What House File 773 does is put a “soft cap” on the rate of growth at 2 percent on property taxes. It will pit services against people by making it mandatory that IPERS is paid out of the general fund.
It is being sold to the public as reducing property taxes. I don’t see how taxes go down when expenses keep rising. At best fees and fines will have to go up to cover the gaps between revenues and expenditures.
What I personally think is going to happen is layoffs and service reductions blamed on needing to fund IPERS. IPERS payments are required under Iowa Code, but many services that residents enjoy and expect are not.
Iowa does not need any more layers of bureaucracy. You and your local government can make better decisions than Des Moines. Please tell your representatives to reject this proposal.