SF 103 – Housing enterprise zone tax credits and transferability
SF 593 – Child Support Recovery fees
SSB 1244 – Storm water utility assessment fees
SF 306 – Pilot project for park user fees at Lake Manawa
COMMITTEE ACTION:
SF 103 – Housing enterprise zone tax credits and transferability
SF 103 makes changes to filing dates for requesting transferability for tax credits issued under the former housing enterprise zone (HEZ) incentive program. The HEZ program was replaced by the current Workforce Housing tax credit program in 2014. When the HEZ program was eliminated and the state transitioned to the Workforce Housing program, all HEZ projects were required to request transferability of credits by July 1, 2014, or they could not be transferred.
Generally, a project under the HEZ program would request transferability for the credits they were issued upon completion of the project. Some developers who were issued tax credits under the HEZ program were not made aware of the new deadline to request transferability. When they made the request after the new July 1, 2014, deadline, their request was denied.
The bill provides an exception from the deadline to request transferability for a project located in Des Moines County. The subcommittee was made aware of another project that failed to request transferability by the July 1, 2014, deadline in Woodbury County. The committee adopted an amendment to address that project as well.
[3/26: Short Form]
SF 327 – Probate fees
SF 327 is a Bar Association bill that the Probate Section of the Bar has been trying to get passed for many years. It relates to court costs (fees) charged an estate when a decedent’s estate is being probated (being settled through the court). The Bar Association claims that counties are assessing court costs differently, resulting in inconsistencies across Iowa. This bill will exclude certain types of property when calculating court costs when an estate is being probated. Excluded property includes joint tenancy property, transfers during a decedent’s lifetime and assets payable directly to beneficiaries.
[3/26: Short Form]
SF 593 – Child Support Recovery fees
SF 593 is a Department of Human Services bill regarding Child Support Recovery fees. There are two fees associated with Child Support Recovery. The bill eliminates the application fee of $25. It changes the annual fee to what is required by federal law. The fee will be collected from the obligee after $550 in support has been distributed to the family. The fee is only charged if the obligee has never received cash assistance. The bill amends Iowa Code Chapter 252B to remove the specific amount of the fee and cites directly to federal law. This means that the state will not have to pass legislation each time the federal government makes changes.
[3/26: Short Form]
SSB 1244 – Storm water utility assessment fees
SSB 1244 would authorize the assessment and collection of fees related to the development of property within a storm water district. This proposal would allow a city to assess fees on the development of property within a storm water district to help finance the construction of storm water infrastructure that is necessary to accommodate the development of land within the district. Cities are allowed to assess developer fees for the connection of utilities to land being developed. This includes water, sewer and road service. The bill specifies that storm water infrastructure is a connected utility and that they may assess a connection fee to the developer.
The legislation is in response to a court case involving the city of West Des Moines. The city had assessed fees to a developer to help pay for storm water infrastructure to accommodate increased runoff. The developer challenged the city’s ability to assess the fees, arguing that the storm water infrastructure was not “connected” to the development in the same way that water, sewer and roads are connected. The court sided with the developer on the grounds that there needed to be a physical connection between the development and the benefit of the utility. The court said the physical connection did not exist between the development and the storm water infrastructure planned by the city.
[3/26: Short Form]
FLOOR ACTION:
SF 306 – Pilot project for park user fees at Lake Manawa
SF 306 would establish a pilot program for park user fees at Lake Manawa State Park in Council Bluffs. The Department of Natural Resources (DNR) would collect fees from nonresidents to access the state park and allow DNR to charge different rates for facility rental to residents and nonresidents. This system would mirror how Nebraska charges for nonresidents to use their state parks. Lake Manawa is a busy state park that attracts a large number of nonresident visitors because the park does not charge fees for access, unlike similar parks in the area. This has led to high use, a need for infrastructure repairs, and demands on local law enforcement responding to illegal activity. It is hoped the fees will cover park needs, while discouraging illegal activities. The pilot program would be repealed on July 1, 2022.
[3/25: 50-0]