Senate File 170
SENATE FILE
BY LUNDBY, HATCH, DOTZLER, DVORSKY,
BOLKCOM, BLACK, RAGAN, KIBBIE,
SENG, DEARDEN, COURTNEY, KREIMAN,
BEALL, QUIRMBACH, HOLVECK, and
TINSMAN
(COMPANION TO LSB 1618HH BY HUSER)
Passed Senate, Date Passed House, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act creating a housing trust fund and making an appropriation.
2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
3 TLSB 1618ST 80
4 tm/pj/5
PAG LIN
1 1 Section 1. NEW SECTION. 16.181 HOUSING TRUST FUND.
1 2 1. a. A housing trust fund is created within the
1 3 authority. The moneys in the housing trust fund are annually
1 4 appropriated to the authority to be used for the development
1 5 and preservation of affordable housing for low=income people
1 6 in the state. Payment of interest, recaptures of awards, or
1 7 other repayments to the housing trust fund shall be deposited
1 8 in the fund. Notwithstanding section 12C.7, interest or
1 9 earnings on moneys in the housing trust fund or appropriated
1 10 to the fund shall be credited to the fund. Notwithstanding
1 11 section 8.33, unencumbered and unobligated moneys remaining in
1 12 the fund at the close of each fiscal year shall not revert but
1 13 shall remain available for expenditure for the same purposes
1 14 in the succeeding fiscal year.
1 15 b. Assets in the housing trust fund shall consist of all
1 16 of the following:
1 17 (1) On July 1 of each fiscal year, there is appropriated
1 18 to the housing trust fund one million dollars from the rebuild
1 19 Iowa infrastructure fund.
1 20 (2) Any assets received by the authority from the Iowa
1 21 housing corporation.
1 22 (3) Any moneys transferred by the authority for deposit in
1 23 the housing trust fund.
1 24 (4) Any other moneys appropriated by the general assembly
1 25 and any other moneys available to and obtained or accepted by
1 26 the authority for placement in the housing trust fund.
1 27 c. The authority shall create the following accounts
1 28 within the housing trust fund:
1 29 (1) Local housing trust fund account. Sixty percent of
1 30 the assets in the housing trust fund shall be allocated to the
1 31 local housing trust fund account. Any assets remaining in the
1 32 local housing trust fund account on April 1 of each fiscal
1 33 year which have not been awarded to a local housing trust fund
1 34 may be transferred to the project=based housing account at any
1 35 time prior to the end of the fiscal year.
2 1 (2) Project=based housing account. Forty percent of the
2 2 assets in the housing trust fund shall be allocated to the
2 3 project=based housing account.
2 4 2. a. In order to be eligible to apply for funding from
2 5 the local housing trust fund account, a local housing trust
2 6 fund must be approved by the authority and have all of the
2 7 following:
2 8 (1) A local governing board.
2 9 (2) A housing assistance plan approved by the authority.
2 10 (3) Sufficient administrative capacity in regard to
2 11 housing programs.
2 12 (4) A local match requirement approved by the authority.
2 13 b. An award from the local housing trust fund account
2 14 shall be limited to one of the following, whichever is less:
2 15 (1) Ten percent of the total amount of moneys deposited in
2 16 the account for the fiscal year.
2 17 (2) A per capita amount, as determined by the authority,
2 18 of the total amount to be distributed to eligible local
2 19 housing trust funds for the fiscal year.
2 20 c. By December 31 of each year, a local housing trust fund
2 21 receiving moneys from the local housing trust fund account
2 22 shall submit a report to the authority itemizing expenditures
2 23 of the awarded moneys.
2 24 3. In an area where no local housing trust fund exists, a
2 25 person may apply for moneys from the project based housing
2 26 account.
2 27 4. The authority shall adopt rules pursuant to chapter 17A
2 28 necessary to implement this section.
2 29 Sec. 2. FEDERAL HOUSING MONEYS. Any federal moneys
2 30 received by the department of economic development for the
2 31 community development block grant program that are allocated
2 32 for the HOME investment partnership program and for housing
2 33 shall be coordinated with projects within the housing trust
2 34 fund established in section 16.181, if enacted.
2 35 EXPLANATION
3 1 This bill creates a housing trust fund to be administered
3 2 by the Iowa finance authority.
3 3 The bill provides that moneys in the fund shall be used for
3 4 the development and preservation of affordable housing for
3 5 low=income people in the state. The bill provides that assets
3 6 in the housing trust fund shall consist of all of the
3 7 following:
3 8 1. Each fiscal year, $1 million shall be appropriated to
3 9 the housing trust fund from the rebuild Iowa infrastructure
3 10 fund for housing=related purposes under the housing trust
3 11 fund.
3 12 2. Any assets received by the authority from the Iowa
3 13 housing corporation.
3 14 3. Any moneys transferred by the authority for deposit in
3 15 the housing trust fund.
3 16 4. Any other moneys appropriated by the general assembly
3 17 and any other moneys available to and obtained or accepted by
3 18 the authority for placement in the housing trust fund.
3 19 The bill creates a local housing trust fund account and a
3 20 project=based housing account within the housing trust fund.
3 21 The bill provides that 60 percent of the assets in the
3 22 housing trust fund shall be allocated to the local housing
3 23 trust fund account. The bill provides that any assets
3 24 remaining in the local housing trust fund account on April 1
3 25 of each fiscal year which have not been awarded to a local
3 26 housing trust fund may be transferred to the project=based
3 27 housing account at any time prior to the end of the fiscal
3 28 year. The bill provides that, in order to be eligible to
3 29 apply for funding from the local housing trust fund account, a
3 30 local housing trust fund must be approved by the authority and
3 31 have a local governing board, a housing assistance plan
3 32 approved by the authority, sufficient administrative capacity
3 33 in regard to housing programs, and a local match requirement
3 34 approved by the authority. The bill provides that an award
3 35 from the local housing trust fund account shall be limited to
4 1 the lesser of 10 percent of the total amount of moneys
4 2 deposited in the account for the fiscal year or a per capita
4 3 amount, determined by the authority, of the total amount to be
4 4 distributed to eligible local housing trust funds. The bill
4 5 provides an annual reporting requirement for all local housing
4 6 trust funds receiving moneys from the local housing trust fund
4 7 account.
4 8 The bill provides that 40 percent of the assets in the
4 9 housing trust fund shall be allocated to the project=based
4 10 housing account. The bill provides that in an area where no
4 11 local housing trust fund exists, a person may apply for moneys
4 12 from the project=based housing account.
4 13 The bill requires the department of economic development to
4 14 coordinate the use of federal housing moneys with projects
4 15 under the housing trust fund.
4 16 LSB 1618ST 80
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