Senate File 559 - Enrolled
Senate File 559
AN ACT
RELATING TO AND MAKING APPROPRIATIONS FOR THE ECONOMIC
DEVELOPMENT OF THE STATE, INCLUDING TO THE ECONOMIC
DEVELOPMENT AUTHORITY, THE IOWA FINANCE AUTHORITY, THE
PUBLIC EMPLOYMENT RELATIONS BOARD, THE DEPARTMENT OF
WORKFORCE DEVELOPMENT, AND THE STATE BOARD OF REGENTS AND
CERTAIN REGENTS INSTITUTIONS, AND MODIFYING THE HOUSING
RENEWAL PILOT PROGRAM AND PROVISIONS RELATED TO REGIONAL
INDUSTRY SECTOR PARTNERSHIPS, THE APPRENTICESHIP TRAINING
PROGRAM, AND NEW JOBS TRAINING AGREEMENTS.
10 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 DIVISION I
2 FY 2023-2024 APPROPRIATIONS
3 Section 1. GOALS AND ACCOUNTABILITY —— ECONOMIC
4 DEVELOPMENT.
5 1. For the fiscal year beginning July 1, 2023, the goals
6 for the economic development authority shall be to expand and
7 stimulate the state economy, increase the wealth of Iowans, and
8 increase the population of the state.
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9 2. To achieve the goals in subsection 1, the economic
10 development authority shall do all of the following for the
11 fiscal year beginning July 1, 2023:
12 a. Concentrate its efforts on programs and activities that
13 result in commercially viable products and services.
14 b. Adopt practices and services consistent with free
15 market, private sector philosophies.
16 c. Ensure economic growth and development throughout the
17 state.
18 d. Work with businesses and communities to continually
19 improve the economic development climate along with the
20 economic well-being and quality of life for Iowans.
21 e. Coordinate with other state agencies to ensure that they
22 are attentive to the needs of an entrepreneurial culture.
23 f. Establish a strong and aggressive marketing image to
24 showcase Iowa’s workforce, existing industry, and potential.
25 A priority shall be placed on recruiting new businesses,
26 business expansion, and retaining existing Iowa businesses.
27 Emphasis shall be placed on entrepreneurial development through
28 helping entrepreneurs secure capital, and developing networks
29 and a business climate conducive to entrepreneurs and small
30 businesses.
31 g. Encourage the development of communities and quality of
32 life to foster economic growth.
33 h. Prepare communities for future growth and development
34 through development, expansion, and modernization of
35 infrastructure.
1 i. Develop public-private partnerships with Iowa businesses
2 in the tourism industry, Iowa tour groups, Iowa tourism
3 organizations, and political subdivisions in this state to
4 assist in the development of advertising efforts.
5 j. Develop, to the fullest extent possible, cooperative
6 efforts for advertising with contributions from other sources.
7 Sec. 2. ECONOMIC DEVELOPMENT AUTHORITY.
8 1. APPROPRIATION
9 a. There is appropriated from the general fund of the state
10 to the economic development authority for the fiscal year
11 beginning July 1, 2023, and ending June 30, 2024, the following
12 amount, or so much thereof as is necessary, to be used for the
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13 purposes designated in this subsection, and for not more than
14 the following full-time equivalent positions:
15 .................................................. $ 12,807,359
16 ............................................... FTEs 112.50
17 b. (1) For salaries, support, miscellaneous purposes,
18 programs, marketing, and the maintenance of an administration
19 division, a business development division, a community
20 development division, a small business development division,
21 and other divisions the authority may organize.
22 (2) For business development operations and programs,
23 international trade, export assistance, workforce recruitment,
24 and the partner state program.
25 (3) For transfer to a fund created pursuant to section
26 15.313 for purposes of financing strategic infrastructure
27 projects.
28 (4) For community economic development programs, tourism
29 operations, community assistance, plans for Iowa green corps
30 and summer youth programs, the main street and rural main
31 street programs, the school-to-career program, the community
32 development block grant, and housing and shelter-related
33 programs.
34 (5) For achieving the goals and accountability, and
35 fulfilling the requirements and duties required under this Act.
1 (6) The full-time equivalent positions authorized under
2 this section are funded, in whole or in part, by the moneys
3 appropriated under this subsection or by other moneys received
4 by the authority, including certain federal moneys.
5 c. Notwithstanding section 8.33, moneys appropriated in
6 this subsection that remain unencumbered or unobligated at the
7 close of the fiscal year shall not revert but shall remain
8 available for expenditure for the purposes designated in this
9 subsection until the close of the succeeding fiscal year.
10 2. FINANCIAL ASSISTANCE RESTRICTIONS
11 a. A business creating jobs through moneys appropriated in
12 subsection 1 shall be subject to contract provisions requiring
13 new and retained jobs to be filled by individuals who are
14 citizens of the United States who reside within the United
15 States, or any person authorized to work in the United States
16 pursuant to federal law, including legal resident aliens
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17 residing in the United States.
18 b. Any vendor who receives moneys appropriated in
19 subsection 1 shall adhere to such contract provisions and
20 provide periodic assurances as the state shall require that the
21 jobs are filled solely by citizens of the United States who
22 reside within the United States, or any person authorized to
23 work in the United States, pursuant to federal law, including
24 legal resident aliens residing in the United States.
25 c. A business that receives financial assistance from
26 the authority from moneys appropriated in subsection 1 shall
27 only employ individuals legally authorized to work in this
28 state. In addition to all other applicable penalties provided
29 by current law, all or a portion of the assistance received
30 by a business which is found to knowingly employ individuals
31 not legally authorized to work in this state is subject to
32 recapture by the authority.
33 3. USES OF APPROPRIATIONS
34 a. From the moneys appropriated in subsection 1, the
35 authority may provide financial assistance in the form of a
1 grant to a community economic development entity for conducting
2 a local workforce recruitment effort designed to recruit former
3 citizens of the state and former students at colleges and
4 universities in the state to meet the needs of local employers.
5 b. From the moneys appropriated in subsection 1, the
6 authority may provide financial assistance to early stage
7 industry companies being established by women entrepreneurs.
8 c. From the moneys appropriated in subsection 1, the
9 authority may provide financial assistance in the form of
10 grants, loans, or forgivable loans for advanced research and
11 commercialization projects involving value-added agriculture,
12 advanced technology, or biotechnology.
13 d. The authority shall not use any moneys appropriated in
14 subsection 1 for purposes of providing financial assistance for
15 the Iowa green streets pilot project or for any other program
16 or project that involves the installation of geothermal systems
17 for melting snow and ice from streets or sidewalks.
18 4. WORLD FOOD PRIZE
19 In lieu of the standing appropriation in section 15.368,
20 there is appropriated from the general fund of the state to the
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21 economic development authority for the fiscal year beginning
22 July 1, 2023, and ending June 30, 2024, the following amount
23 for the world food prize:
24 .................................................. $ 500,000
25 5. COUNCILS OF GOVERNMENTS —— ASSISTANCE
26 There is appropriated from the general fund of the state
27 to the economic development authority for the fiscal year
28 beginning July 1, 2023, and ending June 30, 2024, the following
29 amount to be used for the purposes of providing financial
30 assistance to Iowa’s councils of governments:
31 .................................................. $ 250,000
32 6. BUTCHERY INNOVATION AND REVITALIZATION PROGRAM
33 a. There is appropriated from the general fund of the state
34 to the economic development authority for the fiscal year
35 beginning July 1, 2023, and ending June 30, 2024, the following
1 amount, or so much thereof as is necessary, to be used for the
2 purposes designated:
3 For support of the butchery innovation and revitalization
4 program established in section 15E.370:
5 .................................................. $ 633,325
6 b. There is appropriated from the Iowa skilled worker and
7 job creation fund created in section 8.75 to the economic
8 development authority for the fiscal year beginning July 1,
9 2023, and ending June 30, 2024, the following amount, or so
10 much thereof as is necessary, to be used for the purposes
11 designated:
12 For support of the butchery innovation and revitalization
13 program established in section 15E.370:
14 .................................................. $ 366,675
15 7. TOURISM OFFICE
16 a. There is appropriated from the general fund of the state
17 to the economic development authority for the fiscal year
18 beginning July 1, 2023, and ending June 30, 2024, the following
19 amount for the tourism office to be used for advertising,
20 promoting, placement, and implementation of the economic
21 development authority’s strategic plan for tourism and travel:
22 .................................................. $ 1,100,000
23 b. Notwithstanding section 8.33, moneys appropriated in
24 this subsection that remain unencumbered or unobligated at the
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25 close of the fiscal year shall not revert but shall remain
26 available for expenditure for the purposes designated until the
27 close of the succeeding fiscal year.
28 c. The economic development authority shall submit an
29 annual report on or before January 15 to the general assembly
30 regarding the tourism office’s activities funded with moneys
31 appropriated under this subsection. The report shall be
32 provided in an electronic format and shall include metrics
33 and criteria that allow the general assembly to quantify
34 and evaluate the effectiveness and economic impact of the
35 tourism office’s activities related to advertising, promoting,
1 placement, and implementation of the economic development
2 authority’s strategic plan for tourism and travel.
3 8. EMPOWER RURAL IOWA
4 a. There is appropriated from the Iowa skilled worker and
5 job creation fund created in section 8.75 to the economic
6 development authority for the fiscal year beginning July 1,
7 2023, and ending June 30, 2024, the following amount, or so
8 much thereof as is necessary, to be used for the purposes
9 designated:
10 Empower rural Iowa program:
11 .................................................. $ 700,000
12 b. Notwithstanding section 8.33, moneys appropriated in
13 this subsection that remain unencumbered or unobligated at the
14 close of the fiscal year shall not revert but shall remain
15 available for expenditure for the purposes designated until the
16 close of the succeeding fiscal year.
17 c. The authority shall adopt rules pursuant to chapter
18 17A to establish criteria for the distribution of the moneys
19 appropriated in this subsection.
20 9. CULTURAL AFFAIRS ACTIVITIES
21 a. There is appropriated from the general fund of the state
22 to the economic development authority for the fiscal year
23 beginning July 1, 2023, and ending June 30, 2024, the following
24 amounts, or so much thereof as is necessary, to be used for the
25 purposes designated:
26 (1) For planning and programming for the community cultural
27 grants program established under section 303.3, as amended by
28 2023 Iowa Acts, Senate File 514:
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29 .................................................. $ 172,090
30 (2) For support of the Iowa arts council:
31 .................................................. $ 1,400,000
32 Of the moneys appropriated in this subparagraph, the
33 authority shall allocate $300,000 for purposes of the film
34 office.
35 (3) For the Iowa great places program established under
1 section 303.3C, as amended by 2023 Iowa Acts, Senate File 514:
2 .................................................. $ 149,710
3 (4) For grant programs administered by the Iowa arts
4 council including those programs supporting the long-term
5 financial stability and sustainability of nonprofit cultural
6 organizations:
7 .................................................. $ 150,000
8 b. Notwithstanding section 8.33, moneys appropriated in
9 this subsection that remain unencumbered or unobligated at the
10 close of the fiscal year shall not revert but shall remain
11 available for expenditure for the purposes designated until the
12 close of the succeeding fiscal year.
13 Sec. 3. LIMITATIONS OF STANDING APPROPRIATIONS —— FY
14 2023-2024. Notwithstanding the standing appropriations
15 in the following designated sections for the fiscal year
16 beginning July 1, 2023, and ending June 30, 2024, the amounts
17 appropriated from the general fund of the state pursuant to
18 those sections for the following purposes shall not exceed the
19 following amounts:
20 1. For operational support grants and community cultural
21 grants under section 99F.11, subsection 4, paragraph “d”,
22 subparagraph (1):
23 .................................................. $ 448,403
24 2. For the purposes of regional tourism marketing under
25 section 99F.11, subsection 4, paragraph “d”, subparagraph (2):
26 .................................................. $ 1,443,700
27 Sec. 4. FINANCIAL ASSISTANCE REPORTING —— ECONOMIC
28 DEVELOPMENT AUTHORITY. The economic development authority
29 shall submit an annual report to the general assembly no later
30 than November 1, 2023, that details the amount of every direct
31 loan, forgivable loan, tax credit, tax exemption, tax refund,
32 grant, or any other financial assistance awarded to a person
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33 during the prior fiscal year by the authority under an economic
34 development program administered by the authority. The report
35 shall identify the county where the project associated with
1 each such award is located.
2 Sec. 5. INSURANCE ECONOMIC DEVELOPMENT. From the
3 moneys collected by the insurance division in excess of the
4 anticipated gross revenues under section 505.7, subsection
5 3, during the fiscal year beginning July 1, 2023, $100,000
6 shall be transferred to the economic development authority for
7 insurance economic development and international insurance
8 economic development.
9 Sec. 6. IOWA FINANCE AUTHORITY.
10 1. There is appropriated from the general fund of the state
11 to the Iowa finance authority for the fiscal year beginning
12 July 1, 2023, and ending June 30, 2024, the following amounts,
13 or so much thereof as is necessary, to be used for the purposes
14 designated:
15 a. Rent subsidy program
16 (1) To provide reimbursement for rent expenses to eligible
17 persons under the home and community-based services rent
18 subsidy program established in section 16.55:
19 .................................................. $ 873,000
20 (2) Of the moneys appropriated in this paragraph, not more
21 than $35,000 may be used for administrative costs.
22 b. Housing renewal pilot program
23 To provide housing renewal moneys to a nonprofit Iowa
24 affiliate to award grants to eligible communities for a housing
25 renewal pilot program:
26 .................................................. $ 500,000
27 2. Notwithstanding section 8.33, moneys appropriated in
28 this section that remain unencumbered or unobligated at the
29 close of the fiscal year shall not revert but shall remain
30 available for expenditure for the purposes designated until the
31 close of the succeeding fiscal year.
32 Sec. 7. IOWA FINANCE AUTHORITY AUDIT. The auditor of state
33 is requested to review the audit of the Iowa finance authority
34 performed by the auditor hired by the authority.
35 Sec. 8. PUBLIC EMPLOYMENT RELATIONS BOARD.
1 1. There is appropriated from the general fund of the state
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2 to the public employment relations board for the fiscal year
3 beginning July 1, 2023, and ending June 30, 2024, the following
4 amount, or so much thereof as is necessary, to be used for the
5 purposes designated:
6 For salaries, support, maintenan