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Gov. Kim Reynolds Reiterates Goal of Lowering Property Taxes in 2026 Legislative Session

Strategic Insights

— 1 min read

Governor Kim Reynolds has reaffirmed her commitment to addressing property taxes in the upcoming 2026 legislative session, which will be her last as governor. In a roundtable discussion with state lawmakers, community members, and business leaders in Dallas Center, Reynolds emphasized the importance of tackling property taxes, citing previous successes in reducing income taxes, unemployment insurance taxes, and other tax burdens. While Reynolds declined to provide specific details on her proposed legislation, she emphasized that "everything is on the table" as she gathers input from local governments, businesses, and taxpayers.

Key Takeaways:

  • Gov. Kim Reynolds has reiterated her goal of lowering property taxes in the 2026 legislative session, which will be her last as governor.
  • Reynolds has previously signed laws capping levy rates for cities and counties, providing new exemptions for property owners, and reducing unemployment insurance taxes, resulting in a $10 billion savings for employers over 10 years.
  • The proposed 2026 legislation will focus on tackling property taxes, building on previous efforts to reduce income taxes and unemployment insurance taxes.
  • State Reps. Carter Nordman and David Young will play key roles in shaping the legislation, with Nordmanchairing the House Ways and Means Committee beginning in 2026.
  • Nordman emphasized the need for local governments to find efficiencies and cut costs to reduce property tax burdens.
  • Previous proposed measures have focused on residential property taxes, but leaders have also discussed changes to commercial property taxes.
  • Reynolds and GOP lawmakers will continue to gather input from local governments, businesses, and taxpayers to inform their proposed legislation.

Statistics:

  • $10 billion: The estimated savings for employers over 10 years as a result of reduced unemployment insurance taxes.
  • 2026: The legislative session during which Gov. Kim Reynolds will propose legislation to tackle property taxes.
  • 45%: The estimated amount of Iowa's property owners who benefit from Iowa's "rollback" system (Source: [1] Iowa Capital Dispatch)
  • 2023: The year in which Gov. Kim Reynolds signed a law capping levy rates for cities and counties and providing new exemptions for property owners.

Sources:

  • [1] Iowa Capital Dispatch: "Gov. Kim Reynolds Signs $100 million Property Tax Cut into Law" (May 4, 2023)
  • [2] Iowa Capital Dispatch: "Iowa Republicans Release Updated Property Tax Legislation" (April 9, 2025)

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