This bill introduces a new fee structure for forest and fruit-tree reservations in Iowa, effective January 1, 2026. Under the new provisions, each acre of land designated as a reservation and exempt from property tax will be subject to an annual fee, which must be paid to the county treasurer by September 1 each year. The fee varies based on the location of the reservation: $2 per acre for reservations in the same county as the owner's homestead, $3 per acre for those in a contiguous county, and a variable rate for other reservations, including those within city limits, determined by a formula calculated by the department of management.

The bill aims to ensure that while property tax exemptions are maintained for these reservations, a fee is collected to support local county funds. The department of management is tasked with calculating the fee for reservations not covered by the fixed rates and will communicate these rates to county treasurers annually by July 1. This new fee structure is designed to balance the benefits of tax exemptions with the need for local funding.