House Study Bill 626 - Introduced HOUSE FILE _____ BY (PROPOSED COMMITTEE ON LOCAL GOVERNMENT BILL BY CHAIRPERSON SCHULTZ) A BILL FOR An Act relating to the period of time for issuing bonds by 1 cities and counties for certain disaster-related purposes 2 and including effective date provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 6126YC (2) 85 md/sc

H.F. _____ Section 1. Section 331.441, subsection 2, paragraph b, 1 subparagraphs (18) and (19), Code 2014, are amended to read as 2 follows: 3 (18) The remediation, restoration, repair, cleanup, 4 replacement, and improvement of property, buildings, equipment, 5 and public facilities that have been damaged by a disaster 6 as defined in section 29C.2 and that are located in an area 7 that the governor has proclaimed a disaster emergency or the 8 president of the United States has declared a major disaster. 9 Bonds issued pursuant to section 331.443 for the purposes 10 specified in this subparagraph shall be issued not later than 11 ten fifteen years after the governor has proclaimed a disaster 12 emergency or the president of the United States has declared a 13 major disaster, whichever is later. 14 (19) The reimbursement of the county’s general fund or 15 other funds of the county for expenditures made related to 16 remediation, restoration, repair, and cleanup of damage caused 17 by a disaster as defined in section 29C.2 , if the damage is 18 located in an area that the governor has proclaimed a disaster 19 emergency or the president of the United States has declared a 20 major disaster. Bonds issued pursuant to section 331.443 for 21 the purposes specified in this subparagraph shall be issued not 22 later than ten fifteen years after the governor has proclaimed 23 a disaster emergency or the president of the United States has 24 declared a major disaster, whichever is later. 25 Sec. 2. Section 384.24, subsection 3, paragraphs w and x, 26 Code 2014, are amended to read as follows: 27 w. The remediation, restoration, repair, cleanup, 28 replacement, and improvement of property, buildings, equipment, 29 and public facilities that have been damaged by a disaster 30 as defined in section 29C.2 and that are located in an area 31 that the governor has proclaimed a disaster emergency or the 32 president of the United States has declared a major disaster. 33 Bonds issued pursuant to section 384.25 for the purposes 34 specified in this paragraph shall be issued not later than ten 35 -1- LSB 6126YC (2) 85 md/sc 1/ 3

H.F. _____ fifteen years after the governor has proclaimed a disaster 1 emergency or the president of the United States has declared a 2 major disaster, whichever is later. 3 x. The reimbursement of the city’s general fund or other 4 funds of the city for expenditures made related to remediation, 5 restoration, repair, and cleanup of damage caused by a disaster 6 as defined in section 29C.2 , if the damage is located in an 7 area that the governor has proclaimed a disaster emergency 8 or the president of the United States has declared a major 9 disaster. Bonds issued pursuant to section 384.25 for the 10 purposes specified in this paragraph shall be issued not later 11 than ten fifteen years after the governor has proclaimed a 12 disaster emergency or the president of the United States has 13 declared a major disaster, whichever is later. 14 Sec. 3. EFFECTIVE UPON ENACTMENT. This Act, being deemed of 15 immediate importance, takes effect upon enactment. 16 EXPLANATION 17 The inclusion of this explanation does not constitute agreement with 18 the explanation’s substance by the members of the general assembly. 19 Current Code sections 331.441 and 384.24 define “essential 20 county purpose” and “essential corporate purpose” to include 21 the remediation, restoration, repair, cleanup, replacement, 22 and improvement of property, buildings, equipment, and public 23 facilities that have been damaged by a disaster and that are 24 located in a declared disaster area and the reimbursement 25 of the county or city’s general fund or other funds for 26 expenditures made related to remediation, restoration, repair, 27 and cleanup of damage caused by a disaster if the damage is 28 located in a declared disaster area. Current law requires that 29 the essential county purpose bonds or the essential corporate 30 purpose bonds issued for these disaster-related purposes 31 be issued not later than 10 years after the governor has 32 proclaimed a disaster emergency or the President of the United 33 States has declared a major disaster, whichever is later. This 34 bill changes the limitation on the period of time for the 35 -2- LSB 6126YC (2) 85 md/sc 2/ 3

H.F. _____ issuance of the bonds from 10 years to 15 years. 1 The bill takes effect upon enactment. 2 -3- LSB 6126YC (2) 85 md/sc 3/ 3