Bill Text: IA SF74 | 2019-2020 | 88th General Assembly | Introduced
Bill Title: A bill for an act relating to school funding by modifying provisions relating to the collection of sales tax for deposit in the secure an advanced vision for education fund, provisions relating to the use of tax revenue from the secure an advanced vision for education fund, and provisions relating to the calculation of the additional property tax levy, and making appropriations.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2020-02-05 - Subcommittee reassigned: Chapman, Jochum, and R. Smith. S.J. 217. [SF74 Detail]
Download: Iowa-2019-SF74-Introduced.html
Senate
File
74
-
Introduced
SENATE
FILE
74
BY
DAWSON
A
BILL
FOR
An
Act
relating
to
school
funding
by
modifying
provisions
1
relating
to
the
collection
of
sales
tax
for
deposit
in
the
2
secure
an
advanced
vision
for
education
fund,
provisions
3
relating
to
the
use
of
tax
revenue
from
the
secure
an
4
advanced
vision
for
education
fund,
and
provisions
relating
5
to
the
calculation
of
the
additional
property
tax
levy,
and
6
making
appropriations.
7
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
8
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Section
1.
Section
257.2,
subsection
8,
Code
2019,
is
1
amended
by
adding
the
following
new
paragraph:
2
NEW
PARAGRAPH
.
e.
Foundation
base
supplement
payments
3
received
under
section
257.16D.
4
Sec.
2.
Section
257.4,
subsection
1,
paragraph
a,
Code
2019,
5
is
amended
by
adding
the
following
new
subparagraph:
6
NEW
SUBPARAGRAPH
.
(10)
The
amount
of
the
foundation
base
7
supplement
payment
to
be
received
by
the
school
district
under
8
section
257.16D.
9
Sec.
3.
Section
257.4,
subsection
1,
paragraph
b,
Code
2019,
10
is
amended
to
read
as
follows:
11
b.
For
the
budget
year
beginning
July
1,
2008,
and
12
succeeding
budget
years,
the
department
of
management
shall
13
annually
determine
an
adjusted
additional
property
tax
levy
14
and
a
statewide
maximum
adjusted
additional
property
tax
15
levy
rate,
not
to
exceed
the
statewide
average
additional
16
property
tax
levy
rate,
calculated
by
dividing
the
total
17
adjusted
additional
property
tax
levy
dollars
statewide
by
the
18
statewide
total
net
taxable
valuation.
For
purposes
of
this
19
paragraph,
the
adjusted
additional
property
tax
levy
shall
be
20
that
portion
of
the
additional
property
tax
levy
corresponding
21
to
the
state
cost
per
pupil
multiplied
by
a
school
district’s
22
weighted
enrollment,
and
then
multiplied
by
one
hundred
23
percent
less
the
regular
program
foundation
base
per
pupil
24
percentage
pursuant
to
section
257.1
,
and
then
reduced
by
the
25
amount
of
the
property
tax
replacement
payment
to
be
received
26
under
section
257.16B
and
the
amount
of
the
foundation
base
27
supplement
payment
to
be
received
under
section
257.16D
.
The
28
district
shall
receive
adjusted
additional
property
tax
levy
29
aid
in
an
amount
equal
to
the
difference
between
the
adjusted
30
additional
property
tax
levy
rate
and
the
statewide
maximum
31
adjusted
additional
property
tax
levy
rate,
as
applied
per
32
thousand
dollars
of
assessed
valuation
on
all
taxable
property
33
in
the
district.
The
statewide
maximum
adjusted
additional
34
property
tax
levy
rate
shall
be
annually
determined
by
the
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department
taking
into
account
amounts
allocated
pursuant
to
1
section
257.15,
subsection
4
,
and
the
balance
of
the
property
2
tax
equity
and
relief
fund
created
in
section
257.16A
at
the
3
end
of
the
calendar
year.
4
Sec.
4.
Section
257.15,
subsection
4,
paragraph
b,
Code
5
2019,
is
amended
to
read
as
follows:
6
b.
After
lowering
all
school
district
adjusted
additional
7
property
tax
levy
rates
to
the
statewide
maximum
adjusted
8
additional
property
tax
levy
rate
under
paragraph
“a”
,
the
9
department
of
management
shall
use
any
remaining
funds
at
the
10
end
of
the
calendar
year
to
further
lower
additional
property
11
taxes
by
increasing
for
the
budget
year
beginning
the
following
12
July
1,
the
state
regular
program
foundation
base
per
pupil
13
percentage
under
section
257.1
.
Moneys
used
pursuant
to
this
14
paragraph
shall
supplant
an
equal
amount
of
the
appropriation
15
made
from
the
general
fund
of
the
state
pursuant
to
section
16
257.16
that
represents
the
increase
in
state
foundation
aid.
17
Sec.
5.
NEW
SECTION
.
257.16D
Foundation
base
supplement
18
fund.
19
1.
A
foundation
base
supplement
fund
is
created
as
a
20
separate
and
distinct
fund
in
the
state
treasury
under
the
21
control
of
the
department
of
management.
Moneys
in
the
fund
22
include
revenues
credited
to
the
fund,
appropriations
made
to
23
the
fund,
and
other
moneys
deposited
into
the
fund.
24
2.
a.
There
is
appropriated
annually
from
the
fund
to
25
the
department
of
management
an
amount
necessary
to
make
all
26
foundation
base
supplement
payments
under
this
section.
The
27
department
of
management
shall
calculate
each
school
district’s
28
foundation
base
supplement
payment
based
on
the
distribution
29
methodology
under
paragraph
“b”
.
30
b.
The
moneys
available
in
a
fiscal
year
in
the
foundation
31
base
supplement
fund
shall
be
distributed
by
the
department
of
32
revenue
to
each
school
district
on
a
per
pupil
basis
calculated
33
using
each
school
district’s
weighted
enrollment,
as
defined
34
in
section
257.6,
for
that
fiscal
year.
However,
the
amount
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of
a
school
district’s
foundation
base
supplement
payment
for
1
a
budget
year
shall
not
exceed
an
amount
equal
to
the
school
2
district’s
weighted
enrollment
for
the
budget
year
multiplied
3
by
the
amount
for
the
budget
year
calculated
under
section
4
257.16B,
subsection
2,
paragraph
“f”
,
subparagraph
(2),
minus
5
the
amount
of
the
school
district’s
property
tax
replacement
6
payment
under
section
257.16B
for
the
budget
year.
7
3.
Notwithstanding
section
8.33,
any
moneys
remaining
in
8
the
foundation
base
supplement
fund
at
the
end
of
a
fiscal
year
9
shall
not
revert
to
any
other
fund
but
shall
remain
in
the
10
foundation
base
supplement
fund
for
use
as
provided
in
this
11
section
for
the
following
fiscal
year.
12
Sec.
6.
NEW
SECTION
.
257.51
Career
academy
fund
——
grant
13
program.
14
1.
A
career
academy
fund
is
created
and
established
as
15
a
separate
and
distinct
fund
in
the
state
treasury
under
the
16
control
of
the
department
of
education.
17
2.
a.
In
addition
to
moneys
deposited
in
the
career
18
academy
fund
pursuant
to
section
423F.2,
the
department
of
19
education
may
accept
gifts,
grants,
bequests,
and
other
private
20
contributions,
as
well
as
state
or
federal
funds,
and
shall
21
deposit
the
moneys
in
the
fund
to
be
used
for
purposes
of
22
this
section.
Moneys
in
the
fund
are
appropriated
to
the
23
department
of
education
and
shall
be
used
for
the
purposes
of
24
this
section.
25
b.
Notwithstanding
section
8.33,
moneys
in
the
fund
26
that
remain
unencumbered
or
unobligated
at
the
close
of
the
27
fiscal
year
shall
not
revert
but
shall
remain
available
for
28
expenditure
for
the
purposes
of
this
section
in
succeeding
29
fiscal
years.
Notwithstanding
section
12C.7,
subsection
2,
30
interest
earned
on
moneys
in
the
career
academy
fund
shall
be
31
credited
to
the
fund.
32
3.
The
department
of
education
shall
adopt
rules
to
33
establish
and
administer
a
career
academy
grant
program
34
to
provide
for
the
allocation
of
money
in
the
fund
in
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the
form
of
competitive
grants,
not
to
exceed
one
million
1
dollars
per
grant,
to
school
corporations
for
career
academy
2
infrastructure,
career
academy
equipment,
or
both,
in
3
accordance
with
the
goals
of
this
section
and
to
further
the
4
goals
of
the
establishment
and
operation
of
career
academies
5
under
section
258.15.
The
rules
adopted
by
the
department
6
of
education
shall
specify
the
eligibility
of
applicants
7
and
eligible
items
for
grant
funding.
Priority
for
grants
8
shall
first
be
given
to
applications
to
establish
new
career
9
academies
that
are
organized
as
regional
career
and
technical
10
education
planning
partnerships
pursuant
to
section
258.14
with
11
three
or
more
school
districts.
Subsequent
priority
shall
12
be
given
to
applications
for
expanding
and
updating
existing
13
facilities
and
infrastructure
to
serve
as
career
academies.
14
Sec.
7.
Section
423.2,
subsection
12,
Code
2019,
is
amended
15
to
read
as
follows:
16
12.
The
sales
tax
rate
of
six
percent
is
reduced
to
five
17
percent
on
January
1,
2030
2051
.
18
Sec.
8.
Section
423.2A,
subsection
2,
paragraph
c,
Code
19
2019,
is
amended
to
read
as
follows:
20
c.
Transfer
one-sixth
of
the
remaining
revenues
to
the
21
secure
an
advanced
vision
for
education
fund
created
in
section
22
423F.2
.
This
paragraph
“c”
is
repealed
December
31,
2029
23
January
1,
2051
.
24
Sec.
9.
Section
423.5,
subsection
4,
Code
2019,
is
amended
25
to
read
as
follows:
26
4.
The
use
tax
rate
of
six
percent
is
reduced
to
five
27
percent
on
January
1,
2030
2051
.
28
Sec.
10.
Section
423.43,
subsection
1,
paragraph
b,
Code
29
2019,
is
amended
to
read
as
follows:
30
b.
Subsequent
to
the
deposit
into
the
general
fund
of
31
the
state
and
after
the
transfer
of
such
revenues
collected
32
under
chapter
423B
,
the
department
shall
transfer
one-sixth
of
33
such
remaining
revenues
to
the
secure
an
advanced
vision
for
34
education
fund
created
in
section
423F.2
.
This
paragraph
is
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repealed
December
31,
2029
January
1,
2051
.
1
Sec.
11.
Section
423F.2,
subsection
3,
Code
2019,
is
amended
2
to
read
as
follows:
3
3.
a.
The
moneys
available
in
a
fiscal
year
in
the
secure
4
an
advanced
vision
for
education
fund
shall
be
distributed
by
5
the
department
of
revenue
to
each
school
district
on
a
per
6
pupil
basis
calculated
using
each
school
district’s
budget
7
enrollment,
as
defined
in
section
257.6
,
for
that
fiscal
year.
8
b.
(1)
Prior
to
distribution
of
moneys
in
the
secure
an
9
advanced
vision
for
education
fund
to
school
districts,
two
10
and
one-tenths
percent
of
the
moneys
available
in
a
an
amount
11
equal
to
the
equity
transfer
amount
for
the
fiscal
year
minus
12
the
foundation
base
transfer
amount
for
the
fiscal
year
shall
13
be
distributed
and
credited
to
the
property
tax
equity
and
14
relief
fund
created
in
section
257.16A
,
an
amount
equal
to
15
the
foundation
base
transfer
amount
shall
be
distributed
and
16
credited
to
the
foundation
base
supplement
fund
created
in
17
section
257.16D,
and
an
amount
equal
to
the
career
academy
18
transfer
amount
for
the
fiscal
year
shall
be
distributed
and
19
credited
to
the
career
academy
fund
created
in
section
257.51
.
20
(2)
For
purposes
of
this
subsection,
the
equity
transfer
21
amount
is
determined
by
multiplying
the
equity
transfer
22
percentage
by
the
amount
of
moneys
available
in
the
secure
an
23
advanced
vision
for
education
fund
in
the
fiscal
year.
24
(a)
For
the
fiscal
year
beginning
July
1,
2018,
the
equity
25
transfer
percentage
is
two
and
one-tenth
percent.
26
(b)
For
each
fiscal
year
beginning
on
or
after
July
1,
2019,
27
the
equity
transfer
percentage
is
equal
to
the
equity
transfer
28
percentage
for
the
immediately
preceding
fiscal
year,
unless
29
the
amount
of
moneys
available
in
the
secure
an
advanced
vision
30
for
education
fund
in
the
fiscal
year
equals
or
exceeds
one
31
hundred
two
percent
of
the
amount
of
moneys
available
in
the
32
fund
for
the
immediately
preceding
fiscal
year,
in
which
case
33
the
equity
transfer
percentage
shall
be
the
equity
transfer
34
percentage
for
the
immediately
preceding
fiscal
year
plus
one
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percent
subject
to
the
limitation
in
subparagraph
division
(c).
1
(c)
If
the
equity
transfer
percentage
calculated
under
2
subparagraph
division
(b)
exceeds
twelve
percent,
the
equity
3
transfer
percentage
for
that
fiscal
year
shall
be
twelve
4
percent.
5
(3)
For
purposes
of
this
subsection,
the
foundation
6
base
transfer
amount
equals
the
equity
transfer
amount
for
7
the
fiscal
year
under
subparagraph
(2)
minus
the
sum
of
the
8
following:
9
(a)
Two
and
one-tenth
percent
of
the
amount
of
the
moneys
10
available
in
the
secure
an
advanced
vision
for
education
fund
11
in
the
fiscal
year.
12
(b)
Two-thirds
of
the
product
of
the
equity
transfer
13
percentage
for
the
fiscal
year
minus
two
and
one-tenth
percent
14
multiplied
by
the
moneys
available
in
the
secure
an
advanced
15
vision
for
education
fund
in
the
fiscal
year.
16
(4)
(a)
For
purposes
of
this
subsection,
the
career
academy
17
transfer
amount
for
the
fiscal
year
beginning
July
1,
2019,
is
18
one
million
dollars.
19
(b)
For
each
fiscal
year
beginning
on
or
after
July
1,
20
2020,
the
career
academy
transfer
amount
is
equal
to
the
lesser
21
of
five
million
dollars
or
the
amount
of
the
career
academy
22
transfer
amount
for
the
immediately
preceding
fiscal
year,
23
unless
the
amount
of
moneys
available
in
the
secure
an
advanced
24
vision
for
education
fund
in
the
fiscal
year
equals
or
exceeds
25
one
hundred
two
and
one-half
percent
of
the
amount
of
moneys
26
available
in
the
fund
for
the
immediately
preceding
fiscal
27
year,
in
which
case
the
career
academy
transfer
amount
equals
28
the
lesser
of
five
million
dollars
or
the
sum
of
the
amount
29
of
the
career
academy
transfer
amount
for
the
immediately
30
preceding
fiscal
year
plus
one-half
percent
of
the
amount
of
31
moneys
available
in
the
secure
an
advanced
vision
for
education
32
fund
in
the
fiscal
year
following
the
deposit
of
revenues
in
33
the
property
tax
equity
and
relief
fund
and
the
foundation
base
34
supplement
fund.
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Sec.
12.
Section
423F.3,
subsection
3,
paragraph
b,
Code
1
2019,
is
amended
to
read
as
follows:
2
b.
(1)
If
the
board
of
directors
intends
to
use
funds
for
3
purposes
other
than
those
listed
in
paragraph
“a”
,
or
change
the
4
use
of
funds
to
purposes
other
than
those
listed
in
paragraph
5
“a”
,
the
board
shall
adopt
a
revenue
purpose
statement
or
amend
6
an
existing
revenue
purpose
statement
,
subject
to
approval
of
7
the
electors,
listing
the
proposed
use
of
the
funds.
School
8
districts
shall
submit
the
statement
to
the
voters
no
later
9
than
sixty
days
prior
to
the
expiration
of
any
existing
revenue
10
purpose
statement
or
change
in
use
not
included
in
the
existing
11
revenue
purpose
statement.
12
(2)
(a)
Notwithstanding
any
provision
of
law
to
the
13
contrary,
for
each
school
district
with
an
existing
revenue
14
purpose
statement
for
the
use
of
revenues
from
the
secure
an
15
advanced
vision
for
education
fund
adopted
under
this
paragraph
16
or
adopted
under
another
provision
of
law
before
July
1,
17
2019,
such
revenue
purpose
statement
shall
terminate
and
be
18
of
no
further
force
and
effect
on
January
1,
2031,
or
the
19
expiration
date
of
the
revenue
purpose
statement,
whichever
is
20
earlier.
If
such
a
school
district
intends
to
use
funds
for
21
purposes
other
than
those
listed
in
paragraph
“a”
and
does
not
22
intend
to
operate
without
a
revenue
purpose
statement
on
or
23
after
January
1,
2031,
or
the
expiration
date
of
the
revenue
24
purpose
statement,
whichever
is
earlier,
the
board
of
directors
25
shall
submit
a
revenue
purpose
statement
for
approval
by
the
26
electors
under
subparagraph
(1)
on
or
after
July
1,
2019,
27
and
such
revenue
purpose
statement
submitted
to
the
electors
28
shall
include
all
proposed
uses
including
those
previously
29
approved
by
the
electors,
if
applicable.
The
following,
in
30
substantially
the
following
form,
shall
be
included
in
the
31
notice
of
the
election
published
under
paragraph
“d”
and
32
published
on
the
school
district’s
internet
site:
33
If
a
majority
of
eligible
electors
voting
on
the
question
34
fail
to
approve
this
revenue
purpose
statement,
revenues
35
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received
by
the
school
district
from
the
secure
an
advanced
1
vision
for
education
fund
shall
first
be
expended
for
.
.
.
.
2
(State
the
purposes
in
the
order
listed
in
subsection
1
and
as
3
required
by
subsection
4
of
this
section
for
which
the
revenues
4
received
by
the
school
district
under
this
chapter
will
be
5
expended.)
6
(b)
Unless
a
new
revenue
purpose
statement
is
adopted
by
7
the
electors,
the
existing
revenue
purpose
statement
remains
8
in
effect
until
January
1,
2031,
or
the
expiration
date
of
the
9
revenue
purpose
statement,
whichever
is
earlier.
If
a
revenue
10
purpose
statement
is
terminated
under
the
provisions
of
this
11
subparagraph,
such
termination
shall
not
affect
the
validity
12
of
or
a
first
lien
on
bonds
issued
under
section
423E.5,
Code
13
2019,
or
section
423F.5
prior
to
the
date
the
revenue
purpose
14
statement
is
terminated
under
subparagraph
division
(a),
or
15
the
validity
of
a
contract
or
other
obligation
of
the
school
16
district
secured
in
whole
or
in
part
by
or
requiring
the
17
payment
of
funds
received
under
this
chapter
in
effect
prior
18
to
the
date
the
revenue
purpose
statement
is
terminated
under
19
subparagraph
division
(a).
20
Sec.
13.
Section
423F.3,
subsection
5,
paragraph
b,
Code
21
2019,
is
amended
to
read
as
follows:
22
b.
The
infeasibility
cost-benefit
analysis
of
remodeling,
23
reconstructing,
or
repairing
existing
buildings.
24
Sec.
14.
Section
423F.3,
subsection
5,
Code
2019,
is
amended
25
by
adding
the
following
new
paragraph:
26
NEW
PARAGRAPH
.
i.
Benefits
and
effects
of
the
new
27
construction
on
student
learning.
28
Sec.
15.
Section
423F.3,
subsection
6,
Code
2019,
is
amended
29
by
adding
the
following
new
paragraph:
30
NEW
PARAGRAPH
.
0d.
Additionally,
“school
infrastructure”
31
includes
school
safety
and
security
infrastructure.
For
32
purposes
of
this
paragraph,
“school
safety
and
security
33
infrastructure”
includes
but
is
not
limited
to
safe
rooms,
34
remote
entry
technology
and
equipment,
security
camera
systems,
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74
card
access
systems,
and
communication
systems
with
access
to
1
fire
and
police
emergency
frequencies.
For
purposes
of
this
2
paragraph,
“school
safety
and
security
infrastructure”
does
3
not
include
the
cost
of
personnel,
development
of
safety
and
4
security
plans,
or
training
related
to
the
implementation
of
5
safety
and
security
plans.
It
is
the
intent
of
the
general
6
assembly
that
each
school
district
prioritize
the
use
of
7
revenues
under
this
chapter
for
secure
entries
for
the
8
district’s
attendance
centers
before
expending
such
revenues
9
for
athletic
facility
infrastructure
projects.
10
Sec.
16.
Section
423F.3,
Code
2019,
is
amended
by
adding
the
11
following
new
subsection:
12
NEW
SUBSECTION
.
6A.
a.
Prior
to
approving
the
use
13
of
revenues
received
under
this
chapter
for
an
athletic
14
facility
infrastructure
project
within
the
scope
of
the
15
school
district’s
approved
revenue
purpose
statement
or
16
pursuant
to
subsection
4
for
a
school
district
without
an
17
approved
revenue
statement,
the
board
of
directors
shall
adopt
18
a
resolution
setting
forth
the
proposal
for
the
athletic
19
facility
infrastructure
project
and
hold
an
additional
public
20
hearing
on
the
issue
of
construction
of
the
athletic
facility.
21
Notice
of
the
time
and
place
of
the
public
hearing
shall
be
22
published
not
less
than
ten
nor
more
than
twenty
days
before
23
the
public
hearing
in
a
newspaper
which
is
a
newspaper
of
24
general
circulation
in
the
school
district.
If
at
any
time
25
prior
to
the
fifteenth
day
following
the
hearing,
the
secretary
26
of
the
board
of
directors
receives
a
petition
containing
the
27
required
number
of
signatures
and
asking
that
the
question
28
of
the
approval
of
the
use
of
revenues
for
the
athletic
29
facility
infrastructure
project
be
submitted
to
the
voters
30
of
the
school
district,
the
board
of
directors
shall
either
31
rescind
the
board’s
resolution
for
the
use
of
revenues
for
32
the
athletic
facility
infrastructure
project
or
direct
the
33
county
commissioner
of
elections
to
submit
the
question
to
the
34
registered
voters
of
the
school
district
at
an
election
held
35
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on
a
date
specified
in
section
39.2,
subsection
4,
paragraph
1
“c”
.
The
petition
must
be
signed
by
eligible
electors
equal
2
in
number
to
not
less
than
one
hundred
or
thirty
percent
of
3
the
number
of
voters
at
the
last
preceding
election
of
school
4
officials
under
section
277.1,
whichever
is
greater.
If
a
5
majority
of
those
voting
on
the
question
favors
the
use
of
the
6
revenues
for
the
athletic
facility
infrastructure
project,
the
7
board
shall
be
authorized
to
approve
such
use
by
resolution
of
8
the
board.
If
a
majority
of
those
voting
on
the
question
does
9
not
favor
the
use
of
the
revenues
for
the
athletic
facility
10
infrastructure
project,
the
board
of
directors
shall
rescind
11
the
board’s
resolution
for
the
use
of
revenues
for
the
athletic
12
facility
infrastructure
project.
If
a
petition
is
not
received
13
by
the
board
of
directors
within
the
prescribed
time
period,
14
the
board
of
directors
may
approve
the
use
of
revenues
for
15
the
athletic
facility
infrastructure
project
without
voter
16
approval.
17
b.
After
fourteen
days
from
the
date
of
the
hearing
under
18
paragraph
“a”
or
fourteen
days
after
the
date
of
the
election
19
held
under
paragraph
“a”
,
if
applicable,
whichever
is
later,
an
20
action
shall
not
be
brought
questioning
the
board
of
directors’
21
authority
to
use
funds
for
the
athletic
facility
infrastructure
22
project
or
questioning
the
legality
of
any
proceedings
in
23
connection
with
the
authorization
of
such
use.
24
c.
For
purposes
of
this
subsection:
25
(1)
“Athletic
facility”
means
a
building
or
structure,
or
26
portion
thereof,
that
is
not
physically
attached
to
a
student
27
attendance
center.
28
(2)
“Athletic
facility
infrastructure
project”
means
a
school
29
infrastructure
project
that
includes
in
whole
or
in
part
the
30
construction
of
an
athletic
facility.
31
(3)
“Construction”
does
not
include
repair
or
maintenance
32
of
an
existing
facility.
33
Sec.
17.
Section
423F.4,
Code
2019,
is
amended
to
read
as
34
follows:
35
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423F.4
Borrowing
authority
for
school
districts.
1
1.
A
Subject
to
the
conditions
established
under
subsection
2
2,
a
school
district
may
anticipate
its
share
of
the
revenues
3
under
section
423F.2
by
issuing
bonds
in
the
manner
provided
in
4
section
423E.5
,
Code
2019
.
However,
to
the
extent
any
school
5
district
has
issued
bonds
anticipating
the
proceeds
of
an
6
extended
local
sales
and
services
tax
for
school
infrastructure
7
purposes
imposed
by
a
county
pursuant
to
former
chapter
423E,
8
Code
and
Code
Supplement
2007,
prior
to
July
1,
2008,
the
9
pledge
of
such
revenues
for
the
payment
of
principal
and
10
interest
on
such
bonds
shall
be
replaced
by
a
pledge
of
its
11
share
of
the
revenues
under
section
423F.2
.
12
2.
a.
Bonds
issued
on
or
after
July
1,
2018,
shall
not
be
13
sold
at
public
sale
as
provided
in
chapter
75,
or
at
a
private
14
sale,
without
notice
and
hearing.
Notice
of
the
time
and
place
15
of
the
public
hearing
shall
be
published
not
less
than
ten
nor
16
more
than
twenty
days
before
the
public
hearing
in
a
newspaper
17
which
is
a
newspaper
of
general
circulation
in
the
school
18
district.
19
b.
For
bonds
subject
to
the
requirements
of
paragraph
20
“a”
,
if
at
any
time
prior
to
the
fifteenth
day
following
the
21
hearing,
the
secretary
of
the
board
of
directors
receives
a
22
petition
containing
the
required
number
of
signatures
and
23
asking
that
the
question
of
the
issuance
of
such
bonds
be
24
submitted
to
the
voters
of
the
school
district,
the
board
shall
25
either
rescind
its
adoption
of
the
resolution
or
direct
the
26
county
commissioner
of
elections
to
submit
the
question
to
the
27
registered
voters
of
the
school
district
at
an
election
held
28
on
a
date
specified
in
section
39.2,
subsection
4,
paragraph
29
“c”
.
The
petition
must
be
signed
by
eligible
electors
equal
30
in
number
to
not
less
than
one
hundred
or
thirty
percent
of
31
the
number
of
voters
at
the
last
preceding
election
of
school
32
officials
under
section
277.1,
whichever
is
greater.
If
the
33
board
submits
the
question
at
an
election
and
a
majority
of
34
those
voting
on
the
question
favors
issuance
of
the
bonds,
the
35
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board
shall
be
authorized
to
issue
the
bonds.
1
c.
After
fourteen
days
from
the
date
of
the
hearing
under
2
paragraph
“a”
or
fourteen
days
after
the
date
of
the
election
3
held
under
paragraph
“b”
,
if
applicable,
whichever
is
later,
4
an
action
shall
not
be
brought
questioning
the
legality
of
5
any
bonds
or
the
power
of
the
authority
to
issue
any
bonds
6
or
to
the
legality
of
any
proceedings
in
connection
with
the
7
authorization
or
issuance
of
the
bonds.
8
Sec.
18.
Section
423F.6,
Code
2019,
is
amended
to
read
as
9
follows:
10
423F.6
Repeal.
11
This
chapter
is
repealed
December
31,
2029
January
1,
2051
.
12
Sec.
19.
STATE
MANDATE
FUNDING
SPECIFIED.
In
accordance
13
with
section
25B.2,
subsection
3,
the
state
cost
of
requiring
14
compliance
with
any
state
mandate
included
in
this
Act
shall
15
be
paid
by
a
school
district
from
state
school
foundation
aid
16
received
by
the
school
district
under
section
257.16.
This
17
specification
of
the
payment
of
the
state
cost
shall
be
deemed
18
to
meet
all
of
the
state
funding-related
requirements
of
19
section
25B.2,
subsection
3,
and
no
additional
state
funding
20
shall
be
necessary
for
the
full
implementation
of
this
Act
21
by
and
enforcement
of
this
Act
against
all
affected
school
22
districts.
23
EXPLANATION
24
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
25
the
explanation’s
substance
by
the
members
of
the
general
assembly.
26
Code
section
423.2
imposes
a
state
tax
of
6
percent
upon
27
the
sales
price
of
all
sales
of
tangible
personal
property,
28
consisting
of
goods,
wares,
merchandise,
and
other
items
29
designated
by
statute,
sold
at
retail
in
the
state
to
consumers
30
or
users,
except
as
otherwise
provided
by
Code
chapter
423.
31
Generally,
by
operation
of
law,
a
sale
subject
to
the
sales
32
tax
is
also
subject
to
the
use
tax.
Following
the
transfer
33
of
amounts
required
by
statute,
if
applicable,
one-sixth
of
34
the
remaining
state
sales
tax
revenue
from
the
6
percent
tax
35
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is
transferred
to
the
secure
an
advanced
vision
for
education
1
(SAVE)
fund
created
in
Code
section
423F.2.
Moneys
in
the
SAVE
2
fund
are
allocated
to
school
districts
on
a
per
pupil
basis
to
3
be
used
for
infrastructure
and
property
tax
reduction
purposes
4
specified
in
Code
chapter
423F.
Under
current
law,
the
sales
5
tax
rate
of
6
percent
is
reduced
to
5
percent
on
January
1,
6
2030,
and
Code
chapter
423F,
along
with
other
corresponding
7
provisions,
is
repealed
December
31,
2029.
8
This
bill
extends
the
6
percent
sales
tax
rate,
the
9
allocation
to
the
SAVE
fund,
and
the
statutory
repeal
of
Code
10
chapter
423F
until
January
1,
2051.
11
Code
section
423F.2
provides
that
prior
to
distribution
of
12
SAVE
revenues
to
school
districts,
2.1
percent
of
the
moneys
13
available
in
the
SAVE
fund
are
distributed
and
credited
to
14
the
property
tax
equity
and
relief
(PTER)
fund
to
be
used
for
15
additional
property
tax
levy
aid.
The
bill
provides
that
for
16
each
fiscal
year
beginning
on
or
after
July
1,
2019,
the
equity
17
transfer
amount,
as
created
in
the
bill,
is
distributed
and
18
credited
to
the
PTER
fund
and
foundation
base
supplement
fund
19
in
amounts
specified
in
the
bill.
The
bill
creates
the
equity
20
transfer
percentage,
which
is
used
to
determine
the
amount
of
21
the
equity
transfer
amount,
and
is
equal
to
the
equity
transfer
22
percentage
for
the
immediately
preceding
fiscal
year,
unless
23
the
amount
of
money
available
in
the
SAVE
fund
in
the
fiscal
24
year
is
equal
to
or
exceeds
102
percent
of
the
amount
of
money
25
available
in
the
SAVE
fund
for
the
immediately
preceding
fiscal
26
year,
in
which
case
the
equity
transfer
percentage
shall
be
the
27
equity
transfer
percentage
for
the
immediately
preceding
fiscal
28
year
plus
1
percent.
However,
the
bill
caps
the
percentage
at
29
12
percent.
The
equity
transfer
percentage
for
the
fiscal
year
30
beginning
July
1,
2018,
is
2.1
percent.
The
amount
required
to
31
be
transferred
from
the
SAVE
fund
to
the
PTER
fund
is
equal
to
32
the
equity
transfer
amount
minus
the
foundation
base
transfer
33
amount.
34
The
bill
also
establishes
a
foundation
base
transfer
amount
35
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that
equals
the
equity
transfer
amount
minus
the
sum
of
2.1
1
percent
of
the
amount
of
the
moneys
available
in
the
SAVE
fund
2
in
the
fiscal
year
plus
two-thirds
of
the
product
of
the
equity
3
transfer
percentage
minus
2.1
percent
multiplied
by
the
moneys
4
available
in
the
SAVE
fund
in
the
fiscal
year.
An
amount
equal
5
to
the
foundation
base
transfer
amount
is
credited
to
the
6
foundation
base
supplement
fund
to
be
used
by
the
department
of
7
management
for
purposes
of
making
foundation
base
supplement
8
payments
to
school
districts
on
a
per
pupil
basis
calculated
9
using
each
school
district’s
weighted
enrollment
and
subject
to
10
specified
total
foundation
base
supplement
limits
in
the
bill.
11
The
bill
also
establishes
a
career
academy
transfer
amount
12
that
for
the
fiscal
year
beginning
July
1,
2019,
is
$1
million.
13
For
each
fiscal
year
beginning
on
or
after
July
1,
2020,
the
14
career
academy
transfer
amount
is
equal
to
the
lesser
of
$5
15
million
or
the
amount
of
the
career
academy
transfer
amount
16
for
the
immediately
preceding
fiscal
year,
unless
the
amount
17
of
moneys
available
in
the
SAVE
fund
in
the
fiscal
year
equals
18
or
exceeds
102.5
percent
of
the
amount
of
moneys
available
in
19
the
fund
for
the
immediately
preceding
fiscal
year,
in
which
20
case
the
career
academy
transfer
amount
equals
the
lesser
of
21
$5
million
or
the
sum
of
the
amount
of
the
career
academy
22
transfer
amount
for
the
immediately
preceding
fiscal
year
plus
23
0.5
percent
of
the
amount
of
moneys
available
in
the
SAVE
fund
24
in
the
fiscal
year
following
the
deposit
of
revenues
in
the
25
property
tax
equity
and
relief
fund
and
the
foundation
base
26
supplement
fund.
27
An
amount
equal
to
the
career
academy
transfer
amount
28
is
credited
to
the
career
academy
fund
to
be
used
by
the
29
department
of
education
for
purposes
of
providing
competitive
30
grants,
not
to
exceed
$1
million
per
grant,
to
school
districts
31
for
career
academy
infrastructure,
career
academy
equipment,
or
32
both,
in
accordance
with
the
bill
and
to
further
the
goals
of
33
the
establishment
and
operation
of
career
academies
under
Code
34
section
258.15.
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Under
the
bill,
existing
revenue
purpose
statements
for
the
1
use
of
SAVE
fund
revenues
adopted
before
July
1,
2019,
shall
2
terminate
and
be
of
no
further
force
and
effect
on
January
1,
3
2031,
or
the
expiration
date
of
the
revenue
purpose
statement,
4
whichever
is
earlier.
If
a
school
district
intends
to
use
5
SAVE
fund
revenues
for
purposes
other
than
those
which
can
6
be
approved
by
the
school
board
alone
and
does
not
intend
to
7
operate
without
a
revenue
purpose
statement
on
or
after
January
8
1,
2031,
or
the
expiration
of
the
revenue
purpose
statement,
9
whichever
is
earlier,
the
school
board
must
submit
a
revenue
10
purpose
statement
for
approval
by
the
electors
on
or
after
11
July
1,
2019,
and
such
revenue
purpose
statement
submitted
to
12
the
electors
shall
include
all
proposed
uses
including
those
13
previously
approved
by
the
electors,
if
applicable.
The
bill
14
specifies
that
if
a
revenue
purpose
statement
is
terminated
15
under
the
provisions
of
the
bill,
such
termination
shall
16
not
affect
the
validity
of
or
a
first
lien
on
bonds
issued
17
under
Code
sections
423E.5
and
423F.5
prior
to
the
date
of
18
termination,
or
the
validity
of
a
contract
or
other
obligation
19
of
the
school
district
secured
in
whole
or
in
part
by
or
20
requiring
the
payment
of
SAVE
revenues
in
effect
prior
to
the
21
date
of
termination.
22
The
bill
provides
that
prior
to
approving
the
use
of
SAVE
23
revenues
for
an
athletic
facility
infrastructure
project
24
that
is
defined
in
the
bill
to
mean
a
school
infrastructure
25
project
that
includes
in
whole
or
in
part,
the
construction
26
of
an
athletic
facility,
the
board
of
directors
must
first
27
hold
an
additional
public
hearing
on
the
issue
of
the
athletic
28
facility.
The
bill
defines
“athletic
facility”
to
mean
29
a
building
or
structure,
or
portion
thereof,
that
is
not
30
physically
attached
to
a
student
attendance
center.
If
at
any
31
time
prior
to
the
15th
day
following
the
hearing,
the
secretary
32
of
the
board
of
directors
receives
a
petition
containing
the
33
required
number
of
signatures
and
asking
that
the
question
of
34
the
approval
of
the
use
of
revenues
for
the
athletic
facility
35
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infrastructure
project
be
submitted
to
the
voters
of
the
school
1
district,
the
board
of
directors
shall
either
rescind
the
2
resolution
for
use
of
SAVE
revenues
for
the
athletic
facility
3
infrastructure
project
or
direct
the
county
commissioner
of
4
elections
to
submit
the
question
to
the
registered
voters
of
5
the
school
district.
If
a
majority
of
those
voting
on
the
6
question
favors
the
use
of
the
SAVE
revenues
for
the
athletic
7
facility
infrastructure
project,
the
board
shall
be
authorized
8
to
approve
such
use
by
resolution
of
the
board.
If
a
majority
9
of
those
voting
on
the
question
does
not
favor
the
use
of
the
10
SAVE
revenues
for
the
school
infrastructure
project,
the
board
11
of
directors
shall
rescind
the
board’s
resolution
for
use
of
12
SAVE
revenues
for
the
athletic
facility
infrastructure
project.
13
If
a
petition
is
not
received
by
the
board
of
directors
14
within
the
prescribed
time
period,
the
board
of
directors
may
15
approve
the
use
of
SAVE
revenues
for
the
athletic
facility
16
infrastructure
project
without
voter
approval.
The
bill
also
17
establishes
limitations
on
the
period
of
time
to
bring
an
18
action
to
question
the
authority
to
use
funds
for
such
purpose
19
or
the
legality
of
any
proceedings
in
connection
with
the
20
authorization
of
such
use.
21
Code
section
423F.3
defines
“school
infrastructure”
for
22
purposes
of
the
uses
for
which
school
districts
are
permitted
23
to
expend
SAVE
revenues.
The
bill
adds
“school
safety
and
24
security
infrastructure”,
as
defined
in
the
bill,
to
the
25
definition
of
“school
infrastructure”.
The
bill
specifies
26
that
it
is
the
intent
of
the
general
assembly
that
each
school
27
district
prioritize
the
use
of
SAVE
revenues
for
secure
entries
28
for
the
district’s
attendance
centers
before
expending
such
29
revenues
for
athletic
facility
infrastructure
projects.
30
Current
law
authorizes
a
school
district
to
anticipate
31
its
share
of
SAVE
fund
revenues
by
issuing
bonds
without
32
voter
approval.
The
bill
provides
that
revenue
bonds
issued
33
on
or
after
July
1,
2019,
shall
not
be
sold
at
public
sale
34
or
at
a
private
sale
without
notice
and
a
public
hearing.
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Additionally,
if
at
any
time
prior
to
the
15th
day
following
1
the
hearing,
the
secretary
of
the
board
of
directors
receives
2
a
petition
containing
the
required
number
of
signatures
and
3
asking
that
the
question
of
the
issuance
of
such
bonds
be
4
submitted
to
the
voters
of
the
school
district,
the
school
5
board
shall
either
rescind
its
adoption
of
the
resolution
or
6
direct
the
county
commissioner
of
elections
to
submit
the
7
question
to
the
registered
voters
of
the
school
district.
The
8
petition
must
be
signed
by
eligible
electors
equal
in
number
9
to
not
less
than
100
or
30
percent
of
the
number
of
voters
at
10
the
last
preceding
election
of
school
officials,
whichever
11
is
greater.
If
the
school
board
submits
the
question
at
an
12
election
and
a
majority
of
those
voting
on
the
question
favors
13
issuance
of
the
bonds,
the
board
shall
be
authorized
to
issue
14
the
bonds.
The
bill
also
places
limitations
on
the
period
15
of
time
during
which
an
action
questioning
the
legality
or
16
procedural
compliance
for
the
issuance
of
such
bonds
may
be
17
brought.
18
Currently,
a
school
district
with
a
certified
enrollment
19
of
fewer
than
250
pupils
in
the
entire
district
or
certified
20
enrollment
of
fewer
than
100
pupils
in
high
school
must
apply
21
to
the
department
of
education
for
a
certificate
of
need
22
before
the
school
district
can
expend
the
supplemental
school
23
infrastructure
amount
received
for
new
construction
or
for
24
payments
for
bonds
issued
for
new
construction
against
the
25
supplemental
school
infrastructure
amount.
The
bill
modifies
26
the
criteria
to
be
used
by
the
department
of
education
in
27
determining
whether
to
issue
a
certificate
of
need
to
include
28
the
cost-benefit
analysis
of
remodeling,
reconstructing,
or
29
repairing
existing
buildings
versus
new
construction
and
30
consideration
of
the
benefit
of
the
new
construction
on
student
31
learning.
32
The
bill
may
include
a
state
mandate
as
defined
in
Code
33
section
25B.3.
The
bill
requires
that
the
state
cost
of
34
any
state
mandate
included
in
the
bill
be
paid
by
a
school
35
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district
from
state
school
foundation
aid
received
by
the
1
school
district
under
Code
section
257.16.
The
specification
2
is
deemed
to
constitute
state
compliance
with
any
state
mandate
3
funding-related
requirements
of
Code
section
25B.2.
The
4
inclusion
of
this
specification
is
intended
to
reinstate
the
5
requirement
of
political
subdivisions
to
comply
with
any
state
6
mandates
included
in
the
bill.
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