H.F. _____ Section 1. Section 24.9, subsection 1, Code 2022, is amended 1 to read as follows: 2 1. a. Each municipality shall file with the secretary or 3 clerk thereof the estimates required to be made in sections 4 24.3 to 24.8 , at least twenty days before the date fixed by 5 law for certifying the same to the levying board and shall 6 forthwith fix a date for a hearing thereon, and shall publish 7 such estimates and any annual levies previously authorized 8 as provided in section 76.2 , with a notice of the time when 9 and the place where such hearing shall be held not less than 10 ten nor more than twenty days before the hearing. Except for 11 a municipality that is a school district, the notice shall 12 also include the information required under paragraph “c” , 13 subparagraph (2), subparagraph divisions (a) through (d), which 14 shall be adopted by resolution of the municipality. Provided 15 that in municipalities of less than two hundred population 16 such estimates and the notice of hearing thereon shall be 17 posted in three public places in the district in lieu of 18 publication. For any other municipality such publication shall 19 be in a newspaper published therein, if any, if not, then in a 20 newspaper of general circulation therein. 21 b. The department of management shall prescribe the form for 22 public hearing notices for use by municipalities and notices 23 required to be sent by the department under paragraph “c” . 24 c. (1) For purposes of this paragraph: 25 (a) “Budget year” is the fiscal year beginning during the 26 calendar year in which a budget is certified. 27 (b) “Current fiscal year” is the fiscal year ending during 28 the calendar year in which a budget for the budget year is 29 certified. 30 (c) “Effective property tax rate” means the property tax 31 rate per one thousand dollars of assessed value and is equal to 32 one thousand multiplied by the quotient of the current fiscal 33 year’s actual property tax dollars certified for levy divided 34 by the total assessed value used to calculate taxes for the 35 -1- LSB 5517YC (3) 89 md/jh 1/ 8

H.F. _____ budget year. 1 (d) “Municipality” means the same as defined in section 2 24.2, but excludes a school district. 3 (2) In addition to the notices published and posted 4 under paragraph “a” , the municipality shall direct the 5 department of management to send to each owner or taxpayer 6 within the municipality by regular mail, on or before the 7 date of publication under paragraph “a” , an individual notice 8 containing all of the following: 9 (a) The sum of the current fiscal year’s actual property 10 taxes certified for levy by the municipality and the 11 municipality’s current fiscal year’s combined property tax rate 12 for such amount. 13 (b) The effective property tax rate calculated using the sum 14 of the current fiscal year’s actual property taxes certified by 15 the municipality. 16 (c) The sum of the proposed property tax dollars to be 17 certified for levy by the municipality for the budget year and 18 the proposed combined property tax rate for such amount. 19 (d) If the proposed property tax dollars specified under 20 subparagraph division (c) exceeds the current fiscal year’s 21 actual property tax dollars certified for levy specified in 22 subparagraph division (a), a statement of the major reasons for 23 the increase. 24 (e) The assessed value of the owner’s or taxpayer’s property 25 used to calculate property taxes for the current fiscal year. 26 (f) The assessed value of the owner’s or taxpayer’s property 27 used to calculate property taxes for the budget year. 28 (g) The amount of property taxes due on the owner’s or 29 taxpayer’s property for the current fiscal year for the 30 municipality. 31 (h) The proposed amount of property taxes to be levied 32 against the owner’s or taxpayer’s property for the budget year 33 for the municipality. 34 Sec. 2. Section 331.433A, subsection 4, paragraph b, Code 35 -2- LSB 5517YC (3) 89 md/jh 2/ 8

H.F. _____ 2022, is amended to read as follows: 1 b. Proof of publication shall be filed with and preserved 2 by the auditor. The department of management shall prescribe 3 the form for the public hearing notice for use by counties , 4 the form for individual notices sent by the department under 5 paragraph “c” , and the form for the resolution to be adopted by 6 the board under subsection 5 . 7 Sec. 3. Section 331.433A, subsection 4, Code 2022, is 8 amended by adding the following new paragraph: 9 NEW PARAGRAPH . c. In addition to the notices published 10 and posted under paragraph “a” , the county shall direct the 11 department of management to send to each owner or taxpayer 12 by regular mail, on or before the date of publication under 13 paragraph “a” , an individual notice containing the information 14 required under paragraph “a” , subparagraphs (1) through (4), 15 and all of the following: 16 (1) The assessed value of the owner’s or taxpayer’s property 17 used to calculate property taxes for the current fiscal year. 18 (2) The assessed value of the owner’s or taxpayer’s property 19 used to calculate property taxes for the budget year. 20 (3) The amount of property taxes due on the owner’s or 21 taxpayer’s property for the current fiscal year for general 22 county services and rural county services under the levies 23 specified in subsection 2, paragraphs “a” and “b” . 24 (4) The proposed amount of property taxes to be levied 25 against the owner’s or taxpayer’s property for the budget year 26 for general county services and rural county services under the 27 levies specified in subsection 2, paragraphs “a” and “b” . 28 Sec. 4. Section 331.433A, subsection 5, paragraph a, Code 29 2022, is amended to read as follows: 30 a. At the public hearing, the board shall receive oral 31 or written objections from any resident or property owner 32 of the county. After all objections have been received and 33 considered, the board may decrease, but not increase, the 34 proposed maximum property tax dollar amounts for inclusion in 35 -3- LSB 5517YC (3) 89 md/jh 3/ 8

H.F. _____ the resolution and shall adopt the resolution and file the 1 resolution with the auditor as required under section 331.434, 2 subsection 3 . In addition to the proposed maximum property tax 3 dollar amounts for general county services and rural county 4 services, the resolution shall also include the effective 5 property tax rate for general county services, the effective 6 property tax rate for rural county services, the estimated 7 property tax rate for the proposed general county services 8 maximum property tax dollar amount, and the estimated property 9 tax rate for the proposed rural county services maximum 10 property tax dollar amount. 11 Sec. 5. Section 359.49, subsection 4, Code 2022, is amended 12 to read as follows: 13 4. a. The board of trustees shall transmit a copy of the 14 proposed budget and a notice of the meeting set as required by 15 subsection 5 to the county auditor for posting. The county 16 auditor shall post the notice and the proposed budget in an 17 area of the courthouse where notices to the public are commonly 18 posted. The notice shall also include the information required 19 under paragraph “b” , subparagraph (2), subparagraph divisions 20 (a) through (d), which shall be adopted by resolution of the 21 board of trustees. 22 b. (1) For purposes of this paragraph: 23 (a) “Budget year” is the fiscal year beginning during the 24 calendar year in which a budget is certified. 25 (b) “Current fiscal year” is the fiscal year ending during 26 the calendar year in which a budget for the budget year is 27 certified. 28 (c) “Effective property tax rate” means the property tax 29 rate per one thousand dollars of assessed value and is equal to 30 one thousand multiplied by the quotient of the current fiscal 31 year’s actual property tax dollars certified for levy divided 32 by the total assessed value used to calculate taxes for the 33 budget year. 34 (2) In addition to the notices published and posted under 35 -4- LSB 5517YC (3) 89 md/jh 4/ 8

H.F. _____ paragraph “a” , the township shall direct the department 1 of management to send to each owner or taxpayer within the 2 township by regular mail, on or before the date of posting 3 under paragraph “a” , an individual notice containing all of the 4 following: 5 (a) The sum of the current fiscal year’s actual property 6 taxes certified for levy by the township and the township’s 7 current fiscal year’s combined property tax rate for such 8 amount. 9 (b) The effective property tax rate calculated using the sum 10 of the current fiscal year’s actual property taxes certified by 11 the township. 12 (c) The sum of the proposed property tax dollars to be 13 certified for levy by the township for the budget year and the 14 proposed combined property tax rate for such amount. 15 (d) If the proposed property tax dollars specified under 16 subparagraph division (c) exceed the current fiscal year’s 17 actual property tax dollars certified for levy specified in 18 subparagraph division (a), a statement of the major reasons for 19 the increase. 20 (e) The assessed value of the owner’s or taxpayer’s property 21 used to calculate property taxes for the current fiscal year. 22 (f) The assessed value of the owner’s or taxpayer’s property 23 used to calculate property taxes for the budget year. 24 (g) The amount of property taxes due on the owner’s or 25 taxpayer’s property for the current fiscal year for the 26 township. 27 (h) The proposed amount of property taxes to be levied 28 against the owner’s or taxpayer’s property for the budget year 29 for the township. 30 Sec. 6. Section 384.15A, subsection 4, paragraph b, Code 31 2022, is amended to read as follows: 32 b. Proof of publication shall be filed with and preserved 33 by the county auditor. The department of management shall 34 prescribe the form for the public hearing notice for use by 35 -5- LSB 5517YC (3) 89 md/jh 5/ 8

H.F. _____ cities , the form for individual notices sent by the department 1 under paragraph “c” , and the form for the resolution to be 2 adopted by the council under subsection 5 . 3 Sec. 7. Section 384.15A, subsection 4, Code 2022, is amended 4 by adding the following new paragraph: 5 NEW PARAGRAPH . c. In addition to the notices published and 6 posted under paragraph “a” , the city shall direct the department 7 of management to send to each owner or taxpayer by regular 8 mail, on or before the date of publication under paragraph “a” , 9 an individual notice containing the information required under 10 paragraph “a” , subparagraphs (1) through (4), and all of the 11 following: 12 (1) The assessed value of the owner’s or taxpayer’s property 13 used to calculate property taxes for the current fiscal year. 14 (2) The assessed value of the owner’s or taxpayer’s property 15 used to calculate property taxes for the budget year. 16 (3) The amount of property taxes due on the owner’s or 17 taxpayer’s property for the current fiscal year for the city 18 under the levies specified in subsection 2. 19 (4) The proposed amount of property taxes to be levied 20 against the owner’s or taxpayer’s property for the budget year 21 for the city under the levies specified in subsection 2. 22 Sec. 8. Section 384.15A, subsection 5, paragraph a, Code 23 2022, is amended to read as follows: 24 a. At the public hearing, the council shall receive oral 25 or written objections from any resident or property owner 26 of the city. After all objections have been received and 27 considered, the council may decrease, but not increase, the 28 proposed maximum property tax dollar amount for inclusion in 29 the resolution and shall adopt the resolution and file the 30 resolution with the county auditor as required under section 31 384.16, subsection 3 . In addition to the proposed maximum 32 property tax dollar amount, the resolution shall also include 33 the effective property tax rate, and the estimated property tax 34 rate for the proposed maximum property tax dollar amount. 35 -6- LSB 5517YC (3) 89 md/jh 6/ 8

H.F. _____ Sec. 9. APPLICABILITY. This Act applies to county, city, 1 township, and municipality budgets for fiscal years beginning 2 on or after July 1, 2023. 3 EXPLANATION 4 The inclusion of this explanation does not constitute agreement with 5 the explanation’s substance by the members of the general assembly. 6 This bill relates to budget approval processes and property 7 taxes of counties, cities, townships, and other municipalities. 8 Under Code sections 331.433A and 384.15A, each county and 9 city is, prior to filing of the entity’s proposed budget, 10 required to adopt a resolution establishing, in the case of 11 a county, the total maximum property tax dollars that may be 12 certified for levy for general county services and the total 13 maximum property tax dollars that may be certified for levy for 14 rural county services; and in the case of a city, the total 15 maximum property tax dollars that may be certified for the 16 enumerated city government purposes and funds. The governing 17 body must hold a public hearing on the resolution and notice 18 of the public hearing is required to be published and posted 19 on the entity’s internet site and social media accounts, as 20 applicable. Notice of the hearing is required to include 21 specified property tax dollar amounts and levy rates, including 22 the effective property tax rate. 23 The bill provides that in addition to the published and 24 posted notices under Code sections 331.433A and 384.15A, the 25 city or county, as applicable, shall direct the department of 26 management to send to each owner or taxpayer by regular mail, 27 an individual notice containing the information required under 28 the notice published and posted and all of the following: (1) 29 the assessed value of the owner’s or taxpayer’s property used 30 to calculate property taxes for the current fiscal year; (2) 31 the assessed value of the owner’s or taxpayer’s property used 32 to calculate property taxes for the budget year; (3) the amount 33 of property taxes due on the owner’s or taxpayer’s property for 34 the current fiscal year for the city or county; and (4) the 35 -7- LSB 5517YC (3) 89 md/jh 7/ 8

H.F. _____ proposed amount of property taxes to be levied for the city 1 or county against the owner’s or taxpayer’s property for the 2 budget year. 3 The bill also amends Code section 24.9 relating to the filing 4 of budget estimates as part of the budget approval process for 5 municipalities, which includes public entities that have power 6 to levy or certify a tax or sum of money to be collected by 7 taxation, except a county, city, drainage district, township, 8 or road district. The bill adds to the notice required to be 9 published and posted regarding the public hearing under Code 10 section 24.9, the information similarly required for cities and 11 counties under current Code sections 331.433A and 384.15A. The 12 bill also requires each municipality to direct the department 13 of management to send individual notices to each owner or 14 taxpayer by regular mail that contain similar information to 15 that which is required for inclusion in individual notices sent 16 by the department of management for counties and cities under 17 the bill. 18 The bill also amends the township budget approval process 19 under Code section 359.43 to require the township budget 20 hearing notice to include information similarly required to be 21 included in the notice for cities and counties under current 22 Code sections 331.433A and 384.15A, and to require the board 23 of township trustees to direct the department of management to 24 send individual notices to property owners and taxpayers that 25 are similar to the individual notices required for counties, 26 cities, and municipalities under the bill. 27 The bill applies to county, city, and political subdivision 28 budgets for fiscal years beginning on or after July 1, 2023. 29 -8- LSB 5517YC (3) 89 md/jh 8/ 8