A bill for an act permitting an increase in the cash reserve levy for certain school districts and including effective date provisions.

This bill allows specific Iowa school districts to raise their cash reserve property taxes for the 2026-2027 budget year if their taxable value dropped by at least $100 million due to a single property correction. To qualify, these districts must offset the additional cash reserve tax by reducing other levies, such as the district management tax, ensuring the total property tax amount does not exceed legal limits. The legislation requires districts to notify the Department of Management, which will then adjust the tax rates to implement these changes. It applies only to districts meeting the specific financial criteria and takes effect immediately upon enactment.