The 2023 MBI Legislative Priorities, as approved by the Board of Directors, are as follows:
Property Tax / Tax Reforms
MBI Position: Iowa should take a holistic look at the property tax system in Iowa – both residential and commercial – while ensuring that local governments are property funded for their economic development needs. If TIF is addressed, reforms should be made to strengthen the tool rather than diminish its effectiveness.
The House and Senate agreed on a bi-partisan compromise piece of legislation that does a number of things. We supported the bill in the end. The bill limits how much cities and counties can take in each year, established a new formula that requires local governments to use a portion of excess growth to reduce property tax levies, consolidates 15 individual tax levies into one general services levy and caps it at $8.10 per $1,000 in taxable value, caps the county general services levy at $3.50 per $1,000 in taxable value and county rural services levy at $3.95 per $1,000 in taxable value, provides a new $6,500 homestead property tax exemption for seniors, doubles a property tax exemption for veterans to $4,000, changes bond election dates to November every year and also allows cities and counties a higher threshold before triggering a bond election.
Sales Tax for Sister Companies
MBI Position: supports legislation that would ensure continuity in treating controlled entity groups avoiding instances of being double taxed.
The House passed our bill 94-0 with 6 abstentions. The Senate did not take up our bill, but we hope they will next year.
Economic Development Programs
MBI Position: Support the State of Iowa’s efforts to build our communities with effective economic development tools while looking at ways to inject private investment into vertical public infrastructure needs.
MBI had registered in support of IEDA’s MEGA site bill. This bill did not pass in the end.
MBI Position: RIIF monies are needed for infrastructure purposes and should not be diverted for non-infrastructure related needs.
We finished session with a robust, strong RIIF bill that maintains major maintenance funding, routine maintenance funding, demolition fund money and creates a new Destination Iowa fund for funding vertical infrastructure projects.