Iowa

TexasTowelie

(112,209 posts) Sat Apr 13, 2019, 04:02 AM Apr 2019

A 2 percent solution to a nonexistent problem

It is a common canard among the anti-property taxers that city and county governments, those closest to the electorate, are gouging unsuspecting taxpayers. It is their rallying lament, and it requires no substantiation, just confident assertion.

As is frequently the case with made-up woes like this, Iowa House Republicans have a solution. The remedy is House Study Bill 165, a bill to place limits on city and county government property tax growth.

This legislation would set growth in annual property tax levies to no more than 2 percent. If there were new property valuation due to new housing or business investments, those values would be taxed at last year’s tax rate and would then count as part of the base for next year’s 2 percent growth calculation. If a community or county wanted to spend more than the 2 percent limit, it would need to pass a resolution declaring its intentions. If there were opposition to the resolution, citizens could organize to force an election on the matter.

And what is the spending problem that the GOP is addressing? According to the latest Iowa House Republican weekly newsletter, there “seems to be a growing trend by local governments to ride large increases in valuations ….”

Read more: https://www.bleedingheartland.com/2019/04/09/a-2-percent-solution-to-a-nonexistent-problem/

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A 2 percent solution to a nonexistent problem (Original Post) TexasTowelie Apr 2019 OP

HSB 165 is a backdoor attack at IPERS (Iowa retirement System) rurallib Apr 2019 #1

rurallib

(62,416 posts)

1. HSB 165 is a backdoor attack at IPERS (Iowa retirement System)

Reply to TexasTowelie (Original post)

Sun Apr 14, 2019, 08:05 PM

Apr 2019

aimed at municipal workers. From Kirsten Running-Marquardt's newsletter:

New GOP Bill Puts IPERS, Retirement Security at Risk

House Republicans advanced a bill out of committee this week that could jeopardize the retirement security of thousands of Iowans and impose new restrictions on local governments.

House Study Bill 165 removes a local government’s ability to fund employee benefits and pensions from the Trust and Agency Fund. Instead, retirement payments would have to be funded out of other local government funding sources that would now be limited to a 2% annual increase. Requiring funding of these benefits would put this funding in competition with other city responsibilities, such as paying for police and fire fighters.

The bill also takes away decisions from local elected officials by placing arbitrary limits on local government spending. The bill prohibits a city or county government from increasing the budget by more than 2% annually. While it exempts taxes from new construction from the limit, there is no consideration in the bill for increasing values of property in a community. It also includes no considerations for new facilities or services a local government may provide other than requiring a special election.

The bill now goes to the full House for debate. It’s unclear if the Senate will consider this measure.

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