March 13, 2026

You Need to Know

With the second funnel deadline approaching next week, lawmakers spent much of this week moving bills off the House and Senate floors so they can advance through a subcommittee and full committee in the opposite chamber – the threshold required for bills to remain eligible for further legislative consideration. Next week will likely see limited floor debate, with lawmakers instead focusing on subcommittee and committee work, along with early budget discussions. 

The Governor submitted a handful of budget bills this week and additional proposals are expected as the Legislature moves closer to full budget negotiations following the Revenue Estimating Conference, which met this week outlining the projected health of the state’s budget (see article below).

Finally, the Senate Ways and Means Committee advanced the Senate’s property tax reform proposal out of committee with amendment (summarized below), making it eligible for floor debate. As we have shared previously, more substantive conversations between the House, Senate and Governor’s office will still need to occur before a potential property tax reform package is reached.

League Priority Legislation

Sidewalk liability | SF 2146 & HF 2359

The League’s sidewalk liability priority bill is funnel-proof as it has been passed by the Senate and linked in the House. The League will continue to work to ensure this bill clears the House and is sent to the Governor’s desk.

Digital Public Notices | SSB 3183

Due to its place in the Appropriations Committee, this bill is funnel-proof. The legislation requires Iowa public entities — including state, counties, cities, school districts and qualifying agencies — to post all statutorily required public notices on an online portal managed by the Secretary of State, rather than in newspapers. A $5 fee per posting is collected and deposited into a new Public Notice Administration Fund (capped at $350,000) to fund the portal's administration. Conforming amendments are made throughout Iowa Code to replace newspaper publication requirements with digital posting. Certain exceptions and transition rules apply and disputes about notice publication will be resolved by the Iowa Public Information Board. Physical posting at entity offices is still required.

UPDATE: SF 2434 which previously contained language modernizing the public notification process was amended on the floor, removing the League’s requested bill language. The Government Affairs team will be communicating with members of the House our concerns around the remaining provisions in the amended bill.

Property Taxes

The Senate passed their property tax proposal (SSB 3001) through the Ways & Means Committee with amendment, making it eligible for the floor. The amendment is broken down below, but comments from Senator Dawson in committee indicate that there will be further amendments to his proposal. In addition, the League received commendation for being positively involved in the property tax discussion as we continue to work with the Senate, House and Governor’s office on understanding the impacts of all property tax proposals on Iowa’s communities as negotiations continue.

The Taxpayer Notice Form remains one of the universally appreciated portions of the House property tax bill. The League Government Affairs team is advocating for its inclusion in any combined property tax bill that is negotiated between the Senate, House and Governor’s office.

City Cost Survey — Last Call

Please fill out the Cost Survey for the Government Affairs team detailing the costs of materials and labor on your city budgets. This information is important to help demonstrate how cities are being fiscally responsible in the face of increasing economic headwinds as the property tax discussion continues.

Legislation Signed By the Governor

SF 579 | Local Civil Rights Commissions and Agency Procedures Reform

Limits the authority of local governments to enact civil rights ordinances that are broader or differ from state law. It removes the requirement for certain cities to maintain a civil rights agency, instead making it optional. Several new subsections establish processes for transferring complaints to the Iowa office of civil rights, set commissioner term lengths, require notification to complainants of their right to file with the state and provide transition provisions for pending complaints.

• Signed by Governor March 10; Effective Date March 10
  

Passed One Chamber and Opposite (Sub)Committee

SF 2086 | Elective Junior Firefighter Program for High School Students

Permits Iowa high schools to offer an elective junior firefighter program in partnership with local fire departments, subject to specific agreements and guidelines. The program is designed to prepare students for Firefighter I certification, outlines activities students may and may not perform and establishes that participating students are not considered employees or volunteer firefighters for legal and insurance purposes. Schools offering the program must provide medical and liability insurance coverage for participating students.

League Registered in Support

HF 2618 | Elimination of Smart Planning Principles Guidelines

Repeals Chapter 18B, which contains the Iowa smart planning principles and strikes all references and requirements related to these principles from various sections of the Iowa Code. It removes the obligation for cities and counties to consider or apply smart planning principles in comprehensive development plans, zoning regulations and infrastructure grant applications. Several subsections referencing smart planning are stricken and corresponding statutory cross-references are updated or deleted.

League Registered Undecided

SF 472 | Public Employee Collective Bargaining Retention & Recertification Elections Reform

Revises and expands the process for conducting retention and recertification elections for public employee collective bargaining units. It mandates the employment appeal board to issue a written notice of intent to public employers and bargaining representatives before such elections. Public employers must submit a list of bargaining unit employees within ten days of notice receipt. The board must publish and update a public list of employers that have received notice but have not completed an election, specifying compliance status. If an employer fails to submit the list, any Iowa resident may seek a court-ordered writ of mandamus, with courts required to expedite such cases and award costs and fees to prevailing parties. The board must extend election timelines as needed to accommodate legal proceedings and adopt administrative rules to govern the process.

League Registered Undecided

SF 2376 | Contractor Performance Bond and Letter of Credit Requirements

Requires all general contractors and subcontractors conducting construction business in Iowa to obtain and maintain an annual $50,000 performance bond or irrevocable letter of credit. The bond or letter of credit must be filed with the state and is enforceable by the state or its political subdivisions for the benefit of private parties or political subdivisions harmed by the contractor's nonperformance. The measure prohibits local governments from imposing additional bonding or licensing requirements for private construction, except for work in public rights-of-way. The requirements do not apply to contractors performing work for the state or its political subdivisions. Definitions for 'construction,' 'general contractor,' and 'subcontractor' are provided.

League Registered Undecided

SF 2431 | Township Officers, Trustees and Budgets Reform

Eliminates township trustees and clerks as elected positions, instead requiring county boards of supervisors to appoint three registered voters as township trustees for staggered three-year terms. Trustees will select one among them to serve as secretary each year, performing many former clerk duties. The board of supervisors must appoint three township trustees to serve as countywide fence viewers. Budgets proposed by township trustees now require approval from the board of supervisors and any amendments to township budgets also require such approval. The bill repeals related sections and chapters, terminates all current elected township officials’ terms as of January 1, 2027 and makes conforming amendments throughout the Code. It also removes elective township officials from the definition of employee for IPERS and Social Security purposes.

Passed One Chamber

HF 2623 | Aligning School & City Elections to General Elections

Changes the date of regular school district and city elections from odd-numbered years to even-numbered years, coinciding with the general election. It removes certain restrictions on special election scheduling before and after city or school elections and eliminates prohibitions on holding city or school special elections concurrently with the general election. Transitional provisions extend incumbent terms for alignment. These changes are effective for elections after November 2, 2027.

League Registered Opposed

SF 2284 | ALPRS & Noise Camera Restrictions

Restricts the sharing of images or data from automated traffic detection systems to specified parties, prohibits issuing citations based on automated vehicle noise enforcement systems for noise emitted during braking or deceleration and enhances due process protections for vehicle owners who receive citations from automated systems. It provides procedures for contesting citations and ensures dismissal for owners not operating the vehicle at the time of the violation.

SF 2432 | Transfers City Health Board Powers to County or District Board

Removes the ability of cities in Iowa to establish or maintain city boards of health or city health departments. Instead, cities must provide public health services through their respective county or district boards of health. The bill also creates a new requirement for county boards to enter into agreements with county hospitals to share facilities and resources, with a process for waivers if more cost-effective alternatives exist. Several references to city boards of health are struck from existing law.

League Registered Undecided

SF 2434 | Local REINS Act

Prohibits county and city departments, offices, or subunits from adopting, implementing, or enforcing internal policies or rules unless these have been submitted to, and approved by, the respective governing body via ordinance. Each ordinance must be accompanied by a public cost analysis detailing economic impacts. Exemptions exist for public safety agencies and certain county offices. The bill applies to all relevant policies, rules and ordinances adopted or implemented on or after its effective date.

SF 2438 | City Utilities and Landlord Notification Procedures

Amends procedures for city utilities related to tenant delinquency and landlord notifications. It eliminates the requirement that landlords must first make a written request for notice before being notified of tenant delinquency. Now, landlords will automatically be notified when a tenant is 60 days delinquent and at least 10 days before disconnection of service. It also expands the acceptable forms of written notice by landlords to include online forms, email, mail, or fax for the purposes of securing lien exemption on delinquent utility charges.

League Registered Undecided

SF 2375 | Regulation of Fire Fighting Foam Purchases by Government Entities

Requires the Iowa Department of Administrative Services to create a master contract for the purchase of fire fighting foam that contains the highest amount of soybean-based materials and does not contain perfluoroalkyl or polyfluoroalkyl substances (PFAS) or fluorine components. Additionally, local government entities overseeing fire departments must, by January 1, 2027, pass an ordinance deciding whether to purchase soybean-based fire fighting foam.

League Registered in Support

Passed (Sub)Committee

SSB 3001 | Senate Property Tax Proposal

The below bullets contain amended or new provisions within the Senate property tax proposal. The League will be updating our Property Tax Comparison Tool in the next week with these amendments.

AMENDED

• For seniors with paid off mortgages the age threshold is increased from 60 to 65 years old where they are exempt from non-voter approved “voluntary” levies.

• Increases the cap for the Regional Transit District levy growth from up to 102% to up to 105% flat cap from the immediately previous year’s revenue.

• Explicitly defines "indebtedness" under the new prohibition on using bonds for general operations. It bans using debt or leases for public safety vehicles, maintenance and public works machinery, sanitation equipment, transit vehicles and IT or office equipment. The amendment carves out an exception for software subscription arrangements, as well as "exempt finance leases" if the total principal amount of all finance leases falls under 1.25 percent of the general fund budget.

NEW

• Senior Residents without paid off mortgages receive an up to additional 10% Homestead Exemption based off their age: 60-69 receive 60% exemption, 70-79 receive 70%, 80-89 receive 80%, 90-99 receive 90%, 100+ receive a 100% up to a maximum $350k exemption at each tier.

• Adds a substantial new division clarifying that manufactured homes in land-leased communities will be considered for property tax purposes as if they are located in a mobile home park. It also tightens tax collection by requiring proof that no taxes are owed before a certificate of title or registration receipt can be issued.

Legislation With Scheduled Subcommittees

SF 2438 | City Utilities and Landlord Notification Procedures

See description above.

Subcommittee scheduled for March 16 at 12:45 p.m.

League Registered Undecided

HF 92 | Exclusion of EMS Property Taxes from TIF

Adds property taxes for emergency medical services (EMS), imposed under chapter 422D, to the list of taxes that are not subject to revenue division for urban renewal purposes. As a result, EMS levies will be collected for the full taxing district, regardless of the presence of an urban renewal area, starting with taxes due and payable in fiscal years beginning on or after July 1, 2026.

Subcommittee scheduled for March 17 at noon.

League Registered Undecided

Resources

• Advocacy Toolkits
  

• Property Tax Proposals Comparison
  

• League Legislative Video Library
  

• Sign up to be a Legislative Champion
  

  
  

You can view all editions of Legislative Link at iowaleague.org/resource/legislative-link.

Like our membership, the Iowa League of Cities is a non-partisan, service-oriented organization that does not participate in elections, make campaign contributions, or have a political action committee (PAC).