Bill Text: IA SSB1056 | 2023-2024 | 90th General Assembly | Introduced
Bill Title: A bill for an act relating to the calculation of assessment limitations for residential property and including effective date and retroactive applicability provisions.(See SF 181.)
Spectrum: Committee Bill
Status: (Introduced - Dead) 2023-01-31 - Committee report approving bill, renumbered as []. [SSB1056 Detail]
Download: Iowa-2023-SSB1056-Introduced.html
Senate
Study
Bill
1056
-
Introduced
SENATE/HOUSE
FILE
_____
BY
(PROPOSED
GOVERNOR
BILL)
A
BILL
FOR
An
Act
relating
to
the
calculation
of
assessment
limitations
1
for
residential
property
and
including
effective
date
and
2
retroactive
applicability
provisions.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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Section
1.
Section
441.21,
subsection
4,
Code
2023,
is
1
amended
to
read
as
follows:
2
4.
For
valuations
established
as
of
January
1,
1979,
3
the
percentage
of
actual
value
at
which
agricultural
and
4
residential
property
shall
be
assessed
shall
be
the
quotient
of
5
the
dividend
and
divisor
as
defined
in
this
section
.
6
a.
(1)
The
dividend
for
each
class
of
property
shall
be
7
the
dividend
as
determined
for
each
class
of
property
for
8
valuations
established
as
of
January
1,
1978,
adjusted
by
the
9
product
obtained
by
multiplying
the
percentage
determined
10
for
that
year
by
the
amount
of
any
additions
or
deletions
to
11
actual
value,
excluding
those
resulting
from
the
revaluation
12
of
existing
properties,
as
reported
by
the
assessors
on
the
13
abstracts
of
assessment
for
1978,
plus
six
percent
of
the
14
amount
so
determined.
15
(2)
However,
if
the
difference
between
the
dividend
so
16
determined
for
either
class
of
property
and
the
dividend
for
17
that
class
of
property
for
valuations
established
as
of
January
18
1,
1978,
adjusted
by
the
product
obtained
by
multiplying
19
the
percentage
determined
for
that
year
by
the
amount
of
20
any
additions
or
deletions
to
actual
value,
excluding
those
21
resulting
from
the
revaluation
of
existing
properties,
as
22
reported
by
the
assessors
on
the
abstracts
of
assessment
for
23
1978,
is
less
than
six
percent,
the
1979
dividend
for
the
other
24
class
of
property
shall
be
the
dividend
as
determined
for
that
25
class
of
property
for
valuations
established
as
of
January
26
1,
1978,
adjusted
by
the
product
obtained
by
multiplying
27
the
percentage
determined
for
that
year
by
the
amount
of
28
any
additions
or
deletions
to
actual
value,
excluding
those
29
resulting
from
the
revaluation
of
existing
properties,
as
30
reported
by
the
assessors
on
the
abstracts
of
assessment
for
31
1978,
plus
a
percentage
of
the
amount
so
determined
which
is
32
equal
to
the
percentage
by
which
the
dividend
as
determined
33
for
the
other
class
of
property
for
valuations
established
34
as
of
January
1,
1978,
adjusted
by
the
product
obtained
by
35
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multiplying
the
percentage
determined
for
that
year
by
the
1
amount
of
any
additions
or
deletions
to
actual
value,
excluding
2
those
resulting
from
the
revaluation
of
existing
properties,
as
3
reported
by
the
assessors
on
the
abstracts
of
assessment
for
4
1978,
is
increased
in
arriving
at
the
1979
dividend
for
the
5
other
class
of
property.
6
(3)
For
valuations
established
for
assessment
years
7
beginning
on
or
after
January
1,
2022,
the
calculation
of
the
8
dividend
for
residential
property
under
this
subsection
shall
9
exclude
the
value
of
all
property
described
in
subsection
14,
10
paragraph
“a”
,
subparagraphs
(2),
(3),
(4),
(5),
and
(6),
11
and
the
property
described
in
subsection
14,
paragraph
“a”
,
12
subparagraph
(7),
that
contains
three
or
more
separate
dwelling
13
units.
14
b.
(1)
The
divisor
for
each
class
of
property
shall
be
15
the
total
actual
value
of
all
such
property
in
the
state
16
in
the
preceding
year,
as
reported
by
the
assessors
on
the
17
abstracts
of
assessment
submitted
for
1978,
plus
the
amount
of
18
value
added
to
said
total
actual
value
by
the
revaluation
of
19
existing
properties
in
1979
as
equalized
by
the
director
of
20
revenue
pursuant
to
section
441.49
.
The
director
shall
utilize
21
information
reported
on
abstracts
of
assessment
submitted
22
pursuant
to
section
441.45
in
determining
such
percentage.
23
(2)
For
valuations
established
for
assessment
years
24
beginning
on
or
after
January
1,
2022,
the
calculation
of
the
25
divisor
for
residential
property
under
this
subsection
shall
26
exclude
the
value
of
all
property
described
in
subsection
14,
27
paragraph
“a”
,
subparagraphs
(2),
(3),
(4),
(5),
and
(6),
28
and
the
property
described
in
subsection
14,
paragraph
“a”
,
29
subparagraph
(7),
that
contains
three
or
more
separate
dwelling
30
units.
31
c.
(1)
For
valuations
established
as
of
January
1,
1980,
32
and
each
assessment
year
thereafter
beginning
before
January
33
1,
2013,
the
percentage
of
actual
value
as
equalized
by
the
34
director
of
revenue
as
provided
in
section
441.49
at
which
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agricultural
and
residential
property
shall
be
assessed
shall
1
be
calculated
in
accordance
with
the
methods
provided
in
2
this
subsection
,
including
the
limitation
of
increases
in
3
agricultural
and
residential
assessed
values
to
the
percentage
4
increase
of
the
other
class
of
property
if
the
other
class
5
increases
less
than
the
allowable
limit
adjusted
to
include
6
the
applicable
and
current
values
as
equalized
by
the
director
7
of
revenue,
except
that
any
references
to
six
percent
in
this
8
subsection
shall
be
four
percent.
9
(2)
For
valuations
established
as
of
January
1,
2013,
and
10
each
assessment
year
thereafter,
the
percentage
of
actual
11
value
as
equalized
by
the
department
of
revenue
as
provided
in
12
section
441.49
at
which
agricultural
and
residential
property
13
shall
be
assessed
shall
be
calculated
in
accordance
with
the
14
methods
provided
in
this
subsection
,
including
the
limitation
15
of
increases
in
agricultural
and
residential
assessed
values
to
16
the
percentage
increase
of
the
other
class
of
property
if
the
17
other
class
increases
less
than
the
allowable
limit
adjusted
18
to
include
the
applicable
and
current
values
as
equalized
by
19
the
department
of
revenue,
except
that
any
references
to
six
20
percent
in
this
subsection
shall
be
three
percent.
21
Sec.
2.
IMPLEMENTATION.
22
1.
Notwithstanding
the
requirements
of
section
441.21,
23
subsection
9,
and
any
other
provision
of
law
to
the
contrary,
24
the
director
of
the
department
of
revenue
shall,
within
two
25
business
days
following
the
effective
date
of
this
Act,
issue
26
an
amended
order
certifying
to
the
county
auditor
of
each
27
county
the
percentages
of
actual
value
at
which
residential
28
property,
commercial
property,
industrial
property,
and
29
property
valued
by
the
department
of
revenue
pursuant
to
30
chapter
434
shall
be
assessed
for
taxation
under
section
31
441.21,
subsection
9,
for
the
assessment
year
beginning
January
32
1,
2022.
The
amended
order
shall
supersede
all
previous
33
orders
certifying
percentages
for
assessment
limitations
for
34
residential
property,
commercial
property,
industrial
property,
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and
property
valued
by
the
department
of
revenue
pursuant
to
1
chapter
434
for
the
assessment
year
beginning
January
1,
2022.
2
2.
Notwithstanding
the
requirements
of
section
441.21,
3
subsection
9,
and
any
other
provision
of
law
to
the
contrary,
4
upon
receipt
of
the
amended
order
under
subsection
1,
each
5
county
auditor
shall
proceed
to
determine
the
assessed
values
6
of
residential
property,
commercial
property,
industrial
7
property,
and
property
valued
by
the
department
of
revenue
8
pursuant
to
chapter
434
for
the
assessment
year
beginning
9
January
1,
2022,
by
applying
the
percentages
from
the
amended
10
order
to
the
actual
value
of
such
property
reported
to
the
11
county
auditor
by
the
assessor.
The
assessed
values
so
12
determined
shall
be
the
taxable
values
of
such
properties
upon
13
which
the
applicable
levy
shall
be
made.
14
3.
Notwithstanding
any
provision
of
law
to
the
contrary,
15
each
county
auditor,
within
ten
days
after
issuance
of
the
16
order
under
subsection
1,
shall
report
the
valuation
by
class
17
of
property
for
each
taxing
district
in
the
county
for
the
18
assessment
year
beginning
January
1,
2022,
to
the
department
of
19
management
on
forms
provided
by
the
department
of
management.
20
The
valuations
reported
shall
be
the
valuations
used
for
21
determining
the
levy
rates
necessary
to
fund
the
budgets
of
the
22
taxing
districts
for
the
fiscal
year
beginning
July
1,
2023.
23
Sec.
3.
EFFECTIVE
DATE.
This
Act,
being
deemed
of
immediate
24
importance,
takes
effect
upon
enactment.
25
Sec.
4.
RETROACTIVE
APPLICABILITY.
This
Act
applies
26
retroactively
to
assessment
years
beginning
on
or
after
January
27
1,
2022.
28
EXPLANATION
29
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
30
the
explanation’s
substance
by
the
members
of
the
general
assembly.
31
Code
section
441.21(4)
establishes
the
calculation
used
32
to
determine
the
assessment
limitation
for
residential
33
property
and
agricultural
property.
As
the
result
of
2021
34
legislation,
certain
property
that
was
previously
classified
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as
multiresidential
property
is
classified
as
residential
1
property
for
assessment
years
beginning
on
or
after
January
1,
2
2022,
and
the
valuations
of
such
property
are
included
within
3
the
aggregate
valuations
used
to
calculate
the
assessment
4
limitation
under
Code
section
441.21(4).
This
bill
excludes
5
the
values
of
the
following
from
the
calculation
of
the
6
assessment
limitation
for
assessment
years
beginning
on
7
or
after
January
1,
2022:
mobile
home
parks;
manufactured
8
home
communities;
land-leased
communities;
assisted
living
9
facilities;
parcels
primarily
used
or
intended
for
human
10
habitation
containing
three
or
more
separate
dwelling
units;
11
and
that
portion
of
a
parcel
primarily
used
or
intended
for
use
12
as
commercial
property
or
industrial
property
that
is
used
or
13
intended
for
human
habitation
containing
three
or
more
separate
14
dwelling
units.
15
The
bill
includes
implementation
provisions
requiring
the
16
director
of
the
department
of
revenue,
within
two
business
17
days
following
the
effective
date
of
the
bill,
to
issue
an
18
amended
order
certifying
to
the
county
auditor
of
each
county
19
the
percentages
of
actual
value
at
which
residential
property,
20
commercial
property,
industrial
property,
and
property
valued
21
by
the
department
of
revenue
pursuant
to
Code
chapter
434
shall
22
be
assessed
for
taxation.
The
bill
also
requires
each
county
23
auditor
to
determine
revised
assessed
values
based
on
the
24
amended
order
and
report
the
revised
values
to
the
department
25
of
management
within
10
days
after
issuance
of
the
order.
26
The
bill
takes
effect
upon
enactment
and
applies
27
retroactively
to
assessment
years
beginning
on
or
after
January
28
1,
2022.
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