Text: SF02357 Text: SF02359 Text: SF02300 - SF02399 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. NEW SECTION. 15E.175 ECONOMIC DEVELOPMENT 1 2 BLOCK GRANTS. 1 3 1. A county which annually meets the eligibility 1 4 requirements of this section shall receive, upon application 1 5 to the treasurer of state, an economic development block grant 1 6 of up to one hundred thousand dollars each year for a five- 1 7 year period. 1 8 2. To be eligible to receive funds a county, or the city 1 9 or community economic development organization which will 1 10 receive the funds from the county, shall provide local 1 11 matching funds of one dollar for each two dollars requested 1 12 under subsection 1 and shall have on file with the department 1 13 of economic development a five-year economic development plan. 1 14 The plan shall include at least the following components: 1 15 a. A statement explaining the economic development mission 1 16 of the county, city, or community economic development 1 17 organization. 1 18 b. A program to assist existing industry improve its 1 19 methods of operation, modernize its facilities, or expand its 1 20 operations. 1 21 c. A program to encourage businesses to locate in the city 1 22 or county and to assist in the start-up of new businesses in 1 23 the city or county. 1 24 d. A plan to market the community to individuals seeking 1 25 to locate or relocate businesses and to market to individuals 1 26 or businesses the services available under the plan by the 1 27 county, city, or community economic development organization. 1 28 e. A budget for the implementation of the plan. 1 29 f. A full-time economic development staff person. 1 30 3. Counties may use block grant funds for any recognized 1 31 economic development activity consistent with state law, 1 32 including but not limited to the following: 1 33 a. To contract for economic development services. 1 34 b. For distribution to a city or community economic 1 35 development organization which meets the eligibility 2 1 requirements of subsection 2. 2 2 c. As local matching funds for federal or state economic 2 3 development programs. 2 4 d. For the development of industrial parks, including the 2 5 development of infrastructure. 2 6 e. For new and renovated speculative buildings. 2 7 f. For housing development infrastructure. 2 8 g. As a fund to provide grants or revolving loans to 2 9 businesses. 2 10 h. For community marketing activities, including tourism 2 11 marketing. 2 12 i. For the reasonable expenses of operational costs except 2 13 salaries of full-time staff. 2 14 j. For planning and start-up costs for organizing local 2 15 economic development organizations. 2 16 4. This section is repealed effective July 1, 2006. 2 17 Sec. 2. Section 422.65, Code 1995, is amended to read as 2 18 follows: 2 19 422.65 ALLOCATION OF REVENUE. 2 20 1. All moneys received from the franchise tax shall be 2 21 deposited in the state general fund.Commencing with the2 22fiscal year beginning July 1, 1993, thereThere is 2 23 appropriated for each fiscal year from the franchise tax money 2 24 received and deposited in the state general fund thesum of2 25eightfollowing amounts: 2 26 a. Eight million eight hundred thousand dollars which 2 27 shall be paid quarterly on warrants by the director, after 2 28 certification by the director, as follows: 2 291.(1) Sixty percent to the general fund of the city from 2 30 which the tax is collected. 2 312.(2) Forty percent to the county from which the tax is 2 32 collected. 2 33 b. Nine million nine hundred thousand dollars, or so much 2 34 thereof as may be necessary, to provide economic development 2 35 block grants of up to one hundred thousand dollars to eligible 3 1 counties in accordance with section 15E.175. 3 2 c. Funds remaining unobligated in any fiscal year shall be 3 3 transferred to the rural enterprise fund for grants or loans 3 4 to businesses with fifty or fewer employees. 3 5 2. If the financial institution maintains one or more 3 6 offices for the transaction of business, other than its 3 7 principal office, a portion of its franchise tax shall be 3 8 allocated to each office, based upon a reasonable measure of 3 9 the business activity of each office. The director shall 3 10 prescribe, for each type of financial institution, a method of 3 11 measuring the business activity of each office. Financial 3 12 institutions shall furnish all necessary information for this 3 13 purpose at the request of the director. 3 14 3. Quarterly, the director shall certify to the treasurer 3 15 of state the amounts to be paid to each city and county from 3 16 the state general fund under subsection 1, paragraphs "a" and 3 17 "b". All moneys received from the franchise tax are 3 18 appropriated according to the provisions of this section. 3 19 4. The changes made to this section in this Act are 3 20 repealed effective July 1, 2006, and the Code editor shall 3 21 return this section to the language of the 1995 Code of Iowa. 3 22 Intervening amendments to this section that are unrelated to 3 23 the changes made to this section in this Act are not repealed. 3 24 EXPLANATION 3 25 This bill provides for the annual appropriation of up to 3 26 $9.9 million from the proceeds of the franchise tax on 3 27 financial institutions for the purpose of economic development 3 28 block grants to eligible counties. The bill requires a county 3 29 to have a five-year economic development plan on file with the 3 30 department of economic development in order to be eligible to 3 31 receive a block grant. The plan must contain certain 3 32 elements, including a mission statement, programs to assist 3 33 existing businesses and attract new businesses, a marketing 3 34 plan, and a budget. 3 35 An eligible county shall receive a block grant of $100,000 4 1 per year for a five-year period upon application to the 4 2 treasurer of state. The block grant may be used for any 4 3 recognized economic development purpose consistent with state 4 4 law, including the purchase of economic development services, 4 5 as matching funds, the construction or renovation of 4 6 speculative shell buildings, and the reasonable expenses of 4 7 operating costs for economic development activities except 4 8 salaries. A county may also pass the block grant money to 4 9 cities or community economic development organizations which 4 10 meet the same eligibility requirements as the county. 4 11 The provisions of the bill sunset on July 1, 2006. 4 12 LSB 3000SV 76 4 13 mk/sc/14
Text: SF02357 Text: SF02359 Text: SF02300 - SF02399 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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