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Bill > HF1051
IA HF1051
IA HF1051A bill for an act authorizing cities to establish self-supported tourism improvement districts.(Formerly HF 760, HF 38.)
summary
Introduced
05/13/2025
05/13/2025
In Committee
05/15/2025
05/15/2025
Crossed Over
Passed
Dead
Introduced Session
91st General Assembly
Bill Summary
This bill authorizes a self-supported tourism improvement district (district). The bill allows a levy (assessment) upon lodging businesses for the purpose of acquiring, constructing, installing, or maintaining improvements and providing activities that will provide certain benefits to lodging businesses located within the district. The bill defines “activities” to include promotion of public events, promotion of tourism within the district, promotion of business activities, marketing, workforce development, and other related services. The district is created by action of the local governing body where the district is located. The bill establishes specific criteria including a map of the area that would comprise the district, the rate and structure of the assessment, and the expiration of the district. The assessments shall be assessed on the basis of the estimated benefit to the lodging business within the district. A protest of a district plan may be made by any interested person, and the bill specifies procedures for when a protest is made by a person. If the lodging business owners or their authorized representatives within the proposed district that collectively represent more than 50 percent or more of the assessments to be paid file a written objection, the bill establishes procedures for when such an objection is made. The bill allows a local governing body to modify the district, and establishes procedures for renewal of a district set to expire. The bill allows a local governing body to issue bonds by resolution to finance the estimated costs of the proposed improvements in the district. The bill requires the authorized representative of the district to file an annual report with the governing body establishing the district. The local governing body may repeal the existence of the district based upon law violations or malfeasance, if no indebtedness exists, and proper notification has been provided.
AI Summary
This bill authorizes cities, counties, and townships to establish self-supported tourism improvement districts (SSTIDs), which are special zones where lodging businesses can be assessed a fee to fund tourism-related activities and improvements. The bill defines these activities broadly, including promoting public events, tourism, business activities, marketing, workforce development, and other services that benefit lodging businesses. Local governing bodies can create these districts by adopting an ordinance after holding a public hearing and obtaining support from lodging business owners who will pay at least 50 percent of the proposed assessments. The assessment can be structured in various ways, such as a fixed amount, percentage of sales, or rate per transaction, and must be based on the estimated benefit to lodging businesses. The district can have a maximum initial term of ten years, which can be extended to twenty years upon renewal, and can issue bonds to finance improvements. An owners' association will administer the district's activities, and must file annual reports detailing expenditures and activities. The bill also provides mechanisms for modifying, renewing, and potentially repealing the district, with protections to ensure transparency and accountability. Notably, the bill requires that tourism funding from these districts be supplemental to existing funding and cannot replace current tourism promotion budgets.
Committee Categories
Budget and Finance, Government Affairs
Sponsors (0)
No sponsors listed
Other Sponsors (1)
Ways and Means (House)
Last Action
Rereferred to Local Government. H.J. 1222. (on 05/15/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.legis.iowa.gov/legislation/BillBook?ga=91&ba=HF1051 |
| BillText | https://www.legis.iowa.gov/docs/publications/LGI/91/attachments/HF1051.html |
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