The National Federation of Independent Business (NFIB) has unveiled its 2026 Iowa Legislative Priorities, focused on creating a fairer, more competitive environment for small businesses across the state.

1. Property Tax Reform

Iowa’s property taxes have increased by more than 150% over the past two decades, placing an ever-growing burden on small businesses.

Runaway city and county budget growth and an uneven system of tax exemptions have created an unbalanced and unsustainable property tax environment.

NFIB urges legislators to:

– Freeze and cap local government spending.

– Review and limit property tax exemptions.

– Establish a fair, balanced tax structure for all taxpayers.

These reforms are critical to making Iowa a more affordable and competitive place to own and operate a small business.

2. Two-Thirds Constitutional Amendment to Raise Taxes

To ensure long-term certainty and taxpayer protection, NFIB supports a constitutional amendment requiring a two-thirds vote in both the Iowa House and Senate to raise state taxes.

If passed by the Legislature in 2026, the measure will appear on the 2026 General Election ballot, allowing voters to decide whether to add it to the state constitution.

This amendment would help maintain Iowa’s reputation as a low-tax, pro-growth state by requiring broad bipartisan support for any future tax increases.

3. Energy Regulation Reform

Iowa’s current energy monopoly system limits consumer choice and transparency, while small business energy costs continue to rise. As utility company profits climb, small businesses are left struggling with higher bills and fewer options.

NFIB calls on lawmakers to:

– Modernize Iowa’s energy regulation system.

– Increase transparency and accountability from providers.

– Protect small businesses from unchecked rate hikes.

A more competitive and transparent energy market will help ensure small businesses can grow, innovate, and create jobs without being squeezed by rising utility costs.