IA
Iowa Senate Bill SSB1124

Iowa 2023-2024 Regular Session

Iowa Senate Bill SSB1124

Introduced
2/2/23  
Introduced
2/2/23  

Caption

A bill for an act relating to local government property taxes, financial authority, and budgets, and including effective date and applicability provisions.(See SF 356.)

Impact

This legislation impacts the statutes governing property taxation by establishing new limits on how much local governments can levy for general services. For instance, the general county services levy cap is modified to not exceed $3.50 per $1,000 of assessed property value, plus amounts levied under related statutes. This could lead to reduced funding availability for county services, which may affect public safety, infrastructure maintenance, and community programs if revenues do not keep pace with inflation and rising costs.

Summary

Senate Study Bill 1124 addresses changes in local government property tax regulations, specifically focusing on county and city tax structures and budgeting. The bill modifies existing laws regarding the imposition of property taxes and financial authority for local governments, aiming to streamline operations and provide clarity on the thresholds for taxation based on population classifications. Among its key provisions, the bill reduces property tax levy thresholds for cities and counties by 30% across various categories, making it more challenging for these entities to exceed set limits when imposing new levies.

Contention

A point of contention arising from SSB1124 concerns the limitations it places on local governments, particularly the authority to impose additional taxes in cases of emergencies or rapid population growth. Critics express concern that these changes could hinder municipalities' abilities to respond effectively to local needs, especially during fiscal crises or after natural disasters, as they will no longer have the same flexibility to manage their finances. There are concerns that these limitations may lead to financial strain on essential services in communities that face significant funding challenges.

Additional_notes

The bill also makes changes to reporting requirements for local governments, stipulating that annual financial reports must detail any bonds or obligations issued. This transparency measure aims to enhance accountability in local government finance, yet it may also imply increased administrative burdens on local officials tasked with compliance.

Latest SSB1124 Activity

Companion Bills

IA SF356

Replaced by A bill for an act relating to local government property taxes, financial authority, operations, and budgets, and including effective date and applicability provisions.(Formerly SSB 1124.)

Similar Bills

IA SF356

A bill for an act relating to local government property taxes, financial authority, operations, and budgets, and including effective date and applicability provisions.(Formerly SSB 1124.)

IA SF569

A bill for an act relating to local government property taxes, financial authority, operations, and budgets, modifying certain transit funding, property tax credits and exemptions, and appropriations, requiring certain information related to property taxation to be provided to property owners and taxpayers, modifying provisions relating to fees for driver's licenses and nonoperator's identification cards, modifying provisions relating to certain writing fees, making penalties applicable, and including effective date, retroactive applicability, and applicability provisions. (Formerly SSB 1218.)

IA SSB1218

A bill for an act relating to local government property taxes, financial authority, operations, and budgets, modifying certain transit funding, property tax credits and exemptions, and appropriations, requiring certain information related to property taxation to be provided to property owners and taxpayers, modifying provisions relating to fees for driver's licenses and nonoperator's identification cards, modifying provisions relating to certain writing fees, making penalties applicable, and including effective date, retroactive applicability, and applicability provisions.(See SF 569.)

IA HF718

A bill for an act relating to local government property taxes, financial authority, operations, and budgets, modifying certain transit funding, property tax credits and exemptions, and appropriations, requiring certain information related to property taxation to be provided to property owners and taxpayers, modifying provisions relating to fees for driver's licenses and nonoperator's identification cards, modifying provisions relating to certain writing fees, modifying certain bonding procedures, making penalties applicable, and including effective date, applicability, and retroactive applicability provisions. (Formerly HF 1.) Effective date: 05/04/2023, 07/01/2023, 07/01/2024. Applicability date: 01/01/2023, 07/01/2023, 07/01/2024.

CA AB147

Use taxes: collection: retailer engaged in business in this state: marketplace facilitators.

IA HF1

A bill for an act relating to local government funding by modifying school district funding provisions, property assessment provisions, and bond issuance requirements, and including effective date and applicability provisions.(See HF 718.)

IA HSB752

A bill for an act relating to state and local finances by modifying individual and alternate income tax rates, withholding credits, franchise tax deductions, methodologies for determining property taxes, and property tax assessment limitations, changing methods of determining compensation of county officials, making contingent transfers from the taxpayer relief fund, and making corrections, and including effective date and applicability provisions.(See HF 2705.)

IA SSB3207

A bill for an act relating to state and local finances by modifying individual and alternate income tax rates, withholding credits, franchise tax deductions, methodologies for determining property taxes, and property tax assessment limitations, changing methods of determining compensation of county officials, making contingent transfers from the taxpayer relief fund, and making corrections, and including effective date and applicability provisions.(See SF 2442.)