§ 441.73 — Litigation expense fund

Iowa § 441.73

• Jurisdiction: Iowa
• Title X: FINANCIAL RESOURCES
• Ch. 441: ASSESSMENT AND VALUATION OF PROPERTY

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1. A litigation expense fund is created in the state treasury. The litigation expense fund
shall be used for the payment of litigation expenses incurred by the state to defend property
valuationsestablishedbythedirectorofrevenuepursuanttosection428.24andchapters434,
437, 437A, 437B, and 438, and for the payment of litigation expenses incurred by the state
to defend the imposition of replacement taxes and statewide property taxes under chapters
437A and 437B.
2. If the director of revenue determines that foreseeable litigation expenses will exceed
the amount available from appropriations made to the department of revenue, the director
of revenue may apply to the executive council for use of funds on deposit in the litigation
expense fund. The initial application for approval shall include an estimate of potential
litigation expenses, allocated to each of the next four succeeding calendar quarters and
substantiated by a breakdown of all anticipated costs for legal counsel, expert witnesses,
and other applicable litigation expenses.
3. The executive council may approve expenditures from the litigation expense fund on
a quarterly basis. Prior to each quarter, the director of revenue shall report to the executive
council and give a full accounting of actual litigation expenses to date as well as estimated
litigation expenses for the remaining calendar quarters of the fiscal year. The executive
council may adjust quarterly expenditures from the litigation expense fund based on this
information.
4. The executive council shall transfer for the fiscal year beginning July 1, 1992, and
each fiscal year thereafter, from funds established in sections 425.1 and 426.1, an amount
necessary to pay litigation expenses. The amount of the fund for each fiscal year shall not
exceed seven hundred thousand dollars. The executive council shall determine annually the
proportionate amounts to be transferred from the two separate funds. At any time when no
litigation is pending or in progress the balance in the litigation expense fund shall not exceed

one hundred thousand dollars. Any excess moneys shall be transferred in a proportionate
amount back to the funds from which they were originally transferred.