Senate Study Bill 3198 - Introduced
SENATE FILE _____
BY (PROPOSED COMMITTEE ON
APPROPRIATIONS BILL BY
CHAIRPERSON KRAAYENBRINK)
A BILL FOR
1 An Act relating to and making appropriations for the economic
2 development of the state, including to the economic
3 development authority, the Iowa finance authority, the
4 public employment relations board, the department of
5 workforce development, and the state board of regents and
6 certain regents institutions.
7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
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1 Section 1. GOALS AND ACCOUNTABILITY —— ECONOMIC
2 DEVELOPMENT.
3 1. For the fiscal year beginning July 1, 2024, the goals
4 for the economic development authority shall be to expand and
5 stimulate the state economy, increase the wealth of Iowans, and
6 increase the population of the state.
7 2. To achieve the goals in subsection 1, the economic
8 development authority shall do all of the following for the
9 fiscal year beginning July 1, 2024:
10 a. Concentrate its efforts on programs and activities that
11 result in commercially viable products and services.
12 b. Adopt practices and services consistent with free
13 market, private sector philosophies.
14 c. Ensure economic growth and development throughout the
15 state.
16 d. Work with businesses and communities to continually
17 improve the economic development climate along with the
18 economic well-being and quality of life for Iowans.
19 e. Coordinate with other state agencies to ensure that they
20 are attentive to the needs of an entrepreneurial culture.
21 f. Establish a strong and aggressive marketing image to
22 showcase Iowa’s workforce, existing industry, and potential.
23 A priority shall be placed on recruiting new businesses,
24 business expansion, and retaining existing Iowa businesses.
25 Emphasis shall be placed on entrepreneurial development through
26 helping entrepreneurs secure capital, and developing networks
27 and a business climate conducive to entrepreneurs and small
28 businesses.
29 g. Encourage the development of communities and quality of
30 life to foster economic growth.
31 h. Prepare communities for future growth and development
32 through development, expansion, and modernization of
33 infrastructure.
34 i. Develop public-private partnerships with Iowa businesses
35 in the tourism industry, Iowa tour groups, Iowa tourism
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1 organizations, and political subdivisions in this state to
2 assist in the development of advertising efforts.
3 j. Develop, to the fullest extent possible, cooperative
4 efforts for advertising with contributions from other sources.
5 Sec. 2. ECONOMIC DEVELOPMENT AUTHORITY.
6 1. APPROPRIATION
7 a. There is appropriated from the general fund of the state
8 to the economic development authority for the fiscal year
9 beginning July 1, 2024, and ending June 30, 2025, the following
10 amount, or so much thereof as is necessary, to be used for the
11 purposes designated in this subsection, and for not more than
12 the following full-time equivalent positions:
13 .................................................. $ 12,921,510
14 ............................................... FTEs 112.50
15 b. (1) For salaries, support, miscellaneous purposes,
16 programs, marketing, and the maintenance of an administration
17 division, a business development division, a community
18 development division, a small business development division,
19 and other divisions the authority may organize.
20 (2) For business development operations and programs,
21 international trade, export assistance, workforce recruitment,
22 and the partner state program.
23 (3) For transfer to a fund created pursuant to section
24 15.313 for purposes of financing strategic infrastructure
25 projects.
26 (4) For community economic development programs, tourism
27 operations, community assistance, plans for Iowa green corps
28 and summer youth programs, the main street and rural main
29 street programs, the school-to-career program, the community
30 development block grant, and housing and shelter-related
31 programs.
32 (5) For achieving the goals and accountability, and
33 fulfilling the requirements and duties required under this Act.
34 (6) The full-time equivalent positions authorized under
35 this section are funded, in whole or in part, by the moneys
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1 appropriated under this subsection or by other moneys received
2 by the authority, including certain federal moneys.
3 c. Notwithstanding section 8.33, moneys appropriated in
4 this subsection that remain unencumbered or unobligated at the
5 close of the fiscal year shall not revert but shall remain
6 available for expenditure for the purposes designated in this
7 subsection until the close of the succeeding fiscal year.
8 2. FINANCIAL ASSISTANCE RESTRICTIONS
9 a. A business creating jobs through moneys appropriated in
10 subsection 1 shall be subject to contract provisions requiring
11 new and retained jobs to be filled by individuals who are
12 citizens of the United States who reside within the United
13 States, or any person authorized to work in the United States
14 pursuant to federal law, including legal resident aliens
15 residing in the United States.
16 b. Any vendor who receives moneys appropriated in
17 subsection 1 shall adhere to such contract provisions and
18 provide periodic assurances as the state shall require that the
19 jobs are filled solely by citizens of the United States who
20 reside within the United States, or any person authorized to
21 work in the United States, pursuant to federal law, including
22 legal resident aliens residing in the United States.
23 c. A business that receives financial assistance from
24 the authority from moneys appropriated in subsection 1 shall
25 only employ individuals legally authorized to work in this
26 state. In addition to all other applicable penalties provided
27 by current law, all or a portion of the assistance received
28 by a business which is found to knowingly employ individuals
29 not legally authorized to work in this state is subject to
30 recapture by the authority.
31 3. USES OF APPROPRIATIONS
32 a. From the moneys appropriated in subsection 1, the
33 authority may provide financial assistance in the form of a
34 grant to a community economic development entity for conducting
35 a local workforce recruitment effort designed to recruit former
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1 citizens of the state and former students at colleges and
2 universities in the state to meet the needs of local employers.
3 b. From the moneys appropriated in subsection 1, the
4 authority may provide financial assistance to early stage
5 industry companies being established by women entrepreneurs.
6 c. From the moneys appropriated in subsection 1, the
7 authority may provide financial assistance in the form of
8 grants, loans, or forgivable loans for advanced research and
9 commercialization projects involving value-added agriculture,
10 advanced technology, or biotechnology.
11 d. The authority shall not use any moneys appropriated in
12 subsection 1 for purposes of providing financial assistance for
13 the Iowa green streets pilot project or for any other program
14 or project that involves the installation of geothermal systems
15 for melting snow and ice from streets or sidewalks.
16 4. WORLD FOOD PRIZE
17 In lieu of the standing appropriation in section 15.368,
18 there is appropriated from the general fund of the state to the
19 economic development authority for the fiscal year beginning
20 July 1, 2024, and ending June 30, 2025, the following amount
21 for the world food prize:
22 .................................................. $ 500,000
23 5. COUNCILS OF GOVERNMENTS —— ASSISTANCE
24 There is appropriated from the general fund of the state
25 to the economic development authority for the fiscal year
26 beginning July 1, 2024, and ending June 30, 2025, the following
27 amount to be used for the purposes of providing financial
28 assistance to Iowa’s councils of governments:
29 .................................................. $ 250,000
30 6. TOURISM OFFICE
31 a. There is appropriated from the general fund of the state
32 to the economic development authority for the fiscal year
33 beginning July 1, 2024, and ending June 30, 2025, the following
34 amount for the tourism office to be used for advertising,
35 promoting, placement, and implementation of the economic
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1 development authority’s strategic plan for tourism and travel:
2 .................................................. $ 1,100,000
3 b. Notwithstanding section 8.33, moneys appropriated in
4 this subsection that remain unencumbered or unobligated at the
5 close of the fiscal year shall not revert but shall remain
6 available for expenditure for the purposes designated until the
7 close of the succeeding fiscal year.
8 c. The economic development authority shall submit an
9 annual report on or before January 15 to the general assembly
10 regarding the tourism office’s activities funded with moneys
11 appropriated under this subsection. The report shall be
12 provided in an electronic format and shall include metrics
13 and criteria that allow the general assembly to quantify
14 and evaluate the effectiveness and economic impact of the
15 tourism office’s activities related to advertising, promoting,
16 placement, and implementation of the economic development
17 authority’s strategic plan for tourism and travel.
18 7. CULTURAL AFFAIRS ACTIVITIES
19 a. There is appropriated from the general fund of the state
20 to the economic development authority for the fiscal year
21 beginning July 1, 2024, and ending June 30, 2025, the following
22 amounts, or so much thereof as is necessary, to be used for the
23 purposes designated:
24 (1) For planning and programming for the community cultural
25 grants program established under section 15.436:
26 .................................................. $ 172,090
27 (2) For support of the Iowa arts council:
28 .................................................. $ 1,400,000
29 Of the moneys appropriated in this subparagraph, the
30 authority shall allocate $300,000 for purposes of the film
31 office.
32 (3) For the Iowa great places program established under
33 section 15.439:
34 .................................................. $ 149,710
35 (4) For grant programs administered by the Iowa arts
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1 council including those programs supporting the long-term
2 financial stability and sustainability of nonprofit cultural
3 organizations:
4 .................................................. $ 150,000
5 b. 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 until the
9 close of the succeeding fiscal year.
10 Sec. 3. LIMITATIONS OF STANDING APPROPRIATIONS —— FY
11 2024-2025. Notwithstanding the standing appropriations
12 in the following designated sections for the fiscal year
13 beginning July 1, 2024, and ending June 30, 2025, the amounts
14 appropriated from the general fund of the state pursuant to
15 those sections for the following purposes shall not exceed the
16 following amounts:
17 1. For operational support grants and community cultural
18 grants under section 99F.11, subsection 4, paragraph “d”,
19 subparagraph (1):
20 .................................................. $ 448,403
21 2. For the purposes of regional tourism marketing under
22 section 99F.11, subsection 4, paragraph “d”, subparagraph (2):
23 .................................................. $ 1,443,700
24 Sec. 4. FINANCIAL ASSISTANCE REPORTING —— ECONOMIC
25 DEVELOPMENT AUTHORITY. The economic development authority
26 shall submit an annual report to the general assembly no later
27 than November 1, 2024, that details the amount of every direct
28 loan, forgivable loan, tax credit, tax exemption, tax refund,
29 grant, or any other financial assistance awarded to a person
30 during the prior fiscal year by the authority under an economic
31 development program administered by the authority. The report
32 shall identify the county where the project associated with
33 each such award is located.
34 Sec. 5. INSURANCE ECONOMIC DEVELOPMENT. From the moneys
35 collected by the insurance division of the department of
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1 insurance and financial services in excess of the anticipated
2 gross revenues under section 505.7, subsection 3, during
3 the fiscal year beginning July 1, 2024, $100,000 shall be
4 transferred to the economic development authority for insurance
5 economic development and international insurance economic
6 development.
7 Sec. 6. IOWA FINANCE AUTHORITY.
8 1. There is appropriated from the general fund of the state
9 to the Iowa finance authority for the fiscal year beginning
10 July 1, 2024, and ending June 30, 2025, the following amounts,
11 or so much thereof as is necessary, to be used for the purposes
12 designated:
13 a. Rent subsidy program
14 (1) To provide reimbursement for rent expenses to eligible
15 persons under the home and community-based services rent
16 subsidy program established in section 16.55:
17 .................................................. $ 873,000
18 (2) Of the moneys appropriated in this paragraph, not more
19 than $35,000 may be used for administrative costs.
20 b. Housing renewal pilot program
21 To provide housing renewal moneys to a nonprofit Iowa
22 affiliate to award grants to eligible communities for a housing
23 renewal pilot program:
24 .................................................. $ 500,000
25 2. Notwithstanding section 8.33, moneys appropriated in
26 this section that remain unencumbered or unobligated at the
27 close of the fiscal year shall not revert but shall remain
28 available for expenditure for the purposes designated until the
29 close of the succeeding fiscal year.
30 Sec. 7. IOWA FINANCE AUTHORITY AUDIT. The auditor of state
31 is requested to review the audit of the Iowa finance authority
32 performed by the auditor hired by the authority.
33 Sec. 8. PUBLIC EMPLOYMENT RELATIONS BOARD.
34 1. There is appropriated from the general fund of the state
35 to the public employment relations board for the fiscal year
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1 beginning July 1, 2024, and ending June 30, 2025, the following
2 amount, or so much thereof as is necessary, to be used for the
3 purposes designated:
4 For salaries, support, maintenance, and miscellaneous
5 purposes, and for not more than the following full-time
6 equivalent positions:
7 .................................................. $ 1,290,230
8 ............................................... FTEs 9.00
9 2. Of the moneys appropriated in this section, the board
10 shall allocate $15,000 for maintaining an internet site that
11 allows access to a searchable database of collective bargaining
12 information.
13 Sec. 9. DEPARTMENT OF WORKFORCE DEVELOPMENT. There
14 is appropriated from the general fund of the state to the
15 department of workforce development for the fiscal year
16 beginning July 1, 2024, and ending June 30, 2025, the following
17 amounts, or so much thereof as is necessary, to be used for the
18 purposes designated:
19 1. WORKFORCE DEVELOPMENT OPERATIONS
20 a. For the operation of field offices and the workforce
21 development board, and for not more than the following
22 full-time equivalent positions:
23 .................................................. $ 6,902,636
24 ............................................... FTEs 166.41
25 b. Of the moneys appropriated in paragraph “a”, the
26 department shall allocate $150,000 to the state library for the
27 purpose of licensing an online resource which prepar