S.F. 2317 Section 1. Section 15.108, subsection 6, paragraph a, Code 1 2014, is amended to read as follows: 2 a. Coordinate and perform the duties specified under the 3 Iowa industrial new jobs training Act in chapter 260E , the 4 Iowa jobs training Act in chapter 260F , and the workforce 5 development fund in section 15.341 . 6 Sec. 2. NEW SECTION . 256.91 Workforce development fund 7 account. 8 A workforce development fund account is established in 9 the office of the treasurer of state under the control of 10 the department. The account shall receive funds pursuant to 11 section 422.16A up to a maximum of eight million dollars per 12 year. 13 Sec. 3. NEW SECTION . 256.92 Workforce development fund. 14 1. a. A workforce development fund is created as a 15 revolving fund in the state treasury under the control of the 16 department consisting of any moneys appropriated by the general 17 assembly for that purpose and any other moneys available to 18 and obtained or accepted by the department from the federal 19 government or private sources for placement in the fund. The 20 fund shall also include moneys appropriated to the fund from 21 the workforce development fund account established in section 22 256.91. 23 b. Notwithstanding section 8.33, moneys in the workforce 24 development fund at the end of each fiscal year shall not 25 revert to any other fund but shall remain in the workforce 26 development fund for expenditure for subsequent fiscal years. 27 2. The assets of the fund shall be used by the department 28 for the following programs and purposes: 29 a. Projects under chapter 260F. 30 b. Apprenticeship programs under chapter 260J. 31 3. Moneys in the workforce development fund shall be 32 allocated as follows: 33 a. Four million dollars shall be transferred and deposited 34 in the job training fund created in section 260F.6 to be used 35 -1- LSB 5292SV (4) 85 ad/rj 1/ 18

S.F. 2317 for the purposes provided in chapter 260F. 1 b. Four million dollars shall be transferred and deposited 2 in the apprenticeship training program fund created in section 3 260J.3 to be used for the purposes provided in chapter 260J. 4 Sec. 4. Section 260C.18A, subsection 2, paragraph b, Code 5 2014, is amended to read as follows: 6 b. Projects in which an agreement between a community 7 college and a business meet all the requirements of the Iowa 8 jobs training Act under chapter 260F . However, projects funded 9 by moneys provided by a local workforce training and economic 10 development fund of a community college are not subject to 11 the maximum advance or award limitations contained in section 12 260F.6, subsection 2 , or the allocation limitations contained 13 in section 260F.8, subsection 1 . 14 Sec. 5. Section 260F.2, subsection 2, Code 2014, is amended 15 by striking the subsection. 16 Sec. 6. Section 260F.2, subsections 4, 5, 10, and 11, Code 17 2014, are amended to read as follows: 18 4. “Date of commencement of the project” means the date of 19 the preliminary signed agreement or the date an application for 20 assistance is received by the authority . 21 5. “Eligible business” or “business” means a business 22 training employees which is engaged in interstate or intrastate 23 commerce for the purpose of manufacturing, processing, or 24 assembling products, conducting research and development, 25 commercial construction, or providing services in interstate 26 commerce including electronic commerce , but excludes retail, 27 health, or professional services and which meets the other 28 criteria established by the authority department . “Eligible 29 business” does not include a business whose training costs can 30 be economically funded under chapter 260E , a business which 31 closes or substantially reduces its employment base in order 32 to relocate substantially the same operation to another area 33 of the state, or a business which is involved in a strike, 34 lockout, or other labor dispute in Iowa. 35 -2- LSB 5292SV (4) 85 ad/rj 2/ 18

S.F. 2317 10. “Program services” includes but is not limited to the 1 following: 2 a. Training of employees. 3 b. Adult basic education and job-related instruction. 4 c. Vocational and skill-assessment services and testing. 5 d. Training facilities, equipment, materials, and supplies. 6 e. Administrative expenses for the jobs training program , in 7 an amount not to exceed five percent of the total project cost . 8 f. Subcontracted services with institutions governed by the 9 state board of regents, private colleges or universities, or 10 other federal, state, or local agencies. 11 g. Contracted or professional services. 12 11. “Project” means a training arrangement which is the 13 subject of an agreement entered into between the community 14 college and a business to provide program services. “Project” 15 also means an authority-sponsored training arrangement which 16 is sponsored by the authority and administered under sections 17 260F.6A and 260F.6B . 18 Sec. 7. Section 260F.2, Code 2014, is amended by adding the 19 following new subsection: 20 NEW SUBSECTION . 4A. “Department” means the department of 21 education. 22 Sec. 8. Section 260F.3, Code 2014, is amended by adding the 23 following new subsections: 24 NEW SUBSECTION . 4A. Type of training to be delivered. 25 NEW SUBSECTION . 4B. Amount of employer match. 26 Sec. 9. NEW SECTION . 260F.4 Financial assistance —— 27 restrictions. 28 1. The maximum award of financial assistance for any one 29 project is fifty thousand dollars. 30 2. A business may be approved for multiple projects, but the 31 total financial assistance award to a business shall not exceed 32 one hundred thousand dollars within a three-year period. 33 3. An award of financial assistance does not include 34 reimbursement to the business for employee wages while the 35 -3- LSB 5292SV (4) 85 ad/rj 3/ 18

S.F. 2317 employee is in training. 1 4. An award of financial assistance is based on the actual 2 cost of services. 3 5. A business’s request for financial assistance shall be 4 commensurate with training needs. 5 6. Community colleges shall provide financial assistance to 6 a business on a reimbursement basis or by directly paying for 7 training expenses from an account administered by the community 8 college. 9 7. a. A business shall provide a cash match or in-kind 10 match in order to be eligible for financial assistance pursuant 11 to this section. 12 b. A business requesting financial assistance of less than 13 five thousand dollars for a program shall provide an in-kind 14 match. 15 c. A business requesting financial assistance of five 16 thousand dollars or more for a program shall provide cash to 17 pay at least twenty-five percent of the total project cost, 18 including training and administration costs. 19 d. An in-kind match includes employee wages paid by 20 the business during the training period, the value of 21 business-provided facilities and equipment used for training, 22 or the value of any other resource provided by the business to 23 facilitate the training program. 24 Sec. 10. NEW SECTION . 260F.5 Community college annual 25 report. 26 1. Each community college shall submit an annual report 27 to the department by September 1 documenting the job training 28 programs funded during the previous fiscal year. 29 2. The report shall address the performance metrics 30 established by the department for the job training program 31 pursuant to section 260F.8. 32 3. The report shall be submitted in a manner and form 33 prescribed by the department. 34 Sec. 11. Section 260F.6, subsection 1, Code 2014, is amended 35 -4- LSB 5292SV (4) 85 ad/rj 4/ 18

S.F. 2317 to read as follows: 1 1. There is established created for the community colleges 2 a job training fund in the economic development authority 3 in the workforce development fund to be administered by 4 the department . The job training fund consists of moneys 5 appropriated for the purposes of this chapter plus the interest 6 and principal from repayment of advances made to businesses 7 for program costs, plus the repayments, including interest, 8 of loans made from that retraining fund, and interest earned 9 from moneys in the job training fund . Moneys in the fund are 10 appropriated to the department for purposes of this chapter. 11 Sec. 12. Section 260F.6, subsections 2 and 3, Code 2014, 12 are amended by striking the subsections and inserting in lieu 13 thereof the following: 14 2. Moneys in the fund shall be allocated pursuant to the 15 formula established in 260C.18C. Any unexpended or unallocated 16 funds remaining in the job training fund allocated for purposes 17 of the business network training program authorized in section 18 260F.6A, Code 2014, as of June 30, 2014, shall be distributed 19 to the community colleges in the manner provided for in 20 subsection 2. 21 3. Notwithstanding section 8.33, moneys in the fund at 22 the close of the fiscal year shall not revert to the general 23 fund of the state but shall remain available for expenditure 24 for the purpose designated for subsequent fiscal years. 25 Notwithstanding section 12C.7, subsection 2, interest or 26 earnings on moneys in the fund shall be credited to the fund. 27 Sec. 13. Section 260F.7, Code 2014, is amended to read as 28 follows: 29 260F.7 Economic development authority Department to 30 coordinate. 31 The economic development authority, in consultation with 32 the department of education and the department of workforce 33 development, shall coordinate the jobs training program. A 34 project shall not be funded under this chapter unless the 35 -5- LSB 5292SV (4) 85 ad/rj 5/ 18

S.F. 2317 economic development authority approves the project. The 1 authority department shall adopt rules pursuant to chapter 2 17A governing the program’s operation and eligibility for 3 participation in the program. The authority department shall 4 establish by rule criteria for determining what constitutes an 5 eligible business. 6 Sec. 14. Section 260F.8, Code 2014, is amended by striking 7 the section and inserting in lieu thereof the following: 8 260F.8 Program assessment, development, and coordination. 9 1. The department shall establish performance metrics for 10 the job training programs funded under this chapter and assess 11 program outcomes on an annual basis. 12 2. The department shall allocate ten percent of the moneys 13 in the job training fund created in section 260F.6 annually to 14 the community colleges pursuant to the formula established in 15 section 260C.18C for the following purposes: 16 a. Outreach to employers by community college business and 17 industry outreach staff. 18 b. Monitoring the performance of training agreements and 19 accountability measures. 20 c. Development of training project and program plans. 21 d. Business development activities. 22 Sec. 15. NEW SECTION . 260J.1 Title. 23 This chapter shall be known and may be cited as the “Iowa 24 Apprenticeship Act” . 25 Sec. 16. NEW SECTION . 260J.2 Definitions. 26 For purposes of this chapter, unless the context otherwise 27 requires: 28 1. “Apprentice” means a person who is at least sixteen 29 years of age, except where a higher minimum age is required by 30 law, who is employed in an apprenticeable occupation, and is 31 registered in Iowa with the United States department of labor, 32 office of apprenticeship. 33 2. “Apprenticeable occupation” means an occupation approved 34 for apprenticeship by the United States department of labor, 35 -6- LSB 5292SV (4) 85 ad/rj 6/ 18

S.F. 2317 office of apprenticeship. 1 3. “Apprenticeship program” means a program registered 2 with the United States department of labor, office of 3 apprenticeship, which includes terms and conditions for the 4 qualification, recruitment, selection, employment, and training 5 of apprentices, including the requirement for a written 6 apprenticeship agreement. 7 4. “Apprenticeship sponsor” means an entity operating 8 an apprenticeship program or an entity in whose name an 9 apprenticeship program is being operated, which is registered 10 with or approved by the United States department of labor, 11 office of apprenticeship. 12 5. “Department” means the department of education. 13 6. “Financial assistance” means assistance provided only 14 from the funds, rights, and assets legally available to the 15 department and includes but is not limited to assistance in the 16 forms of grants, loans, forgivable loans, and royalty payments. 17 7. “Fund” means the apprenticeship training program fund 18 created in section 260J.3. 19 8. “Lead apprenticeship sponsor” means a trade organization, 20 labor organization, employer association, or other incorporated 21 entity representing a group of apprenticeship sponsors. 22 Sec. 17. NEW SECTION . 260J.3 Apprenticeship training 23 program —— fund. 24 1. The department shall establish and administer an 25 apprenticeship training program to provide funding to 26 apprenticeship programs in Iowa. 27 2. An apprenticeship training program fund is created in the 28 state treasury under the control of the department. The moneys 29 in the apprenticeship training program fund are appropriated to 30 the department for the apprenticeship training program from the 31 workforce development fund created in section 256.92. 32 3. Moneys in the fund are appropriated to the department for 33 purposes of providing financial assistance for apprenticeship 34 training pursuant to this chapter. 35 -7- LSB 5292SV (4) 85 ad/rj 7/ 18

S.F. 2317 4. The department shall subcontract the statewide 1 administration of the apprenticeship program to a community 2 college in Iowa designated by the Iowa association of community 3 college presidents. 4 5. The community college designated pursuant to subsection 5 4 may annually expend not more than five percent of moneys in 6 the fund for administrative purposes. 7 6. Notwithstanding section 8.33, moneys in the fund at 8 the close of a fiscal year shall not revert to the general 9 fund of the state but shall remain available for expenditure 10 for the purposes designated for subsequent fiscal years. 11 Notwithstanding section 12C.7, subsection 2, interest or 12 earnings on moneys in the fund shall be credited to the fund. 13 Sec. 18. NEW SECTION . 260J.4 Financial assistance for an 14 apprenticeship program. 15 1. a. An apprenticeship sponsor or lead apprenticeship 16 sponsor conducting apprenticeship programs in Iowa for 17 apprentices who will be employed at Iowa worksites may apply to 18 the department for financial assistance under this section. 19 b. Financial assistance received by an apprenticeship 20 sponsor or lead apprenticeship sponsor under this section shall 21 be used only for the cost of conducting and maintaining an 22 apprenticeship program. 23 2. The department shall provide financial assistance to 24 apprenticeship sponsors or lead apprenticeship sponsors in the 25 following manner: 26 a. By determining the total amount of funding allocated for 27 purposes of apprenticeship programs pursuant to section 260J.3. 28 b. By adding together all of the following: 29 (1) The total number of apprentices trained by all applying 30 apprenticeship sponsors or lead apprenticeship sponsors during 31 the most recent training year as calculated on the last day of 32 the training year. 33 (2) The total number of contact hours that apprenticeship 34 instructors for all applying apprenticeship sponsors or lead 35 -8- LSB 5292SV (4) 85 ad/rj 8/ 18

S.F. 2317 apprenticeship sponsors spent in contact with apprentices 1 during the most recent training year. For purposes of 2 this subparagraph, “contact hours” includes the time spent 3 instructing apprentices in person or, in the case of a lead 4 apprenticeship sponsor with programs totaling one hundred or 5 more total instructional hours, “contact hours” includes the 6 time spent in online training if the total amount of online 7 instruction does not account for more than thirty percent of 8 the total instructional hours. 9 c. By adding together all of the following: 10 (1) The total number of apprentices trained by a single 11 applying apprenticeship sponsor or lead apprenticeship sponsor 12 during the most recent training year as calculated on the last 13 day of the training year. 14 (2) The total number of contact hours that apprenticeship 15 instructors for a single applying apprenticeship sponsor or 16 lead apprenticeship sponsor spent in contact with apprentices 17 during the most recent training year. For purposes of 18 this subparagraph, “contact hours” includes the time spent 19 instructing apprentices in person or, in the case of a lead 20 apprenticeship sponsor with programs totaling one hundred or 21 more total instructional hours, “contact hours” includes the 22 time spent in online training if the total amount of online 23 instruction does not account for more than thirty percent of 24 the total instructional hours. 25 d. By determining the proportion, stated as a percentage, 26 that a single applying apprenticeship sponsor’s or lead 27 apprenticeship sponsor’s total calculated pursuant to paragraph 28 “c” bears to all applying apprenticeship sponsors’ or lead 29 apprenticeship sponsors’ total calculated pursuant to paragraph 30 “b” . 31 e. By multiplying the percentage calculated in paragraph “d” 32 by the amount determined in paragraph “a” . 33 3. An apprenticeship sponsor or lead apprenticeship sponsor 34 seeking financial assistance under this section shall provide 35 -9- LSB 5292SV (4) 85 ad/rj 9/ 18

S.F. 2317 the following information to the department: 1 a. The federal apprentice registration number of each 2 apprentice in the apprenticeship program. 3 b. The address and a description of the physical location 4 where in-person training is conducted. 5 c. A certification of the apprenticeship sponsor’s training 6 standards as most recently approved by the United States 7 department of labor, office of apprenticeship or, in the case 8 of a lead apprenticeship sponsor, a representative sample of 9 participating members’ training standards. 10 d. A certification of the apprenticeship sponsor’s 11 compliance review or quality assessment as most recently 12 conducted by the United States department of labor, office of 13 apprenticeship, unless the apprenticeship sponsor has not been 14 subjected to a compliance review or quality assessment. In the 15 case of a lead apprenticeship sponsor, a sampling of compliance 16 reviews or quality assessments from participating members shall 17 be sufficient. 18 e. Any other information the department reasonably 19 determines is necessary. 20 4. The apprenticeship sponsor or lead apprenticeship 21 sponsor and the department shall enter into an agreement 22 regarding the provision of any financial assistance to the 23 apprenticeship sponsor or lead apprenticeship sponsor. 24 5. Notwithstanding the provisions of this section, an 25 apprenticeship program receiving funds from section 260F.6 or 26 other community college funding sources in the fiscal year 27 beginning July 1, 2013, and ending June 30, 2014, shall receive 28 no less than that amount in the fiscal year beginning July 1, 29 2014, and ending June 30, 2015. The department shall develop 30 rules to administer this subsection. 31 Sec. 19. NEW SECTION . 260J.5 Apprenticeship advisory 32 council. 33 The department shall establish and facilitate the Iowa 34 apprenticeship advisory council. The council shall advise 35 -10- LSB 5292SV (4) 85 ad/rj 10/ 18

S.F. 2317 the department on issues related to apprenticeship programs 1 supported pursuant to this chapter and shall promote the 2 development of new and the expansion of existing apprenticeship 3 programs in Iowa. The council membership shall be appointed 4 by the department, division of community colleges, and shall 5 include but is not limited to the following: 6 1. Three members of labor organizations representing 7 apprenticeship programs. 8 2. Three members of business and construction trade 9 organizations representing apprenticeship programs. 10 3. One member representing Iowa’s community colleges. 11 4. One member representing the department. 12 5. One member representing the United States department of 13 labor, office of apprenticeship. 14 Sec. 20. Section 403.21, subsections 1 and 3, Code 2014, are 15 amended to read as follows: 16 1. In order to promote communication and cooperation among 17 cities, counties, and community colleges with respect to the 18 allocation and division of taxes, no jobs training projects 19 as defined in chapter 260E or 260F shall be undertaken within 20 the area of operation of a municipality after July 1, 1995, 21 unless the municipality and the community college have entered 22 into an agreement or have jointly adopted a plan relating 23 to a community college’s new jobs training program which 24 shall provide for a procedure for advance notification to 25 each affected municipality, for exchange of information, for 26 mutual consultation, and for procedural guidelines for all 27 such new jobs training projects, including related project 28 financing to be undertaken within the area of operation of the 29 municipality. The joint agreement or the plan shall state its 30 precise duration and shall be binding on the community college 31 and the municipality with respect to all new jobs training 32 projects, including related project financing undertaken during 33 its existence. The joint agreement or plan shall be effective 34 upon adoption and shall be placed on file in the office of the 35 -11- LSB 5292SV (4) 85 ad/rj 11/ 18

S.F. 2317 secretary of the board of directors of the community college 1 and such other location as may be stated in the joint agreement 2 or plan. The joint agreement or plan shall also be sent to each 3 school district which levied or certified for levy a property 4 tax on any portion of the taxable property located in the area 5 of operation of the municipality in the fiscal year beginning 6 prior to the calendar year in which the plan is adopted or 7 the agreement is reached. If no such agreement is reached or 8 plan adopted, the community college shall not use incremental 9 property tax revenues to fund jobs training projects within the 10 area of operation of the municipality. Agreements entered into 11 between a community college and a city or county pursuant to 12 chapter 28E shall not apply. 13 3. The community college shall send a copy of the final 14 agreement prepared pursuant to section 260F.3 to the economic 15 development authority. For each year in which incremental 16 property taxes are used to retire debt service on a jobs 17 training advance issued for a project creating new jobs, the 18 community college shall provide to the economic development 19 authority a report of the incremental property taxes and new 20 jobs credits from withholding generated for that year, a 21 specific description of the training conducted, the number of 22 employees provided program services under the project, the 23 median wage of employees in the new jobs in the project, and 24 the administrative costs directly attributable to the project. 25 Sec. 21. Section 422.16A, Code 2014, is amended to read as 26 follows: 27 422.16A Job training withholding —— certification and 28 transfer. 29 Upon the completion by a business of its repayment 30 obligation for a training project funded under chapter 31 260E , including a job training project funded under section 32 15A.8 or repaid in whole or in part by the supplemental new 33 jobs credit from withholding under section 15A.7 or section 34 15E.197 , the sponsoring community college shall report to 35 -12- LSB 5292SV (4) 85 ad/rj 12/ 18

S.F. 2317 the economic development authority the amount of withholding 1 paid by the business to the community college during the 2 final twelve months of withholding payments. The economic 3 development authority shall notify the department of revenue 4 of that amount. The department shall credit to the workforce 5 development fund account established in section 15.342A 256.91 6 twenty-five percent of that amount each quarter for a period 7 of ten years. If the amount of withholding from the business 8 or employer is insufficient, the department shall prorate the 9 quarterly amount credited to the workforce development fund 10 account. The maximum amount from all employers which shall be 11 transferred to the workforce development fund account in any 12 year is four eight million dollars. 13 Sec. 22. Section 558.1, Code 2014, is amended to read as 14 follows: 15 558.1 “Instruments affecting real estate” defined —— 16 revocation. 17 All instruments containing a power to convey, or in any 18 manner relating to real estate, including certified copies of 19 petitions in bankruptcy with or without the schedules appended, 20 of decrees of adjudication in bankruptcy, and of orders 21 approving trustees’ bonds in bankruptcy, and a jobs training 22 agreement entered into under chapter 260E or 260F between an 23 employer and community college which contains a description 24 of the real estate affected, shall be held to be instruments 25 affecting the same; and no such instrument, when acknowledged 26 or certified and recorded as in this chapter prescribed, can be 27 revoked as to third parties by any act of the parties by whom it 28 was executed, until the instrument containing such revocation 29 is acknowledged and filed for record in the same office in 30 which the instrument containing such power is recorded, except 31 that uniform commercial code financing statements and financing 32 statement changes as provided in chapter 554 need not be thus 33 acknowledged. 34 Sec. 23. REPEAL. Sections 15.341, 15.342, 15.342A, 15.343, 35 -13- LSB 5292SV (4) 85 ad/rj 13/ 18

S.F. 2317 15.344, 260F.6A, and 260F.6B, Code 2014, are repealed. 1 Sec. 24. RULES. The department of education shall adopt 2 rules to administer this Act. 3 Sec. 25. TRANSFER OF FUNDS. 4 1. All moneys in section 15.342A as of the effective date of 5 this Act shall be transferred to the workforce development fund 6 account established in section 256.91, as enacted in this Act. 7 2. All moneys in section 15.343 as of the effective date of 8 this Act shall be transferred to the workforce development fund 9 created in section 256.92, as enacted in this Act. 10 Sec. 26. TRANSITION PROVISIONS. 11 1. A financial assistance award made or provided for in an 12 agreement entered into pursuant to section 260F.3 prior to the 13 effective date of this Act shall continue as provided in such 14 agreement. 15 2. Loan payments or repayments and recaptures of principal, 16 interest, or other moneys accruing on or after July 1, 2014, 17 pursuant to an agreement under section 260F.3, as in effect 18 prior to July 1, 2014, shall be transferred to the job training 19 fund created in section 260F.6, as amended by this Act. 20 EXPLANATION 21 The inclusion of this explanation does not constitute agreement with 22 the explanation’s substance by the members of the general assembly. 23 This bill relates to changes to the job training program and 24 fund under Code chapter 260F and establishes an apprenticeship 25 program under new Code chapter 260J. 26 WORKFORCE DEVELOPMENT FUND. The bill amends the workforce 27 development fund account and the workforce development fund by 28 eliminating the funds as the funds exist under the economic 29 development authority (“authority”) and transferring the moneys 30 remaining in the fund into the newly established workforce 31 development fund account and workforce development fund, 32 respectively, controlled by the department of education. The 33 job training withholding moneys currently transferred to the 34 workforce development account under the authority will be 35 -14- LSB 5292SV (4) 85 ad/rj 14/ 18

S.F. 2317 transferred pursuant to the bill to the newly established 1 workforce development fund account under the department of 2 education. The bill also raises the cap on the withholding 3 amount to be transferred from $4 million to $8 million. The 4 moneys in the workforce development fund under the department 5 of education shall be used for purposes of funding projects 6 for jobs training under Code chapter 260F as amended by the 7 bill and for apprenticeship programs under new Code chapter 8 260J under the bill. Four million dollars is allocated to each 9 purpose and shall be transferred to the job training fund and 10 the apprenticeship training program fund. 11 The bill repeals provisions related to the workforce 12 development fund program operated by the authority. 13 JOBS TRAINING PROGRAM. The bill amends the jobs training 14 program and job training fund under Code chapter 260F. 15 Currently, a business and the community college enter into an 16 agreement to establish a project and the authority accepts 17 applications for assistance, sets the criteria for whether a 18 business is eligible for assistance under the program, and 19 coordinates the jobs training program. The bill amends these 20 provisions by no longer requiring the business to submit 21 an application to the authority, allowing the department 22 of education to set the criteria for whether a business is 23 eligible for assistance, and requiring the department of 24 education to coordinate the jobs training program. 25 The bill amends the job training fund by establishing 26 the fund under the state treasury rather than within the 27 workforce development fund and transferring the authority over 28 the fund from the authority to the department of education. 29 The bill provides that the moneys in the jobs training fund 30 are appropriated to and shall be allocated to community 31 colleges through a formula established in the chapter related 32 to community colleges. The bill also provides that moneys 33 remaining in the job training fund for the business network 34 training program shall be distributed through this same 35 -15- LSB 5292SV (4) 85 ad/rj 15/ 18

S.F. 2317 formula. 1 The bill strikes the definition of “authority” and defines 2 “department” as the department of education in Code chapter 3 260F. The bill amends the definition of “eligible business” 4 in the Code chapter to include commercial construction or a 5 business providing services through electronic commerce in 6 interstate commerce. 7 The bill provides that the maximum financial assistance 8 under the jobs training program is $50,000 for any one project 9 and $100,000 for any business during a three-year period. The 10 bill also requires a business to provide a cash match or an 11 in-kind match to be eligible for financial assistance under the 12 jobs training program. 13 The bill requires each community college to submit an 14 annual report about the jobs training programs funded during 15 the previous fiscal year to the department of education by 16 September 1. The bill requires the department of education to 17 establish performance metrics for the jobs training programs 18 funded and assess the programs funded. The bill also requires 19 the department of education to allocate 10 percent annually of 20 the moneys in the job training fund to the community colleges 21 for outreach to employers, monitoring the training agreements, 22 development of training projects and program plans, and 23 business development activities. 24 The bill provides transition provisions stating that 25 financial assistance awards through the jobs training program 26 made or provided for under agreements between community 27 colleges and businesses entered into prior to July 1, 2014, 28 remain in effect. The bill also states that loan payments, 29 repayments, recaptures, and any other moneys accruing pursuant 30 to those agreements shall be transferred to the job training 31 fund, as amended by the bill. 32 APPRENTICESHIP TRAINING PROGRAM. The bill creates the 33 Iowa apprenticeship Act in Code chapter 260J. The chapter 34 provides definitions for “apprentice”, “apprenticeable 35 -16- LSB 5292SV (4) 85 ad/rj 16/ 18

S.F. 2317 occupation”, “apprenticeship program”, “apprenticeship 1 sponsor”, “department”, “financial assistance”, “fund”, and 2 “lead apprenticeship sponsor”. 3 The bill requires the department of education to establish 4 and administer an apprenticeship training program to provide 5 funding to apprenticeship programs in Iowa. The bill also 6 establishes an apprenticeship training program fund under 7 the control of the department of education in the state 8 treasury for purposes of providing financial assistance for 9 apprenticeship training under the Code chapter. Moneys in 10 the fund are appropriated to the department for the program 11 from the workforce development fund created in Code section 12 256.92 pursuant to the bill. The bill requires the department 13 of education to subcontract the administration of the 14 apprenticeship program to a community college designated by the 15 Iowa association of community college presidents. The bill 16 allows the community college designated to expend not more than 17 5 percent of moneys in the apprenticeship training program fund 18 for administrative costs. 19 The bill provides that an apprenticeship sponsor or lead 20 apprenticeship sponsor may apply for financial assistance to 21 the department of education for conducting apprenticeship 22 programs in Iowa for apprentices who will work at Iowa 23 worksites. 24 The bill specifies that financial assistance is to be 25 allocated to apprenticeship sponsors or lead apprenticeship 26 sponsors by the ratio of the total number of apprentices 27 trained and number of contact hours of instruction for an 28 apprenticeship sponsor or lead apprenticeship sponsor divided 29 by the total number of apprentices trained and contact hours 30 of instruction for all the apprenticeship sponsors or lead 31 apprenticeship sponsors in the previous training year, then 32 multiplied by the moneys allocated for financial assistance to 33 apprenticeship sponsors. 34 The bill provides that in order to receive financial 35 -17- LSB 5292SV (4) 85 ad/rj 17/ 18

S.F. 2317 assistance, the apprenticeship sponsor or lead apprenticeship 1 sponsor and the department must enter into an agreement. 2 The bill requires the department of education to establish 3 an apprenticeship advisory council to advise the department 4 on issues related to apprenticeship programs and promote the 5 development of new and the expansion of existing apprenticeship 6 programs in Iowa. 7 RULES AND REPEALS. The bill requires the department of 8 education to adopt rules to administer the bill. 9 The bill repeals Code sections relating to the business 10 network training and the high technology apprenticeship 11 program. 12 -18- LSB 5292SV (4) 85 ad/rj 18/ 18