Bill Text: IA SF2052 | 2013-2014 | 85th General Assembly | Introduced
Bill Title: A bill for an act authorizing the creation of county improvement districts, authorizing the imposition, collection, and expenditure of certain tax revenue within a district, authorizing the issuance of bonds for a district, and including effective date provisions.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2014-01-28 - Subcommittee, Wilhelm, Behn, and Bowman. S.J. 145. [SF2052 Detail]
Download: Iowa-2013-SF2052-Introduced.html
Senate
File
2052
-
Introduced
SENATE
FILE
2052
BY
WILHELM
A
BILL
FOR
An
Act
authorizing
the
creation
of
county
improvement
1
districts,
authorizing
the
imposition,
collection,
and
2
expenditure
of
certain
tax
revenue
within
a
district,
3
authorizing
the
issuance
of
bonds
for
a
district,
and
4
including
effective
date
provisions.
5
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
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Section
1.
NEW
SECTION
.
332.1
Definitions.
1
As
used
in
this
chapter,
unless
the
context
otherwise
2
requires:
3
1.
“Board”
means
the
county
board
of
supervisors.
4
2.
“Book”
,
“list”
,
“record”
,
or
“schedule”
kept
by
a
county
5
auditor,
assessor,
treasurer,
recorder,
sheriff,
or
other
6
county
officer
means
the
county
system
as
defined
in
section
7
445.1.
8
3.
“Costs”
of
an
improvement
includes
construction
contracts
9
and
the
cost
of
engineering,
architectural,
technical,
and
10
legal
services,
preliminary
reports,
property
valuations,
11
estimates,
plans,
specifications,
notices,
acquisition
12
of
real
and
personal
property,
consequential
damages
or
13
costs,
easements,
rights-of-way,
supervision,
inspection,
14
testing,
publications,
printing
and
sale
of
bonds,
interest
15
incurred
during
construction
and
for
not
more
than
six
months
16
thereafter,
and
provisions
for
contingencies.
17
4.
“District”
means
a
county
improvement
district
created
in
18
accordance
with
this
chapter.
19
5.
“Improvement”
means
works,
structures,
and
facilities
20
located
within
or
outside
the
district
that
are
necessary
21
to
provide
utility
services
to
property
within
the
22
district,
including
but
not
limited
to
water,
electric,
gas,
23
telecommunications,
and
sewer
utilities.
24
6.
“New
consumer”
means
a
consumer,
as
defined
in
section
25
437A.3,
located
in
the
district
that
was
not
located
in
the
26
area
of
the
district
before
the
effective
date
of
the
ordinance
27
establishing
the
district,
regardless
of
ownership.
28
7.
“Property”
means
real
property
as
defined
in
section
4.1,
29
subsection
13,
and
in
section
427A.1,
subsection
1,
paragraph
30
“h”
.
31
8.
“Property
owner”
or
“owner”
means
the
owner
of
property,
32
as
shown
by
the
transfer
books
in
the
office
of
the
county
33
auditor
of
the
county
in
which
the
property
is
located.
34
Sec.
2.
NEW
SECTION
.
332.2
Authorization.
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A
county
that
proposes
to
create
a
county
improvement
1
district,
to
provide
for
its
existence
and
operation,
to
2
provide
for
improvements,
to
authorize
and
issue
bonds
for
the
3
purposes
of
the
district,
and
to
use
the
taxes
authorized
by
4
this
chapter
must
do
so
in
accordance
with
the
provisions
of
5
this
chapter.
6
Sec.
3.
NEW
SECTION
.
332.3
Creation
of
district.
7
1.
A
county
improvement
district
created
by
the
board
of
8
supervisors
shall:
9
a.
Be
comprised
of
contiguous
property
wholly
within
the
10
unincorporated
area
of
the
county.
11
b.
Be
comprised
only
of
property
that
is
zoned
for
12
commercial
or
industrial
use.
13
c.
Be
given
a
descriptive
name
containing
the
words
“county
14
improvement
district”.
15
d.
Be
comprised
of
property
related
in
some
manner,
16
including
but
not
limited
to
present
or
potential
use,
physical
17
location,
condition,
relationship
to
an
area,
or
relationship
18
to
present
or
potential
commercial
or
industrial
activity
in
an
19
area,
so
as
to
be
benefited
in
any
manner.
20
2.
The
board
shall
initiate
proceedings
for
creating
a
21
district
upon
the
filing
with
the
county
auditor
of
a
petition
22
containing:
23
a.
The
signatures
of
at
least
fifty
percent
of
all
owners
of
24
property
within
the
proposed
district.
These
signatures
must
25
together
represent
ownership
of
property
with
an
assessed
value
26
of
fifty
percent
or
more
of
the
assessed
value
of
all
of
the
27
property
in
the
proposed
district.
28
b.
A
description
of
the
boundaries
of
the
proposed
district
29
or
a
description
of
the
property
within
the
proposed
district.
30
c.
The
name
of
the
proposed
district.
31
d.
A
statement
of
the
maximum
rate
of
tax
that
may
be
32
imposed
upon
property
within
the
proposed
district
for
purposes
33
of
the
district.
The
maximum
rate
of
tax
may
be
stated
in
terms
34
of
separate
maximum
rates
for
the
debt
service
tax
and
the
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capital
improvement
fund
tax,
or
in
terms
of
a
maximum
combined
1
rate
for
both.
2
e.
The
purpose
of
the
district,
which
may
be
stated
3
generally,
or
in
terms
of
the
relationship
of
the
property
4
within
the
district
or
the
interests
of
the
owners
of
property
5
within
the
district,
or
in
terms
of
the
improvements
proposed
6
for
the
district
by
listing
specific
improvements
or
general
7
categories
of
improvements,
or
in
terms
of
any
combination
of
8
the
foregoing.
9
f.
A
statement
as
to
whether
the
district
is
authorized
to
10
use
utility
replacement
tax
revenue
pursuant
to
section
332.7.
11
3.
a.
The
board
shall
notify
the
county
zoning
commission
12
upon
the
receipt
of
a
petition.
It
shall
be
the
duty
of
13
the
county
zoning
commission
to
make
recommendations
to
the
14
board
in
regard
to
the
proposed
district.
The
county
zoning
15
commission
shall,
with
due
diligence,
prepare
a
report
for
the
16
board
evaluating
the
merit
and
feasibility
of
the
proposed
17
district.
Except
as
otherwise
provided
in
paragraph
“b”
,
the
18
board
shall
not
hold
a
public
hearing
or
take
further
action
on
19
the
creation
of
the
district
until
it
has
received
the
report
20
required
by
this
section.
21
b.
If
no
county
zoning
commission
exists,
the
board
shall
22
notify
the
metropolitan
or
regional
planning
commission
upon
23
receipt
of
a
petition,
and
such
commission
shall
have
the
24
same
duties
set
forth
in
this
subsection
as
a
county
zoning
25
commission.
If
no
county
zoning
commission
or
metropolitan
26
or
regional
planning
commission
exists,
the
board
shall
call
27
a
public
hearing
on
the
petition
requesting
creation
of
a
28
district
by
publishing
and
mailing
notice
in
the
same
manner
as
29
provided
in
subsection
4.
30
4.
a.
Upon
receipt
of
the
commission’s
final
report
or
31
after
the
public
hearing
under
subsection
3,
paragraph
“b”
,
as
32
applicable,
the
board
shall
set
a
time
and
place
for
a
public
33
hearing
at
which
the
board
proposes
to
take
action
on
creation
34
of
the
district,
and
shall
publish
notice
of
the
hearing
as
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provided
in
section
331.305.
In
addition,
the
county
auditor
1
shall
send
a
copy
of
the
notice
by
certified
mail
not
less
2
than
fifteen
days
before
the
hearing
to
each
owner
of
property
3
within
the
proposed
district
at
the
owner’s
address
as
shown
by
4
the
records
of
the
county
auditor.
If
a
property
is
shown
to
be
5
in
the
name
of
more
than
one
owner
at
the
same
mailing
address,
6
a
single
notice
may
be
mailed
addressed
to
all
owners
at
that
7
address.
Failure
to
receive
a
mailed
notice
is
not
grounds
for
8
objection
to
the
board’s
taking
any
action
authorized
in
this
9
chapter.
10
b.
In
addition
to
the
time
and
place
of
the
public
hearing
11
on
the
proposal,
the
notice
must
state:
12
(1)
That
a
petition
has
been
filed
with
the
board
asking
13
that
a
district
be
established.
14
(2)
The
name
of
the
district.
15
(3)
The
purpose
of
the
district.
16
(4)
A
description
of
the
property
proposed
to
be
included
in
17
the
district
and
a
map
of
such
property.
18
(5)
A
description
of
any
proposed
improvement
to
be
19
undertaken
and
an
estimate
of
its
cost.
20
(6)
The
funding
sources
proposed
for
each
improvement
21
identified
under
subparagraph
(5),
and
an
estimate
of
the
22
amount
of
funding
that
will
be
necessary
from
each
funding
23
source.
24
5.
At
the
time
and
place
set
in
the
notice
the
board
25
shall
hear
all
owners
of
property
in
the
proposed
district
or
26
residents
of
the
county
desiring
to
express
their
views.
The
27
board
must
wait
at
least
thirty
days
after
the
public
hearing
28
required
by
subsection
4
has
been
held
before
it
may
adopt
29
an
ordinance
establishing
a
district.
Property
included
in
30
the
proposed
district
need
not
be
included
in
the
established
31
district.
However,
property
shall
not
be
included
in
the
32
established
district
if
the
property
was
not
included
in
the
33
proposed
district
unless
the
board
holds
another
public
hearing
34
after
publishing
and
mailing
notice
meeting
the
requirements
of
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subsection
4
to
the
owners
of
the
additional
property
or
causes
1
a
notice
of
the
inclusion
of
the
property
to
be
personally
2
served
upon
each
owner
of
the
additional
property
or
receives
3
a
written
waiver
of
notice
from
each
owner
of
the
additional
4
property.
5
6.
Adoption
of
the
ordinance
creating
a
district
requires
6
the
affirmative
vote
of
three-fourths
of
all
of
the
members
7
of
the
board.
However,
adoption
of
the
ordinance
requires
a
8
unanimous
vote
of
the
board
if
a
remonstrance
has
been
filed
9
with
the
county
auditor
signed
by
at
least
fifty
percent
of
all
10
owners
of
property
within
the
proposed
district
representing
11
ownership
of
property
with
an
assessed
value
of
fifty
percent
12
or
more
of
the
assessed
value
of
all
of
the
property
in
the
13
proposed
district.
14
7.
The
county
auditor
shall
cause
a
copy
of
the
ordinance
to
15
be
filed
in
the
office
of
the
county
recorder
and
shall
provide
16
a
copy
of
the
ordinance
to
the
director
of
revenue
and
the
17
director
of
the
department
of
management
within
fifteen
days
18
of
adoption.
19
8.
At
any
time
prior
to
adoption
of
an
ordinance
creating
20
a
district,
the
matter
of
creating
such
district
shall
be
21
withdrawn
from
board
consideration
if
a
petition
objecting
22
to
creating
such
district
is
filed
with
the
county
auditor
23
containing
the
signatures
of
at
least
sixty-five
percent
of
all
24
owners
of
property
within
the
proposed
district
or
signatures
25
which
together
represent
ownership
of
property
with
an
assessed
26
value
of
sixty-five
percent
or
more
of
the
assessed
value
of
27
all
property
within
the
proposed
district.
28
9.
The
adoption
of
an
ordinance
creating
a
district
is
a
29
legislative
determination
that
the
property
within
the
district
30
is
related
in
some
manner
as
required
under
subsection
1,
31
paragraph
“d”
.
32
10.
Any
resident
or
property
owner
of
the
county
may
appeal
33
the
action
and
the
decisions
of
the
board,
including
the
34
creation
of
the
district,
to
the
district
court
of
the
county
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in
which
the
district
is
located,
within
thirty
days
after
1
the
date
upon
which
the
ordinance
creating
the
district
takes
2
effect,
but
the
action
and
decision
of
the
board
are
final
3
and
conclusive
unless
the
court
finds
that
the
board
exceeded
4
its
authority.
An
action
may
not
be
brought
questioning
the
5
regularity
of
the
proceedings
pertaining
to
the
creation
of
6
a
district
or
the
validity
of
the
district,
or
the
propriety
7
of
the
inclusion
or
exclusion
of
any
property
within
or
from
8
the
district,
or
the
ability
of
the
county
to
receive
taxes
9
in
accordance
with
the
ordinance
creating
the
district,
after
10
thirty
days
from
the
date
on
which
the
ordinance
creating
the
11
district
takes
effect.
12
11.
The
procedural
steps
for
the
petitioning
and
creation
13
of
the
district
may
be
combined
with
the
procedural
steps
for
14
the
authorization
of
any
improvement
under
section
332.6,
or
15
the
procedural
steps
for
the
authorization
of
any
tax,
or
any
16
combination
thereof.
17
12.
The
rate
of
debt
service
tax
referred
to
in
the
18
petition
and
the
ordinance
creating
the
district
shall
only
19
restrict
the
amount
of
bonds
which
may
be
issued,
and
shall
20
not
limit
the
ability
of
the
county
to
levy
as
necessary
in
21
subsequent
years
to
pay
interest
and
amortize
the
principal
22
of
that
amount
of
bonds.
Bonds
issued
pursuant
to
section
23
332.10
shall
constitute
indebtedness
within
the
meaning
of
any
24
constitutional
or
statutory
debt
limitations
or
restrictions.
25
13.
The
ordinance
creating
the
district
may
provide
for
26
the
division
of
all
of
the
property
within
the
district
into
27
two
or
more
zones
based
upon
a
reasonable
difference
in
the
28
relationship
of
the
property
or
the
interest
of
its
owners,
29
whether
the
difference
is
qualitative
or
quantitative.
The
30
ordinance
creating
the
district
and
establishing
the
zones
31
may
establish
a
different
maximum
rate
of
tax
for
each
zone,
32
or
may
provide
that
the
zone
shall
be
credited
with
a
certain
33
set
percentage
of
the
improvement
district
taxes
levied
in
the
34
zone.
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Sec.
4.
NEW
SECTION
.
332.4
Amendments
to
ordinance.
1
1.
a.
The
ordinance
creating
the
district
may
be
amended
2
by
the
board.
3
b.
If
the
amendment
to
the
ordinance
modifies
the
boundaries
4
of
the
district,
increases
or
decreases
the
maximum
rate
5
of
taxes
authorized
in
the
ordinance,
or
authorizes
or
6
discontinues
the
use
of
utility
replacement
taxes
under
section
7
332.7,
such
amendment
shall
be
adopted
in
the
same
manner
and
8
by
the
same
procedure
as
for
the
creation
of
a
district.
9
c.
Property
added
to
a
district
shall
be
subject
to
all
10
taxes
currently
and
thereafter
levied,
including
debt
service
11
levies
for
bonds
previously
or
thereafter
issued.
12
2.
An
amendment
to
the
ordinance
creating
the
district
for
13
any
reason
specified
under
subsection
1,
paragraph
“b”
,
shall
14
be
adopted
by
an
affirmative
vote
of
three-fourths
of
all
of
15
the
members
of
the
board.
However,
if
a
remonstrance
has
been
16
filed
with
the
county
auditor
signed
by
at
least
fifty
percent
17
of
all
owners
of
property
within
the
district,
and
all
property
18
proposed
to
be
included
if
applicable,
representing
ownership
19
of
property
with
an
assessed
value
of
fifty
percent
or
more
of
20
the
assessed
value
of
all
the
property
in
the
district,
and
all
21
property
proposed
to
be
included
if
applicable,
the
amendment
22
to
the
ordinance
must
be
adopted
by
unanimous
vote
of
the
23
board.
24
3.
The
county
auditor
shall
cause
a
copy
of
the
amended
25
ordinance
to
be
filed
in
the
office
of
the
county
recorder
and
26
shall
provide
a
copy
of
the
amended
ordinance
to
the
director
27
of
revenue
and
the
director
of
the
department
of
management.
28
4.
At
any
time
prior
to
adoption
of
the
amendment
to
the
29
ordinance
creating
the
district,
the
entire
matter
of
amending
30
the
ordinance
shall
be
withdrawn
from
board
consideration
31
if
a
petition
objecting
to
amending
the
ordinance
is
filed
32
with
the
county
auditor
containing
either
the
signatures
of
33
at
least
sixty-five
percent
of
all
owners
of
property
within
34
the
district,
and
all
property
proposed
to
be
included
if
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applicable,
or
signatures
that
together
represent
ownership
of
1
property
with
an
assessed
value
of
sixty-five
percent
or
more
2
of
the
assessed
value
of
all
property
within
the
district,
and
3
all
property
proposed
to
be
included
if
applicable.
4
5.
Any
resident
or
property
owner
of
the
county
may
appeal
5
the
action
or
decisions
of
the
board
in
amending
the
ordinance
6
creating
the
district
to
the
district
court
of
the
county
in
7
which
the
district
is
located,
within
fifteen
days
after
the
8
date
upon
which
the
amendment
to
the
ordinance
creating
the
9
district
takes
effect,
but
the
action
and
decision
of
the
board
10
are
final
and
conclusive
unless
the
court
finds
that
the
board
11
exceeded
its
authority.
An
action
questioning
the
regularity
12
of
the
proceedings
pertaining
to
the
amended
ordinance
or
the
13
validity
of
the
district
as
amended,
or
the
propriety
of
the
14
inclusion
or
exclusion
of
any
property
within
or
from
the
15
amended
district,
or
the
ability
of
the
county
to
impose
or
16
receive
taxes
in
accordance
with
the
ordinance
establishing
17
the
district,
as
amended,
may
not
be
brought
after
thirty
days
18
from
the
date
upon
which
the
amendment
to
the
ordinance
takes
19
effect.
20
Sec.
5.
NEW
SECTION
.
332.5
Dissolution.
21
1.
A
district
may
be
dissolved
and
terminated
by
action
of
22
the
board
repealing
the
ordinance
creating
the
district,
and
23
any
subsequent
amendments
to
the
ordinance,
by
an
affirmative
24
vote
of
three-fourths
of
all
members
of
the
board.
However,
if
25
a
remonstrance
has
been
filed
with
the
county
auditor
signed
26
by
at
least
fifty
percent
of
all
owners
of
property
within
the
27
district
representing
ownership
of
property
with
an
assessed
28
value
of
fifty
percent
or
more
of
the
assessed
value
of
all
the
29
property
in
the
district,
the
repeal
of
the
ordinance
creating
30
the
district,
and
any
subsequent
amendments
to
the
ordinance,
31
requires
a
unanimous
vote
of
the
board.
32
2.
At
any
time
prior
to
action
of
the
board
repealing
the
33
ordinance
creating
the
district,
and
any
subsequent
amendments
34
to
the
ordinance,
the
matter
of
dissolving
a
district
shall
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be
withdrawn
from
board
consideration
if
a
petition
is
filed
1
with
the
county
auditor
containing
the
signatures
of
at
2
least
sixty-five
percent
of
all
owners
of
property
within
the
3
district
or
signatures
which
together
represent
ownership
of
4
property
with
an
assessed
value
of
sixty-five
percent
or
more
5
of
the
assessed
value
of
all
property
within
the
district.
6
3.
A
dissolution
of
a
district
shall
not
become
effective
7
until
the
indebtedness
or
other
obligations
of
the
district
8
have
been
satisfied.
9
Sec.
6.
NEW
SECTION
.
332.6
Improvements.
10
1.
When
a
county
proposes
to
construct
an
improvement
the
11
costs
of
which
are
to
be
paid
or
financed
under
the
provisions
12
of
this
chapter,
it
must
do
so
in
accordance
with
this
section.
13
2.
The
board
shall
initiate
proceedings
for
a
proposed
14
improvement
upon
receipt
of
a
petition
signed
by
at
least
15
fifty
percent
of
all
owners
of
property
within
the
district
16
representing
ownership
of
property
with
an
assessed
value
of
17
fifty
percent
or
more
of
the
assessed
value
of
all
the
property
18
in
the
district.
19
3.
Upon
receipt
of
such
a
petition
the
board
shall
20
notify
the
county
zoning
commission,
if
one
exists,
or
the
21
metropolitan
or
regional
planning
commission,
if
one
exists,
22
in
the
order
set
forth
in
section
332.3,
subsection
3.
Upon
23
notification
by
the
board,
the
commission
shall
prepare
a
24
report
for
the
board
evaluating
the
merit
and
feasibility
of
25
the
improvement
and
shall
carry
out
all
other
duties
as
set
26
forth
in
section
332.3,
subsection
3.
If
no
planning
or
zoning
27
commission
exists,
the
board
shall
call
a
public
hearing
on
the
28
proposed
improvement
by
publishing
and
mailing
notice
in
the
29
same
manner
as
provided
in
section
332.3,
subsection
4.
30
4.
a.
Upon
receipt
of
the
commission’s
report
or
after
the
31
public
hearing
under
subsection
3,
as
applicable,
the
board
32
shall
set
a
time
and
place
of
a
public
hearing
at
which
the
33
board
proposes
to
take
action
on
the
proposed
improvement
and
34
shall
publish
and
mail
notice
in
the
same
manner
as
provided
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in
section
332.3,
subsection
4.
1
b.
The
notice
must
include
the
time
and
place
of
the
hearing
2
and
a
statement
that
an
improvement
has
been
proposed,
the
3
nature
of
the
improvement,
and
the
funding
source
for
the
costs
4
of
the
improvement.
5
5.
At
the
time
and
place
set
in
the
notice
the
board
shall
6
hear
all
owners
of
property
in
the
district
or
residents
of
7
the
county
desiring
to
express
their
views.
The
board
must
8
wait
at
least
thirty
days
after
the
public
hearing
required
by
9
subsection
4
has
been
held
before
it
may
take
action
to
order
10
construction
of
the
improvement.
The
provisions
of
section
11
332.3,
subsections
6
and
8,
relating
to
the
adoption
of
the
12
ordinance
creating
a
district,
the
requisite
vote
therefor,
the
13
remonstrance
thereto,
and
the
withdrawal
of
the
matter
from
14
board
consideration
apply
to
the
adoption
of
the
resolution
15
ordering
the
construction
of
the
improvement.
16
6.
If
the
board
adopts
a
resolution
ordering
the
17
construction
of
the
improvement,
it
shall
proceed
to
let
18
contracts
for
the
improvement
in
accordance
with
chapter
26.
19
7.
The
adoption
of
a
resolution
ordering
the
construction
of
20
an
improvement
is
a
legislative
determination
that
the
proposed
21
improvement
is
in
furtherance
of
the
purposes
of
the
district
22
and
that
all
property
in
the
district
will
be
affected
by
the
23
construction
of
the
improvement,
or
that
all
owners
of
property
24
in
the
district
have
an
interest
in
the
construction
of
the
25
improvement.
26
8.
Any
resident
or
property
owner
of
the
county
may
27
appeal
the
action
or
decisions
of
the
board
in
ordering
the
28
construction
of
the
improvement
to
the
district
court
of
the
29
county
in
which
the
district
is
located
within
thirty
days
30
after
the
adoption
of
the
resolution
ordering
construction
of
31
the
improvement,
but
the
action
and
decisions
of
the
board
are
32
final
and
conclusive
unless
the
court
finds
that
the
board
33
exceeded
its
authority.
No
action
may
be
brought
questioning
34
the
regularity
of
the
proceedings
pertaining
to
the
ordering
of
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the
construction
of
an
improvement
or
the
right
of
the
county
1
to
apply
moneys
in
the
capital
improvement
fund
established
in
2
section
332.8
to
the
payment
of
the
costs
of
the
improvement
3
or
the
right
of
the
county
to
issue
bonds
authorized
in
this
4
chapter
for
the
payment
of
the
costs
of
the
improvement
or
the
5
right
of
the
county
to
levy
taxes
which
with
any
other
taxes
6
authorized
by
this
chapter
do
not
exceed
the
maximum
rate
of
7
tax
that
may
be
imposed
upon
property
within
the
district
for
8
the
payment
of
principal
of
and
interest
on
bonds
issued
to
9
pay
the
costs
of
the
improvement,
after
thirty
days
from
the
10
date
of
adoption
of
the
resolution
ordering
construction
of
the
11
improvement.
12
Sec.
7.
NEW
SECTION
.
332.7
Utility
replacement
tax.
13
1.
If
authorized
by
the
ordinance
creating
the
district,
14
or
any
subsequent
amendment
to
such
ordinance,
the
county
may
15
elect
to
receive
each
year
for
a
period
not
to
exceed
twenty
16
years
following
initial
creation
of
the
district
an
amount
of
17
replacement
taxes
collected
under
chapter
437A
not
to
exceed
18
the
sum
of
the
following:
19
a.
The
number
of
taxable
kilowatt-hours
of
electricity
20
delivered
to
new
consumers
within
the
district
for
consumption
21
within
the
district
during
the
tax
year
multiplied
by
the
22
electric
replacement
delivery
tax
rate
in
effect
for
the
23
applicable
electric
competitive
service
area.
24
b.
The
number
of
taxable
therms
of
natural
gas
delivered
25
to
new
consumers
within
the
district
for
consumption
within
26
the
district
during
the
tax
year
multiplied
by
the
natural
gas
27
delivery
tax
rate
in
effect
for
the
applicable
natural
gas
28
competitive
service
area.
29
2.
Replacement
taxes
received
by
a
county
under
this
section
30
shall
be
deposited
in
the
improvement
district’s
capital
31
improvement
fund
established
under
section
332.8
or
in
the
32
improvement
district’s
debt
service
fund
established
under
33
section
332.9.
34
Sec.
8.
NEW
SECTION
.
332.8
Capital
improvement
tax
and
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fund.
1
1.
A
county
may
establish
a
capital
improvement
fund
2
for
a
district
and
may
certify
taxes
not
to
exceed
the
rate
3
established
by
the
ordinance
creating
the
district,
or
any
4
subsequent
amendment
thereto,
such
taxes
to
be
levied
each
year
5
for
the
fund
against
all
of
the
property
in
the
district
for
6
the
purpose
of
accumulating
moneys
for
the
financing
or
payment
7
of
a
part
or
all
of
the
costs
of
any
improvement.
A
tax
levied
8
under
this
section
is
not
a
basic
levy
for
purposes
of
the
levy
9
limitations
in
section
331.423.
10
2.
In
addition
to
taxes
levied
and
collected
under
11
subsection
1,
all
or
a
portion
of
the
replacement
tax
revenue
12
received
by
the
district
under
section
332.7
may
be
deposited
13
in
the
capital
improvement
fund
and
used
for
the
purposes
14
authorized
under
subsection
1.
The
tax
authorized
under
15
subsection
1
is
not
required
to
be
levied
and
collected
in
16
order
to
establish
a
capital
improvement
fund
and
to
deposit
17
replacement
tax
revenue
into
the
fund.
18
Sec.
9.
NEW
SECTION
.
332.9
Debt
service
tax
and
fund.
19
1.
A
county
shall
establish
an
improvement
district
debt
20
service
fund
if
county
improvement
district
bonds
are
issued
21
and
outstanding,
other
than
revenue
bonds,
and
shall
certify
22
taxes
to
be
levied
against
all
of
the
property
in
the
district
23
for
the
improvement
district
debt
service
fund
in
the
amount
24
necessary
to
pay
interest
as
it
becomes
due
and
the
amount
25
necessary
to
pay,
or
to
create
a
sinking
fund
to
pay,
the
26
principal
at
maturity
of
all
county
improvement
district
bonds
27
issued
by
the
county
as
authorized
in
section
332.10.
28
2.
In
addition
to
taxes
levied
and
collected
under
29
subsection
1,
all
or
a
portion
of
the
replacement
tax
revenue
30
received
by
the
district
under
section
332.7
may
be
deposited
31
in
the
improvement
district
debt
service
fund
and
used
for
32
the
purposes
authorized
under
subsection
1
in
lieu
of
all
or
33
a
portion
of
the
tax
required
to
be
levied
under
subsection
34
1.
The
tax
authorized
under
subsection
1
is
not
required
to
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be
levied
and
collected
in
order
to
establish
an
improvement
1
district
debt
service
fund
and
to
deposit
replacement
tax
2
revenue
into
the
fund.
3
Sec.
10.
NEW
SECTION
.
332.10
County
improvement
district
4
bonds.
5
1.
A
county
may
issue
county
improvement
district
bonds
at
6
public
or
private
sale
payable
from
taxes
levied
in
accordance
7
with
chapter
76.
The
bonds
are
payable
from
the
levy
of
8
unlimited
ad
valorem
taxes
on
all
the
taxable
property
within
9
the
district
through
the
improvement
district
debt
service
fund
10
authorized
by
section
332.9
and
from
replacement
tax
revenue
11
received
under
section
332.7
and
deposited
into
the
improvement
12
district
debt
service
fund.
When
county
improvement
district
13
bonds
are
issued
and
taxes
are
levied,
the
taxes
shall
continue
14
to
be
levied,
until
the
principal
and
interest
on
the
bonds
15
are
paid
in
full,
against
all
of
the
taxable
property
that
was
16
included
in
the
district
at
the
time
of
the
issuance
of
the
17
bonds
and
against
property
added
to
the
district
by
amendment
18
to
the
ordinance,
and
regardless
of
any
subsequent
removal
of
19
property
from
the
district
or
the
dissolution
of
the
district.
20
2.
The
proceeds
of
the
sale
of
the
bonds
may
be
used
to
21
pay
the
costs
of
an
improvement
or
may
be
used
to
pay
any
22
legal
indebtedness
incurred
for
the
costs
of
an
improvement,
23
including
bonds
or
warrants
previously
issued
to
pay
the
costs
24
of
an
improvement,
or
bonds
may
be
exchanged
for
the
evidences
25
of
such
legal
indebtedness.
26
3.
Before
the
board
may
institute
proceedings
for
the
27
issuance
of
bonds,
it
shall
proceed
in
the
same
manner
as
28
is
required
for
instituting
proceedings
for
the
issuance
of
29
bonds
for
an
essential
county
purpose
as
provided
in
section
30
331.443
and
all
of
the
provisions
of
chapter
331
relating
to
31
the
issuance
of
essential
county
purpose
bonds
shall
apply
to
32
bonds
issued
pursuant
to
this
section.
33
4.
The
proceeds
of
a
single
bond
issue
may
be
used
for
more
34
than
one
improvement.
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5.
The
provisions
of
section
331.446
apply
to
bonds
issued
1
pursuant
to
this
section,
except
that
the
bonds
shall
be
2
designated
“county
improvement
district
bonds”.
3
6.
An
action
questioning
the
legality
of
bonds
issued
4
pursuant
to
this
section
or
the
power
of
a
county
to
issue
the
5
bonds
or
the
effectiveness
of
any
proceedings
relating
to
the
6
authorization
and
issuance
of
the
bonds
shall
not
be
brought
7
after
thirty
days
from
the
time
the
bonds
are
ordered
issued
8
by
the
county.
9
Sec.
11.
NEW
SECTION
.
332.11
Payment
for
improvements.
10
The
costs
of
improvements
may
be
paid
from
any
of
the
11
following
funding
sources
or
a
combination
thereof:
12
1.
The
capital
improvement
fund
established
in
section
13
332.8.
14
2.
The
proceeds
of
bonds
issued
pursuant
to
section
332.10.
15
3.
Any
other
funds
of
the
county
that
are
legally
available
16
to
pay
all
or
a
portion
of
the
costs
of
an
improvement.
The
17
fact
that
an
improvement
is
initiated
under
this
chapter
18
shall
not
preclude
the
county
from
paying
the
costs
of
the
19
improvement
from
any
fund
from
which
it
might
otherwise
20
have
been
able
to
pay
such
costs.
In
addition,
and
not
in
21
limitation
of
the
foregoing,
an
improvement
that
constitutes
22
an
essential
county
purpose
or
a
general
county
purpose,
as
23
defined
in
section
331.441,
may
be
financed
in
whole
or
in
part
24
with
the
proceeds
of
the
issuance
of
general
obligation
bonds
25
of
the
county
payable
from
the
debt
service
fund
in
section
26
331.430.
27
4.
Payment
for
the
costs
of
an
improvement
may
also
be
28
made
in
warrants
drawn
on
any
fund
from
which
payment
for
29
the
improvement
may
be
made.
If
such
funds
are
depleted,
30
anticipatory
warrants
may
be
issued
bearing
a
rate
of
interest
31
not
exceeding
that
permitted
by
chapter
74A,
which
do
not
32
constitute
a
violation
of
section
331.477,
even
if
the
33
collection
of
taxes
or
income
from
the
sale
of
bonds
applicable
34
to
the
improvement
is
after
the
end
of
the
fiscal
year
in
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which
the
warrants
are
issued.
If
the
county
arranges
for
the
1
private
sale
of
anticipatory
warrants,
they
may
be
sold
and
2
the
proceeds
used
to
pay
the
costs
of
the
improvement.
Such
3
warrants
may
be
used
to
pay
other
persons
furnishing
services
4
constituting
a
part
of
the
costs
of
the
improvement.
5
Sec.
12.
NEW
SECTION
.
332.12
Independent
provisions.
6
The
provisions
of
this
chapter
with
respect
to
notice,
7
hearing,
and
appeal
for
the
construction
of
improvements
8
and
for
the
issuance
and
sale
of
bonds
are
in
lieu
of
the
9
provisions
contained
in
chapters
73A
and
75,
or
any
other
law,
10
unless
specifically
referred
to
and
made
applicable
by
this
11
chapter.
12
Sec.
13.
Section
437A.8,
subsection
1,
Code
2014,
is
amended
13
by
adding
the
following
new
paragraph:
14
NEW
PARAGRAPH
.
g.
All
information
determined
by
the
15
director
to
be
necessary
to
implement
the
allocation
and
16
payment
of
replacement
taxes
to
a
county
improvement
district
17
that
has
authorized
the
use
of
such
revenue
pursuant
to
section
18
332.7.
19
Sec.
14.
Section
437A.15,
subsection
3,
paragraph
a,
20
subparagraph
(1),
Code
2014,
is
amended
to
read
as
follows:
21
(1)
All
replacement
taxes
owed
by
a
taxpayer
shall
be
22
allocated
among
the
local
taxing
districts
in
which
such
23
taxpayer’s
property
is
located
in
accordance
with
a
general
24
allocation
formula
determined
by
the
department
of
management
25
on
the
basis
of
general
property
tax
equivalents.
General
26
property
tax
equivalents
shall
be
determined
by
applying
the
27
levy
rates
reported
by
each
local
taxing
district
to
the
28
department
of
management
on
or
before
June
30
following
a
29
tax
year
to
the
taxable
value
of
taxpayer
property
allocated
30
to
each
such
local
taxing
district
as
adjusted
and
reported
31
to
the
department
of
management
in
such
tax
year
by
the
32
director
pursuant
to
section
437A.19,
subsection
2
.
The
33
general
allocation
formula
for
a
tax
year
shall
allocate
to
34
each
local
taxing
district
that
portion
of
the
replacement
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taxes
owed
by
each
taxpayer
which
bears
the
same
ratio
as
such
1
taxpayer’s
general
property
tax
equivalents
for
each
local
2
taxing
district
bears
to
such
taxpayer’s
total
general
property
3
tax
equivalents
for
all
local
taxing
districts
in
Iowa.
For
4
tax
years
beginning
on
or
after
January
1,
2015,
the
amount
of
5
replacement
taxes
allocated
by
the
department
of
management
6
under
this
section
and
paid
to
local
taxing
districts
located
7
in
whole
or
in
part
within
a
county
improvement
district
8
created
under
chapter
332
shall
be
adjusted
to
take
into
9
account
the
use
of
replacement
taxes
under
section
332.7
by
the
10
county
improvement
district.
11
Sec.
15.
EFFECTIVE
UPON
ENACTMENT.
This
Act,
being
deemed
12
of
immediate
importance,
takes
effect
upon
enactment.
13
EXPLANATION
14
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
15
the
explanation’s
substance
by
the
members
of
the
general
assembly.
16
This
bill
authorizes
the
creation
of
county
improvement
17
districts.
18
A
county
improvement
district
shall
be
comprised
of
19
contiguous
property
wholly
within
the
unincorporated
area
of
20
the
county,
be
comprised
only
of
property
which
is
zoned
for
21
commercial
or
industrial
use,
and
be
comprised
of
property
22
related
in
some
manner,
including
but
not
limited
to
present
23
or
potential
use,
physical
location,
condition,
relationship
24
to
an
area,
or
relationship
to
present
or
potential
commercial
25
or
industrial
activity
in
an
area,
so
as
to
be
benefited
in
any
26
manner.
27
The
county
board
of
supervisors
shall
initiate
proceedings
28
for
creating
a
district
upon
the
filing
with
the
county
auditor
29
of
a
petition
containing
the
signatures
of
at
least
50
percent
30
of
all
owners
of
property
within
the
proposed
district
if
those
31
owners
represent
ownership
of
property
with
an
assessed
value
32
of
50
percent
or
more
of
the
assessed
value
of
all
of
the
33
property
in
the
proposed
district.
The
petition
shall
also
34
state
the
maximum
rate
of
tax
that
may
be
imposed
upon
property
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within
the
district
for
purposes
of
the
district,
state
the
1
purpose
of
the
district,
and
state
whether
the
district
is
2
authorized
to
use
utility
replacement
tax
revenue.
3
The
board
is
required
to
notify
and
receive
recommendations
4
from
the
county
zoning
commission
or
other
applicable
entities,
5
if
existing,
regarding
the
creation
of
the
district.
Upon
the
6
receipt
of
the
county
zoning
commission’s
final
report,
if
7
applicable,
or
the
completion
of
a
public
hearing
if
no
such
8
commission
exists,
the
board
shall
set
a
time
and
place
for
a
9
public
hearing
on
creation
of
the
district.
Adoption
of
the
10
ordinance
creating
a
district
requires
the
affirmative
vote
of
11
three-fourths
of
all
of
the
members
of
the
board.
However,
if
12
a
remonstrance
has
been
filed
with
the
county
auditor
signed
13
by
at
least
50
percent
of
all
owners
of
property
within
the
14
proposed
district
representing
ownership
of
property
with
an
15
assessed
value
of
50
percent
or
more
of
the
assessed
value
of
16
all
of
the
property
in
the
proposed
district,
the
adoption
of
17
the
ordinance
requires
a
unanimous
vote
of
the
board.
18
The
bill
establishes
procedures
for
objecting
to
the
19
creation
of
the
district,
for
appealing
the
actions
of
20
the
board
relating
to
the
district,
for
dissolution
of
the
21
district,
and
for
amending
the
ordinance
creating
the
district.
22
The
bill
establishes
the
procedure
and
requirements
for
a
23
county
when
the
county
proposes
to
construct
an
improvement,
24
as
defined
in
the
bill.
The
procedure
for
approving
the
25
construction
of
an
improvement
financed
with
tax
revenue
26
authorized
in
the
bill
is
similar
to
the
approval
process
for
27
the
creation
of
the
district.
The
bill
defines
“improvement”
28
to
mean
works,
structures,
and
facilities
located
within
or
29
outside
the
district
that
are
necessary
to
provide
utility
30
services
to
property
within
the
district,
including
but
not
31
limited
to
water,
electric,
gas,
telecommunications,
and
sewer
32
utilities.
33
The
bill
authorizes
the
county
to
utilize
three
sources
34
of
tax
revenue
to
undertake
construction
and
financing
of
an
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improvement.
First,
the
county
may
elect
to
receive
each
year,
1
for
a
period
not
to
exceed
20
years
following
initial
creation
2
of
the
district,
a
specified
amount
of
utility
replacement
3
taxes
collected
under
Code
chapter
437A.
The
utility
4
replacement
tax
revenue
is
required
to
be
deposited
in
either
5
the
district’s
capital
improvement
fund
or
the
district’s
6
debt
service
fund.
Second,
the
county
may
impose
a
capital
7
improvement
tax
levy
for
the
purpose
of
accumulating
moneys
8
for
the
financing
or
payment
of
a
part
or
all
of
the
costs
of
9
any
improvement.
Third,
the
county
may
impose
a
debt
service
10
levy
in
the
amount
necessary
to
pay
interest
as
it
becomes
due
11
and
the
amount
necessary
to
pay,
or
to
create
a
sinking
fund
12
to
pay,
the
principal
at
maturity
of
all
county
improvement
13
district
bonds
issued
by
the
county.
14
The
bill
authorizes
the
county
to
issue
county
improvement
15
district
bonds
at
public
or
private
sale
payable
from
the
levy
16
of
unlimited
ad
valorem
taxes
on
all
the
taxable
property
17
within
the
district
through
the
improvement
district
debt
18
service
fund
and
from
replacement
tax
revenue
received
and
19
deposited
in
the
improvement
district
debt
service
fund.
20
The
costs
of
improvements
undertaken
by
the
county
in
a
21
district
may
be
paid
from
any
of
the
following
sources
or
a
22
combination
thereof:
(1)
the
district’s
capital
improvement
23
fund;
(2)
the
proceeds
of
county
improvement
district
24
bonds;
(3)
any
other
funds
of
the
county
which
are
otherwise
25
legally
available
to
pay
all
or
a
portion
of
the
costs
of
an
26
improvement.
27
The
bill
takes
effect
upon
enactment.
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