Bill Text: IA SF2137 | 2011-2012 | 84th General Assembly | Enrolled

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Bill Title: A bill for an act relating to certain property taxes for joint county-city buildings and including applicability provisions. Effective 7-1-12.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2012-04-09 - Signed by Governor. S.J. 753. [SF2137 Detail]

Download: Iowa-2011-SF2137-Enrolled.html

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Senate File 2137
AN ACT
RELATING TO CERTAIN PROPERTY TAXES FOR JOINT COUNTY-CITY
BUILDINGS AND INCLUDING APPLICABILITY PROVISIONS.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
Section 1. Section 331.424, subsection 1, paragraph
a, subparagraph (5), Code 2011, is amended by striking the
subparagraph.
Sec. 2. Section 331.430, Code 2011, is amended by adding the
following new subsection:
NEW SUBSECTION . 6. The taxes realized from the tax levy
imposed under section 346.27, subsection 22, for a joint
county-city building shall be deposited into a separate account
in the county’s debt service fund for the payment of the
annual rent and shall be disbursed pursuant to section 346.27,
subsection 22.
Sec. 3. Section 346.27, subsection 22, Code 2011, is amended
to read as follows:
22. When an incorporating unit enters into a lease with
the authority, the governing body of the incorporating unit
shall provide by ordinance or resolution for the levy and
collection of a direct annual tax sufficient to pay the annual
rent payable under the lease as and when it becomes due and
payable. The tax shall be levied and collected in like manner
with the other taxes of the incorporating unit and shall be in
addition to all other taxes authorized to be levied by that
incorporating unit. This tax shall not be included within and
shall be in addition to any statutory limitation of rate or
amount for that incorporating unit. The fund taxes realized
from the tax levy shall be set aside deposited into an account
in the debt service fund of the incorporating unit for the

Senate File 2137, p. 2
payment of the annual rent and shall not be disbursed for any
other purpose until the annual rental has been paid in full.
Sec. 4. Section 384.4, Code 2011, is amended by adding the
following new subsection:
NEW SUBSECTION . 4. The taxes realized from the tax levy
imposed under section 346.27, subsection 22, for a joint
county-city building shall be deposited into a separate
account in the city’s debt service fund for the payment of the
annual rent and shall be disbursed pursuant to section 346.27,
subsection 22.
Sec. 5. Section 384.12, subsection 15, Code 2011, is amended
by striking the subsection.
Sec. 6. Section 403.19, subsection 2, Code Supplement 2011,
is amended to read as follows:
2. That portion of the taxes each year in excess of such
amount shall be allocated to and when collected be paid into
a special fund of the municipality to pay the principal of
and interest on loans, moneys advanced to, or indebtedness,
whether funded, refunded, assumed, or otherwise, including
bonds issued under the authority of section 403.9, subsection
1 , incurred by the municipality to finance or refinance, in
whole or in part, an urban renewal project within the area,
and to provide assistance for low and moderate income family
housing as provided in section 403.22 , except that . However,
taxes for the regular and voter-approved physical plant and
equipment levy of a school district imposed pursuant to section
298.2 , and taxes for the payment of bonds and interest of
each taxing district must , and taxes imposed under section
346.27, subsection 22, related to joint county-city buildings
shall be collected against all taxable property within the
taxing district without limitation by the provisions of this
subsection . However, all or a portion of the taxes for the
physical plant and equipment levy shall be paid by the school
district to the municipality if the auditor certifies to the
school district by July 1 the amount of such levy that is
necessary to pay the principal and interest on bonds issued
by the municipality to finance an urban renewal project,
which bonds were issued before July 1, 2001. Indebtedness
incurred to refund bonds issued prior to July 1, 2001, shall
not be included in the certification. Such school district
shall pay over the amount certified by November 1 and May
1 of the fiscal year following certification to the school
district. Unless and until the total assessed valuation of

Senate File 2137, p. 3
the taxable property in an urban renewal area exceeds the
total assessed value of the taxable property in such area as
shown by the last equalized assessment roll referred to in
subsection 1 , all of the taxes levied and collected upon the
taxable property in the urban renewal area shall be paid into
the funds for the respective taxing districts as taxes by
or for the taxing districts in the same manner as all other
property taxes. When such loans, advances, indebtedness, and
bonds, if any, and interest thereon, have been paid, all moneys
thereafter received from taxes upon the taxable property in
such urban renewal area shall be paid into the funds for the
respective taxing districts in the same manner as taxes on all
other property. In those instances where a school district
has entered into an agreement pursuant to section 279.64 for
sharing of school district taxes levied and collected from
valuation described in this subsection and released to the
school district, the school district shall transfer the taxes
as provided in the agreement.
Sec. 7. APPLICABILITY. This Act applies to property taxes
due and payable in fiscal years beginning on or after July 1,
2013.
______________________________
JOHN P. KIBBIE
President of the Senate
______________________________
KRAIG PAULSEN
Speaker of the House
I hereby certify that this bill originated in the Senate and
is known as Senate File 2137, Eighty-fourth General Assembly.
______________________________
MICHAEL E. MARSHALL
Secretary of the Senate
Approved _______________, 2012
______________________________
TERRY E. BRANSTAD
Governor