Budget & Taxes (State Budget)

in committee · Iowa · Senate Mar 19, 2026

SF 2386: A bill for an act relating to indirect costs charged to state-funded grants, and including applicability provisions.

SF 2386 sets a 5% cap on administrative costs (indirect costs) charged to state-funded grants in Iowa, effective July 1, 2026. It applies to all state departments awarding grants and grant recipients, including nonprofits, schools, and local governments. The bill requires grants to separately list direct and indirect costs in budgets, mandates documentation for all indirect cost calculations, and prohibits reclassifying indirect costs as direct costs to bypass the cap. Departments must enforce the limit during grant approval and monitoring, and disallowed costs must be recovered.

Topics ✗ Budget & TaxesOpposes Budget & TaxesCaps indirect costs on state grants at 5%, restricting administrative budget expenditures for state-funded programs.90% confidence

Sub-Topics State Budget

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in committee · Iowa · House Jan 29, 2026

HSB 563: A bill for an act relating to state and local government taxes, budgets, and authority, by modifying provisions relating to the assessment and taxation of property, funding from the secure an advanced vision for education fund, the election of certain county officers, urban renewal areas and urban revitalization areas, establishing a rent reimbursement program, establishing a program for certain first-time homebuyers, establishing a local government shared-services grant fund, making appropriations, and including effective date, applicability, and retroactive applicability provisions.

This bill establishes new limits on local government property tax collections and reserve funds. It requires cities, counties, and other local entities (excluding school districts) to cap unassigned general fund reserves at 10% of budgeted spending and sets a maximum property tax levy at 102% of the prior year's total plus new property valuation growth. These rules apply to budgets certified for fiscal years beginning July 1, 2027, and will be verified through annual audits. The bill also modifies related tax assessment, budgeting, and reporting requirements for local governments.

Topics ✗ Budget & TaxesOpposes Budget & TaxesImposes caps on property tax levies (102% of prior year + growth) and reserve limits (10% of budget), restricting local government fiscal flexibility.95% confidence ✓ HousingSupports HousingBill explicitly establishes rent reimbursement and first-time homebuyer programs, directly funding housing assistance and protections per summary.92% confidence

Sub-Topics Property Tax State Budget Homeownership Property Taxes Renters

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in committee · Iowa · Senate Feb 25, 2026

SSB 3034: A bill for an act relating to state and local government taxes, budgets, and authority, by modifying provisions relating to the assessment and taxation of property, funding from the secure an advanced vision for education fund, the election of certain county officers, urban renewal areas and urban revitalization areas, establishing a rent reimbursement program, establishing a program for certain first-time homebuyers, establishing a local government shared-services grant fund, making appropriations, and including effective date, applicability, and retroactive applicability provisions.

SSB 3034 establishes new limits on local government property tax levies and reserve funds for budgets certified after July 1, 2027. It caps the maximum property tax levy at 102% of the prior year's total plus new valuation growth (from construction, boundary changes, etc.), and restricts unassigned general fund reserves to no more than 10% of budgeted expenditures. These rules apply to cities, counties, and other local governments (excluding school districts), with the Department of Management overseeing compliance. The bill also modifies audit requirements to verify adherence to these financial limits.

Topics ✗ Budget & TaxesOpposes Budget & TaxesCaps local property tax levies at 102% of prior year + new growth and restricts unassigned reserves to ≤10% of budgeted expenditures, limiting fiscal flexibility.90% confidence ✓ HousingSupports HousingBill establishes rent reimbursement program and first-time homebuyer program, directly funding housing assistance and affordability initiatives per bill's summary.95% confidence

Sub-Topics Business Taxes Property Tax State Budget Property Taxes Renters

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in committee · Iowa · Senate Feb 18, 2026

SSB 3074: A bill for an act relating to indirect costs charged to state-funded grants, and including applicability provisions.

This bill sets a 5% cap on indirect costs (administrative expenses like management, payroll, and facility costs) charged to state-funded grants in Iowa, effective July 1, 2026. It directly affects grant recipients (including nonprofits, local governments, schools, and for-profits) and state departments administering grants by requiring them to: 1) Separate direct and indirect costs in budgets, 2) Prohibit reclassifying indirect costs as direct costs to bypass the cap, and 3) Maintain documentation for audits. State departments must enforce the cap during grant approval and monitor compliance, with disallowed costs recoverable from grantees.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill caps indirect costs at 5% for state grants, restricting administrative spending on public funds and limiting budget flexibility for grant recipients.95% confidence

Sub-Topics Business Taxes State Budget

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in committee · Iowa · House Mar 26, 2025

HSB 313: A bill for an act relating to local government property taxes, financial authority, and budgets, modifying appropriations, and including effective date, applicability, and retroactive applicability provisions.

This bill sets new limits on property tax rates for Iowa counties and cities. It caps annual tax rates for general services based on a formula comparing current tax collections to property values, excluding increases from new construction or boundary changes. For counties and cities, rates cannot exceed a specific dollar amount per $1,000 of assessed value, with adjustments tied to prior years' actual tax collections and property value growth. The rules apply to fiscal years starting July 1, 2026, and directly affect local government budgeting for property taxes.

Topics ✗ Budget & TaxesOpposes Budget & TaxesCaps annual property tax rates for counties/cities, restricting tax increases via formula-based limits on collections vs. property values.95% confidence

Sub-Topics Business Taxes Property Tax State Budget Tags Local Government

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in committee · Iowa · Senate Mar 27, 2025

SSB 1208: A bill for an act relating to local government property taxes, financial authority, and budgets, modifying appropriations, and including effective date, applicability, and retroactive applicability provisions.

This bill modifies property tax calculation rules for Iowa counties and cities, directly affecting local governments and property owners. It establishes a new formula where tax levies for general county services, rural county services, and city general funds cannot exceed 102% of the previous year's actual tax revenue, adjusted for new property valuations (like construction or annexation). The change applies to fiscal years starting July 1, 2026, and replaces previous fixed-rate thresholds. For example, a city's property tax rate must align with this 102% growth cap instead of a set dollar amount, ensuring tax increases mirror revenue growth while accounting for new property assessments.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill caps property tax levies at 102% of prior year revenue, restricting local government tax increases and budget flexibility.92% confidence

Sub-Topics Property Tax Revenue State Budget

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passed both · Iowa · Senate May 11, 2026

SJR 11: A joint resolution proposing an amendment to the Constitution of the State of Iowa relating to requirements for certain state tax law changes.

SJR 11 proposes an amendment to the Iowa Constitution that would change the requirements for passing certain state tax laws. It mandates that any bill increasing state individual or corporate income tax rates, or establishing a new state tax on income or reserves, must receive a two-thirds majority vote in both the House and Senate. This requirement does not apply to taxes imposed by local governments. The amendment also sets a one-year limit for legal challenges to the enactment of such tax bills. If passed by two consecutive General Assemblies, Iowa voters would consider this amendment in the November 2026 general election.

Topics ✗ Budget & TaxesOpposes Budget & TaxesRequires two-thirds majority for income/corporate tax increases, restricting legislative ability to raise taxes per constitutional amendment.90% confidence

Sub-Topics Business Taxes State Budget

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in committee · Iowa · House Apr 30, 2025

HSB 335: A bill for an act relating to state finances, including by making, modifying, limiting, or reducing appropriations, distributions, or transfers, authorizing expenditure of unappropriated moneys in special funds, providing for properly related matters including prohibiting state membership in the Iowa individual health benefit reinsurance association, making corrections, and including effective date and retroactive applicability provisions.

HSB 335 is a bill concerning state finances, primarily impacting education funding and state appropriations. It allocates $14 million annually for fiscal years 2025-2026 and 2026-2027 to supplement compensation for education support personnel in school districts, distributed based on student enrollment. The bill also limits funding for nonpublic school pupil transportation and sets instructional support state aid to zero for FY 2025-2026. Furthermore, it reduces overall funding for school districts and area education agencies by $25 million for FY 2025-2026. The bill also transfers over $21 million from the taxpayer relief fund to the general fund to support foundation aid and allows the use of special funds for state employee salary adjustments.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill reduces overall school funding, sets instructional aid to zero, and limits transportation funding, defunding key education programs despite minor allocations.85% confidence ✗ EducationOpposes EducationAllocates $14M for support staff but reduces overall education funding, sets instructional aid to zero, and limits nonpublic school transportation funding.85% confidence ✗ TransportationOpposes TransportationBill explicitly limits funding for nonpublic school pupil transportation, directly reducing transportation support per summary.85% confidence

Sub-Topics Government Spending State Budget School Funding

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