The following is a legislative update from Senator Amanda Ragan of Mason City:
A bill moving through the Iowa Senate would break promises that the Legislature made to taxpayers just five years ago.
In 2013, the Legislature approved the largest property tax cut in Iowa history. At the same time, the law was changed to require the state to reimburse cities, counties and school districts for lost revenue that came from reducing property tax rates.
This year, SF 2081 would end the money that the state agreed to pay to cities, counties and schools for those property tax decreases.
The bill could cut reimbursements by up to one-third each year until they’re phased out completely. This would force communities to raise property taxes or make drastic cuts to police, fire and other emergency services, road and bridge maintenance, drinking water systems and other important services.
Our small towns and rural communities especially count on the “backfill” dollars. Of Iowa’s 942 cities, 82 percent have populations below 2,000.
The Iowa League of Cities, the Iowa Association of Counties and many others oppose the Legislature breaking its promise to Iowa taxpayers.
You can find how much your school district, city and county will lose through a searchable list on the Iowa Senate Democrats website: www.senate.iowa.gov/democrats.
The Iowa House is also working on a proposal to go back on promised dollars to local governments (HSB 678).
If you are concerned about the state taking back this $152 million commitment to property taxpayers and local governments, contact your legislators to let them know how this broken promise impacts you.
UPCOMING PUBLIC FORUMS
Mason City Listening Post
March 10 @ 10:00 am – 11:30 am
Mason City Public Library, 225 2nd St SE
Legislative Forum – Clear Lake
March 23 @ 10:00 am – 11:30 am
Clear Lake Bank & Trust Company, 322 Main Ave
