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House File 506 - IntroducedA Bill ForAn Act 1relating to the workforce housing tax incentives
2program.
3BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 15.119, subsection 2, paragraph g, Code
22023, is amended to read as follows:
3g. The workforce housing tax incentives program administered
4pursuant to sections 15.351 through 15.356. In allocating
5tax credits pursuant to this subsection, the authority shall
6not allocate more than thirty-five fifty million dollars for
7purposes of this paragraph. Of the moneys allocated under this
8paragraph, seventeen twenty-five million five hundred thousand
9 dollars shall be reserved for allocation to qualified housing
10projects in small cities, as defined in section 15.352, that
11are registered on or after July 1, 2017.
12 Sec. 2. Section 15.353, subsection 3, paragraph a, Code
132023, is amended to read as follows:
14a. Except as provided in paragraph “b”, the average dwelling
15unit cost does not exceed the maximum amount established by
16the board for each fiscal year for the applicable project
17type and project location. The board shall establish the
18maximum average dwelling unit cost for a project that includes
19single-family dwelling units that is located in a small city
20and for a project that includes single-family dwelling units
21that is located in an urban area. The board shall establish
22the maximum average dwelling unit cost for a project that
23includes multiple dwelling unit buildings and is located
24in a small city and for a project that includes multiple
25dwelling unit buildings and is located in an urban area. In
26establishing each maximum average dwelling unit cost, the board
27shall primarily consider the most recent annual United States
28census bureau building permits survey and historical program
29data. For fiscal years beginning on or after July 1, 2023, the
30maximum average dwelling unit cost established by the board
31shall be no less than the following:
32(1) Three hundred sixteen thousand three hundred twenty
33dollars for a project that includes single-family units that is
34located in either an urban area or in a small city.
35(2) Two hundred sixty-eight thousand twenty-two dollars for
-1-1a project that includes multiple dwelling unit buildings that
2is located in either an urban area or in a small city.
3EXPLANATION
4The inclusion of this explanation does not constitute agreement with
5the explanation’s substance by the members of the general assembly.
6This bill provides that the economic development authority
7(authority) shall not allocate more than $50 million in tax
8credits (credits) to the workforce housing tax incentives
9program (workforce housing), and that $25 million of the total
10cap shall be reserved for allocation to qualified housing
11projects (projects) located in small cities, as defined in
12Code section 15.352. Under current law, the authority shall
13not allocate more than $35 million in credits to workforce
14housing, and $17.5 million of the total cap shall be reserved
15for allocation to projects located in small cities.
16Under current law, the authority’s board shall establish the
17maximum average dwelling unit cost (maximum average cost) under
18workforce housing for a project that includes single-family
19dwelling units that is located in a small city or in an urban
20area, and the maximum average cost for a project that includes
21multiple dwelling unit buildings that is located in a small
22city or in an urban area. Under current law, the maximum
23average cost established by the board is $266,320 for a project
24that includes single-family units that is located in either an
25urban area or in a small city, and $218,022 for a project that
26includes multiple dwelling unit buildings that is located in
27either an urban area or in a small city.
28The bill provides that for fiscal years beginning on or after
29July 1, 2023, the maximum average cost established by the board
30shall be no less than $316,320 for a project that includes
31single-family units that is located in either an urban area
32or in a small city, and $268,022 for a project that includes
33multiple dwelling unit buildings that is located in either an
34urban area or in a small city.
-2-ko/jh
2program.
3BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 15.119, subsection 2, paragraph g, Code
22023, is amended to read as follows:
3g. The workforce housing tax incentives program administered
4pursuant to sections 15.351 through 15.356. In allocating
5tax credits pursuant to this subsection, the authority shall
6not allocate more than thirty-five fifty million dollars for
7purposes of this paragraph. Of the moneys allocated under this
8paragraph, seventeen twenty-five million five hundred thousand
9 dollars shall be reserved for allocation to qualified housing
10projects in small cities, as defined in section 15.352, that
11are registered on or after July 1, 2017.
12 Sec. 2. Section 15.353, subsection 3, paragraph a, Code
132023, is amended to read as follows:
14a. Except as provided in paragraph “b”, the average dwelling
15unit cost does not exceed the maximum amount established by
16the board for each fiscal year for the applicable project
17type and project location. The board shall establish the
18maximum average dwelling unit cost for a project that includes
19single-family dwelling units that is located in a small city
20and for a project that includes single-family dwelling units
21that is located in an urban area. The board shall establish
22the maximum average dwelling unit cost for a project that
23includes multiple dwelling unit buildings and is located
24in a small city and for a project that includes multiple
25dwelling unit buildings and is located in an urban area. In
26establishing each maximum average dwelling unit cost, the board
27shall primarily consider the most recent annual United States
28census bureau building permits survey and historical program
29data. For fiscal years beginning on or after July 1, 2023, the
30maximum average dwelling unit cost established by the board
31shall be no less than the following:
32(1) Three hundred sixteen thousand three hundred twenty
33dollars for a project that includes single-family units that is
34located in either an urban area or in a small city.
35(2) Two hundred sixty-eight thousand twenty-two dollars for
-1-1a project that includes multiple dwelling unit buildings that
2is located in either an urban area or in a small city.
3EXPLANATION
4The inclusion of this explanation does not constitute agreement with
5the explanation’s substance by the members of the general assembly.
6This bill provides that the economic development authority
7(authority) shall not allocate more than $50 million in tax
8credits (credits) to the workforce housing tax incentives
9program (workforce housing), and that $25 million of the total
10cap shall be reserved for allocation to qualified housing
11projects (projects) located in small cities, as defined in
12Code section 15.352. Under current law, the authority shall
13not allocate more than $35 million in credits to workforce
14housing, and $17.5 million of the total cap shall be reserved
15for allocation to projects located in small cities.
16Under current law, the authority’s board shall establish the
17maximum average dwelling unit cost (maximum average cost) under
18workforce housing for a project that includes single-family
19dwelling units that is located in a small city or in an urban
20area, and the maximum average cost for a project that includes
21multiple dwelling unit buildings that is located in a small
22city or in an urban area. Under current law, the maximum
23average cost established by the board is $266,320 for a project
24that includes single-family units that is located in either an
25urban area or in a small city, and $218,022 for a project that
26includes multiple dwelling unit buildings that is located in
27either an urban area or in a small city.
28The bill provides that for fiscal years beginning on or after
29July 1, 2023, the maximum average cost established by the board
30shall be no less than $316,320 for a project that includes
31single-family units that is located in either an urban area
32or in a small city, and $268,022 for a project that includes
33multiple dwelling unit buildings that is located in either an
34urban area or in a small city.
-2-ko/jh