House File 444 - Introduced HOUSE FILE 444 BY FISHER A BILL FOR An Act relating to township fire stations by authorizing the 1 use of certain property taxes approved at election for the 2 payment of anticipatory bonds. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 2261YH (4) 89 md/jh

H.F. 444 Section 1. Section 359.45, Code 2021, is amended to read as 1 follows: 2 359.45 Anticipatory bonds. 3 1. Townships may anticipate the collection of taxes 4 authorized by section 359.43 and for such purposes may direct 5 the county board of supervisors to issue bonds under sections 6 331.441 to 331.449 relating to essential county purpose bonds 7 except that the bonds are payable only from tax levies on 8 property subject to the levy under section 359.43 and the levy 9 under subsection 2, if applicable and authorized at election . 10 2. a. In addition to the payment of the bonds issued 11 pursuant to subsection 1 with taxes collected resulting from 12 the levies under section 359.43, such bonds shall be payable 13 from the tax levy under this subsection if the bonds are issued 14 for the purpose of funding the construction or acquisition, 15 including a lease with purchase option, of a fire station to be 16 used to provide the services under section 359.42, and if the 17 levy is approved at election. 18 b. Upon petition of twenty-five percent of the resident 19 eligible electors, excluding those areas of the township 20 within corporate boundaries of a city, the board of township 21 trustees shall submit to the applicable voters of the township 22 the question of whether to authorize the imposition of the 23 levy under this subsection for the payment of bonds described 24 in paragraph “a” . The county commissioner shall conduct the 25 election pursuant to the applicable provisions of chapters 39 26 through 53 and certify the result to the trustees. The ballot 27 shall set out the reason for the tax, the amount needed, and 28 the duration of the proposed tax. 29 c. The proposition is adopted if a majority of those 30 voting on the proposition at the election approves it. If the 31 proposition is approved at election, the township trustees may 32 impose the levy at a rate necessary to pay the bonds described 33 in paragraph “a” , but not to exceed thirty-nine and one-fourth 34 cents per one thousand dollars of assessed value, and for 35 -1- LSB 2261YH (4) 89 md/jh 1/ 3

H.F. 444 a period not to exceed ten years beginning with the fiscal 1 year beginning July 1 following the election at which the 2 proposition was approved. The proposition is not affected by a 3 change in the boundaries of the township. 4 d. (1) Following expiration of the authority to impose 5 the levy under this subsection, authority to reimpose the levy 6 requires approval in accordance with this subsection. 7 (2) Following expiration of the authority to impose the levy 8 under this subsection, the operational cost and maintenance 9 of the fire station shall be paid using funds from the levies 10 authorized under section 359.43. 11 EXPLANATION 12 The inclusion of this explanation does not constitute agreement with 13 the explanation’s substance by the members of the general assembly. 14 Code section 359.45 authorizes townships to anticipate the 15 collection of taxes authorized by Code section 359.43 (levies 16 for fire protection service and emergency medical service) and 17 for such purposes may direct the county board of supervisors to 18 issue bonds under provisions for essential county purpose bonds 19 payable only from tax levies under Code section 359.43. 20 This bill provides that, in addition to those levies under 21 Code section 359.43, such bonds shall be payable from the tax 22 levy established in the bill if the bonds are issued for the 23 purpose of funding the construction or acquisition, including 24 a lease with purchase option, of a fire station to be used to 25 provide the fire protection and emergency medical services for 26 the township, and if the levy is approved at election. 27 Upon petition of 25 percent of the resident eligible 28 electors, excluding those areas of the township within 29 corporate boundaries of a city, the board of township trustees 30 shall submit to the applicable voters of the township the 31 question of whether to authorize the imposition of the levy 32 under the bill. The ballot is required to set out the reason 33 for the tax, the amount needed, and the duration of the 34 proposed tax. The proposition is adopted if a majority of 35 -2- LSB 2261YH (4) 89 md/jh 2/ 3

H.F. 444 those voting on the proposition at the election approves it. 1 An approved levy may be imposed at a rate necessary to pay the 2 applicable bonds, but not to exceed 39 and one-fourth cents 3 per $1,000 of assessed value, and for a period not to exceed 4 10 years. Following expiration of the authority to impose 5 the levy, authority to reimpose the levy requires approval in 6 accordance with the bill. 7 The bill also provides that following expiration of 8 the authority to impose the levy, the operational cost and 9 maintenance of the fire station shall be paid using funds from 10 the levies authorized under Code section 359.43. 11 By operation of law, the changes the bill makes to the 12 township services provisions apply to a county that has, by 13 resolution under Code section 331.385, assumed the exercise 14 of the powers and duties of township trustees relating to 15 fire protection service and emergency medical service for any 16 township located in the unincorporated area of the county. 17 -3- LSB 2261YH (4) 89 md/jh 3/ 3