HSB 544: Creating an endowment tax on the endowment value of certain Iowa colleges and universities, limited charges relating to certain endowment funds, making appropriations to workforce grant and incentive programs, and making appropriations to supplement tuition grants for high-wage and high-demand jobs

What it does

This bill creates an endowment tax on the endowment value of certain Iowa colleges and universities, limits charges relating to certain endowment funds, makes appropriations to workforce grant and incentive programs, and makes appropriations to supplemental tuition grants for high-wage and high-demand jobs. The bill shall be known as the “Tax the Endowments Act”. The bill imposes an endowment tax annually upon an educational institution’s endowment value in excess of $250 million at the close of the preceding tax year at a rate of percent for tax years beginning on or after January 1, 2027.

House subcommittee · named January 13, 2026

• Rep. Taylor R. Collins (R) · taylor.collins@legis.iowa.gov
• Rep. Timi M. Brown-Powers (D) · timi.brown-powers@legis.iowa.gov
• Rep. Heather Hora (R) · heather.hora@legis.iowa.gov

Lobbying · 1 for, 2 against

For: Iowa Integrated Health Planning and Advisory Council

Against: Iowa Association of Independent Colleges and Universities; NAACP, National Association for the Advancement of Colored People, Iowa-Nebraska

In plain words

1. January 13, 2026Filed in the House and sent to the Higher Education committee
2. January 13, 2026House subcommittee named: Collins, Brown-Powers and Hora
3. January 22, 2026Subcommittee recommended passing it
4. January 28, 2026Approved by the House committee
5. January 28, 2026Committee vote: 6–4
6. January 30, 2026Approved by the House committee, and given a new number: HF 2240