Certain school districts could raise cash reserve tax levies after major property corrections

A qualifying school district may raise its cash reserve levy above the usual limit. This applies to a district whose taxable value used for 2025–2026 school property taxes was reduced by at least $100 million because of a correction to one property’s value during that school year. The district must reduce one or more other property tax levies by at least the amount of the increase. Total property tax dollars across the district’s levies must stay within its combined limit under Iowa Code section 24.2A. This applies to the school budget year beginning July 1, 2026. The act would take effect upon enactment.