Senate File 16 - Introduced SENATE FILE 16 BY D. JOHNSON A BILL FOR An Act relating to the division and allocation of property 1 taxes levied against wind energy conversion property located 2 in an urban renewal area and including effective date 3 provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 1523SS (2) 87 md/sc

S.F. 16 Section 1. Section 403.19, subsection 1, Code 2017, is 1 amended by adding the following new paragraph: 2 NEW PARAGRAPH . 0c. (1) For the purpose of allocating 3 taxes levied by or for any taxing district, and notwithstanding 4 any provision to the contrary, taxes levied on or after the 5 effective date of this Act against wind energy conversion 6 property as defined in section 427B.26 and located in an urban 7 renewal area established on or after the effective date of 8 this Act or located on territory added to an existing urban 9 renewal area on or after the effective date of this Act shall 10 be allocated to and when collected paid into the funds for the 11 respective taxing districts in the same manner as all other 12 property taxes. 13 (2) For the purpose of allocating taxes levied by or for 14 any taxing district, and notwithstanding any provision to 15 the contrary, taxes levied on or after the effective date of 16 this Act against wind energy conversion property as defined in 17 section 427B.26 that was first assessed for taxation twenty or 18 more years before the assessment year for which taxes are being 19 levied shall be allocated to and when collected paid into the 20 funds for the respective taxing districts in the same manner as 21 all other property taxes. 22 Sec. 2. EFFECTIVE UPON ENACTMENT. This Act, being deemed of 23 immediate importance, takes effect upon enactment. 24 EXPLANATION 25 The inclusion of this explanation does not constitute agreement with 26 the explanation’s substance by the members of the general assembly. 27 Code section 403.19 authorizes municipalities to provide 28 by ordinance for the division of property tax revenue (tax 29 increment financing) collected against property located within 30 an urban renewal area. This bill provides that property taxes 31 levied on or after the effective date of the bill against wind 32 energy conversion property located in an urban renewal area 33 established on or after the effective date of the bill or 34 located on territory added to an existing urban renewal area 35 -1- LSB 1523SS (2) 87 md/sc 1/ 2

S.F. 16 on or after the effective date of the bill shall be allocated 1 to and when collected paid into the funds for the respective 2 taxing districts in the same manner as all other property 3 taxes. 4 The bill also provides that taxes levied on or after the 5 effective date of the bill against wind energy conversion 6 property that was first assessed for taxation 20 or more years 7 before the assessment year for which taxes are being levied, 8 shall be allocated to and when collected paid into the funds 9 for the respective taxing districts in the same manner as all 10 other property taxes. 11 The bill takes effect upon enactment. 12 -2- LSB 1523SS (2) 87 md/sc 2/ 2