Senate File 466 - Introduced SENATE FILE 466 BY COMMITTEE ON JUDICIARY (SUCCESSOR TO SSB 1026) A BILL FOR An Act relating to authorization procedures for certain county 1 projects involving real property. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 1122SV (3) 86 jm/sc
S.F. 466 Section 1. Section 331.301, subsection 10, paragraph e, 1 subparagraph (1), Code 2015, is amended to read as follows: 2 (1) (a) The board must follow substantially the 3 authorization procedures of section 331.443 to authorize 4 a lease or lease-purchase contract for personal property 5 which is payable from the general fund. The board must 6 follow substantially the authorization procedures of section 7 331.443 to authorize a lease or lease-purchase contract for 8 real property which is payable from the general fund if the 9 principal amount of the lease-purchase contract does not exceed 10 the following limits: 11 (i) Four Six hundred thousand dollars in a county having a 12 population of twenty-five thousand or less. 13 (ii) Five Seven hundred fifty thousand dollars in a county 14 having a population of more than twenty-five thousand but not 15 more than fifty thousand. 16 (iii) Six Nine hundred thousand dollars in a county having 17 a population of more than fifty thousand but not more than one 18 hundred thousand. 19 (iv) Eight One million two hundred thousand dollars in a 20 county having a population of more than one hundred thousand 21 but not more than two hundred thousand. 22 (v) One million five hundred thousand dollars in a county 23 having a population of more than two hundred thousand. 24 (b) However, if the principal amount of a lease or 25 lease-purchase contract pursuant to this subparagraph (1) is 26 less than twenty-five thousand dollars, the board may authorize 27 the lease or lease-purchase contract without following the 28 authorization procedures of section 331.443 . 29 Sec. 2. Section 331.441, subsection 2, paragraph b, 30 subparagraph (5), Code 2015, is amended to read as follows: 31 (5) (a) Public buildings, including the site or grounds of, 32 and the erection, equipment, remodeling, or reconstruction of, 33 and additions or extensions to the buildings, and including the 34 provision and maintenance of juvenile detention or shelter care 35 -1- LSB 1122SV (3) 86 jm/sc 1/ 4
S.F. 466 facilities, when the cost principal amount of the bonds does 1 not exceed the following limits: 2 (a) (i) Six hundred thousand dollars in a county having a 3 population of twenty-five thousand or less. 4 (b) (ii) Seven hundred fifty thousand dollars in a county 5 having a population of more than twenty-five thousand but not 6 more than fifty thousand. 7 (c) (iii) Nine hundred thousand dollars in a county having 8 a population of more than fifty thousand but not more than one 9 hundred thousand. 10 (d) (iv) One million two hundred thousand dollars in a 11 county having a population of more than one hundred thousand 12 but not more than two hundred thousand. 13 (e) (v) One million five hundred thousand dollars in a 14 county having a population of more than two hundred thousand. 15 (b) If the board in a county with a population of two 16 hundred thousand or less determines that at least twenty-five 17 percent of the building and grounds will be used or occupied by 18 the judicial branch as referenced in section 602.1102 or if the 19 board in a county with a population of more than two hundred 20 thousand determines that at least fifty percent of the building 21 and grounds will be used or occupied by the judicial branch 22 as referenced in section 602.1102, the board may follow the 23 authorization procedures of section 331.443 when the principal 24 amount of the bonds does not exceed the following limits: 25 (i) One million three hundred thousand dollars in a county 26 having a population of twenty-five thousand or less. 27 (ii) One million six hundred thousand dollars in a county 28 having a population of more than twenty-five thousand but not 29 more than fifty thousand. 30 (iii) One million nine hundred thousand dollars in a county 31 having a population of more than fifty thousand but not more 32 than one hundred thousand. 33 (iv) Two million five hundred thousand dollars in a county 34 having a population of more than one hundred thousand but not 35 -2- LSB 1122SV (3) 86 jm/sc 2/ 4
S.F. 466 more than two hundred thousand. 1 (v) Three million two hundred thousand dollars in a county 2 having a population of more than two hundred thousand. 3 Sec. 3. Section 331.441, subsection 2, paragraph c, 4 subparagraph (9), Code 2015, is amended to read as follows: 5 (9) Public buildings, including the site or grounds of, 6 the erection, equipment, remodeling, or reconstruction of, and 7 additions or extensions to the buildings, and including the 8 provision and maintenance of juvenile detention or shelter care 9 facilities, when the cost principal amount of the bonds exceeds 10 the limits stated in subsection 2 , paragraph “b” , subparagraph 11 (5) , subparagraph division (a) or (b), as applicable . 12 EXPLANATION 13 The inclusion of this explanation does not constitute agreement with 14 the explanation’s substance by the members of the general assembly. 15 This bill relates to the authorization procedures for county 16 projects involving real property by raising certain limitation 17 amounts and by making an exception for projects involving 18 property to be used by the judicial branch. 19 Generally, indebtedness incurred for an essential county 20 purpose does not require approval of the voters. 21 The bill increases the threshold amounts that determine 22 whether a project can be undertaken using the procedures for 23 essential county purpose bonds when the project involves a 24 lease contract or lease-purchase contract. For counties with a 25 population of 25,000 or less, the threshold amount is increased 26 from $400,000 to $600,000; for counties with a population of 27 more than 25,000 but not more than 50,000, the threshold amount 28 is increased from $500,000 to $750,000; for counties with a 29 population of more than 50,000 but not more than 100,000, the 30 threshold amount is increased from $600,000 to $900,000; for 31 counties with a population of more than 100,000 but not more 32 than 200,000, the threshold amount is increased from $800,000 33 to $1.2 million; and for counties with a population of more 34 than 200,000, the threshold amount is increased from $1 million 35 -3- LSB 1122SV (3) 86 jm/sc 3/ 4
S.F. 466 to $1.5 million. 1 The bill amends the definition of “essential county purpose” 2 relating to the issuance of bonds for public buildings by 3 increasing the threshold amounts on the principal amount of 4 the bonds if at least 25 percent of the public building and 5 grounds will be used or occupied by the judicial branch in a 6 county with a population of 200,000 or less, or when at least 7 50 percent of the public building and grounds will be used or 8 occupied by the judicial branch in a county with a population 9 of more than 200,000. The bill increases the threshold amounts 10 in the following manner: for counties with a population of 11 25,000 or less, the threshold amount is increased from $600,000 12 to $1.3 million; for counties with a population of more than 13 25,000 but not more than 50,000, the threshold amount is 14 increased from $750,000 to $1.6 million; for counties with a 15 population of more than 50,000 but not more than 100,000, the 16 threshold amount is increased from $900,000 to $1.9 million; 17 for counties with a population of more than 100,000 but not 18 more than 200,000, the threshold amount is increased from $1.2 19 million to $2.5 million; and for counties with a population of 20 more than 200,000, the threshold amount increases from $1.5 21 million to $3.2 million. 22 Also, under current law, the threshold amounts are linked to 23 the cost of the project. The bill links the threshold amounts 24 to the principal amount of the bonds. 25 -4- LSB 1122SV (3) 86 jm/sc 4/ 4