Text: HF00377 Text: HF00379 Text: HF00300 - HF00399 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. NEW SECTION. 15.338 SHORT TITLE.
1 2 This part shall be known as the "Microenterprise
1 3 Development Act".
1 4 Sec. 2. NEW SECTION. 15.339 POLICY AND ESTABLISHMENT OF
1 5 PROGRAM.
1 6 It shall be the policy of the state to foster and encourage
1 7 the upward social and economic mobility of disadvantaged
1 8 individuals as part of the state's overall economic
1 9 development strategy. It shall also be the policy of the
1 10 state to encourage public and private cooperation between
1 11 social services and economic development initiatives which
1 12 empower individuals to be self-sufficient and provide economic
1 13 and social stability to local communities. Therefore, a
1 14 statewide microenterprise development program is established
1 15 to encourage and assist in the creation, development, and
1 16 financing of microbusinesses.
1 17 Sec. 3. NEW SECTION. 15.340 DEFINITIONS.
1 18 1. "Microbusiness or microbusiness enterprise" means a
1 19 business producing goods or providing services with ten or
1 20 fewer full-time equivalent employee positions including the
1 21 employer and with asset requirements of up to twenty-five
1 22 thousand dollars.
1 23 2. "Microenterprise organization" means a nonprofit
1 24 corporation organized under chapter 504A and which is exempt
1 25 from taxation pursuant to section 501(c), of the Internal
1 26 Revenue Code, the principal mission of which is to be actively
1 27 engaged in microbusiness development, training, technical
1 28 assistance, and providing access to capital for the start-up
1 29 or expansion of microbusinesses.
1 30 Sec. 4. NEW SECTION. 15.341 ELIGIBILITY CRITERIA.
1 31 1. A microenterprise organization may apply to the
1 32 department for grants to fund a microenterprise development
1 33 program. The department shall develop criteria for awarding
1 34 grants including at least the following:
1 35 a. Past performance of the organization and demonstrated
2 1 capacity to successfully engage in microbusiness development
2 2 projects.
2 3 b. Demonstrated or potential ability to obtain grant funds
2 4 locally for microbusiness projects.
2 5 c. The organization's strategy for microbusiness
2 6 development in its community or service region.
2 7 d. A reasonable limitation on the amount of grant funds
2 8 which may be spent on administrative expenses by the
2 9 organization.
2 10 e. Providing training and technical assistance.
2 11 f. Demonstrated ability to provide follow-up technical
2 12 assistance after business startup or expansion.
2 13 g. Demonstrated ability to provide access to capital for
2 14 start-up or expansion of microbusinesses.
2 15 h. A statewide commitment to and focus on microbusiness
2 16 development.
2 17 2. The department shall also develop reporting
2 18 requirements for the microenterprise organization.
2 19 EXPLANATION
2 20 This bill establishes an Iowa microenterprise development
2 21 Act. The program created by the Act is intended to assist
2 22 individuals in starting or expanding microbusinesses and is to
2 23 be administered by the department of economic development.
2 24 The bill defines microbusiness or microbusiness enterprise
2 25 as a business producing goods or providing services employing
2 26 up to 10 full-time equivalent employee positions and having
2 27 capital requirements of $25,000 or less. The bill also
2 28 provides criteria for determining whether a microenterprise
2 29 organization is eligible for funds under the program.
2 30 LSB 2443HH 76
2 31 mk/cf/24.1
Text: HF00377 Text: HF00379 Text: HF00300 - HF00399 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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