How SF 651 changes current law

AI-generated reading aid from the bill's amendatory text — verify against the official bill.

This bill modifies property tax levies and budget calculations for counties and cities in Iowa.

• Section 331.423, subsection 1, paragraph b, subparagraph (1)

  before July 1, 2028 → before July 1, 2026

  Extends the time frame for the levy limit to apply.

• Section 331.423, subsection 1, paragraph c

  before July 1, 2028 → before July 1, 2026

  Adjusts the time frame for applying property tax levies.

• Section 331.423, subsection 1

  NEW PARAGRAPH . d. (1) For each fiscal year beginning on or after July 1, 2027...

  Introduces new criteria for property tax levy calculations starting in 2027.

• Section 331.423, subsection 2, paragraph b, subparagraph (1)

  before July 1, 2028 → before July 1, 2026

  Modifies the relevant years for the rural county services levy limit.

• Section 331.423, subsection 2, paragraph c

  before July 1, 2028 → before July 1, 2026

  Updates the relevant years for rural property tax levy rates.

• Section 331.423, subsection 2

  NEW PARAGRAPH d. (1) For each fiscal year beginning on or after July 1, 2027...

  Establishes new rules for the property tax levy starting in 2027.

• Section 331.423, subsection 3

  NEW PARAGRAPH . c. “New valuation” means the increase from the current fiscal year to the budget year...

  Defines 'new valuation' for taxation purposes.

• Section 384.1, subsection 3, paragraph c, subparagraph (1)

  before July 1, 2028 → before July 1, 2026

  Changes how the city’s tax levy for the general fund is calculated.

• Section 384.1, subsection 3, paragraph d

  before July 1, 2028 → before July 1, 2026

  Adjusts the limit on city tax levy rates for general fund starting from mid-2026.