1. A city may certify taxes to be levied by the county on all taxable property within the
city limits, for all city government purposes.
2. Notwithstanding subsection 3, the tax levied by a city on tracts of land and
improvements thereon used and assessed for agricultural or horticultural purposes, shall
not exceed three dollars and three-eighths cents per thousand dollars of assessed value in
any fiscal year. Improvements located on such tracts of land and not used for agricultural or
horticultural purposes and all residential dwellings are subject to the same rate of tax levied
by the city on all other taxable property within the city.
3. a. For fiscal years beginning before July 1, 2024, a city’s tax levy for the general fund
shall not exceed eight dollars and ten cents per thousand dollars of assessed value used to
calculate taxes in any fiscal year, except for the levies authorized in section 384.12.
b. Subject to adjustment under paragraph “c”, subparagraph (2), for purposes of this
subsection, “adjusted city general fund levy rate” means a levy rate per thousand dollars
of assessed value equal to the sum of eight dollars and ten cents per thousand dollars of
assessed value plus the sum of the following for the city, as applicable:
(1) The amount per thousand dollars of assessed value levied by or on behalf of the city
under section 384.8, Code 2023, for the fiscal year beginning July 1, 2023.
(2) The total amount per thousand dollars of assessed value levied by or on behalf of the
city under section 384.12, subsections 1, 2, 3, 4, 5, 6, 7, 8, 9, 11, 12, 13, 15, 16, and 20, Code
2023, for the fiscal year beginning July 1, 2023.
(3) The amount per thousand dollars of assessed value levied by the city under section
24.48, Code 2023, for the fiscal year beginning July 1, 2023.
c. (1) For each fiscal year beginning on or after July 1, 2024, but before July 1, 2028,
subject to subparagraph (3), a city’s tax levy for the general fund, except for levies authorized
in section 384.12, shall not exceed in any tax year the greater of eight dollars and ten cents
per thousand dollars of assessed value used to calculate taxes for the budget year and the
adjusted city general fund levy rate, as adjusted under subparagraph (2), if applicable.
(2) (a) If the total assessed value used to calculate taxes under this paragraph for the
budget year exceeds one hundred two and seventy-five hundredths percent, but is less than
one hundred four percent, of the total assessed value used to calculate taxes under this
subsection for the current fiscal year, the adjusted city general fund levy rate, as previously
adjusted under this subparagraph, if applicable, shall be reduced to a rate per thousand
dollars of assessed value that is equal to one thousand multiplied by the quotient of the
current fiscal year’s actual property tax dollars certified for levy under this subsection
divided by one hundred one percent of the total assessed value used to calculate such taxes
for the current fiscal year. For the budget year beginning July 1, 2024, only, the current
fiscal year’s actual property tax dollars certified for levy under this subsection shall also
include property tax dollar amounts levied under the provisions specified in paragraph “b”,
subparagraphs (1), (2), and (3).
(b) If the total assessed value used to calculate taxes under this paragraph for the budget
year exceeds one hundred four percent, but is less than one hundred six percent, of the
total assessed value used to calculate taxes under this subsection for the current fiscal year,
the adjusted city general fund levy rate, as previously adjusted under this subparagraph, if
applicable, shall be reduced to a rate per thousand dollars of assessed value that is equal
to one thousand multiplied by the quotient of the current fiscal year’s actual property tax
dollars certified for levy under this subsection divided by one hundred two percent of the
total assessed value used to calculate such taxes for the current fiscal year. For the budget
year beginning July 1, 2024, only, the current fiscal year’s actual property tax dollars certified
for levy under this subsection shall also include property tax dollar amounts levied under the
provisions specified in paragraph “b”, subparagraphs (1), (2), and (3).
(c) If the total assessed value used to calculate taxes under this paragraph for the budget
year is equal to or exceeds one hundred six percent of the total assessed value used to
calculate taxes under this subsection for the current fiscal year, the adjusted city general fund
levy rate, as previously adjusted under this subparagraph, if applicable, shall be reduced to
a rate per thousand dollars of assessed value that is equal to one thousand multiplied by the
quotient of the current fiscal year’s actual property tax dollars certified for levy under this
subsection divided by one hundred three percent of the total assessed value used to calculate
such taxes for the current fiscal year. For the budget year beginning July 1, 2024, only, the
current fiscal year’s actual property tax dollars certified for levy under this subsection shall
also include property tax dollar amounts levied under the provisions specified in paragraph
“b”, subparagraphs (1), (2), and (3).
(3) (a) (i) In addition to the limitation under subparagraph (2), if the city’s actual levy
rate imposed under this subsection for the current fiscal year is eight dollars and ten cents
or less per thousand dollars of assessed value and the total assessed value used to calculate
taxes under this paragraph for the budget year exceeds one hundred two and seventy-five
hundredthspercent,butislessthanonehundredfourpercent,ofthetotalassessedvalueused
tocalculatetaxesunderthissubsectionforthecurrentfiscalyear, thelevyrateimposedunder
this paragraph for the budget year shall not exceed a rate per thousand dollars of assessed
value that is equal to one thousand multiplied by the quotient of the current fiscal year’s
actual property tax dollars certified for levy under this subsection divided by one hundred
two percent of the total assessed value used to calculate taxes under this subsection for the
current fiscal year.
(ii) For the budget year beginning July 1, 2024, only, the city’s actual levy rate imposed
under this subsection for the current fiscal year shall also include the sum of the amounts per
thousanddollarsofassessedvaluespecifiedinparagraph“b”, subparagraphs(1), (2), and(3),
andthecurrentfiscalyear’sactualpropertytaxdollarscertifiedforlevyunderthissubsection
shallalsoincludepropertytaxdollaramountsleviedbythecityundertheprovisionsspecified
in paragraph “b”, subparagraphs (1), (2), and (3).
(b) (i) In addition to the limitation under subparagraph (2), if the city’s actual levy rate
imposed under this subsection for the current fiscal year is eight dollars and ten cents or
less per thousand dollars of assessed value and the total assessed value used to calculate
taxes under this paragraph for the budget year exceeds one hundred four percent, but is
less than one hundred six percent, of the total assessed value used to calculate taxes under
this subsection for the current fiscal year, the levy rate imposed under this paragraph for
the budget year shall not exceed a rate per thousand dollars of assessed value that is equal
to one thousand multiplied by the quotient of the current fiscal year’s actual property tax
dollars certified for levy under this subsection divided by one hundred two percent of the
total assessed value used to calculate taxes under this subsection for the current fiscal year.
(ii) For the budget year beginning July 1, 2024, only, the city’s actual levy rate imposed
under this subsection for the current fiscal year shall also include the sum of the amounts per
thousanddollarsofassessedvaluespecifiedinparagraph“b”, subparagraphs(1), (2), and(3),
andthecurrentfiscalyear’sactualpropertytaxdollarscertifiedforlevyunderthissubsection
shallalsoincludepropertytaxdollaramountsleviedbythecityundertheprovisionsspecified
in paragraph “b”, subparagraphs (1), (2), and (3).
(c) (i) In addition to the limitation under subparagraph (2), if the city’s actual levy rate
imposed under this subsection for the current fiscal year is eight dollars and ten cents or less
per thousand dollars of assessed value and the total assessed value used to calculate taxes
underthisparagraphforthebudgetyearisequaltoorexceedsonehundredsixpercentofthe
total assessed value used to calculate taxes under this subsection for the current fiscal year,
the levy rate imposed under this paragraph for the budget year shall not exceed a rate per
thousand dollars of assessed value that is equal to one thousand multiplied by the quotient
of the current fiscal year’s actual property tax dollars certified for levy under this subsection
dividedbyonehundredthreepercentofthetotalassessedvalueusedtocalculatetaxesunder
this subsection for the current fiscal year.
(ii) For the budget year beginning July 1, 2024, only, the city’s actual levy rate imposed
under this subsection for the current fiscal year shall also include the sum of the amounts per
thousanddollarsofassessedvaluespecifiedinparagraph“b”, subparagraphs(1), (2), and(3),
andthecurrentfiscalyear’sactualpropertytaxdollarscertifiedforlevyunderthissubsection
shallalsoincludepropertytaxdollaramountsleviedbythecityundertheprovisionsspecified
in paragraph “b”, subparagraphs (1), (2), and (3).
(4) Notwithstanding other provisions of this paragraph, if a city’s actual levy rate for the
currentfiscalyeariszerodollarsperthousanddollarsofassessedvalueandthetotalassessed
value used to calculate taxes under this paragraph for the budget year exceeds one hundred
two and seventy-five hundredths percent, the city’s tax levy imposed by this paragraph may
be levied at a rate not to exceed eight dollars and ten cents per thousand dollars of assessed
valuation.
d. For each fiscal year beginning on or after July 1, 2028, a city’s tax levy rate for the
general fund, except for levies authorized in section 384.12, shall not exceed eight dollars
and ten cents per thousand dollars of assessed value used to calculate taxes in any fiscal year.
4. For purposes of this section:
a. “Budget year” is the fiscal year beginning during the calendar year in which a budget
is certified.
b. “Currentfiscalyear”isthefiscalyearendingduringthecalendaryearinwhichabudget
for the budget year is certified.