In the 1906 case of Home Savings Bank v. City of Des Moines, the U.S. Supreme Court ruled in favor of Home Savings Bank, overturning a decision by the Iowa Supreme Court that allowed for special tax assessments on property owners to fund public improvements. The bank had argued that this was an unconstitutional taking without due process under the Fourteenth Amendment because it disproportionately affected them as they owned several properties within these districts. The court agreed with their argument and held that such taxation violated equal protection laws since it unfairly burdened certain property owners over others based on location rather than value or usage of services provided by those improvements.

In the dissenting opinion for Home Savings Bank v. City of Des Moines, Justice Harlan argued that the majority's decision was inconsistent with previous rulings and violated principles of justice. He contended that it was unjust to allow a city to tax property owners for improvements from which they derived no special benefit. The dissent also highlighted an inconsistency in allowing cities to levy taxes on properties based on their proximity to public improvements while simultaneously denying these same properties any claim of increased value due to said improvements. Furthermore, he disagreed with the majority's interpretation of Iowa law regarding taxation powers and believed it contradicted established legal precedents about municipal authority over local assessments. Ultimately, Justice Harlan felt this ruling unfairly burdened property owners without providing them sufficient benefits or protections in return.