Text: HF201            Text: HF203
Complete Bill History


House File 202

HOUSE FILE BY ISENHART, HANSON, and MURPHY A BILL FOR 1 An Act relating to the property tax exemption for property 2 owned by certain municipalities and the Iowa national guard 3 and including applicability provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 1457HH (6) 84 md/sc PAG LIN 1 1 Section 1. Section 427.1, subsection 2, Code 2011, is 1 2 amended to read as follows: 1 3 2. Municipal and military property. 1 4 a. The property of a county, township, city, school 1 5 corporation, levee district, drainage district, or the Iowa 1 6 national guard, when devoted to public use and not held for 1 7 pecuniary profit, except property as provided in paragraph "e". 1 8 b. The exemption under paragraph "a" shall not apply to any 1 9 of the following: 1 10 (1) Property of a municipally owned electric utility 1 11 held under joint ownership and property of an electric power 1 12 facility financed under chapter 28F or 476A that shall be 1 13 subject to taxation under chapter 437A and facilities. 1 14 (2) Facilities of a municipal utility that are used for the 1 15 provision of local exchange services pursuant to chapter 476, 1 16 but only to the extent such facilities are used to provide such 1 17 services, which shall be subject to taxation under chapter 433, 1 18 except that section 433.11 shall not apply. 1 19 c. The exemption for property owned by a city or county also 1 20 applies to property which is operated by a city or county as a 1 21 library, art gallery or museum, conservatory, botanical garden 1 22 or display, observatory or science museum, or as a location 1 23 for holding athletic contests, sports or entertainment events, 1 24 expositions, meetings, or conventions, or leased from the city 1 25 or county for any such purposes, or leased from the city or 1 26 county by the Iowa national guard or by a federal agency for 1 27 the benefit of the Iowa national guard when the property owned 1 28 by the city or county is devoted for public use and not for 1 29 pecuniary profit, except as provided in paragraph "e". 1 30 d. Food and beverages may be served at the events or 1 31 locations without affecting the exemptions, provided the city 1 32 has approved the serving of food and beverages on the property 1 33 if the property is owned by the city or the county has approved 1 34 the serving of food and beverages on the property if the 1 35 property is owned by the county. The exemption for property 2 1 owned by a city or county also applies to property which is 2 2 located at an airport and leased to a fixed base operator 2 3 providing aeronautical services to the public. 2 4 e. The exemption for property owned by a county, township, 2 5 city, school corporation, levee district, drainage district, or 2 6 the Iowa national guard under paragraph "a" shall also include 2 7 property held by such entities for pecuniary profit if such 2 8 property is leased to and used by a person who, if the person 2 9 owned the property, would qualify for an exemption authorized 2 10 by law. An exemption under this paragraph shall be limited 2 11 to the proportion of the exemption that the lessee would be 2 12 entitled to if the lessee owned the property. 2 13 Sec. 2. APPLICABILITY. This Act applies to assessment years 2 14 beginning on or after January 1, 2012. 2 15 EXPLANATION 2 16 Current Code section 427.1, subsection 2, provides a general 2 17 property tax exemption for the property of a county, township, 2 18 city, school corporation, levee district, drainage district, 2 19 or the Iowa national guard, when devoted to public use and not 2 20 held for pecuniary profit. This bill applies the exemption to 2 21 property held by such entities for pecuniary profit if such 2 22 property is leased to and used by a person who, if the person 2 23 owned the property, would qualify for an exemption authorized 2 24 by law. An exemption allowed under the bill is limited to the 2 25 proportion of the exemption that the lessee would be entitled 2 26 to if the lessee owned the property. 2 27 The bill applies to assessment years beginning on or after 2 28 January 1, 2012. LSB 1457HH (6) 84 md/sc
Text: HF201            Text: HF203 Complete Bill History