Budget & Taxes (Revenue · Local Government)

This bill establishes a new property tax framework for Iowa counties that takes effect between 2024 and 2028, setting minimum tax rates for both general and rural county services. The legislation requires counties to collect at least 101.5% of current property tax revenue for budget years starting in 2028, while also allowing adjustments based on changes in the consumer price index to account for inflation. Counties must choose between meeting a fixed dollar amount per thousand dollars of assessed value or maintaining a specific percentage increase in tax revenue, whichever is greater. The bill also includes provisions that limit tax rate increases if property assessments rise significantly, ensuring that tax burdens do not grow faster than property values.

SF 493 prohibits local governments in Iowa (such as cities, counties, and school districts) from using tax revenue to hire lobbyists or pay government-affiliated groups that hire lobbyists. It specifically targets organizations like the Iowa League of Cities, the Iowa State Association of Counties, and the Iowa School Board Association, while excluding certain insurance or benefits groups. Violating this law constitutes a serious misdemeanor, punishable by fines up to $2,560 and potential job sanctions for the person involved. The bill aims to prevent the use of public tax funds for lobbying activities by local entities.