WEST DES MOINES — Lawmakers sent legislation to the governor Wednesday requiring school districts to use their cash reserves before levying to raise taxes on property owners. While House File 2030 may delay property tax increases in some districts, it will not address the shortfall in state aid caused by Iowa’s across-the-board budget cuts, which will result in higher property taxes, according to the Iowa Farm Bureau Federation.
“Until Iowa enacts real budget reform, our government will continue to balance the state budget on the backs of property tax payers,” says Lang. “Reform is necessary for a long-term stable and predictable budget.”
While all property owners will see increased taxes as a result of the state’s across-the-board cuts, some will feel the pain immediately. Preliminary data from fiscal year 2009 shows that 133 school districts in the state will not be able to cover the void left by Iowa’s 10 percent across-the-board budget cut late last year. Those 133 districts face $115 million in possible property tax increases, according to an analysis by the IFBF.
