROGRAM. If a 12 school district that is participating on a contractual basis 13 in a special education instructional program operated by an 14 area education agency, in which the area education agency 15 employed teachers on behalf of the school district at the time 16 the department of management calculated the teacher salary 17 supplement cost per pupil under section 257.10, subsection 18 9, the professional development supplement cost per pupil 19 under section 257.10, subsection 10, the area education agency 20 teacher salary supplement cost per pupil under section 257.37A, 21 subsection 1, and the area education agency professional 22 development supplement cost per pupil under section 257.37A, 23 subsection 2, for the fiscal year beginning July 1, 2009, 24 terminates the contract for participation in the special 25 education instructional program, the area education agency 26 operating the program shall notify the department of management 27 of the contract termination by the following April 1. The 28 department of management shall recalculate the cost per 29 pupil amounts for the area education agency and the school 30 district for the fiscal year succeeding the notification 31 date for the teacher salary supplement cost per pupil under 32 section 257.10, subsection 9, the professional development 33 supplement cost per pupil under section 257.10, subsection 34 10, the area education agency teacher salary supplement cost 35 -37- LSB 2824XC (22) 84 tm/jp 37/ 102
S.F. _____ per pupil under section 257.37A, subsection 1, and the area 1 education agency professional development supplement cost 2 per pupil under section 257.37A, subsection 2, by estimating 3 the amount of the original allocations used in the cost per 4 pupil calculation that would have been allocated to the school 5 district rather than the area education agency had the special 6 education instructional program not existed, and the department 7 of management shall increase the annual supplement cost per 8 pupil for the school district and area education agency by the 9 appropriate allowable growth for the appropriate fiscal years. 10 Sec. 87. TASK FORCE ON THE PREVENTION OF SEXUAL ABUSE OF 11 CHILDREN. 12 1. A task force on the prevention of sexual abuse of 13 children is established consisting of the following members: 14 a. Four members of the general assembly serving as ex 15 officio, nonvoting members, with not more than one member from 16 each chamber being from the same political party. The two 17 senators shall be appointed, one each, by the majority leader 18 of the senate and by the minority leader of the senate. The two 19 representatives shall be appointed, one each, by the speaker of 20 the house of representatives and by the minority leader of the 21 house of representatives. 22 b. The director of human services or the director’s 23 designee. 24 c. The director of the department of education or the 25 director’s designee. 26 d. The director of public health or the director’s designee. 27 e. The state court administrator or the state court 28 administrator’s designee. 29 f. A representative of the Iowa county attorneys 30 association, appointed by the president of that association. 31 g. A representative of the chief juvenile court officers, 32 appointed by the chief justice of the supreme court. 33 h. A representative of the Iowa state education 34 association, appointed by the president of that organization. 35 -38- LSB 2824XC (22) 84 tm/jp 38/ 102
S.F. _____ i. A representative of prevent child abuse Iowa, appointed 1 by the director of human services. 2 j. A representative of school administrators of Iowa, 3 appointed by the president of that organization. 4 k. A representative of the Iowa association of school 5 boards, appointed by the executive director of that 6 organization. 7 l. A representative of the Iowa psychological association, 8 appointed by the president of that association. 9 m. A representative of the Iowa coalition against sexual 10 assault, appointed by the executive director of that coalition. 11 n. A representative of prevent child abuse Iowa, appointed 12 by the executive director of that organization. 13 o. A child abuse expert employed by or under contract with 14 one of Iowa’s nationally accredited child protection centers, 15 appointed by the director of the regional child protection 16 center located in Des Moines. 17 2. Members of the task force shall be individuals who are 18 actively involved in the fields of child abuse prevention. To 19 the extent possible, appointment of members shall reflect the 20 geographic diversity of the state. The voting members of the 21 task force shall serve without compensation and shall not be 22 reimbursed for their expenses. 23 3. The director of prevent child abuse Iowa, or the 24 director’s designee, shall convene the organizational meeting 25 of the task force. The task force shall elect from among 26 its members a chairperson. Meetings shall be held at the 27 call of the chairperson or at the request of two or more task 28 force members. Six members shall constitute a quorum and the 29 affirmative vote of six members shall be necessary for any 30 action taken by the task force. 31 4. Prevent child abuse Iowa shall provide staff support to 32 the task force. 33 5. The task force shall consult with employees of the 34 department of human services, the Iowa coalition against sexual 35 -39- LSB 2824XC (22) 84 tm/jp 39/ 102
S.F. _____ assault, the department of public safety, the state board 1 of education, and any other state agency or department as 2 necessary to accomplish the task force’s responsibilities under 3 this section. 4 6. The task force shall develop a model policy addressing 5 sexual abuse of children that may include but is not limited 6 to the following: 7 a. Age-appropriate curricula for students enrolled in 8 prekindergarten through grade five. 9 b. Training options for school personnel on child sexual 10 abuse. 11 c. Educational information for parents and guardians that 12 may be provided in a school handbook and may include the 13 warning signs of a child being abused, along with any needed 14 assistance, referral, or resource information. 15 d. Counseling options and resources available statewide for 16 students affected by sexual abuse. 17 e. Emotional and educational support services that may 18 be available for a child subject to abuse to continue to be 19 successful in school. 20 f. Methods for increasing teacher, student, and parent 21 awareness of issues regarding sexual abuse of children, 22 including but not limited to knowledge of likely warning signs 23 indicating that a child may be a victim of sexual abuse. 24 g. Actions that a child who is a victim of sexual abuse 25 should take to obtain assistance and intervention. 26 7. The task force shall make recommendations for preventing 27 the sexual abuse of children in Iowa. In making those 28 recommendations, the task force shall do the following: 29 a. Gather information concerning child sexual abuse 30 throughout the state. 31 b. Receive reports and testimony from individuals, state 32 and local agencies, community-based organizations, and other 33 public and private organizations. 34 c. Create goals for state policy that would prevent child 35 -40- LSB 2824XC (22) 84 tm/jp 40/ 102
S.F. _____ sexual abuse. 1 d. Submit a final report with its recommendations to the 2 governor and the general assembly on or before January 16, 3 2012. The recommendations may include proposals for specific 4 statutory changes and methods to foster cooperation among state 5 agencies and between the state, local school districts, and 6 other local governments. 7 Sec. 88. RAILROAD COMPANY —— LIMITED LIABILITY. A railroad 8 company which alters facilities described in section 327F.2 9 pursuant to a written agreement executed on or before December 10 31, 2012, with a political subdivision with a population of 11 more than 67,800, but less than 67,900, according to the 2010 12 certified federal census, to construct a flood mitigation 13 project shall receive the limitation on liability contained 14 in section 670.4, subsection 8, for its facilities described 15 in section 327F.2 governed by the written agreement for any 16 damages caused by the alteration due to a flood. 17 Sec. 89. STATE AGENCY OFFICE SUPPLIES PURCHASE, 18 EQUIPMENT PURCHASES, PRINTING AND BINDING, AND MARKETING 19 —— APPLICABILITY. The limitation on expenditures made for 20 office supplies, purchases of equipment, office equipment, and 21 equipment noninventory, printing and binding, and marketing 22 implemented pursuant to 2011 Iowa Acts, House File 45, section 23 2, does not apply to a department or agency receiving a 24 supplemental appropriation for the fiscal year beginning July 25 1, 2010, pursuant to 2011 Iowa Acts, Senate File 209, division 26 III. 27 Sec. 90. ELECTIONS-RELATED SOFTWARE. 28 Any computer software developed by a county for purposes of 29 election activities is the property of the county unless the 30 county sells the rights to the software. 31 Sec. 91. EFFECTIVE DATE —— 2011 IOWA ACTS, SENATE FILE 205. 32 1. 2011 Iowa Acts, Senate File 205, section 3, amending 33 section 321.47, subsection 2, being deemed of immediate 34 importance, takes effect on the effective date of this section 35 -41- LSB 2824XC (22) 84 tm/jp 41/ 102
S.F. _____ of this division of this Act. 1 2. 2011 Iowa Acts, Senate File 205, section 4, enacting 2 section 321.113, subsection 5, being deemed of immediate 3 importance, takes effect on the effective date of this section 4 of this division of this Act. 5 3. 2011 Iowa Acts, Senate File 205, section 5, amending 6 section 321.121, subsection 1, paragraph “b”, being deemed of 7 immediate importance, takes effect on the effective date of 8 this section of this division of this Act. 9 4. 2011 Iowa Acts, Senate File 205, section 6, enacting 10 section 321.122, subsection 1, paragraph “b”, subparagraph 11 (3), being deemed of immediate importance, takes effect on the 12 effective date of this section of this division of this Act. 13 Sec. 92. Section 80B.6, subsection 1, as amended by 2011 14 Iowa Acts, Senate File 236, section 1, is amended to read as 15 follows: 16 1. An Iowa law enforcement academy council is created 17 consisting of the following thirteen fifteen voting members 18 appointed by the governor, subject to confirmation by the 19 senate, to terms of four years commencing as provided in 20 section 69.19 : 21 a. Three residents of the state. 22 b. A sheriff of a county with a population of fifty thousand 23 persons or more who is a member of the Iowa state sheriffs and 24 deputies association. 25 c. A sheriff of a county with a population of less than 26 fifty thousand persons who is a member of the Iowa state 27 sheriffs and deputies association. 28 d. A deputy sheriff of a county who is a member of the Iowa 29 state sheriffs and deputies association. 30 e. A member of the Iowa peace officers association. 31 f. A member of the Iowa state police association. 32 g. A member of the Iowa police chiefs association. 33 h. A police officer who is a member of a police department 34 of a city with a population of fifty thousand persons or more. 35 -42- LSB 2824XC (22) 84 tm/jp 42/ 102
S.F. _____ i. A police officer who is a member of a police department 1 of a city with a population of less than fifty thousand 2 persons. 3 j. A member of the department of public safety. 4 k. A member of the office of motor vehicle enforcement of 5 the department of transportation. 6 l. An employee of a county conservation board who is a 7 certified peace officer. 8 m. A conservation peace officer employed under section 9 456A.13. 10 Sec. 93. Section 256C.5, subsection 1, paragraph c, Code 11 2011, is amended to read as follows: 12 c. “Preschool budget enrollment” means the figure that 13 is equal to sixty fifty percent of the actual enrollment of 14 eligible students in the preschool programming provided by 15 a school district approved to participate in the preschool 16 program on October 1 of the base year, or the first Monday in 17 October if October 1 falls on a Saturday or Sunday. 18 Sec. 94. Section 279.51, subsection 2, Code 2011, is amended 19 to read as follows: 20 2. a. Funds allocated under subsection 1 , paragraph “b” , 21 shall be used by the child development coordinating council for 22 the following: 23 a. (1) To continue funding for programs previously 24 funded by grants awarded under section 256A.3 and to provide 25 additional grants under section 256A.3 . The council shall seek 26 to provide grants on the basis of the location within the state 27 of children meeting at-risk definitions. 28 b. (2) At the discretion of the child development 29 coordinating council, award grants for the following: 30 (1) (a) To school districts to establish programs for 31 three-year-old, four-year-old, and five-year-old at-risk 32 children which are a combination of preschool and full-day 33 kindergarten. 34 (2) (b) To provide grants to provide educational support 35 -43- LSB 2824XC (22) 84 tm/jp 43/ 102
S.F. _____ services to parents of at-risk children age birth through three 1 years. 2 b. A grantee under this subsection may direct the use of 3 moneys received to serve any qualifying child ranging in age 4 from three years old to five years old, regardless of the age 5 of population indicated on the grant request in its initial 6 year of application. A grantee is encouraged to consider the 7 degree to which the program complements existing programs and 8 services for three-year-old, four-year-old, and five-year-old 9 at-risk children available in the area, including other child 10 care and preschool services, services provided through a school 11 district, and services available through an area education 12 agency. 13 Sec. 95. Section 303.19A, subsection 1, as enacted by 2011 14 Iowa Acts, House File 267, section 2, is amended to read as 15 follows: 16 1. The state historic preservation officer shall only 17 recommend that a rural electric cooperative or a municipal 18 utility constructing electric distribution and transmission 19 facilities for which it is receiving federal funding conduct 20 an archeological site survey of its proposed route when, based 21 upon a review of existing information on historic properties 22 within the area of potential effects of the construction, the 23 state historic preservation officer has determined that a 24 historic property, as defined by the federal National Historic 25 Preservation Act of 1966, as amended, is likely to exist within 26 the proposed route. 27 Sec. 96. Section 321J.2, subsection 4, paragraph b, Code 28 2011, is amended to read as follows: 29 b. Assessment of a minimum fine of one thousand eight 30 hundred fifty seventy-five dollars and a maximum fine of six 31 thousand two hundred fifty dollars. Surcharges and fees shall 32 be assessed pursuant to chapter 911 . 33 Sec. 97. Section 453A.35, subsection 1, Code 2011, is 34 amended to read as follows: 35 -44- LSB 2824XC (22) 84 tm/jp 44/ 102
S.F. _____ 1. a. The With the exception of revenues credited to the 1 health care trust fund pursuant to paragraph “b” , the proceeds 2 derived from the sale of stamps and the payment of taxes, fees, 3 and penalties provided for under this chapter , and the permit 4 fees received from all permits issued by the department, shall 5 be credited to the general fund of the state. However, of 6 b. Of the revenues generated from the tax on cigarettes 7 pursuant to section 453A.6, subsection 1 , and from the tax on 8 tobacco products as specified in section 453A.43, subsections 9 1, 2, 3, and 4 , and credited to the general fund of the state 10 under this subsection , there is appropriated, annually, to the 11 health care trust fund created in section 453A.35A , the first 12 one hundred six million sixteen thousand four hundred dollars 13 shall be credited to the health care trust fund created in 14 section 453A.35A . 15 Sec. 98. Section 453A.35A, subsection 1, Code 2011, is 16 amended to read as follows: 17 1. A health care trust fund is created in the office of 18 the treasurer of state. The fund consists of the revenues 19 generated from the tax on cigarettes pursuant to section 20 453A.6, subsection 1 , and from the tax on tobacco products 21 as specified in section 453A.43 , subsections 1, 2, 3, and 22 4 , that are credited to the general fund of the state and 23 appropriated to the health care trust fund, annually, pursuant 24 to section 453A.35 . Moneys in the fund shall be separate from 25 the general fund of the state and shall not be considered 26 part of the general fund of the state. However, the fund 27 shall be considered a special account for the purposes of 28 section 8.53 relating to generally accepted accounting 29 principles. Moneys in the fund shall be used only as specified 30 in this section and shall be appropriated only for the uses 31 specified. Moneys in the fund are not subject to section 8.33 32 and shall not be transferred, used, obligated, appropriated, 33 or otherwise encumbered, except as provided in this section . 34 Notwithstanding section 12C.7, subsection 2 , interest or 35 -45- LSB 2824XC (22) 84 tm/jp 45/ 102
S.F. _____ earnings on moneys deposited in the fund shall be credited to 1 the fund. 2 Sec. 99. Section 466B.31, subsection 2, paragraph a, Code 3 2011, is amended by adding the following new subparagraphs: 4 NEW SUBPARAGRAPH . (17) One member selected by the 5 agribusiness association of Iowa. 6 NEW SUBPARAGRAPH . (18) One member selected by the Iowa 7 floodplain and stormwater management association. 8 NEW SUBPARAGRAPH . (19) One member selected by Iowa rivers 9 revival. 10 Sec. 100. Section 537A.5, subsection 1, as enacted by 2011 11 Iowa Acts, Senate File 396, section 1, is amended to read as 12 follows: 13 1. As used in this section , “construction contract” 14 means an agreement relating to the construction, alteration, 15 improvement, development, demolition, excavation, 16 rehabilitation, maintenance, or repair of buildings, highways, 17 roads, streets, bridges, tunnels, transportation facilities, 18 airports, water or sewage treatment plants, power plants, 19 or any other improvements to real property in this state, 20 including shafts, wells, and structures, whether on ground, 21 above ground, or underground, and includes agreements for 22 architectural services, design services, engineering services, 23 construction services, construction management services, 24 development services, maintenance services, material purchases, 25 equipment rental, and labor. “Construction contract” includes 26 all public, private, foreign, or domestic agreements as 27 described in this subsection other than such public agreements 28 relating to highways, roads, and streets. 29 Sec. 101. Section 654.4B, subsection 2, paragraph b, Code 30 2011, is amended to read as follows: 31 b. This subsection is repealed July 1, 2011 2012 . 32 Sec. 102. APPLICABILITY. The section of this division of 33 this Act amending section 256C.5, subsection 1, takes effect 34 upon enactment, and applies to budget years beginning on or 35 -46- LSB 2824XC (22) 84 tm/jp 46/ 102
S.F. _____ after July 1, 2011. 1 Sec. 103. EFFECTIVE UPON ENACTMENT. The following 2 provision or provisions of this division of this Act, being 3 deemed of immediate importance, take effect upon enactment: 4 1. The section of this division of this Act amending section 5 303.19A. 6 2. The section of this division of this Act amending section 7 654.4B. 8 3. The section of this division of this Act appropriating 9 moneys to the department of cultural affairs for purposes of a 10 grant for the battleship Iowa, BB-61. 11 4. The section of this division of this Act creating a task 12 force on the prevention of sexual abuse of children. 13 5. The section of this division of this Act providing 14 effective dates for certain provisions in 2011 Iowa Acts, 15 Senate File 205. 16 6. The section in this division of this Act making an 17 appropriation to the Iowa finance authority for a group home 18 grant. 19 7. The section of this division of this Act relating to 20 a school district participating on a contractual basis in a 21 special education instructional program operated by an area 22 education agency. 23 Sec. 104. EFFECTIVE UPON ENACTMENT AND RETROACTIVE 24 APPLICABILITY. The provision of this division of this Act 25 relating to a limitation on state agency office supplies 26 purchase, equipment purchases, printing and binding, and 27 marketing as enacted by 2011 Iowa Acts, House File 45, being 28 deemed of immediate importance, takes effect upon enactment and 29 applies retroactively to March 7, 2011. 30 DIVISION VIII 31 APPROPRIATION TRANSFERS 32 REBUILD IOWA INFRASTRUCTURE FUND 33 Sec. 105. 2010 Iowa Acts, chapter 1184, section 26, is 34 amended to read as follows: 35 -47- LSB 2824XC (22) 84 tm/jp 47/ 102
S.F. _____ SEC. 26. There is appropriated from the rebuild Iowa 1 infrastructure fund to the department of economic development 2 for deposit in the grow Iowa values fund, for the fiscal year 3 beginning July 1, 2010, and ending June 30, 2011, the following 4 amount, notwithstanding section 8.57, subsection 6 , paragraph 5 “c”: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 38,000,000 7 Of the moneys appropriated in this section, from the 8 amount allocated to the department of economic development 9 in accordance with 2010 Iowa Acts, chapter 1184, section 28, 10 subsection 1, $1,200,000 shall be used for the department’s 11 Iowans helping Iowans business assistance program. 12 Notwithstanding section 8.33, moneys designated pursuant 13 to this unnumbered paragraph that remain unencumbered or 14 unobligated at the close of the fiscal year shall not revert 15 but shall remain available for expenditure for the purposes 16 designated until the close of the succeeding fiscal year. 17 CASH RESERVE FUND 18 Sec. 106. 2010 Iowa Acts, chapter 1193, section 90, 19 subsection 1, is amended to read as follows: 20 1. DEPARTMENT OF HUMAN SERVICES 21 For the medical assistance program: 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $187,800,000 23 a. Of the moneys appropriated in this subsection, the 24 following amounts shall be transferred as follows: 25 (1) To the Iowa finance authority to be used for the Iowans 26 helping Iowans housing assistance program: 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,050,000 28 (2) To the department of human services to be used for the 29 unmet needs program administered by the department: 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,056,603 31 b. Notwithstanding section 8.33, moneys transferred 32 pursuant to paragraph “a” that remain unencumbered or 33 unobligated at the close of the fiscal year shall not revert 34 but shall remain available for expenditure for the purposes 35 -48- LSB 2824XC (22) 84 tm/jp 48/ 102
S.F. _____ designated until the close of the succeeding fiscal year. 1 Sec. 107. EFFECTIVE DATE —— APPLICABILITY. 2 1. This division of this Act being deemed of immediate 3 importance takes effect upon enactment, and if approved by the 4 governor on or after July 1, 2011, are retroactively applicable 5 to the date specified in subsection 2. 6 2. The provisions of this division of this Act providing 7 for transfers are retroactively applicable to August 27, 8 2010, and apply in lieu of the transfers made for the same 9 purposes by the executive branch, as reported by the department 10 of management in the transfer notice to the governor and 11 lieutenant governor dated August 27, 2010. 12 DIVISION IX 13 REORGANIZATION 14 Sec. 108. NEW SECTION . 8.75 Contract services —— training. 15 1. Each department, as defined in section 8.2, shall 16 separately track the budget and actual expenditures for 17 contract services and for employee training for each 18 appropriation line item. 19 2. The terms of the contracts for contracted services 20 entered into or revised during the fiscal year shall 21 incorporate quality assurance and cost control measures. 22 3. The employee training tracking information shall be 23 further divided into training categories. Each department’s 24 report on training tracking shall specifically address the use 25 of electronically based training. 26 4. Each department shall report to the legislative services 27 agency on January 15 and July 15 of each year concerning 28 the budget, expenditure, quality assurance, and cost control 29 information addressed by this section for the previous six 30 calendar months. 31 Sec. 109. NEW SECTION . 8A.319 State government purchasing 32 efforts —— department of administrative services. 33 In order to facilitate efficient and cost-effective 34 purchasing, the department of administrative services shall do 35 -49- LSB 2824XC (22) 84 tm/jp 49/ 102
S.F. _____ the following: 1 1. Require state agencies to provide the department with 2 a report regarding planned purchases on an annual basis and 3 to report on an annual basis regarding efforts to standardize 4 products and services within their own agencies and with other 5 state agencies. 6 2. Require state employees who conduct bids for services to 7 receive training on an annual basis about procurement rules and 8 procedures and procurement best practices. 9 3. Identify procurement compliance employees within the 10 department. 11 4. Review the process and basis for establishing 12 departmental fees for purchasing. 13 5. Establish a work group to collaborate on best practices 14 to implement the best cost savings for the state concerning 15 purchasing. 16 6. Explore interstate and intergovernmental purchasing 17 opportunities and encourage the legislative and judicial 18 branches to participate in consolidated purchasing and 19 efficiencies wherever possible. 20 7. Expand the use of procurement cards throughout state 21 government to facilitate purchasing of items by state agencies. 22 Sec. 110. DEPARTMENT OF ADMINISTRATIVE SERVICES INFORMATION 23 TECHNOLOGY —— UTILIZATION BY LEGISLATIVE AND JUDICIAL 24 BRANCH. The department of administrative services shall 25 consult with and explore opportunities with the legislative 26 and judicial branches of government relative to the providing 27 of information technology services to those branches of 28 government. 29 Sec. 111. STATE AGENCY ELECTRONIC RENEWAL NOTICES. State 30 agencies, as defined in section 8A.101, should, to the greatest 31 extent possible, utilize electronic mail or similar electronic 32 means to notify holders of licenses or permits issued by that 33 state agency that the license or permit needs to be renewed. 34 The chief information officer of the state shall assist state 35 -50- LSB 2824XC (22) 84 tm/jp 50/ 102
S.F. _____ agencies in implementing the directive in this section. 1 Sec. 112. STATE AGENCY EFFICIENCY EFFORTS. 2 1. LEAN EFFORTS. State agencies shall budget for and plan 3 to conduct lean projects as described in section 8.70. Each 4 state agency shall coordinate its activities with the office of 5 lean enterprise created in section 8.70 in developing plans to 6 conduct lean projects. 7 2. SHARED RESOURCES. State agencies are encouraged to 8 share resources and services, including staff, training, and 9 educational services, to the greatest extent possible in order 10 to best fulfill the duties of each agency at the least cost. 11 Sec. 113. JOINT APPROPRIATIONS SUBCOMMITTEES —— REVIEW OF 12 AGENCY FEES. Each joint appropriations subcommittee of the 13 general assembly shall examine and review on an annual basis 14 the fees charged by state agencies under the purview of that 15 joint appropriations subcommittee. 16 Sec. 114. DEPARTMENT OF ADMINISTRATIVE SERVICES —— 17 STREAMLINED HIRING. The department of administrative services 18 shall, in consultation with the department of management, 19 examine the process by which state agencies hire personnel 20 with the goal of simplifying and reducing the steps needed 21 for state agencies to hire personnel. The department shall 22 provide information to the general assembly concerning steps 23 taken to implement a more streamlined hiring process and any 24 recommendations for legislative action. 25 Sec. 115. TOBACCO RETAIL COMPLIANCE CHECKS. For the 26 fiscal year beginning July 1, 2011, and ending June 30, 2012, 27 the terms of a chapter 28D agreement, entered into between 28 the division of tobacco use prevention and control of the 29 department of public health and the alcoholic beverages 30 division of the department of commerce, governing compliance 31 checks conducted to ensure licensed retail tobacco outlet 32 conformity with tobacco laws, regulations, and ordinances 33 relating to persons under eighteen years of age, shall restrict 34 the number of such checks to one check per retail outlet, and 35 -51- LSB 2824XC (22) 84 tm/jp 51/ 102
S.F. _____ one additional check for any retail outlet found to be in 1 violation during the first check. 2 Sec. 116. DEPARTMENT OF ADMINISTRATIVE SERVICES —— 3 CENTRALIZED PAYROLL SYSTEM. The department of administrative 4 services shall examine the possibility of merging all state 5 payroll systems into the centralized payroll system operated 6 by the department. The department shall consult with those 7 entities of state government not utilizing the centralized 8 payroll system, including but not limited to the state 9 department of transportation, about strategies for encouraging 10 utilization of the state’s centralized payroll system and by 11 identifying those barriers preventing merging of the payroll 12 systems. The department shall provide information to the joint 13 appropriations subcommittee on administration and regulation 14 concerning efforts by the department to merge payroll systems 15 and any recommendations for legislative action to encourage, or 16 eliminate barriers to, the provision of payroll services by the 17 department to other state agencies. 18 DIVISION X 19 MEDICATION THERAPY MANAGEMENT 20 Sec. 117. 2010 Iowa Acts, chapter 1193, section 166, 21 subsections 2 and 3, are amended to read as follows: 22 2. a. Prior to July 1, 2010, the department of 23 administrative services shall utilize a request for proposals 24 process to contract for the provision of medication therapy 25 management services beginning July 1, 2010, and prior to July 26 1, 2011, shall amend the contract to continue the provision of 27 medication therapy management services beginning July 1, 2011, 28 for eligible employees who meet any of the following criteria: 29 (1) An individual who takes four or more prescription drugs 30 to treat or prevent two or more chronic medical conditions. 31 (2) An individual with a prescription drug therapy problem 32 who is identified by the prescribing physician or other 33 appropriate prescriber, and referred to a pharmacist for 34 medication therapy management services. 35 -52- LSB 2824XC (22) 84 tm/jp 52/ 102
S.F. _____ (3) An individual who meets other criteria established by 1 the third-party payment provider contract, policy, or plan. 2 b. The department of administrative services shall 3 utilize an advisory committee comprised of an equal number of 4 physicians and pharmacists to provide advice and oversight 5 regarding the request for proposals and evaluation processes. 6 The department shall appoint the members of the advisory 7 council based upon designees of the Iowa pharmacy association, 8 the Iowa medical society, and the Iowa osteopathic medical 9 association. 10 c. b. The contract shall require the company to provide 11 annual reports to the general assembly detailing the costs, 12 savings, estimated cost avoidance and return on investment, 13 and patient outcomes related to the medication therapy 14 management services provided. The company shall guarantee 15 demonstrated annual savings, including any savings associated 16 with cost avoidance at least equal to the program’s costs 17 with any shortfall amount refunded to the state. As a proof 18 of concept in the program for the period beginning July 1, 19 2010, and ending June 30, 2011, the company shall offer a 20 dollar-for-dollar guarantee for drug product costs savings 21 alone. Prior to entering into a contract with a company, 22 the department and the company shall agree on the terms, 23 conditions, and applicable measurement standards associated 24 with the demonstration of savings. The department shall verify 25 the demonstrated savings reported by the company was performed 26 in accordance with the agreed upon measurement standards. The 27 company shall be prohibited from using the company’s employees 28 to provide the medication therapy management services and shall 29 instead be required to contract with licensed pharmacies, 30 pharmacists, or physicians. 31 d. The fees for pharmacist-delivered medication therapy 32 management services shall be separate from the reimbursement 33 for prescription drug product or dispensing services; shall 34 be determined by each third-party payment provider contract, 35 -53- LSB 2824XC (22) 84 tm/jp 53/ 102
S.F. _____ policy, or plan; and must be reasonable based on the resources 1 and time required to provide the service. 2 e. A fee shall be established for physician reimbursement 3 for services delivered for medication therapy management as 4 determined by each third-party payment provider contract, 5 policy, or plan, and must be reasonable based on the resources 6 and time required to provide the service. 7 f. If any part of the medication therapy management 8 plan developed by a pharmacist incorporates services which 9 are outside the pharmacist’s independent scope of practice 10 including the initiation of therapy, modification of dosages, 11 therapeutic interchange, or changes in drug therapy, the 12 express authorization of the individual’s physician or other 13 appropriate prescriber is required. 14 g. For the contract period beginning July 1, 2011, the 15 department shall utilize the services of the college of 16 pharmacy at a state university to validate reported drug cost 17 savings. 18 h. The results of the pilot program for the period beginning 19 July 1, 2010, and ending December 31, 2011, shall be submitted 20 to the general assembly no later than March 1, 2012. 21 3. This section is repealed December 31, 2011 2012 . 22 Sec. 118. TRANSFER —— MEDICATION THERAPY MANAGEMENT 23 PROGRAM. There is transferred $510,000 from the fees collected 24 by the board of pharmacy pursuant to chapter 155A and retained 25 by the board pursuant to the authority granted in section 26 147.82 to the department of administrative services for the 27 fiscal year beginning July 1, 2011, and ending June 30, 2012, 28 to be used to be used for the medication therapy management 29 program. 30 Sec. 119. EFFECTIVE UPON ENACTMENT AND RETROACTIVE 31 APPLICABILITY. This division of this Act, being deemed of 32 immediate importance, takes effect upon enactment, and is 33 retroactively applicable to June 15, 2011. 34 DIVISION XI 35 -54- LSB 2824XC (22) 84 tm/jp 54/ 102
S.F. _____ EARNED INCOME TAX CREDIT 1 Sec. 120. Section 422.12B, subsection 1, Code 2011, is 2 amended to read as follows: 3 1. The taxes imposed under this division less the credits 4 allowed under section 422.12 shall be reduced by an earned 5 income credit equal to seven ten percent of the federal earned 6 income credit provided in section 32 of the Internal Revenue 7 Code. Any credit in excess of the tax liability is refundable. 8 Sec. 121. RETROACTIVE APPLICABILITY. This division of this 9 Act applies retroactively to January 1, 2011, for tax years 10 beginning on or after that date. 11 DIVISION XII 12 REGULAR PROGRAM AND CATEGORICAL STATE PERCENT 13 OF GROWTH FOR EDUCATION —— FY 2012-2013 14 Sec. 122. Section 257.8, subsection 1, Code 2011, is amended 15 to read as follows: 16 1. State percent of growth. The state percent of growth 17 for the budget year beginning July 1, 2009, is four percent. 18 The state percent of growth for the budget year beginning July 19 1, 2010, is two percent. The state percent of growth for the 20 budget year beginning July 1, 2012, is three percent. The 21 state percent of growth for each subsequent budget year shall 22 be established by statute which shall be enacted within thirty 23 days of the submission in the year preceding the base year of 24 the governor’s budget under section 8.21 . The establishment of 25 the state percent of growth for a budget year shall be the only 26 subject matter of the bill which enacts the state percent of 27 growth for a budget year. 28 Sec. 123. Section 257.8, subsection 2, Code 2011, is amended 29 to read as follows: 30 2. Categorical state percent of growth. The categorical 31 state percent of growth for the budget year beginning July 1, 32 2010, is two percent. The categorical state percent of growth 33 for the budget year beginning July 1, 2012, is three percent. 34 The categorical state percent of growth for each budget year 35 -55- LSB 2824XC (22) 84 tm/jp 55/ 102
S.F. _____ shall be established by statute which shall be enacted within 1 thirty days of the submission in the year preceding the 2 base year of the governor’s budget under section 8.21 . The 3 establishment of the categorical state percent of growth for a 4 budget year shall be the only subject matter of the bill which 5 enacts the categorical state percent of growth for a budget 6 year. The categorical state percent of growth may include 7 state percents of growth for the teacher salary supplement, the 8 professional development supplement, and the early intervention 9 supplement. 10 Sec. 124. CODE SECTION 257.8 —— APPLICABILITY. The 11 requirements of section 257.8 regarding the time period 12 of enactment and the subject matter of the legislation 13 establishing the state percent of growth and the categorical 14 state percent of growth for a budget year are not applicable 15 to the division. The requirements of section 257.8 regarding 16 enactment of the regular program state percent of growth and 17 categorical state percent of growth within thirty days of 18 the submission in the year preceding the base year of the 19 governor’s budget and the requirements that the subject matter 20 of each bill establishing the state percent of growth or the 21 categorical state percent of growth be the only subject matter 22 of the bill do not apply to this division of this Act. 23 Sec. 125. APPLICABILITY. This division of this Act is 24 applicable for computing state aid under the state school 25 foundation program for the school budget year beginning July 26 1, 2012. 27 DIVISION XIII 28 WITHHOLDING AGREEMENTS 29 Sec. 126. Section 403.19A, subsection 1, paragraphs c and f, 30 Code 2011, are amended to read as follows: 31 c. “Employer” means a business creating or retaining 32 targeted jobs in an urban renewal area of a pilot project city 33 pursuant to a withholding agreement. 34 f. “Targeted job” means a job in a business which is or 35 -56- LSB 2824XC (22) 84 tm/jp 56/ 102
S.F. _____ will be located in an urban renewal area of a pilot project 1 city that pays a wage at least equal to the countywide average 2 wage. “Targeted job” includes new or retained jobs from Iowa 3 business expansions or retentions within the city limits of the 4 pilot project city and those jobs resulting from established 5 out-of-state businesses, as defined by the department of 6 economic development, moving to or expanding in Iowa. 7 Sec. 127. Section 403.19A, subsection 3, paragraph c, 8 subparagraph (1), Code 2011, is amended to read as follows: 9 (1) The pilot project city shall enter into a withholding 10 agreement with each employer concerning the targeted jobs 11 withholding credit. The withholding agreement shall provide 12 for the total amount of withholding tax credits awarded. An 13 agreement shall not provide for an amount of withholding 14 credits that exceeds the amount of the qualifying investment 15 made in the project. An agreement shall not be entered into 16 by a pilot project city with a business currently located in 17 this state unless the business either creates or retains ten 18 new jobs or makes a qualifying investment of at least five 19 hundred thousand dollars within the urban renewal area. The 20 withholding agreement may have a term of up to ten years. An 21 employer shall not be obligated to enter into a withholding 22 agreement. An agreement shall not be entered into with an 23 employer not already located in a pilot project city when 24 another Iowa community is competing for the same project and 25 both the pilot project city and the other Iowa community are 26 seeking assistance from the department. 27 Sec. 128. Section 403.19A, subsection 3, paragraph f, Code 28 2011, is amended to read as follows: 29 f. If the employer ceases to meet the requirements of the 30 withholding agreement, the agreement shall be terminated and 31 any withholding tax credits for the benefit of the employer 32 shall cease. However, in regard to the number of new jobs 33 that are to be created or retained , if the employer has met 34 the number of new jobs to be created or retained pursuant to 35 -57- LSB 2824XC (22) 84 tm/jp 57/ 102
S.F. _____ the withholding agreement and subsequently the number of new 1 jobs falls below the required level, the employer shall not 2 be considered as not meeting the new job requirement until 3 eighteen months after the date of the decrease in the number of 4 new jobs created or retained . 5 Sec. 129. EFFECTIVE UPON ENACTMENT AND RETROACTIVE 6 APPLICABILITY. This division of this Act, being deemed of 7 immediate importance, takes effect upon enactment and applies 8 retroactively to July 1, 2006, for agreements entered into on 9 or after that date. 10 DIVISION XIV 11 SCHOOL EMPLOYEE MISCONDUCT 12 Sec. 130. Section 272.2, subsection 1, paragraph b, Code 13 2011, is amended by striking the paragraph and inserting in 14 lieu thereof the following: 15 b. Provide annually to any person who holds a license, 16 certificate, authorization, or statement of recognition 17 issued by the board, training relating to the knowledge and 18 understanding of the board’s code of professional conduct and 19 ethics. The board shall develop a curriculum that addresses 20 the code of professional conduct and ethics and shall annually 21 provide regional training opportunities throughout the state. 22 Sec. 131. Section 272.15, subsection 1, Code 2011, is 23 amended to read as follows: 24 1. a. The board of directors of a school district or area 25 education agency, the superintendent of a school district or 26 the chief administrator of an area education agency, and the 27 authorities in charge of a nonpublic school shall report to the 28 board the nonrenewal or termination, for reasons of alleged 29 or actual misconduct, of a person’s contract executed under 30 sections 279.12 , 279.13 , 279.15 through 279.21 , 279.23 , and 31 279.24 , and the resignation of a person who holds a license, 32 certificate, or authorization issued by the board as a result 33 of or following an incident or allegation of misconduct that, 34 if proven, would constitute a violation of the rules adopted 35 -58- LSB 2824XC (22) 84 tm/jp 58/ 102
S.F. _____ by the board to implement section 272.2, subsection 14 , 1 paragraph “b” , subparagraph (1), when the board or reporting 2 official has a good faith belief that the incident occurred 3 or the allegation is true. The board may deny a license or 4 revoke the license of an administrator if the board finds by 5 a preponderance of the evidence that the administrator failed 6 to report the termination or resignation of a school employee 7 holding a license, certificate, statement of professional 8 recognition, or coaching authorization, for reasons of alleged 9 or actual misconduct, as defined by this section. 10 b. Information reported to the board in accordance with this 11 section is privileged and confidential, and except as provided 12 in section 272.13 , is not subject to discovery, subpoena, or 13 other means of legal compulsion for its release to a person 14 other than the respondent and the board and its employees and 15 agents involved in licensee discipline, and is not admissible 16 in evidence in a judicial or administrative proceeding other 17 than the proceeding involving licensee discipline. The board 18 shall review the information reported to determine whether a 19 complaint should be initiated. In making that determination, 20 the board shall consider the factors enumerated in section 21 272.2, subsection 14 , paragraph “a” . 22 c. For purposes of this section , unless the context 23 otherwise requires, “misconduct” means an action disqualifying 24 an applicant for a license or causing the license of a person 25 to be revoked or suspended in accordance with the rules 26 adopted by the board to implement section 272.2, subsection 14 , 27 paragraph “b” , subparagraph (1). 28 Sec. 132. Section 280.17, Code 2011, is amended to read as 29 follows: 30 280.17 Procedures for handling child abuse reports. 31 1. The board of directors of a public school district 32 and the authorities in control charge of a nonpublic school 33 shall prescribe procedures, in accordance with the guidelines 34 contained in the model policy developed by the department 35 -59- LSB 2824XC (22) 84 tm/jp 59/ 102
S.F. _____ of education in consultation with the department of human 1 services, and adopted by the department of education pursuant 2 to chapter 17A , for the handling of reports of child abuse, as 3 defined in section 232.68, subsection 2 , paragraph “a” , “c” , or 4 “e” , alleged to have been committed by an employee or agent of 5 the public or nonpublic school. 6 2. a. The board of directors of a school district and the 7 authorities in charge of an accredited nonpublic school shall 8 place on administrative leave a school employee who is the 9 subject of an investigation of an alleged incident of abuse of 10 a student conducted in accordance with 281 IAC 102. 11 b. If the results of an investigation of abuse of a 12 student by a school employee who holds a license, certificate, 13 authorization, or statement of recognition issued by the board 14 of educational examiners finds that the school employee’s 15 conduct constitutes a crime under any other statute, the board 16 or the authorities, as appropriate, shall report the results of 17 the investigation to the board of educational examiners. 18 Sec. 133. Section 280.27, Code 2011, is amended to read as 19 follows: 20 280.27 Reporting violence —— immunity. 21 An employee of a school district, an accredited nonpublic 22 school, or an area education agency who participates in good 23 faith and acts reasonably in the making of a report to, or 24 investigation by, an appropriate person or agency regarding 25 violence, threats of violence, physical or sexual abuse of 26 a student, or other inappropriate activity against a school 27 employee or student in a school building, on school grounds, 28 or at a school-sponsored function shall be immune from civil 29 or criminal liability relating to such action, as well as for 30 participating in any administrative or judicial proceeding 31 resulting from or relating to the report or investigation. 32 DIVISION XV 33 BUSINESS PROPERTY TAX CREDITS 34 Sec. 134. Section 331.512, Code 2011, is amended by adding 35 -60- LSB 2824XC (22) 84 tm/jp 60/ 102
S.F. _____ the following new subsection: 1 NEW SUBSECTION . 13A. Carry out duties relating to the 2 business property tax credit as provided in chapter 426C. 3 Sec. 135. Section 331.559, Code 2011, is amended by adding 4 the following new subsection: 5 NEW SUBSECTION . 14A. Carry out duties relating to the 6 business property tax credit as provided in chapter 426C. 7 Sec. 136. NEW SECTION . 426C.1 Definitions. 8 1. For the purposes of this chapter, unless the context 9 otherwise requires: 10 a. “Contiguous parcels” means any of the following: 11 (1) Parcels that share one or more common boundaries. 12 (2) Parcels within the same building or structure 13 regardless of whether the parcels share one or more common 14 boundaries. 15 (3) Improvements to the land that are situated on one or 16 more parcels of land that are assessed and taxed separately 17 from the improvements if the parcels of land upon which the 18 improvements are situated share one or more common boundaries. 19 b. “Department” means the department of revenue. 20 c. “Fund” means the business property tax credit fund 21 created in section 426C.2. 22 d. “Parcel” means as defined in section 445.1. 23 e. “Property unit” means contiguous parcels all of which 24 are located within the same county, with the same property tax 25 classification, each of which contains permanent improvements, 26 are owned by the same person, and are operated by that person 27 for a common use and purpose. 28 2. For purposes of this chapter, two or more parcels are 29 considered to be owned by the same person if the owners of 30 the parcels are business entities that share common ownership 31 of each entity in an amount equal to or in excess of fifty 32 percent. 33 Sec. 137. NEW SECTION . 426C.2 Business property tax credit 34 fund —— appropriation. 35 -61- LSB 2824XC (22) 84 tm/jp 61/ 102
S.F. _____ 1. A business property tax credit fund is created in the 1 state treasury under the authority of the department. For the 2 fiscal year beginning July 1, 2012, there is appropriated from 3 the general fund of the state to the department to be credited 4 to the fund, the sum of fifty million dollars to be used for 5 business property tax credits authorized in this chapter. For 6 the fiscal year beginning July 1, 2013, and each fiscal year 7 thereafter, there is appropriated from the general fund of the 8 state to the department to be credited to the fund an amount 9 equal to the total amount appropriated by the general assembly 10 to the fund in the previous fiscal year. In addition, the sum 11 of fifty million dollars shall be added to the appropriation 12 in each fiscal year beginning on or after July 1, 2013, if 13 the revenue estimating conference certifies during its final 14 meeting of the calendar year ending prior to the beginning of 15 the fiscal year that the total amount of general fund revenues 16 collected during the fiscal year ending during such calendar 17 year was at least one hundred four percent of the total amount 18 of general fund revenues collected during the previous fiscal 19 year. However, the total appropriation to the fund shall not 20 exceed two hundred million dollars for any one fiscal year. 21 2. Notwithstanding section 12C.7, subsection 2, interest or 22 earnings on moneys deposited in the fund shall be credited to 23 the fund. Moneys in the fund are not subject to the provisions 24 of section 8.33 and shall not be transferred, used, obligated, 25 appropriated, or otherwise encumbered except as provided in 26 this chapter. 27 Sec. 138. NEW SECTION . 426C.3 Claims for credit. 28 1. Each person who wishes to claim the credit allowed 29 under this chapter shall obtain the appropriate forms from the 30 assessor and file the claim with the assessor. The director 31 of revenue shall prescribe suitable forms and instructions for 32 such claims, and make such forms and instructions available to 33 the assessors. 34 2. a. Claims for the business property tax credit shall be 35 -62- LSB 2824XC (22) 84 tm/jp 62/ 102
S.F. _____ filed not later than March 15 preceding the fiscal year during 1 which the taxes for which the credit is claimed are due and 2 payable. 3 b. A claim filed after the deadline for filing claims shall 4 be considered as a claim for the following year. 5 3. Upon the filing of a claim and allowance of the credit, 6 the credit shall be allowed on the parcel or property unit for 7 successive years without further filing as long as the parcel 8 or property unit satisfies the requirements for the credit. If 9 the parcel or property unit owner ceases to qualify for the 10 credit under this chapter, the owner shall provide written 11 notice to the assessor by the date for filing claims specified 12 in subsection 2 following the date on which the parcel or 13 property unit ceases to qualify for the credit. 14 4. When all or a portion of a parcel or property unit that 15 is allowed a credit under this chapter is sold, transferred, 16 or ownership otherwise changes, the buyer, transferee, or new 17 owner who wishes to receive the credit shall refile the claim 18 for credit. When a portion of a parcel or property unit that 19 is allowed a credit under this chapter is sold, transferred, 20 or ownership otherwise changes, the owner of the portion of 21 the parcel or property unit for which ownership did not change 22 shall refile the claim for credit. 23 5. The assessor shall remit the claims for credit to the 24 county auditor with the assessor’s recommendation for allowance 25 or disallowance. If the assessor recommends disallowance 26 of a claim, the assessor shall submit the reasons for the 27 recommendation, in writing, to the county auditor. The county 28 auditor shall forward the claims to the board of supervisors. 29 The board shall allow or disallow the claims. 30 6. For each claim and allowance of a credit for a property 31 unit, the county auditor shall calculate the average of all 32 consolidated levy rates applicable to the several parcels 33 within the property unit. All claims for credit which have 34 been allowed by the board of supervisors, the actual value of 35 -63- LSB 2824XC (22) 84 tm/jp 63/ 102
S.F. _____ the improvements to such parcels and property units applicable 1 to the fiscal year for which the credit is claimed that are 2 subject to assessment and taxation prior to imposition of any 3 applicable assessment limitation, the consolidated levy rates 4 for such parcels and the average consolidated levy rates for 5 such property units applicable to the fiscal year for which the 6 credit is claimed, and the taxing districts in which the parcel 7 or property unit is located, shall be certified on or before 8 June 15, in each year, by the county auditor to the department. 9 7. The assessor shall maintain a permanent file of current 10 business property tax credits. The assessor shall file a 11 notice of transfer of property for which a credit has been 12 allowed when notice is received from the office of the county 13 recorder, from the person who sold or transferred the property, 14 or from the personal representative of a deceased property 15 owner. The county recorder shall give notice to the assessor 16 of each transfer of title filed in the recorder’s office. The 17 notice from the county recorder shall describe the property 18 transferred, the name of the person transferring title to the 19 property, and the name of the person to whom title to the 20 property has been transferred. 21 Sec. 139. NEW SECTION . 426C.4 Eligibility and amount of 22 credit. 23 1. Each parcel classified and taxed as commercial property, 24 industrial property, or railway property under chapter 434, 25 and improved with permanent construction, is eligible for a 26 credit under this chapter. A person may claim and receive one 27 credit under this chapter for each eligible parcel unless the 28 parcel is part of a property unit. A person may only claim and 29 receive one credit under this chapter for each property unit. 30 A credit approved for a property unit shall be allocated to the 31 several parcels within the property unit in the proportion that 32 each parcel’s total amount of property taxes due and payable 33 attributable to the improvements bears to the total amount of 34 property taxes due and payable attributable to the improvements 35 -64- LSB 2824XC (22) 84 tm/jp 64/ 102
S.F. _____ for the property unit. Only property units comprised of 1 commercial property, comprised of industrial property, or 2 comprised of railway property under chapter 434 are eligible 3 for a credit under this chapter. 4 2. Using the actual value of the improvements and the 5 consolidated levy rate for each parcel or the average 6 consolidated levy rate for each property unit, as certified 7 by the county auditor to the department under section 426C.3, 8 subsection 6, the department shall calculate, for each fiscal 9 year, an initial amount of actual value of improvements for 10 use in determining the amount of the credit for each such 11 parcel or property unit so as to provide the maximum possible 12 credit according to the credit formula and limitations under 13 subsection 3, and to provide a total dollar amount of credits 14 against the taxes due and payable in the fiscal year equal to 15 ninety-eight percent of the moneys in the fund following the 16 deposit of the total appropriation for the fiscal year. 17 3. a. The amount of the credit for each parcel or property 18 unit for which a claim for credit under this chapter has 19 been approved shall be calculated under paragraph “b” using 20 the lesser of the initial amount of actual value of the 21 improvements determined by the department under subsection 22 2, and the actual value of the improvements to the parcel or 23 property unit as certified by the county auditor under section 24 426C.3, subsection 6. 25 b. The amount of the credit for each parcel or property 26 unit for which a claim for credit under this chapter has 27 been approved shall be equal to the amount of actual value 28 determined under paragraph “a” multiplied by the difference, 29 stated as a percentage, between the assessment limitation 30 applicable to the parcel or property unit under section 441.21, 31 subsection 5, and the assessment limitation applicable to 32 residential property under section 441.21, subsection 4, 33 divided by one thousand dollars, and then multiplied by the 34 consolidated levy rate or average consolidated levy rate per 35 -65- LSB 2824XC (22) 84 tm/jp 65/ 102
S.F. _____ one thousand dollars of taxable value applicable to the parcel 1 or property unit for the fiscal year for which the credit 2 is claimed as certified by the county auditor under section 3 426C.3, subsection 6. 4 Sec. 140. NEW SECTION . 426C.5 Payment to counties. 5 1. Annually the department shall certify to the county 6 auditor of each county the amounts of the business property 7 tax credits allowed in the county. Each county auditor shall 8 then enter the credits against the tax levied on each eligible 9 parcel or property unit in the county, designating on the tax 10 lists the credit as being from the fund. Each taxing district 11 shall receive its share of the business property tax credit 12 allowed on each eligible parcel or property unit in such taxing 13 district, in the proportion that the levy made by such taxing 14 district upon the parcel or property unit bears to the total 15 levy upon the parcel or property unit by all taxing districts 16 imposing a property tax in such taxing district. However, the 17 several taxing districts shall not draw the moneys so credited 18 until after the semiannual allocations have been received by 19 the county treasurer, as provided in this section. Each county 20 treasurer shall show on each tax receipt the amount of credit 21 received from the fund. 22 2. The director of the department of administrative 23 services shall issue warrants on the fund payable to the county 24 treasurers of the several counties of the state under this 25 chapter. 26 3. The amount due each county shall be paid in two payments 27 on November 15 and March 15 of each fiscal year, drawn upon 28 warrants payable to the respective county treasurers. The two 29 payments shall be as nearly equal as possible. 30 Sec. 141. NEW SECTION . 426C.6 Appeals. 31 1. If the board of supervisors disallows a claim for credit 32 under section 426C.3, subsection 5, the board of supervisors 33 shall send written notice, by mail, to the claimant at the 34 claimant’s last known address. The notice shall state the 35 -66- LSB 2824XC (22) 84 tm/jp 66/ 102
S.F. _____ reasons for disallowing the claim for the credit. The board 1 of supervisors is not required to send notice that a claim for 2 credit is disallowed if the claimant voluntarily withdraws the 3 claim. Any person whose claim is denied under the provisions 4 of this chapter may appeal from the action of the board of 5 supervisors to the district court of the county in which the 6 parcel or property unit is located by giving written notice 7 of such appeal to the county auditor within twenty days from 8 the date of mailing of notice of such action by the board of 9 supervisors. 10 2. If any claim for credit has been denied by the board 11 of supervisors, and such action is subsequently reversed on 12 appeal, the credit shall be allowed on the applicable parcel 13 or property unit, and the director of revenue, the county 14 auditor, and the county treasurer shall provide the credit and 15 change their books and records accordingly. In the event the 16 appealing taxpayer has paid one or both of the installments of 17 the tax payable in the year or years in question, remittance 18 shall be made to such taxpayer of the amount of such credit. 19 The amount of such credit awarded on appeal shall be allocated 20 and paid from the balance remaining in the fund. 21 Sec. 142. NEW SECTION . 426C.7 Audit —— denial. 22 1. If on the audit of a credit provided under this chapter, 23 the director of revenue determines the amount of the credit 24 to have been incorrectly calculated or that the credit is 25 not allowable, the director shall recalculate the credit and 26 notify the taxpayer and the county auditor of the recalculation 27 or denial and the reasons for it. The director shall not 28 adjust a credit after three years from October 31 of the year 29 in which the claim for the credit was filed. If the credit 30 has been paid, the director shall give notification to the 31 taxpayer, the county treasurer, and the applicable assessor 32 of the recalculation or denial of the credit and the county 33 treasurer shall proceed to collect the tax owed in the same 34 manner as other property taxes due and payable are collected, 35 -67- LSB 2824XC (22) 84 tm/jp 67/ 102
S.F. _____ if the parcel or property unit for which the credit was allowed 1 is still owned by the taxpayer. If the parcel or property unit 2 for which the credit was allowed is not owned by the taxpayer, 3 the amount may be recovered from the taxpayer by assessment in 4 the same manner that income taxes are assessed under sections 5 422.26 and 422.30. The amount of such erroneous credit, when 6 collected, shall be deposited in the fund. 7 2. The taxpayer or board of supervisors may appeal any 8 decision of the director of revenue to the state board of tax 9 review pursuant to section 421.1, subsection 5. The taxpayer, 10 the board of supervisors, or the director of revenue may seek 11 judicial review of the action of the state board of tax review 12 in accordance with chapter 17A. 13 Sec. 143. NEW SECTION . 426C.8 False claim —— penalty. 14 A person who makes a false claim for the purpose of obtaining 15 a credit provided for in this chapter or who knowingly receives 16 the credit without being legally entitled to it is guilty of a 17 fraudulent practice. The claim for a credit of such a person 18 shall be disallowed and if the credit has been paid the amount 19 shall be recovered in the manner provided in section 426C.7. 20 In such cases, the director of revenue shall send a notice of 21 disallowance of the credit. 22 Sec. 144. NEW SECTION . 426C.9 Rules. 23 The director of revenue shall prescribe forms, instructions, 24 and rules pursuant to chapter 17A, as necessary, to carry out 25 the purposes of this chapter. 26 Sec. 145. IMPLEMENTATION. Notwithstanding the deadline 27 for filing claims established in section 426C.3, for a credit 28 against property taxes due and payable during the fiscal year 29 beginning July 1, 2012, the claim for the credit shall be filed 30 not later than January 15, 2012. 31 Sec. 146. APPLICABILITY. This division of this Act applies 32 to property taxes due and payable in fiscal years beginning on 33 or after July 1, 2012. 34 DIVISION XVI 35 -68- LSB 2824XC (22) 84 tm/jp 68/ 102
S.F. _____ COUNTY AND CITY BUDGET LIMITATION 1 Sec. 147. Section 28M.5, subsection 2, Code 2011, is amended 2 to read as follows: 3 2. If a regional transit district budget allocates 4 revenue responsibilities to the board of supervisors of a 5 participating county, the amount of the regional transit 6 district levy that is the responsibility of the participating 7 county shall be deducted from the maximum rates amount of taxes 8 authorized to be levied by the county pursuant to section 9 331.423 , subsections 1 and 2 subsection 3, paragraphs “b” 10 and “c” , as applicable, unless the county meets its revenue 11 responsibilities as allocated in the budget from other 12 available revenue sources. However, for a regional transit 13 district that includes a county with a population of less than 14 three hundred thousand, the amount of the regional transit 15 district levy that is the responsibility of such participating 16 county shall be deducted from the maximum rate amount of taxes 17 authorized to be levied by the county pursuant to section 18 331.423, subsection 1 3, paragraph “b” . 19 Sec. 148. Section 331.263, subsection 2, Code 2011, is 20 amended to read as follows: 21 2. The governing body of the community commonwealth 22 shall have the authority to levy county taxes and shall 23 have the authority to levy city taxes to the extent the 24 city tax levy authority is transferred by the charter to 25 the community commonwealth. A city participating in the 26 community commonwealth shall transfer a portion of the 27 city’s tax levy authorized under section 384.1 or 384.12 , 28 whichever is applicable, to the governing body of the community 29 commonwealth. The maximum rates amount of taxes authorized to 30 be levied under sections section 384.1 and the maximum amount 31 of taxes authorized to be levied under section 384.12 by a city 32 participating in the community commonwealth shall be reduced 33 by an amount equal to the rates of the same or similar taxes 34 levied in the city by the governing body of the community 35 -69- LSB 2824XC (22) 84 tm/jp 69/ 102
S.F. _____ commonwealth. 1 Sec. 149. Section 331.421, Code 2011, is amended by adding 2 the following new subsection: 3 NEW SUBSECTION . 7A. “Item” means a budgeted expenditure, 4 appropriation, or cash reserve from a fund for a service area, 5 program, program element, or purpose. 6 Sec. 150. Section 331.423, Code 2011, is amended by striking 7 the section and inserting in lieu thereof the following: 8 331.423 Property tax dollars —— basic levy maximums. 9 1. Annually, the board shall determine separate property 10 tax levy limits to pay for general county services and rural 11 county services in accordance with this section. The basic 12 levies separately certified for general county services and 13 rural county services under section 331.434 shall not raise 14 property tax dollars that exceed the amount determined under 15 this section. 16 2. For purposes of this section and section 331.423B, unless 17 the context otherwise requires: 18 a. “Annual growth factor” means an index, expressed as 19 a percentage, determined by the department of management by 20 November 1 of the calendar year preceding the calendar year in 21 which the budget year begins. In determining the annual growth 22 factor, the department shall calculate the average of the 23 preceding three-year percentage change, which shall be computed 24 on an annual basis, in the midwest consumer price index, ending 25 with the percentage change for the month of September. The 26 department shall then add that average percentage change to one 27 hundred percent. 28 b. “Boundary adjustment” means annexation, severance, 29 incorporation, or discontinuance as those terms are defined in 30 section 368.1. 31 c. “Budget year” is the fiscal year beginning during the 32 calendar year in which a budget is certified. 33 d. “Current fiscal year” is the fiscal year ending during 34 the calendar year in which a budget is certified. 35 -70- LSB 2824XC (22) 84 tm/jp 70/ 102
S.F. _____ e. “Net new valuation taxes” means the amount of property 1 tax dollars equal to the current fiscal year’s basic levy rate 2 in the county for general county services or for rural county 3 services, as applicable, multiplied by the increase from the 4 current fiscal year to the budget year in taxable valuation due 5 to the following: 6 (1) Net new construction, including all incremental 7 valuation that is released in any one year from a division of 8 revenue under section 260E.4 or an urban renewal area for which 9 taxes were being divided under section 403.19, regardless of 10 whether the property for the valuation being released remains 11 subject to the division of revenue under section 260E.4 or 12 remains part of the urban renewal area that is subject to 13 a division of revenue under section 403.19. The amount of 14 property tax dollars attributable to such incremental valuation 15 being released from a division of revenue shall be subtracted 16 from the maximum amount of property tax dollars which may 17 be certified for the next following fiscal year if such 18 incremental valuation is not released for the next following 19 fiscal year. 20 (2) Additions or improvements to existing structures. 21 (3) Remodeling of existing structures for which a building 22 permit is required. 23 (4) Net boundary adjustment. 24 (5) A municipality no longer dividing tax revenues in an 25 urban renewal area as provided in section 403.19 or a community 26 college no longer dividing revenues as provided in section 27 260E.4. 28 (6) That portion of taxable property located in an urban 29 revitalization area on which an exemption was allowed and such 30 exemption has expired. 31 f. “Unfunded federal and state mandate cost growth” means an 32 amount of increased expenditures for a county from the previous 33 fiscal year, to the extent such expenditures are not funded by 34 the county’s supplemental levy under section 331.424, resulting 35 -71- LSB 2824XC (22) 84 tm/jp 71/ 102
S.F. _____ from any of the following: 1 (1) A federal statutory requirement or appropriation 2 that requires the county to establish, expand, or modify its 3 activities in a manner which necessitates additional annual 4 expenditures and for which insufficient funding is provided to 5 the county to satisfy such requirements. 6 (2) A state mandate as defined in section 25B.3, and for 7 which insufficient funding is provided to the county to satisfy 8 the requirements of the state mandate. 9 3. a. For the fiscal year beginning July 1, 2013, and 10 subsequent fiscal years, the maximum amount of property tax 11 dollars which may be certified for levy by a county for general 12 county services and rural county services shall be the maximum 13 property tax dollars calculated under paragraphs “b” and “c” , 14 respectively. 15 b. The maximum property tax dollars that may be levied for 16 general county services is an amount equal to the sum of the 17 following: 18 (1) The annual growth factor times the current fiscal year’s 19 maximum property tax dollars for general county services. 20 (2) The amount of net new valuation taxes in the county. 21 (3) The unfunded federal and state mandate cost growth minus 22 the amount specified in paragraph “c” , subparagraph (3). 23 c. The maximum property tax dollars that may be levied for 24 rural county services is an amount equal to the sum of the 25 following: 26 (1) The annual growth factor times the current fiscal year’s 27 maximum property tax dollars for rural county services. 28 (2) The amount of net new valuation taxes in the 29 unincorporated area of the county. 30 (3) The unfunded federal and state mandate cost growth 31 attributable to the costs incurred by the county for rural 32 county services. 33 4. a. For purposes of calculating maximum property tax 34 dollars for general county services for the fiscal year 35 -72- LSB 2824XC (22) 84 tm/jp 72/ 102
S.F. _____ beginning July 1, 2013, only, the term “current fiscal year’s 1 maximum property tax dollars” shall mean the total amount of 2 property tax dollars certified by the county for general county 3 services for the fiscal year beginning July 1, 2012, excluding 4 those property tax dollars that resulted from a supplemental 5 levy under section 331.424, subsection 1. 6 b. For purposes of calculating maximum property tax dollars 7 for rural county services for the fiscal year beginning July 8 1, 2013, only, the term “current fiscal year’s maximum property 9 tax dollars” shall mean the total amount of property tax dollars 10 certified by the county for rural county services for the 11 fiscal year beginning July 1, 2012, excluding those property 12 tax dollars that resulted from a supplemental levy under 13 section 331.424, subsection 2. 14 5. Property taxes certified under section 331.424, property 15 taxes certified for deposit in the mental health, mental 16 retardation, and developmental disabilities services fund in 17 section 331.424A, for the emergency services fund in section 18 331.424C, for the debt service fund in section 331.430, for any 19 capital projects fund established by the county for deposit of 20 bond, loan, or note proceeds, and for any temporary increase 21 approved pursuant to section 331.423C, are not included in the 22 maximum amount of property tax dollars that may be certified 23 for a budget year under subsection 3. 24 6. The department of management, in consultation with the 25 county finance committee, shall adopt rules to administer this 26 section. The department shall prescribe forms to be used by 27 counties when making calculations required by this section. 28 Sec. 151. NEW SECTION . 331.423B Ending fund balance. 29 1. a. Budgeted ending fund balances for a budget year 30 in excess of twenty-five percent of budgeted expenditures in 31 either the general fund or rural services fund for that budget 32 year shall be explicitly committed or assigned for a specific 33 purpose. 34 b. A county is encouraged, but not required, to reduce 35 -73- LSB 2824XC (22) 84 tm/jp 73/ 102
S.F. _____ budgeted, uncommitted, or unassigned ending fund balances for 1 the budget year to an amount equal to approximately twenty-five 2 percent of budgeted expenditures and transfers from the general 3 fund and rural services fund for that budget year unless a 4 decision is certified by the state appeal board ordering a 5 reduction in the ending fund balance of any of those funds. 6 c. In a protest to the county budget under section 331.436, 7 the county shall have the burden of proving that the budgeted 8 balances in excess of twenty-five percent are reasonably likely 9 to be appropriated for the explicitly committed or assigned 10 specific purpose. The excess budgeted balance for the specific 11 purpose shall be considered an increase in an item in the 12 budget for purposes of section 24.28. 13 2. a. For a county that has, as of June 30, 2012, reduced 14 its actual ending fund balance to less than twenty-five 15 percent of actual expenditures, additional property taxes may 16 be computed and levied as provided in this subsection. The 17 additional property tax levy amount is an amount not to exceed 18 twenty-five percent of actual expenditures from the general 19 fund and rural services fund for the fiscal year beginning July 20 1, 2011, minus the combined ending fund balances for those 21 funds for that year. 22 b. The amount of the additional property taxes shall be 23 apportioned between the general fund and the rural services 24 fund. However, the amount apportioned for general county 25 services and for rural county services shall not exceed for 26 each fund twenty-five percent of actual expenditures for the 27 fiscal year beginning July 1, 2011. 28 c. All or a portion of additional property tax dollars 29 may be levied for the purpose of increasing cash reserves 30 for general county services and rural county services in the 31 budget year. The additional property tax dollars authorized 32 under this subsection but not levied may be carried forward as 33 unused ending fund balance taxing authority until and for the 34 fiscal year beginning July 1, 2018. The amount carried forward 35 -74- LSB 2824XC (22) 84 tm/jp 74/ 102
S.F. _____ shall not exceed twenty-five percent of the maximum amount of 1 property tax dollars available in the current fiscal year. 2 Additionally, property taxes that are levied as unused ending 3 fund balance taxing authority under this subsection may be the 4 subject of a protest under section 331.436, and the amount 5 will be considered an increase in an item in the budget for 6 purposes of section 24.28. The amount of additional property 7 taxes levied under this subsection shall not be included in the 8 computation of the maximum amount of property tax dollars which 9 may be certified and levied under section 331.423. 10 Sec. 152. NEW SECTION . 331.423C Authority to levy beyond 11 maximum property tax dollars. 12 1. The board may certify additions to the maximum amount 13 of property tax dollars to be levied for a budget year if the 14 county conducts a second public hearing prior to certification 15 of the budget to the county auditor, in addition to the hearing 16 held as required under section 331.434. The second public 17 hearing shall be conducted in the same manner as the public 18 hearing on the budget required in section 331.434. 19 2. The amount of additional property tax dollars certified 20 under this section shall not be included in the computation 21 of the maximum amount of property tax dollars which may be 22 certified and levied under section 331.423 for future budget 23 years. 24 Sec. 153. Section 331.424, unnumbered paragraph 1, Code 25 2011, is amended to read as follows: 26 To the extent that the basic levies authorized under section 27 331.423 are insufficient to meet the county’s needs for the 28 following services, the board may certify supplemental levies 29 as follows: 30 Sec. 154. Section 331.424A, subsection 4, Code 2011, is 31 amended to read as follows: 32 4. For the fiscal year beginning July 1, 1996, and for each 33 subsequent fiscal year, the county shall certify a levy for 34 payment of services. For each fiscal year, county revenues 35 -75- LSB 2824XC (22) 84 tm/jp 75/ 102
S.F. _____ from taxes imposed by the county credited to the services fund 1 shall not exceed an amount equal to the amount of base year 2 expenditures for services as defined in section 331.438 , less 3 the amount of property tax relief to be received pursuant to 4 section 426B.2 , in the fiscal year for which the budget is 5 certified. The county auditor and the board of supervisors 6 shall reduce the amount of the levy certified for the services 7 fund by the amount of property tax relief to be received. A 8 levy certified under this section is not subject to the appeal 9 provisions of section 331.426 or to any other provision in law 10 authorizing a county to exceed, increase, or appeal a property 11 tax levy limit. 12 Sec. 155. Section 331.434, subsection 1, Code 2011, is 13 amended to read as follows: 14 1. The budget shall show the amount required for each class 15 of proposed expenditures, a comparison of the amounts proposed 16 to be expended with the amounts expended for like purposes for 17 the two preceding years, the revenues from sources other than 18 property taxation, and the amount to be raised by property 19 taxation, in the detail and form prescribed by the director 20 of the department of management. For each county that has 21 established an urban renewal area, the budget shall include 22 estimated and actual tax increment financing revenues and all 23 estimated and actual expenditures of the revenues, proceeds 24 from debt and all estimated and actual expenditures of the 25 debt proceeds, and identification of any entity receiving a 26 direct payment of taxes funded by tax increment financing 27 revenues and shall include the total amount of loans, advances, 28 indebtedness, or bonds outstanding at the close of the most 29 recently ended fiscal year, which qualify for payment from the 30 special fund created in section 403.19 , including interest 31 negotiated on such loans, advances, indebtedness, or bonds. 32 For purposes of this subsection , “indebtedness” includes 33 written agreements whereby the county agrees to suspend, abate, 34 exempt, rebate, refund, or reimburse property taxes, provide 35 -76- LSB 2824XC (22) 84 tm/jp 76/ 102
S.F. _____ a grant for property taxes paid, or make a direct payment 1 of taxes, with moneys in the special fund. The amount of 2 loans, advances, indebtedness, or bonds shall be listed in 3 the aggregate for each county reporting. The county finance 4 committee, in consultation with the department of management 5 and the legislative services agency, shall determine reporting 6 criteria and shall prepare a form for reports filed with the 7 department pursuant to this section . The department shall make 8 the information available by electronic means. 9 Sec. 156. Section 373.10, Code 2011, is amended to read as 10 follows: 11 373.10 Taxing authority. 12 The metropolitan council shall have the authority to 13 levy city taxes to the extent the city tax levy authority 14 is transferred by the charter to the metropolitan council. 15 A member city shall transfer a portion of the city’s tax 16 levy authorized under section 384.1 or 384.12 , whichever is 17 applicable, to the metropolitan council. The maximum rates 18 amount of taxes authorized to be levied under sections section 19 384.1 and the taxes authorized to be levied under 20 section 384.12 by a member city shall be reduced by an amount 21 equal to the rates of the same or similar taxes levied in the 22 city by the metropolitan council. 23 Sec. 157. Section 384.1, Code 2011, is amended by striking 24 the section and inserting in lieu thereof the following: 25 384.1 Property tax dollars —— maximums. 26 1. A city shall certify taxes to be levied by the city 27 on all taxable property within the city limits, for all city 28 government purposes. Annually, the city council may certify 29 basic levies for city government purposes, subject to the 30 limitation on property tax dollars provided in this section. 31 2. For purposes of this section and section 384.1B, unless 32 the context otherwise requires: 33 a. “Annual growth factor” means an index, expressed as 34 a percentage, determined by the department of management by 35 -77- LSB 2824XC (22) 84 tm/jp 77/ 102
S.F. _____ November 1 of the calendar year preceding the calendar year in 1 which the budget year begins. In determining the annual growth 2 factor, the department shall calculate the average of the 3 preceding three-year percentage change, which shall be computed 4 on an annual basis, in the midwest consumer price index, ending 5 with the percentage change for the month of September. The 6 department shall then add that average percentage change to one 7 hundred percent. 8 b. “Boundary adjustment” means annexation, severance, 9 incorporation, or discontinuance as those terms are defined in 10 section 368.1. 11 c. “Budget year” is the fiscal year beginning during the 12 calendar year in which a budget is certified. 13 d. “Current fiscal year” is the fiscal year ending during 14 the calendar year in which a budget is certified. 15 e. “Net new valuation taxes” means the amount of property 16 tax dollars equal to the current fiscal year’s levy rate in the 17 city for the general fund multiplied by the increase from the 18 current fiscal year to the budget year in taxable valuation due 19 to the following: 20 (1) Net new construction, including all incremental 21 valuation that is released in any one year from a division of 22 revenue under section 260E.4 or an urban renewal area for which 23 taxes were being divided under section 403.19, regardless of 24 whether the property for the valuation being released remains 25 subject to the division of revenue under section 260E.4 or 26 remains part of the urban renewal area that is subject to 27 a division of revenue under section 403.19. The amount of 28 property tax dollars attributable to such incremental valuation 29 being released from a division of revenue shall be subtracted 30 from the maximum amount of property tax dollars which may 31 be certified for the next following fiscal year if such 32 incremental valuation is not released for the next following 33 fiscal year. 34 (2) Additions or improvements to existing structures. 35 -78- LSB 2824XC (22) 84 tm/jp 78/ 102
S.F. _____ (3) Remodeling of existing structures for which a building 1 permit is required. 2 (4) Net boundary adjustment. 3 (5) A municipality no longer dividing tax revenues in an 4 urban renewal area as provided in section 403.19 or a community 5 college no longer dividing revenues as provided in section 6 260E.4. 7 (6) That portion of taxable property located in an urban 8 revitalization area on which an exemption was allowed and such 9 exemption has expired. 10 f. “Unfunded federal and state mandate cost growth” means an 11 amount of increased expenditures for a city from the previous 12 fiscal year resulting from any of the following: 13 (1) A federal statutory requirement or appropriation 14 that requires the city to establish, expand, or modify its 15 activities in a manner which necessitates additional annual 16 expenditures and for which insufficient funding is provided to 17 the city to satisfy such requirements. 18 (2) A state mandate as defined in section 25B.3, and for 19 which insufficient funding is provided to the city to satisfy 20 the requirements of the state mandate. 21 3. a. For the fiscal year beginning July 1, 2013, and 22 subsequent fiscal years, the maximum amount of property 23 tax dollars which may be certified for levy by a city for 24 the general fund shall be the maximum property tax dollars 25 calculated under paragraph “b” . 26 b. The maximum property tax dollars that may be levied for 27 deposit in the general fund is an amount equal to the sum of the 28 following: 29 (1) The annual growth factor times the current fiscal year’s 30 maximum property tax dollars for the general fund. 31 (2) The amount of net new valuation taxes in the city. 32 (3) The unfunded federal and state mandate cost growth. 33 4. For purposes of calculating maximum property tax dollars 34 for the city general fund for the fiscal year beginning July 35 -79- LSB 2824XC (22) 84 tm/jp 79/ 102
S.F. _____ 1, 2013, only, the term “current fiscal year’s maximum property 1 tax dollars” shall mean the total amount of property tax dollars 2 certified by the city for the city’s general fund for the 3 fiscal year beginning July 1, 2012. 4 5. Property taxes certified for deposit in the debt service 5 fund in section 384.4, trust and agency funds in section 6 384.6, capital improvements reserve fund in section 384.7, 7 the emergency fund in section 384.8, any capital projects 8 fund established by the city for deposit of bond, loan, or 9 note proceeds, any temporary increase approved pursuant to 10 section 384.12A, property taxes collected from a voted levy in 11 section 384.12, and property taxes levied under section 384.12, 12 subsection 18, are not counted against the maximum amount of 13 property tax dollars that may be certified for a fiscal year 14 under subsection 3. 15 6. Notwithstanding the maximum amount of taxes a city 16 may certify for levy, the tax levied by a city on tracts of 17 land and improvements on the tracts of land used and assessed 18 for agricultural or horticultural purposes shall not exceed 19 three dollars and three-eighths cents per thousand dollars 20 of assessed value in any year. Improvements located on such 21 tracts of land and not used for agricultural or horticultural 22 purposes and all residential dwellings are subject to the same 23 rate of tax levied by the city on all other taxable property 24 within the city. 25 7. The department of management, in consultation with the 26 city finance committee, shall adopt rules to administer this 27 section. The department shall prescribe forms to be used by 28 cities when making calculations required by this section. 29 Sec. 158. NEW SECTION . 384.1B Ending fund balance. 30 1. a. Budgeted general fund ending fund balances for 31 a budget year in excess of twenty-five percent of budgeted 32 expenditures from the general fund for that budget year shall 33 be explicitly committed or assigned for a specific purpose. 34 b. A city is encouraged, but not required, to reduce 35 -80- LSB 2824XC (22) 84 tm/jp 80/ 102
S.F. _____ budgeted, uncommitted, or unassigned ending fund balances for 1 the budget year to an amount equal to approximately twenty-five 2 percent of budgeted expenditures and transfers from the general 3 fund for that budget year unless a decision is certified by 4 the state appeal board ordering a reduction in the ending fund 5 balance of the fund. 6 c. In a protest to the city budget under section 384.19, 7 the city shall have the burden of proving that the budgeted 8 balances in excess of twenty-five percent are reasonably likely 9 to be appropriated for the explicitly committed or assigned 10 specific purpose. The excess budgeted balance for the specific 11 purpose shall be considered an increase in an item in the 12 budget for purposes of section 24.28. 13 2. a. For a city that has, as of June 30, 2012, reduced its 14 ending fund balance to less than twenty-five percent of actual 15 expenditures, additional property taxes may be computed and 16 levied as provided in this subsection. The additional property 17 tax levy amount is an amount not to exceed the difference 18 between twenty-five percent of actual expenditures for city 19 government purposes for the fiscal year beginning July 1, 2011, 20 minus the ending fund balance for that year. 21 b. All or a portion of additional property tax dollars 22 may be levied for the purpose of increasing cash reserves for 23 city government purposes in the budget year. The additional 24 property tax dollars authorized under this subsection but not 25 levied may be carried forward as unused ending fund balance 26 taxing authority until and for the fiscal year beginning 27 July 1, 2018. The amount carried forward shall not exceed 28 twenty-five percent of the maximum amount of property tax 29 dollars available in the current fiscal year. Additionally, 30 property taxes that are levied as unused ending fund balance 31 taxing authority under this subsection may be the subject of a 32 protest under section 384.19, and the amount will be considered 33 an increase in an item in the budget for purposes of section 34 24.28. The amount of additional property tax dollars levied 35 -81- LSB 2824XC (22) 84 tm/jp 81/ 102
S.F. _____ under this subsection shall not be included in the computation 1 of the maximum amount of property tax dollars which may be 2 certified and levied under section 384.1. 3 Sec. 159. Section 384.12, subsection 20, Code 2011, is 4 amended by striking the subsection. 5 Sec. 160. NEW SECTION . 384.12A Authority to levy beyond 6 maximum property tax dollars. 7 1. The city council may certify additions to the maximum 8 amount of property tax dollars to be levied for a budget 9 year if the city conducts a second public hearing prior to 10 certification of the budget to the county auditor, in addition 11 to the hearing held as required under section 384.16. The 12 second public hearing shall be conducted in the same manner as 13 the public hearing on the budget required in section 384.16. 14 2. The amount of additional property tax dollars certified 15 under this section shall not be included in the computation 16 of the maximum amount of property tax dollars which may be 17 certified and levied under section 384.1 for future budget 18 years. 19 Sec. 161. Section 384.16, subsection 1, paragraph b, Code 20 2011, is amended to read as follows: 21 b. A budget must show comparisons between the estimated 22 expenditures in each program in the following year, the latest 23 estimated expenditures in each program in the current year, 24 and the actual expenditures in each program from the annual 25 report as provided in section 384.22 , or as corrected by a 26 subsequent audit report. Wherever practicable, as provided in 27 rules of the committee, a budget must show comparisons between 28 the levels of service provided by each program as estimated for 29 the following year, and actual levels of service provided by 30 each program during the two preceding years. For each city 31 that has established an urban renewal area, the budget shall 32 include estimated and actual tax increment financing revenues 33 and all estimated and actual expenditures of the revenues, 34 proceeds from debt and all estimated and actual expenditures of 35 -82- LSB 2824XC (22) 84 tm/jp 82/ 102
S.F. _____ the debt proceeds, and identification of any entity receiving 1 a direct payment of taxes funded by tax increment financing 2 revenues and shall include the total amount of loans, advances, 3 indebtedness, or bonds outstanding at the close of the most 4 recently ended fiscal year, which qualify for payment from the 5 special fund created in section 403.19 , including interest 6 negotiated on such loans, advances, indebtedness, or bonds. 7 The amount of loans, advances, indebtedness, or bonds shall 8 be listed in the aggregate for each city reporting. The city 9 finance committee, in consultation with the department of 10 management and the legislative services agency, shall determine 11 reporting criteria and shall prepare a form for reports filed 12 with the department pursuant to this section . The department 13 shall make the information available by electronic means. 14 Sec. 162. Section 384.19, Code 2011, is amended by adding 15 the following new unnumbered paragraph: 16 NEW UNNUMBERED PARAGRAPH . For purposes of a tax protest 17 filed under this section, “item” means a budgeted expenditure, 18 appropriation, or cash reserve from a fund for a service area, 19 program, program element, or purpose. 20 Sec. 163. Section 386.8, Code 2011, is amended to read as 21 follows: 22 386.8 Operation tax. 23 A city may establish a self-supported improvement district 24 operation fund, and may certify taxes not to exceed the 25 rate limitation as established in the ordinance creating the 26 district, or any amendment thereto, each year to be levied 27 for the fund against all of the property in the district, 28 for the purpose of paying the administrative expenses of 29 the district, which may include but are not limited to 30 administrative personnel salaries, a separate administrative 31 office, planning costs including consultation fees, engineering 32 fees, architectural fees, and legal fees and all other expenses 33 reasonably associated with the administration of the district 34 and the fulfilling of the purposes of the district. The taxes 35 -83- LSB 2824XC (22) 84 tm/jp 83/ 102
S.F. _____ levied for this fund may also be used for the purpose of paying 1 maintenance expenses of improvements or self-liquidating 2 improvements for a specified length of time with one or more 3 options to renew if such is clearly stated in the petition 4 which requests the council to authorize construction of the 5 improvement or self-liquidating improvement, whether or not 6 such petition is combined with the petition requesting creation 7 of a district. Parcels of property which are assessed as 8 residential property for property tax purposes are exempt from 9 the tax levied under this section except residential properties 10 within a duly designated historic district. A tax levied under 11 this section is not subject to the levy limitation in section 12 384.1 . 13 Sec. 164. Section 386.9, Code 2011, is amended to read as 14 follows: 15 386.9 Capital improvement tax. 16 A city may establish a capital improvement fund for a 17 district and may certify taxes, not to exceed the rate 18 established by the ordinance creating the district, or any 19 subsequent amendment thereto, each year to be levied for 20 the fund against all of the property in the district, for 21 the purpose of accumulating moneys for the financing or 22 payment of a part or all of the costs of any improvement or 23 self-liquidating improvement. However, parcels of property 24 which are assessed as residential property for property tax 25 purposes are exempt from the tax levied under this section 26 except residential properties within a duly designated historic 27 district. A tax levied under this section is not subject to 28 the levy limitations in section 384.1 or 384.7 . 29 Sec. 165. REPEAL. Sections 331.425 and 331.426, Code 2011, 30 are repealed. 31 Sec. 166. EFFECTIVE DATE AND APPLICABILITY. This division 32 of this Act takes effect July 1, 2012, and applies to fiscal 33 years beginning on or after July 1, 2013. 34 DIVISION XVII 35 -84- LSB 2824XC (22) 84 tm/jp 84/ 102
S.F. _____ RESIDENTIAL PROPERTY ASSESSMENT LIMITATION 1 Sec. 167. Section 441.21, subsection 4, Code 2011, is 2 amended to read as follows: 3 4. For valuations established as of January 1, 1979, 4 the percentage of actual value at which agricultural and 5 residential property shall be assessed shall be the quotient 6 of the dividend and divisor as defined in this section . The 7 dividend for each class of property shall be the dividend 8 as determined for each class of property for valuations 9 established as of January 1, 1978, adjusted by the product 10 obtained by multiplying the percentage determined for that 11 year by the amount of any additions or deletions to actual 12 value, excluding those resulting from the revaluation of 13 existing properties, as reported by the assessors on the 14 abstracts of assessment for 1978, plus six percent of the 15 amount so determined. However, if the difference between the 16 dividend so determined for either class of property and the 17 dividend for that class of property for valuations established 18 as of January 1, 1978, adjusted by the product obtained by 19 multiplying the percentage determined for that year by the 20 amount of any additions or deletions to actual value, excluding 21 those resulting from the revaluation of existing properties, 22 as reported by the assessors on the abstracts of assessment 23 for 1978, is less than six percent, the 1979 dividend for the 24 other class of property shall be the dividend as determined for 25 that class of property for valuations established as of January 26 1, 1978, adjusted by the product obtained by multiplying 27 the percentage determined for that year by the amount of 28 any additions or deletions to actual value, excluding those 29 resulting from the revaluation of existing properties, as 30 reported by the assessors on the abstracts of assessment for 31 1978, plus a percentage of the amount so determined which is 32 equal to the percentage by which the dividend as determined 33 for the other class of property for valuations established 34 as of January 1, 1978, adjusted by the product obtained by 35 -85- LSB 2824XC (22) 84 tm/jp 85/ 102
S.F. _____ multiplying the percentage determined for that year by the 1 amount of any additions or deletions to actual value, excluding 2 those resulting from the revaluation of existing properties, 3 as reported by the assessors on the abstracts of assessment 4 for 1978, is increased in arriving at the 1979 dividend for 5 the other class of property. The divisor for each class of 6 property shall be the total actual value of all such property 7 in the state in the preceding year, as reported by the 8 assessors on the abstracts of assessment submitted for 1978, 9 plus the amount of value added to said total actual value by 10 the revaluation of existing properties in 1979 as equalized 11 by the director of revenue pursuant to section 441.49 . The 12 director shall utilize information reported on abstracts of 13 assessment submitted pursuant to section 441.45 in determining 14 such percentage. For valuations established as of January 1, 15 1980, and each year thereafter, the percentage of actual value 16 as equalized by the director of revenue as provided in section 17 441.49 at which agricultural and residential property shall be 18 assessed shall be calculated in accordance with the methods 19 provided herein including the limitation of increases in 20 agricultural and residential assessed values to the percentage 21 increase of the other class of property if the other class 22 increases less than the allowable limit adjusted to include 23 the applicable and current values as equalized by the director 24 of revenue, except that any references to six percent in this 25 subsection shall be four percent. For valuations established 26 as of January 1, 2012, and each assessment year thereafter, 27 the percentage of actual value as equalized by the director 28 of revenue as provided in section 441.49 at which residential 29 property shall be assessed shall be calculated in accordance 30 with the methods provided herein including the limitation of 31 increases in agricultural and residential assessed values to 32 the percentage increase of the other class of property if the 33 other class increases less than the allowable limit adjusted to 34 include the applicable and current values as equalized by the 35 -86- LSB 2824XC (22) 84 tm/jp 86/ 102
S.F. _____ director of revenue, except that in no assessment year shall 1 the percentage of actual value at which residential property is 2 assessed be less than fifty percent. 3 DIVISION XVIII 4 CONDITIONAL EFFECTIVE DATE AND RETROACTIVE APPLICABILITY 5 Sec. 168. EFFECTIVE DATE AND RETROACTIVE 6 APPLICABILITY. Unless otherwise provided, this Act, if 7 approved by the governor on or after July 1, 2011, takes effect 8 upon enactment and applies retroactively to July 1, 2011. 9 EXPLANATION 10 This bill relates to state and local finances by providing 11 for funding of property tax credits and reimbursements, by 12 making, increasing, and reducing appropriations, providing 13 for salaries and compensation of state employees, providing 14 for matters relating to tax credits, providing for fees and 15 penalties, and providing for properly related matters. The 16 bill is organized by divisions. 17 STANDING APPROPRIATIONS AND RELATED MATTERS —— FY 2011-2012. 18 This division relates to standing appropriations and other 19 appropriations-related matters. For the budget process 20 applicable to FY 2012-2013, state agencies are required to 21 submit estimates and other expenditure information as called 22 for by the director of the department of management instead of 23 the information required under Code section 8.23. 24 This division limits standing appropriations for FY 25 2011-2012 made for the following purposes: casino wagering 26 tax proceeds allocated for department of cultural affairs 27 operational support grants and community cultural grants and 28 for regional tourism marketing; the center for congenital 29 and inherited disorders; primary and secondary child abuse 30 prevention programs; programs for at-risk children; payment 31 for nonpublic school transportation; reimbursement for the 32 homestead property tax credit and for the family farm and 33 agricultural land tax credits; and the enforcement of Code 34 chapter 452D relating to tobacco product manufacturers. 35 -87- LSB 2824XC (22) 84 tm/jp 87/ 102
S.F. _____ The standing appropriation in Code section 257.20 of an 1 amount necessary to pay instructional support state aid, as 2 determined under that Code provision, is replaced with a zero 3 appropriation for FY 2011-2012. 4 Code section 256.30, relating to educational expenses for 5 American Indian children, is amended. Current law requires the 6 department of education to provide moneys to pay the expense 7 of educating American Indian children residing in the Sac and 8 Fox Indian settlement on land held in trust by the secretary of 9 the interior of the United States in excess of federal moneys 10 paid to the tribal council for educating the American Indian 11 children when moneys are appropriated for that purpose. The 12 division makes a standing appropriation of $100,000 from the 13 general fund of the state to pay the expenses. 14 Code section 257.35 is amended to reduce area education 15 agencies’ budgets for fiscal year 2011-2012 by $20 million. 16 SALARIES, COMPENSATION, AND RELATED MATTERS —— FY 2011-2012. 17 This division relates to the funding for the fiscal year 18 beginning July 1, 2011, of salary increases for appointed 19 nonelected officers, employees subject to collective bargaining 20 agreements, certain noncontract employees, and board of regents 21 employees. 22 The division prohibits bonus pay for employees of the 23 executive branch except for employees of the state board of 24 regents, the judicial branch, and the legislative branch, 25 unless the bonus pay is otherwise authorized by law, required 26 pursuant to an employment contract entered into before July 27 1, 2011, or required pursuant to a collective bargaining 28 agreement. 29 The salary model administrator is required to work in 30 conjunction with the department of management and the 31 legislative services agency to analyze, compare, and project 32 state salary and benefit information. 33 PERFORMANCE OF DUTY. This division provides that the 34 source of funding for the payment of expenses authorized by 35 -88- LSB 2824XC (22) 84 tm/jp 88/ 102
S.F. _____ the executive council is the Iowa economic emergency fund and 1 then the general fund of the state if the emergency fund is 2 insufficient. Current law provides that the source of funding 3 is the general fund or the state treasury. Various Code 4 provisions involving authorization of payment by the executive 5 council are amended as necessary to conform to the change in 6 the source of funding. 7 STANDING APPROPRIATIONS AND RELATED MATTERS —— FY 2012-2013. 8 This division relates to the budget process for FY 2013-2014 9 and limits certain standing appropriations for FY 2012-2013. 10 The standing appropriation in Code section 257.20 of an 11 amount necessary to pay instructional support state aid, as 12 determined under that Code provision, is replaced with a zero 13 appropriation for FY 2012-2013. 14 SALARIES, COMPENSATION, AND RELATED MATTERS —— FY 2012-2013. 15 This division relates to funding for FY 2012-2013 of salary 16 increases for employees subject to collective bargaining 17 agreements and board of regents employees. The division also 18 prohibits certain types of bonus pay and makes requirements for 19 the salary model administrator. 20 CORRECTIVE PROVISIONS. The division makes corrections to 21 legislation considered or enacted during the 2011 legislative 22 session. 23 MISCELLANEOUS PROVISIONS AND APPROPRIATIONS. This division 24 includes miscellaneous provisions and appropriations. 25 The division appropriates moneys to the department of public 26 health for FY 2011-2012 for a vision screening program. 27 The division appropriates moneys to the department of 28 agriculture and land stewardship for FY 2011-2012 for purposes 29 of a program for farmers with disabilities. 30 The division appropriates moneys to the department 31 of cultural affairs for FY 2010-2011 for purposes of the 32 battleship Iowa, BB-61. This provision takes effect upon 33 enactment. 34 An appropriation for FY 2010-2011 is provided to the Iowa 35 -89- LSB 2824XC (22) 84 tm/jp 89/ 102
S.F. _____ finance authority for a grant to a nonprofit organization 1 to be used for development of a group home for persons with 2 intellectual disabilities or brain injury. This provision 3 takes effect upon enactment. 4 The division authorizes not more than two additional 5 full-time equivalent positions (FTEs) for the investigations 6 division of the department of inspections and appeals for 7 FY 2011-2012 if Senate File 313 or successor legislation is 8 enacted providing for debt setoff or other recovery activities 9 for nonpayment of premiums pursuant to Code section 249A.3, 10 subsection 2, paragraph “a”, subparagraph (1), (relating to a 11 special income eligibility group under the Medicaid program) 12 or pursuant to Code section 249J.8, subsection 1, (relating to 13 the expansion population eligibility group under the IowaCare 14 program). The additional FTEs are limited to the extent funded 15 through the department of human services. 16 The division provides a method for recalculating cost 17 per pupil amounts for an area education agency and a school 18 district when a school district participating on a contractual 19 basis in a special education instructional program operated 20 by an area education agency terminates the contract. This 21 provision takes effect upon enactment. 22 The division establishes a task force on the prevention of 23 sexual abuse of children in Iowa. The task force shall develop 24 a model policy addressing sexual abuse of children. The task 25 force shall make recommendations for reducing child sexual 26 abuse in Iowa and in making those recommendations shall gather 27 information concerning child sexual abuse throughout the state; 28 receive reports and testimony from individuals, state and local 29 agencies, community-based organizations, and other public and 30 private organizations; create goals for state policy that would 31 prevent child sexual abuse; and submit a final report with its 32 recommendations to the governor and the general assembly on 33 or before January 16, 2012. This provision takes effect upon 34 enactment. 35 -90- LSB 2824XC (22) 84 tm/jp 90/ 102
S.F. _____ The division provides that a railroad company which alters 1 facilities pursuant to a written agreement with a political 2 subdivision with a population or more than 67,800, but less 3 than 67,900, according to the 2010 certified federal census, 4 to construct a flood mitigation project, shall receive 5 certain limitations on liability for any damages caused by the 6 alteration due to a flood. 7 The division makes inapplicable the limitation on 8 expenditures made for office supplies, purchases of equipment, 9 office equipment, and equipment noninventory, printing and 10 binding, and marketing implemented pursuant to 2011 Iowa 11 Acts, House File 45, for FY 2010-2011 to a department or 12 agency receiving a supplemental appropriation for FY 2010-2011 13 pursuant to 2011 Iowa Acts, Senate File 209. This provision 14 takes effect upon enactment and is retroactively applicable to 15 the effective date of House File 45 of March 7, 2011. 16 The division provides that any computer software developed 17 by a county for purposes of election activities is the property 18 of the county unless the county sells the rights to the 19 software. 20 The division provides that certain sections of 2011 Iowa 21 Acts, Senate File 205, take effect upon enactment of this bill, 22 rather than on July 1, 2011. The affected provisions require 23 the department of transportation to waive the certificate 24 of title fee and surcharge when ownership of a vehicle is 25 transferred from a decedent to the surviving spouse who is 26 entitled to ownership of the vehicle under the laws of descent 27 or the terms of the decedent’s will. The affected provisions 28 also provide that, for purposes of calculating the annual 29 registration fee of a such a motor vehicle, the term “owner” 30 includes a surviving spouse. 31 The division amends Code section 80B.6 to add two members to 32 the Iowa law enforcement academy council. 33 The division amends Code section 256C.5 to reduce the school 34 aid formula weighting for the statewide preschool program for 35 -91- LSB 2824XC (22) 84 tm/jp 91/ 102
S.F. _____ four-year-old children from 60 percent to 50 percent of the 1 actual enrollment of eligible students. This provision takes 2 effect upon enactment, and applies to budget years beginning on 3 or after July 1, 2011. 4 The division amends Code section 279.51 to expand the manner 5 in which grant moneys received from the child development 6 coordinating council for programs for at-risk children may be 7 used. 8 The division amends Code section 303.19A to provide that 9 the state historic preservation officer shall only recommend 10 that a municipal utility constructing electric distribution 11 and transmission facilities for which it is receiving federal 12 funding conduct an archeological site survey of its proposed 13 route when, based upon a review of existing information on 14 historic properties within the area of potential effects of 15 the construction, the state historic preservation officer 16 has determined that a historic property is likely to exist 17 within the proposed route. This provision takes effect upon 18 enactment. 19 The amendment to Code section 321J.2, subsection 4, 20 paragraph b, makes a correction to a criminal penalty provision 21 relating to the court’s assessment of a mandatory minimum fine 22 in a second offense operating-while-intoxicated case to reflect 23 previous law in effect through November 30, 2010. Senate File 24 431 (2010 Iowa Acts) reorganized criminal penalty, sentencing, 25 and related license revocation provisions in Code section 26 321J.2. 27 The division amends Code section 435A.35 to provide that 28 the first $106,016,400 of revenues generated from the tax on 29 cigarettes and from the tax on certain tobacco products are 30 credited to the health care trust fund. Currently, the moneys 31 are credited to the general fund of the state and appropriated 32 annually to the health care trust fund. 33 The division amends Code section 466B.31 to add three 34 members to the watershed planning advisory council. 35 -92- LSB 2824XC (22) 84 tm/jp 92/ 102
S.F. _____ The division amends Code section 537A.5, as amended by 1 2011 Iowa Acts, Senate File 396, section 1, by eliminating 2 from the definition of the term “construction contract”, as 3 it relates to certain indemnity agreements for construction 4 contracts, agreements related to the construction, 5 alteration, improvement, development, demolition, excavation, 6 rehabilitation, maintenance, or repair of highways, roads, 7 streets, bridges, tunnels, transportation facilities, and 8 airports. 9 The division extends the repeal date in Code section 10 654.4B from July 1, 2011, to July 1, 2012, for certain notice 11 requirements related to acceleration of mortgage indebtedness. 12 This provision takes effect upon enactment. 13 APPROPRIATION TRANSFERS. This division revises and 14 reduces appropriation transfers in lieu of transfers made 15 by the executive branch, as reported by the department of 16 management on August 27, 2010. A portion of the appropriation 17 in 2010 Iowa Acts, chapter 1184, from the rebuild Iowa 18 infrastructure fund to the grow Iowa values fund is transferred 19 to the department of economic development’s Iowans helping 20 Iowans business assistance program. Two amounts from the 21 appropriation made in 2010 Iowa Acts, chapter 1193, to the 22 department of human services for the medical assistance program 23 are transferred to the department’s unmet needs program and to 24 the Iowa finance authority to be used for the Iowans helping 25 Iowans housing assistance program. The division takes effect 26 upon enactment and is retroactively applicable to August 27, 27 2010. 28 REORGANIZATION. This division addresses state government 29 reorganization. 30 New Code section 8.75 requires each department to separately 31 track the budget and actual expenditures for contract services 32 and for employee training for each appropriation line item. 33 New Code section 8A.319 requires the department of 34 administrative services to facilitate efficient and 35 -93- LSB 2824XC (22) 84 tm/jp 93/ 102
S.F. _____ cost-effective purchasing for state government by conducting 1 certain activities. 2 The division requires the department of administrative 3 services to consult with the legislative and judicial branches 4 and explore opportunities for providing information technology 5 services to those branches. 6 The division encourages state agencies to utilize electronic 7 mail or similar electronic means for license or permit 8 notification purposes. 9 The division requires state agencies to budget for and 10 plan to conduct lean projects. The division encourages state 11 agencies to share resources and services. 12 The division requires each joint appropriations subcommittee 13 of the general assembly to annually examine and review the fees 14 charged by state agencies. 15 The division requires the department of administrative 16 services, in consultation with the department of management, 17 to examine the state personnel hiring process with the goal of 18 simplifying and reducing the steps needed for state agencies 19 to hire personnel. 20 The division includes requirements for compliance checks of 21 licensed retail tobacco outlets. 22 The division requires the department of administrative 23 services to examine the possibility of merging all state 24 payroll systems into the centralized payroll system. 25 The division requires the department of administrative 26 services to implement to the greatest extent possible a payroll 27 system paying state employees on a semimonthly basis. 28 MEDICATION THERAPY MANAGEMENT. This division amends the 29 pilot program for medication therapy management implemented 30 on July 1, 2010, for eligible state employees, extending 31 the contract under the program for an additional year. The 32 division transfers funds to the department of administrative 33 services for the purpose of the program. The division takes 34 effect upon enactment. 35 -94- LSB 2824XC (22) 84 tm/jp 94/ 102
S.F. _____ EARNED INCOME TAX CREDIT. This division increases the 1 amount of the state earned income tax credit. Currently, the 2 credit is equal to 7 percent of the amount of a taxpayer’s 3 federal earned income tax credit. The division increases the 4 amount of the credit to 10 percent. 5 The division applies retroactively to January 1, 2011, for 6 tax years beginning on or after that date. 7 ALLOWABLE GROWTH. This division establishes a state percent 8 growth of 3 percent for purposes of the state school foundation 9 program for the school budget year beginning July 1, 2012. The 10 division establishes a categorical state percent of growth 11 of 3 percent for purposes of the state school foundation 12 program for the school budget year beginning July 1, 2012. The 13 categorical state percent of growth includes the teacher salary 14 supplement, the professional development supplement, and the 15 early intervention supplement. The division is applicable for 16 computing state aid under the state school foundation program 17 for the school budget year beginning July 1, 2012. 18 WITHHOLDING AGREEMENTS. This division amends the terms 19 “employer” and “targeted job” related to withholding agreements 20 between a pilot project city and an employer concerning a 21 targeted jobs withholding credit authorized under Code section 22 403.19A. Currently the terms only relate to new or created 23 jobs. The division adds retained jobs to both terms. 24 SCHOOL EMPLOYEE MISCONDUCT. This division makes changes 25 relating to misconduct by a school employee and provides for 26 the related duties and responsibilities of certain other 27 persons, accredited public and private schools, area education 28 agencies, and the board of educational examiners. 29 The division directs the board of educational examiners 30 to provide annually to any person who holds a license, 31 certificate, authorization, or statement of recognition 32 issued by the board, training relating to the knowledge and 33 understanding of the board’s code of professional conduct and 34 ethics. The board shall develop a curriculum that addresses 35 -95- LSB 2824XC (22) 84 tm/jp 95/ 102
S.F. _____ the code of professional conduct and ethics and shall annually 1 provide regional training opportunities throughout the state. 2 The division authorizes the board to deny a license or 3 revoke the license of an administrator if the board finds by 4 a preponderance of evidence that the administrator failed to 5 report the termination or resignation of a school employee 6 holding a license, certificate, statement of professional 7 recognition, or coaching authorization, for reasons of alleged 8 misconduct or actual misconduct. 9 The division also requires a school board and the 10 authorities in charge of an accredited nonpublic school to 11 place on administrative leave a school employee who is the 12 subject of an investigation of an alleged incident of abuse of 13 a student. If the results of the investigation of a school 14 employee who holds a license, certificate, authorization, or 15 statement of recognition issued by the board of educational 16 examiners find that the school employee’s conduct constitutes a 17 crime under any other statute, the school board shall report 18 the results of the investigation to the board of educational 19 examiners. 20 The division provides civil and criminal immunity to an 21 employee of a school district, an accredited nonpublic school, 22 or an area education agency who participates in good faith and 23 acts reasonably in the making of a report to, or investigation 24 by, an appropriate person or agency regarding physical or 25 sexual abuse of a student. 26 BUSINESS PROPERTY TAX CREDITS. This division of the bill 27 creates a business property tax credit under new Code chapter 28 426C for property taxes due and payable in fiscal years 29 beginning on or after July 1, 2012. 30 The division establishes a business property tax credit 31 fund. For the fiscal year beginning July 1, 2012, the 32 division appropriates from the general fund of the state to the 33 department of revenue for deposit in the fund, $50 million. 34 For the fiscal year beginning July 1, 2013, and each fiscal 35 -96- LSB 2824XC (22) 84 tm/jp 96/ 102
S.F. _____ year thereafter, the division appropriates from the general 1 fund of the state to the department of revenue for deposit 2 in the fund an amount equal to the total amount appropriated 3 by the general assembly to the fund in the previous fiscal 4 year. In addition, for fiscal years beginning on or after 5 July 1, 2013, the division appropriates an additional sum of 6 $50 million to the fund if the revenue estimating conference 7 certifies that the total amount of general fund revenues 8 has grown by at least 4 percent as compared to the previous 9 fiscal year. The division provides, however, that the total 10 appropriation to the fund shall not exceed $200 million in any 11 one fiscal year. Under the division, interest or earnings on 12 moneys deposited in the fund are credited to the fund, moneys 13 in the fund are not subject to the provisions of Code section 14 8.33, and moneys in the fund shall not be transferred, used, 15 obligated, appropriated, or otherwise encumbered except as 16 provided in new Code chapter 426C. 17 The division provides that each person who wishes to claim 18 a business property tax credit shall obtain the appropriate 19 forms from the assessor and file the claim with the assessor. 20 The director of revenue is required to prescribe suitable 21 forms and instructions for such claims, and make such forms 22 and instructions available to the assessors. The assessor 23 is required to remit the claims for credit to the county 24 auditor with the assessor’s recommendation for allowance 25 or disallowance. If the assessor recommends disallowance 26 of a claim, the assessor shall submit the reasons for the 27 recommendation, in writing, to the county auditor. The county 28 auditor then forwards the claims to the board of supervisors. 29 The board is required to allow or disallow the claims. If 30 the board of supervisors disallows a claim for a credit, the 31 board of supervisors is required to send written notice, by 32 mail, to the claimant and the notice must state the reasons for 33 disallowing the claim for the credit. Any person whose claim 34 for credit is denied may appeal from the action of the board of 35 -97- LSB 2824XC (22) 84 tm/jp 97/ 102
S.F. _____ supervisors to the district court of the county in which the 1 parcel or property unit is located. 2 Claims for the business property tax credit must be filed 3 not later than March 15 preceding the fiscal year during which 4 the property taxes for which the credit is claimed are due 5 and payable. However, the deadline for filing claims against 6 property taxes due and payable in the fiscal year beginning 7 July 1, 2012, is January 15, 2012. 8 Upon the filing of a claim and allowance of a business 9 property tax credit, the credit is allowed on the parcel or 10 property unit for successive years without further filing as 11 long as the parcel or property unit satisfies the requirements 12 for the credit. The owner is required to provide written 13 notice to the assessor when the parcel or property unit ceases 14 to qualify for the credit. The division requires the assessor 15 to maintain a permanent file of current credits and also 16 specifies certain requirements for parcel or property unit 17 owners, assessors, and county recorders when all or a portion 18 of such parcels or property units are sold, transferred, or 19 ownership otherwise changes. 20 Under the division, each parcel classified and taxed 21 as commercial property, industrial property, or railway 22 property under Code chapter 434, and improved with permanent 23 construction, is eligible for a business property tax credit. 24 A person may claim and receive one credit for each eligible 25 parcel unless the parcel is part of a property unit. The 26 division defines “property unit” to mean contiguous parcels 27 located within the same county, with the same property tax 28 classification, each containing permanent improvements, owned 29 by the same person, and operated by that person for a common 30 use and purpose. A person may only claim and receive one 31 tax credit for each property unit. A credit approved for a 32 property unit is allocated to the several parcels within the 33 property unit in the proportion that each parcel’s property 34 tax liability on improvements bears to the total property tax 35 -98- LSB 2824XC (22) 84 tm/jp 98/ 102
S.F. _____ liability on improvements for the property unit. Only those 1 property units comprised of commercial property, comprised of 2 industrial property, or comprised of railway property under 3 Code chapter 434 are eligible for a credit. 4 The division provides that all claims for credit which 5 have been allowed, the actual value of the improvements to 6 the applicable parcels and property units that are subject to 7 assessment and taxation, the consolidated levy rates or average 8 consolidated levy rates for such parcels and property units 9 applicable to the fiscal year for which the credit is claimed, 10 and the taxing districts in which each parcel or property unit 11 is located, shall be certified on or before June 15, in each 12 year, by the county auditor to the department of revenue. 13 The division provides that using the actual value of 14 the improvements and the consolidated levy rate or average 15 consolidated levy rate for each parcel or property unit, as 16 certified by the county auditor, the department is required to 17 calculate, for each fiscal year, an initial amount of actual 18 value of improvements for use in determining the amount of 19 the credit for each approved parcel or property unit so as to 20 provide the maximum possible credit according to the credit 21 formula and limitations in the division, and to provide a 22 total dollar amount of credits in the fiscal year equal to 98 23 percent of the moneys in the business property tax credit fund 24 following the deposit of the total appropriation for the fiscal 25 year. 26 The credit for each parcel or property unit for which a 27 claim for a business property tax credit has been approved is 28 calculated using the lesser of the initial amount of actual 29 value of the improvements determined by the department for 30 the fiscal year and the actual value of improvements to the 31 parcel or property unit as certified to the department of 32 revenue. The amount of the credit for each parcel or property 33 unit is then calculated by multiplying the lesser amount of 34 actual value, so determined, by the difference, stated as 35 -99- LSB 2824XC (22) 84 tm/jp 99/ 102
S.F. _____ a percentage, between the assessment limitation applicable 1 to the parcel or property unit under Code section 441.21(5) 2 (commercial, industrial, and railway property rollback) and the 3 assessment limitation applicable to residential property under 4 Code section 441.21(4) (residential property rollback), divided 5 by $1,000, and then multiplied by the consolidated levy rate 6 or average consolidated levy rate per $1,000 of taxable value 7 applicable to the parcel or property unit for the fiscal year 8 for which the credit is claimed. 9 The division specifies the procedures for the payment of 10 the amount of the business property tax credits to the county 11 treasurers and the resulting apportionment to the applicable 12 taxing districts. The division also specifies the requirements 13 and procedures for an appeal of a denial of a claim for 14 credit, specifies the requirements and procedures for an audit 15 of a business property tax credit allowed, and specifies 16 requirements relating to the collection of property taxes 17 due as the result of an incorrectly calculated or improperly 18 approved credit. 19 The division provides that a person who makes a false claim 20 for the purpose of obtaining a business property tax credit 21 or who knowingly receives the credit without being legally 22 entitled to it is guilty of a fraudulent practice and is 23 subject to a criminal penalty. 24 The division applies to property taxes due and payable in 25 fiscal years beginning on or after July 1, 2012. 26 COUNTY AND CITY BUDGET LIMITATION. This division removes 27 the property tax levy rate limitations on the general and rural 28 services funds for counties and on the general fund for cities 29 and substitutes a limitation on the maximum amount of property 30 tax dollars that may be certified for expenditure by a county 31 or city for budget years beginning on or after July 1, 2013. 32 For the budget year beginning July 1, 2013, and subsequent 33 budget years, the maximum amount of property tax dollars which 34 may be certified for levy shall be an amount equal to the 35 -100- LSB 2824XC (22) 84 tm/jp 100/ 102
S.F. _____ sum of the current fiscal year’s total property tax dollars 1 certified by the applicable city or county multiplied by the 2 annual growth factor, as defined in the division, the amount 3 of net new valuation taxes, as defined in the division, and 4 certain unfunded state or federal mandate costs, as defined in 5 the division. The bill does not, however, modify a county’s 6 ability to certify a supplemental levy for certain purposes 7 specified in Code section 331.424. The bill specifies the 8 various levies and funds that are subject to the maximum dollar 9 limitation. 10 The division also allows counties and cities to certify 11 additions to the maximum amount of property tax dollars to be 12 levied for a budget year if the city or county has conducted a 13 second public hearing on the budget. The division specifies 14 that such additional amounts are not to be included in the 15 computation of the maximum amount of property tax dollars for 16 future budget years. 17 The division specifies certain requirements for ending fund 18 balances for counties and cities. The division provides that 19 budgeted ending fund balances for a budget year in excess of 25 20 percent of budgeted expenditures shall be explicitly committed 21 or assigned for a specific purpose. 22 Under the division, counties and cities are encouraged, but 23 not required, to reduce budgeted, uncommitted, or unassigned 24 ending fund balances for the budget year to an amount equal 25 to approximately 25 percent of budgeted expenditures for that 26 budget year unless a decision is certified by the state appeal 27 board ordering a reduction in the ending fund balance of any of 28 those funds. The county or city, as applicable, has the burden 29 of proving that the budgeted balances in excess of 25 percent 30 are reasonably likely to be appropriated for the explicitly 31 committed or assigned specific purpose. 32 The division also allows for additional property taxes to 33 be levied in certain fiscal years for those counties or cities 34 that have, as of June 30, 2012, reduced their actual ending 35 -101- LSB 2824XC (22) 84 tm/jp 101/ 102
S.F. _____ fund balance to less than 25 percent of actual expenditures. 1 Such additional property tax dollars authorized but not levied 2 may be carried forward as unused ending fund balance taxing 3 authority until and for the fiscal year beginning July 1, 2018. 4 However, the amount carried forward shall not exceed 25 percent 5 of the maximum amount of property tax dollars available in the 6 current fiscal year. The amount of such additional property 7 taxes levied shall not, however, be included in the computation 8 of the maximum amount of property tax dollars which may be 9 certified and levied in future budget years. 10 The division also makes conforming amendments to other 11 provisions of the Code. 12 The division takes effect July 1, 2012, and applies to fiscal 13 years beginning on or after July 1, 2013. 14 RESIDENTIAL PROPERTY ASSESSMENT LIMITATION. This division 15 provides that for valuations established as of January 1, 16 2012, and each assessment year thereafter, the percentage of 17 actual value at which residential property is assessed shall 18 be calculated in accordance with the methods provided in Code 19 section 441.21, except that in no assessment year shall the 20 percentage of actual value at which residential property is 21 assessed be less than 50 percent. 22 RETROACTIVE APPLICABILITY. Unless otherwise provided, the 23 bill, if approved by the governor after July 1, 2011, applies 24 retroactively to July 1, 2011. 25 -102- LSB 2824XC (22) 84 tm/jp 102/ 102