House File 201 - Introduced HOUSE FILE 201 BY WOLFE A BILL FOR An Act relating to state equalization payments for county 1 mental health and disabilities services funds. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 1730YH (2) 85 jp/sc

H.F. 201 Section 1. Section 426B.3, subsection 4, as enacted by 2012 1 Iowa Acts, chapter 1120, section 137, is amended to read as 2 follows: 3 4. a. For the fiscal years beginning July 1, 2013, and 4 July 1, 2014, a county with a county population expenditure 5 target amount that exceeds the amount of the county’s base year 6 expenditures for mental health and disabilities services shall 7 receive an equalization payment for the difference. 8 b. For the following fiscal years a county with a county 9 population expenditure target amount that is less than the 10 amount of the county’s base year expenditures for mental health 11 and disabilities services shall receive an equalization payment 12 for the difference, as follows: 13 (1) For the fiscal year beginning July 1, 2013, the 14 equalization payment shall be one hundred percent of the 15 difference. 16 (2) For the fiscal year beginning July 1, 2014, the 17 equalization payment shall be seventy-five percent of the 18 difference. 19 b. c. The equalization payments determined in accordance 20 with this subsection shall be made by the department of human 21 services for each fiscal year as provided in appropriations 22 made from the property tax relief fund for this purpose. 23 EXPLANATION 24 This bill relates to the revenues for county mental health 25 and disabilities services (MH/DS) funds for FY 2013-2014 and 26 FY 2014-2015. Under Code section 331.424A, as amended by 2012 27 Iowa Acts, chapter 1120 (S.F. 2315), the county levy for the 28 MH/DS services fund for the two fiscal years cannot exceed 29 the lower of the following two amounts: the county’s base 30 year expenditures for MH/DS, as adjusted for state property 31 tax relief paid in FY 2008-2009 (current maximum levy) or the 32 statewide expenditure target amount of $47.28 multiplied by the 33 county’s general population (per capita target levy). 34 Currently, beginning with the levies for FY 2013-2014, a 35 -1- LSB 1730YH (2) 85 jp/sc 1/ 2

H.F. 201 county with a current maximum levy that is less than the per 1 capita target levy will receive an equalization payment for 2 the difference. A county with a current maximum levy that is 3 greater than the per capita target levy must reduce its levy 4 to the per capita target levy. 5 The bill provides that a county that is required to reduce 6 its levy to the per capita target levy amount will receive 7 an equalization payment as follows: for FY 2013-2014, a 8 payment equal to 100 percent of the reduction amount and for 9 FY 2014-2015, a payment equal to 75 percent of the reduction 10 amount. 11 -2- LSB 1730YH (2) 85 jp/sc 2/ 2