HF 174 (LSB 1742HV (2) 91)

HOUSE FILE 174

BY  COMMITTEE ON EDUCATION

(SUCCESSOR TO HF 10)

(COMPANION TO SF 16 BY SINCLAIR)

A BILL FOR

An Act modifying provisions related to the effective date of school district enlargements, reorganizations, changes in boundaries, and dissolutions, and including retroactive applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 275.24, Code 2025, is amended to read as follows:
   275.24  Effective date of change.
   1.  When a school district is enlarged, reorganized, or changes its boundary If a proposition to enlarge, reorganize, or change the boundary of a school district pursuant to sections 275.12 through 275.18, 275.20, and 275.22, is approved by voters pursuant to section 275.18 prior to January 1, 2025, the change shall take effect on July 1 following the date of the reorganization election held pursuant to section 275.18.
   2.  If a proposition to enlarge, reorganize, or change the boundary of a school district pursuant to sections 275.12 through 275.18, 275.20, and 275.22, is approved by voters pursuant to section 275.18 on or after January 1, 2025, the change shall take effect on July 1 in the calendar year immediately subsequent to the calendar year in which the reorganization election was held pursuant to section 275.18.
    Sec. 2.  Section 275.55, subsection 4, Code 2025, is amended to read as follows:
   4.  a.  (1)  The If the proposition was approved by voters pursuant to this section prior to January 1, 2025, the attachment is effective July 1 following its approval.
   (2)  If the proposition was approved by voters pursuant to this section on or after January 1, 2025, the attachment is effective July 1 in the calendar year immediately subsequent to the calendar year in which the attachment was approved.
   b.  If the dissolution proposal is for the dissolution of a school district with a certified enrollment of fewer than six hundred, the territory located in the school district that dissolved is eligible, if approved by the director of the department of education, for a reduction in the foundation property tax levy under section 257.3, subsection 1. If the director approves a reduction in the foundation property tax levy as provided in this section, the director shall notify the director of the department of management of the reduction.
    Sec. 3.  RETROACTIVE APPLICABILITY.  This Act applies retroactively to January 1, 2025.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill modifies provisions related to the effective date of school district enlargements, reorganizations, changes in boundaries, and dissolutions.
   Current law provides that when a school district is enlarged, reorganized, or changes its boundary, the change shall take effect on July 1 following the date of the reorganization election. The bill modifies this provision to provide that, if the proposition was approved prior to January 1, 2025, the change shall take effect on July 1 following the date of the reorganization election, and if the proposition was approved on or after January 1, 2025, the change shall take effect on July 1 in the calendar year immediately subsequent to the calendar year in which the reorganization election was held.
   Current law provides that the attachment of territory of a school district that is subject to an approved dissolution proposal is effective July 1 following such approval. The bill modifies this provision to provide that, if the proposition was approved prior to January 1, 2025, the attachment is effective July 1 following such approval, and if the proposition was approved on or after January 1, 2025, the attachment is effective July 1 in the calendar year immediately subsequent to the calendar year in which the attachment was approved.
   The bill is retroactively applicable to January 1, 2025.