Senate File 61 SENATE FILE BY WARNSTADT Passed Senate, Date Passed House, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act allowing cities and counties to create enterprise zones 2 near modes of transportation. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1253XS 80 5 tm/cls/14 PAG LIN 1 1 Section 1. Section 15E.192, Code 2003, is amended by 1 2 adding the following new subsection: 1 3 NEW SUBSECTION. 2A. A city or county may create an 1 4 economic development enterprise zone as authorized in this 1 5 division, subject to certification by the department of 1 6 economic development, by designating up to four square miles 1 7 of the city or county for that purpose. In order for an 1 8 enterprise zone to be certified pursuant to this subsection, 1 9 an enterprise zone shall meet the distress criteria provided 1 10 in section 15E.194, subsection 2A. Section 15E.194, 1 11 subsections 1 and 2, shall not apply to an enterprise zone 1 12 certified pursuant to this subsection. 1 13 Sec. 2. Section 15E.194, subsection 2, unnumbered 1 14 paragraph 1, Code 2003, is amended to read as follows: 1 15 An enterprise zone may be designated by a city with a 1 16 population of twenty=four thousand or more which meets at 1 17 least two of the following criteria: 1 18 Sec. 3. Section 15E.194, Code 2003, is amended by adding 1 19 the following new subsection: 1 20 NEW SUBSECTION. 2A. A city or county may designate an 1 21 area of up to four square miles to be an enterprise zone if 1 22 the area includes or is located within one mile of at least 1 23 three of the following: 1 24 a. A commercial service airport. 1 25 b. A barge terminal or a navigable waterway. 1 26 c. Entry to a rail line. 1 27 d. Entry to an interstate highway. 1 28 e. Entry to a commercial and industrial highway network as 1 29 identified pursuant to section 313.2A. 1 30 Sec. 4. Section 15E.194, subsection 3, Code 2003, is 1 31 amended to read as follows: 1 32 3. The department of economic development shall certify 1 33 eligible enterprise zones that meet the requirements of 1 34 subsection 1 upon request by the county,orsubsection 2 upon 1 35 request by the city, or subsection 2A upon request by the 2 1 county or city, as applicable. 2 2 Sec. 5. Section 15E.195, subsections 1 and 2, Code 2003, 2 3 are amended to read as follows: 2 4 1. A county which designates an enterprise zone pursuant 2 5 to section 15E.194, subsection 1 or 2A, and in which an 2 6 eligible enterprise zone is certified shall establish an 2 7 enterprise zone commission to review applications from 2 8 qualified businesses located within or requesting to locate 2 9 within an enterprise zone designated pursuant to section 2 10 15E.194, subsection 1 or 2A, to receive incentives or 2 11 assistance as provided in section 15E.196. The enterprise 2 12 zone commission shall also review applications from qualified 2 13 housing businesses requesting to receive incentives or 2 14 assistance as provided in section 15E.193B. The enterprise 2 15 zone commission shall also review applications from qualified 2 16 development businesses requesting to receive incentives or 2 17 assistance as provided in section 15E.193C. The commission 2 18 shall consist of nine members. Five of these members shall 2 19 consist of one representative of the board of supervisors, one 2 20 member with economic development expertise chosen by the 2 21 department of economic development, one representative of the 2 22 county zoning board, one member of the local community college 2 23 board of directors, and one representative of the local 2 24 workforce development center. These five members shall select 2 25 the remaining four members. If the enterprise zone consists 2 26 of an area meeting the requirements for eligibility for an 2 27 urban or rural enterprise community under Title XIII of the 2 28 federal Omnibus Budget Reconciliation Act of 1993, one of the 2 29 remaining four members shall be a representative of that 2 30 community. A county shall have only one enterprise zone 2 31 commission to review applications for incentives and 2 32 assistance for businesses located within or requesting to 2 33 locate within a certified enterprise zone designated pursuant 2 34 to section 15E.194, subsection 1 or 2A. 2 35 2. A citywith a population of twenty=four thousand or 3 1 morewhich designates an enterprise zone pursuant to section 3 2 15E.194, subsection 2 or 2A, and in which an eligible 3 3 enterprise zone is certified shall establish an enterprise 3 4 zone commission to review applications from qualified 3 5 businesses located within or requesting to locate within an 3 6 enterprise zone to receive incentives or assistance as 3 7 provided in section 15E.196. The enterprise zone commission 3 8 shall review applications from qualified housing businesses 3 9 requesting to receive incentives or assistance as provided in 3 10 section 15E.193B. The enterprise zone commission shall also 3 11 review applications from qualified development businesses 3 12 requesting to receive incentives or assistance as provided in 3 13 section 15E.193C. The commission shall consist of nine 3 14 members. Six of these members shall consist of one 3 15 representative of an international labor organization, one 3 16 member with economic development expertise chosen by the 3 17 department of economic development, one representative of the 3 18 city council, one member of the local community college board 3 19 of directors, one member of the city planning and zoning 3 20 commission, and one representative of the local workforce 3 21 development center. These six members shall select the 3 22 remaining three members. If the enterprise zone consists of 3 23 an area meeting the requirements for eligibility for an urban 3 24 enterprise community under Title XIII of the federal Omnibus 3 25 Budget Reconciliation Act of 1993, one of the remaining three 3 26 members shall be a representative of that community. If a 3 27 city contiguous to the city designating the enterprise zone is 3 28 included in an enterprise zone, a representative of the 3 29 contiguous city, chosen by the city council, shall be a member 3 30 of the commission. A city in which an eligible enterprise 3 31 zone is certified shall have only one enterprise zone 3 32 commission. If a city has established an enterprise zone 3 33 commission prior to July 1, 1998, the city may petition to the 3 34 department of economic development to change the structure of 3 35 the existing commission. 4 1 EXPLANATION 4 2 This bill allows the creation of a new type of enterprise 4 3 zone within the economic development enterprise zone program 4 4 administered by the department of economic development. 4 5 The bill provides that any city or county in the state may 4 6 create an enterprise zone, subject to certification by the 4 7 department, by designating up to four square miles of the city 4 8 or county for that purpose. In order to be certified, the 4 9 area must include or be located within one mile of three of 4 10 the following: a commercial service airport, a barge terminal 4 11 or a navigable waterway, entry to a rail line, entry to an 4 12 interstate highway, or entry to a commercial and industrial 4 13 highway network. 4 14 LSB 1253XS 80 4 15 tm/cls/14