Chickasaw County Board of Review v. Property Assessment Appeal Board; and Growmark, Inc

── Chickasaw County Board of Review v. Property Assessment Appeal Board; and Growmark, Inc ── Court: Supreme Court of Iowa Date: June 05, 2026 Category: General In the Iowa Supreme Court No. 25–1002 Submitted February 18, 2026—Filed June 5, 2026 Chickasaw County Board of Review, Appellant, vs. Property Assessment Appeal Board, Appellee, and Growmark, Inc., Intervenor-Appellee. Appeal from the Iowa District Court for Chickasaw County, Alan Heavens, judge. Chickasaw County Board of Review appeals the classification of propane tanks as nontaxable equipment under Iowa Code section 427A.1. Affirmed. Oxley, J., delivered the opinion of the court, in which all justices joined. Jamie L. Cox (argued) of Willson & Pechacek, P.L.C., Council Bluffs, for appellant. Jessica Braunschweig-Norris, General Counsel, and Bradley O. Hopkins (argued), Assistant General Counsel, of Iowa Property Assessment Appeal Board, for appellee. Jenna L. Wheeler (argued), Deborah M. Tharnish, and Sarah K. Franklin of Dentons Davis Brown PC, Des Moines, for intervenor.  2 Timothy N. Lillwitz and Benjamin J. Kenkel of Dickinson, Bradshaw, Fowler & Hagen P.C., Des Moines, for amicus curiae FUELIowa.  3 Oxley, Justice. Growmark, Inc. owns eleven 90,000-gallon propane fuel tanks located at the company’s New Hampton fuel terminal. The Chickasaw County assessor valued those eleven tanks at nearly $2 million and included that value in its final assessment of the property—a decision the Chickasaw County Board of Review (Board of Review) affirmed. The Board of Review concluded that the propane tanks were taxable real property, classifying them as “improvements” under Iowa Code section 427A.1(1)(c) (2023). Growmark appealed that decision to the Property Assessment Appeal Board (PAAB), where the Board of Review’s decision was reversed. The PAAB determined that the propane tanks were unattached “equipment” and therefore not taxable under section 427A.1(1)(d). As discussed below, we agree with the PAAB that Growmark’s propane tanks are unattached equipment and not taxable as real property. I. Factual Background & Proceedings. The facts underlying this case are fairly straightforward. Growmark is an agricultural cooperative. It provides various products and services to retailers, businesses, and customers throughout the United States and Canada. As a part of its business operations, Growmark manages a fuel terminal in New Hampton that serves as a distribution site. It purchased the site in December 2016 for $2 million, which included eleven 90,000-gallon propane fuel tanks. Growmark has several other distribution sites across the state. The tanks store propane until the propane is loaded onto trucks and delivered to Growmark’s customers, most of whom are local farmers. The tanks sit on top of concrete “saddles,” or piers, which serve as foundations for the tanks. The tanks are held in place by gravity alone; they are not fastened or  4 otherwise attached to the saddles. The tanks can be moved from one property to another if needed, but they have sat on the New Hampton site since 1977. A. Growmark Challenges the Tanks’ Assessment. In 2023, the Chickasaw County assessor performed an assessment of Growmark’s New Hampton location for purposes of property taxes. The assessor valued the eleven propane tanks at $1,959,500 and incorporated that value in its final assessment of the New Hampton taxable property. Growmark filed a petition with the Board of Review claiming that the value of the tanks should have been excluded from the assessment. Growma