Text: HF02028 Text: HF02030 Text: HF02000 - HF02099 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. NEW SECTION. 455A.14 FORESTRY AND RURAL 1 2 DEVELOPMENT REVOLVING LOAN FUND. 1 3 1. The department shall establish a forestry and rural 1 4 development revolving loan fund composed of any money 1 5 appropriated by the general assembly, and of any other moneys 1 6 available to and obtained or accepted by the department from 1 7 the federal government or private sources for placement in the 1 8 fund. 1 9 2. The assets of the forestry and rural development 1 10 revolving loan fund shall be used to support statewide 1 11 forestry and rural development through forestry projects 1 12 approved by the department. 1 13 a. The department shall award moneys only by providing 1 14 loans to resource conservation and development areas, as 1 15 authorized under the federal Food and Agriculture Act of 1962, 1 16 16 U.S.C. } 3451 et seq., and reauthorized under the federal 1 17 Food, Agriculture, Conservation, and Trade Act of 1990, 16 1 18 U.S.C. } 3459 et seq. 1 19 b. Each loan made under this section shall be for a period 1 20 not to exceed ten years, shall not bear interest, and shall be 1 21 repayable to the forestry and rural development revolving loan 1 22 fund. 1 23 c. Each loan shall be made on a cost-share basis. The 1 24 award of moneys shall not exceed fifty percent of the 1 25 estimated cost of completing the forestry project, or fifty 1 26 percent of the actual cost, whichever is less. 1 27 3. The department shall approve projects in cooperation, 1 28 to the extent practicable, with the United States department 1 29 of agriculture's natural resources conservation service. 1 30 4. The department shall administer the fund and authorize 1 31 payment from the fund to pay for costs and expenses related to 1 32 and necessary for making and protecting loans made under this 1 33 section, and for the recovery of moneys loaned or the 1 34 management of property acquired in connection with such loans. 1 35 The department may contract, sue and be sued, and adopt 2 1 administrative rules pursuant to chapter 17A necessary to 2 2 administer this section. However, the department shall not in 2 3 any manner directly or indirectly pledge the credit of the 2 4 state of Iowa. The department shall adopt rules to provide 2 5 for all of the following: 2 6 a. The outstanding amount that a resource conservation and 2 7 development area may receive in loans made under this section. 2 8 The amount shall not exceed two hundred thousand dollars, 2 9 unless the department determines that extraordinary reasons 2 10 exist to increase the amount. 2 11 b. The terms and conditions for repayment. The department 2 12 shall establish a rate of interest on loans for which payment 2 13 is delinquent. The total amount due plus interest shall 2 14 accelerate immediately upon a delinquency, unless the 2 15 department determines that good reason excuses the 2 16 delinquency. 2 17 5. Section 8.33 shall not apply to moneys in the fund. 2 18 Notwithstanding section 12C.7, interest earned on moneys in 2 19 the fund shall be deposited into the fund. The repayment of 2 20 loans and the payments of interest on loans shall be deposited 2 21 into the fund. Noncash assets or collateral collected by the 2 22 department in repayment of a loan shall be reduced to cash and 2 23 deposited into the fund. 2 24 EXPLANATION 2 25 The 1990 federal farm bill established the rural 2 26 development through forestry (RDTF) program, 7 U.S.C. } 6601- 2 27 6617. The program is administered by the United States 2 28 department of agriculture's forestry service and implemented 2 29 through state forestry agencies. Iowa was designated as a 2 30 pilot program state under the federal RDTF program. The rural 2 31 development through forestry program, as currently 2 32 administered by the department of natural resources, provides 2 33 matching grants to local entities for economic development 2 34 based on forest resources. In the state of Iowa's pilot 2 35 program, local projects have been identified and carried out 3 1 primarily through nine resource conservation and development 3 2 (RC&D) areas. RC&D areas are private, not-for-profit 3 3 corporations that are organized pursuant to Iowa Code chapter 3 4 504A. RC&D areas are locally governed by volunteer directors 3 5 with required representation by the county boards of 3 6 supervisors, the local soil and water conservation districts, 3 7 and local residents interested in the program. The purpose of 3 8 RC&D areas is grass-roots directed development of human, 3 9 economic, and natural resources. RC&D areas were authorized 3 10 under the federal Food and Agriculture Act of 1962, and 3 11 reauthorized under the federal Food, Agriculture, 3 12 Conservation, and Trade Act of 1990. 3 13 This bill establishes a revolving fund within the 3 14 department of natural resources. The fund is referred to as 3 15 the forestry and rural development revolving loan fund. 3 16 Moneys in the fund are dedicated to supporting statewide 3 17 forestry and rural development through forestry projects as 3 18 approved by the department. The department is required to 3 19 award moneys only by providing loans to resource conservation 3 20 and development areas. The loan period is ten years, and 3 21 loans do not bear interest unless delinquent. Each loan must 3 22 be made on a cost-share basis. The department may contract, 3 23 sue and be sued, and adopt administrative rules under Code 3 24 chapter 17A necessary to administer the fund. The department 3 25 must adopt rules establishing a cap for outstanding loans, and 3 26 the terms and conditions for repayment. 3 27 LSB 3057HH 77 3 28 da/jl/8
Text: HF02028 Text: HF02030 Text: HF02000 - HF02099 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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