The City of Boone, Iowa

What is a Max Levy Resolution?

Per Iowa Code 384.15A, for budget years beginning on or after July 1, 2020 all city councils in Iowa are required to publish a Notice of Public Hearing showing a side by side comparison of the current years funds compared to the maximum amount of funds the City promises not to exceed when setting the next fiscal year’s budget.  The city is then required to hold a public hearing to allow citizens to voice their concerns or support for the proposed funding, and adopt the Max Levy Resolution prior to the start of setting the budget for the upcoming year.

This Max Levy Resolution establishes the total maximum property tax dollars that may be certified for levy under the following funds that Boone utilizes: the regular General Fund, Liability Insurance Fund, Trust and Agency Fund (includes Police and Fire Retirement, FICA and IPERS, and other employee benefits), and the Emergency Fund (Boone currently does not use the Emergency Fund).  Other funds that falls under the Max Levy Resolution that Boone does not utilize are Contracts for Use of Bridge Fund, Operation of Public Transportation Fund, Civic Center Fund, Sanitary Disposal Project Fund, and the Emergency Management Fund.

The Max Levy Resolution does not include the Debt Service Fund nor does it set the total tax levy that is used to determine property owner’s property taxes for the upcoming year.  What the Max Levy Resolution does do is show what the city’s new taxable valuation is for the upcoming fiscal year compared to the current year’s valuation, and the change in potential revenues received off of the increase or decrease in property valuations at the General Fund max levy of $8.10.