Text: HF00483                           Text: HF00485
Text: HF00400 - HF00499                 Text: HF Index
Bills and Amendments: General Index     Bill History: General Index

House File 484

Partial Bill History

• Bill Introduced: H.J. 536
• Complete Bill History

Bill Text

PAG LIN
  1  1    Section 1.  Section 15E.202, subsection 14, paragraph a,
  1  2 Code 1999, is amended to read as follows:
  1  3    a.  Agricultural producers investing Acquiring,
  1  4 constructing, or expanding in a new facility or acquiring or
  1  5 expanding an existing facility in this state which is used to
  1  6 process agricultural commodities produced in this state, if
  1  7 the purpose of the enterprise is to accomplish all of the
  1  8 following:
  1  9    Sec. 2.  Section 15E.202, subsection 14, paragraph a,
  1 10 subparagraph (3), Code 1999, is amended to read as follows:
  1 11    (3)  Providing for a substantial equitable ownership
  1 12 interest in the enterprise by benefit to Iowa agricultural
  1 13 producers.
  1 14    Sec. 3.  Section 15E.205, subsection 1, paragraph a, Code
  1 15 1999, is amended to read as follows:
  1 16    a.  At Agricultural producers shall hold at least fifty-one
  1 17 percent of the corporation's common stock must be held by
  1 18 agricultural producers.  At and at least fifty-one percent of
  1 19 the corporation's voting stock must be held by agricultural
  1 20 producers in a manner and at times as provided in the
  1 21 corporation's articles of incorporation and bylaws.
  1 22    Sec. 4.  Section 15E.208, subsection 5, paragraph d,
  1 23 subparagraph (5), Code 1999, is amended to read as follows:
  1 24    (5)  The execution of an agreement between the corporation
  1 25 and an eligible recipient as required by the department as a
  1 26 condition of providing financing, in which the eligible
  1 27 recipient agrees to become a shareholder in the corporation.
  1 28 If the The corporation shall establish a plan and procedures
  1 29 to allow eligible recipient is an recipients who are
  1 30 agricultural producer producers as provided in section
  1 31 15E.209, the agreement shall not be executed unless the
  1 32 agricultural producer holds to acquire voting common stock in
  1 33 the corporation equal to at least five percent of the
  1 34 financing provided to the agricultural producer pursuant to
  1 35 the agreement.  The agreement shall be for a period of not
  2  1 less than ten years.  An agreement shall at least provide all
  2  2 of the following:  
  2  3                           EXPLANATION
  2  4    This bill amends provisions in the "Iowa Agricultural
  2  5 Industry Finance Act" as enacted by the Seventy-seventh
  2  6 General Assembly in 1998.  As provided in the Act, an entity
  2  7 incorporated under Code chapter 490 is an Iowa agricultural
  2  8 finance corporation if it complies with certain requirements.
  2  9 The Act provides that the department of economic development
  2 10 may award an Iowa agricultural industry finance loan to an
  2 11 Iowa agricultural industry finance corporation that is
  2 12 repayable in 25 years.
  2 13    The Act provides that an Iowa agricultural industry finance
  2 14 corporation may only provide financing to an eligible person
  2 15 who must be an agricultural producer participating in an Iowa
  2 16 agricultural industry venture or an agricultural products
  2 17 processor which participates as part of an Iowa agricultural
  2 18 industry venture.  The bill eliminates a requirement that
  2 19 provides that agricultural producers must have a substantial
  2 20 equitable ownership interest in the venture.
  2 21    The Act provides that at least 51 percent of the
  2 22 corporation's common stock must be held by agricultural
  2 23 producers and at least 51 percent of the corporation's voting
  2 24 stock must be held by agricultural producers.  This bill
  2 25 provides that the 51 percent rule applies in a manner and at
  2 26 times determined by the corporation.
  2 27    The Act provides requirements for a corporation extending
  2 28 financing to agricultural producers and to agricultural
  2 29 products processors as part of an Iowa agricultural industry
  2 30 venture involving the construction, expansion, or acquisition
  2 31 of an agricultural products processing facility.  In order to
  2 32 receive financing, an eligible recipient must enter into an
  2 33 agreement with the corporation.  If the eligible recipient is
  2 34 an agricultural producer, the agreement must provide that the
  2 35 agricultural producer hold voting stock equal to at least 5
  3  1 percent of the financing provided to the agricultural producer
  3  2 pursuant to the agreement.  This bill eliminates the 5 percent
  3  3 rule and provides that the corporation must provide a plan and
  3  4 procedures to acquire voting stock in the corporation.  
  3  5 LSB 2653HH 78
  3  6 da/sc/14
     

Text: HF00483                           Text: HF00485
Text: HF00400 - HF00499                 Text: HF Index
Bills and Amendments: General Index     Bill History: General Index

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