A key lawmaker says there’s common ground among his fellow Republicans when it comes to establishing a two percent cap on property tax growth in Iowa, but Senator Dan Dawson says the legislature should adopt the Senate Republicans’ approach that also would allow additional growth if there’s a spike in inflation.
Dawson, a Republican from Council Bluffs, is chairman of the Senate Ways and Means Committee. He describes the Senate GOP’s limitation as a soft cap with an inflation lever that will last for the long term.
Republicans, who control a majority of seats in the legislature, have indicated a property tax relief package is a top priority this year. Governor Reynolds said earlier this week she was confident a deal would be struck before lawmakers adjourn the 2026 legislative session this spring. House Democrats like Representative Dave Jacoby of Coralville have suggested a four percent limit on tax growth on each residential property, along with immediate rebates of a thousand dollars for every Iowa homeowner and five hundred dollars for each renter.
Jacoby and Dawson made their comments during an appearance on Iowa Press on Iowa PBS.