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PAG LIN
1 1 DIVISION I
1 2 SUBCHAPTER I
1 3 VISION IOWA BOARD
1 4 Section 1. NEW SECTION. 15F.101 DEFINITIONS.
1 5 As used in this chapter, unless the context otherwise
1 6 requires:
1 7 1. "Board" means the vision Iowa board as created in
1 8 section 15F.102.
1 9 2. "Department" means the Iowa department of economic
1 10 development created in section 15.105.
1 11 Sec. 2. NEW SECTION. 15F.102 VISION IOWA BOARD.
1 12 1. The vision Iowa board is established consisting of
1 13 thirteen members and is located for administrative purposes
1 14 within the department. The director of the department shall
1 15 provide office space, staff assistance, and necessary supplies
1 16 and equipment for the board. The director shall budget funds
1 17 to pay the compensation and expenses of the board.
1 18 2. The membership of the board shall be appointed as
1 19 follows:
1 20 a. Three members of the general public, one member from
1 21 each of the three tourism regions.
1 22 b. One mayor of a city with a population of less than
1 23 twenty thousand.
1 24 c. One county supervisor from a county that has a
1 25 population ranking in the bottom thirty-three counties
1 26 according to the 1990 census.
1 27 d. Four members of the general public.
1 28 e. One mayor of a city with a population of twenty
1 29 thousand or more.
1 30 f. The director of the department of economic development.
1 31 g. The treasurer of state or the treasurer of state's
1 32 designee.
1 33 h. The auditor of state or the auditor of state's
1 34 designee.
1 35 3. All appointments, except the director of the department
2 1 of economic development, the treasurer of state, and the
2 2 auditor of state, shall be made by the governor, shall comply
2 3 with sections 69.16 and 69.16A, and shall be subject to
2 4 confirmation by the senate. All appointed members of the
2 5 board shall have demonstrable experience or expertise in the
2 6 field of tourism development and promotion, public financing,
2 7 architecture, engineering, or major facility development or
2 8 construction.
2 9 4. All members of the board, except the director of the
2 10 department of economic development, the treasurer of state,
2 11 and the auditor of state, shall be residents of different
2 12 counties.
2 13 5. The chairperson and vice chairperson of the board shall
2 14 be designated by the governor from the board members listed in
2 15 subsection 2, paragraphs "a" through "e". In case of the
2 16 absence or disability of the chairperson and vice chairperson,
2 17 the members of the board shall elect a temporary chairperson
2 18 by a majority vote of those members who are present and
2 19 voting.
2 20 6. The members, except the director of the department of
2 21 economic development, the treasurer of state, and the auditor
2 22 of state, shall be appointed to three-year staggered terms and
2 23 the terms shall commence and end as provided by section 69.19.
2 24 If a vacancy occurs, a successor shall be appointed to serve
2 25 the unexpired term. A successor shall be appointed in the
2 26 same manner and subject to the same qualifications as the
2 27 original appointment to serve the unexpired term.
2 28 7. A majority of the board constitutes a quorum.
2 29 Sec. 3. NEW SECTION. 15F.103 DUTIES.
2 30 The board shall do all of the following:
2 31 1. Organize.
2 32 2. Adopt rules pursuant to chapter 17A as necessary to
2 33 administer this chapter.
2 34 3. Administer the community attraction and tourism program
2 35 established in section 15F.202 and the vision Iowa program
3 1 established in section 15F.302.
3 2 Sec. 4. NEW SECTION. 15F.104 COMPENSATION AND EXPENSES.
3 3 The members of the board are entitled to receive
3 4 reimbursement for actual expenses incurred while engaged in
3 5 the performance of official duties. A member of the board may
3 6 also be eligible to receive compensation as provided in
3 7 section 7E.6.
3 8 SUBCHAPTER II
3 9 COMMUNITY ATTRACTION AND TOURISM
3 10 PROGRAM AND FUND
3 11 Sec. 5. NEW SECTION. 15F.201 DEFINITIONS.
3 12 As used in this subchapter, unless the context otherwise
3 13 requires:
3 14 1. "Fund" means the community attraction and tourism fund
3 15 created in section 15F.204.
3 16 2. "Program" means the community attraction and tourism
3 17 program established in section 15F.202.
3 18 Sec. 6. NEW SECTION. 15F.202 COMMUNITY ATTRACTION AND
3 19 TOURISM PROGRAM.
3 20 1. The board shall establish and administer a community
3 21 attraction and tourism program to assist communities in the
3 22 development and creation of multiple-purpose attraction and
3 23 tourism facilities.
3 24 2. A city or county in the state or public organization
3 25 may submit an application to the board for financial
3 26 assistance for a project under the program. The assistance
3 27 shall be in the form of grants, loans, forgivable loans, and
3 28 loan guarantees. The application shall include, but not be
3 29 limited to, the following information:
3 30 a. The total capital investment of the project.
3 31 b. The amount or percentage of local and private matching
3 32 moneys which will be or have been provided for the project.
3 33 c. The total number of jobs to be created or retained by
3 34 the project.
3 35 d. The need of the community for the project and for the
4 1 financial assistance.
4 2 e. The long-term tax-generating impact of the project.
4 3 3. A school district, in cooperation with a city or
4 4 county, may submit a joint application for financial
4 5 assistance for a project under the program. The assistance
4 6 shall be in the form of grants, loans, forgivable loans, and
4 7 loan guarantees. In addition to the information required in
4 8 subsection 2, the application shall include a demonstration
4 9 that the intended future use of the project shall be by both
4 10 joint applicants.
4 11 Sec. 7. NEW SECTION. 15F.203 COMMUNITY ATTRACTION AND
4 12 TOURISM PROGRAM APPLICATION REVIEW.
4 13 1. Applications for assistance under the program shall be
4 14 submitted to the department. The department shall review all
4 15 applications for initial eligibility based upon the
4 16 eligibility criteria provided in this section. For those
4 17 applications that meet the eligibility criteria, the
4 18 department shall prepare a review analysis for the community
4 19 attraction and tourism program review committee referred to in
4 20 subsection 2 and the board.
4 21 2. A review committee composed of five members of the
4 22 board shall review community attraction and tourism program
4 23 applications submitted to the board and make recommendations
4 24 regarding the applications to the board. The review committee
4 25 shall consist of members of the board listed in section
4 26 15F.102, subsection 2, paragraphs "a" through "c".
4 27 3. When reviewing the applications, the review committee
4 28 shall consider, at a minimum, all of the following:
4 29 a. Whether the wages, benefits, including health benefits,
4 30 safety, and other attributes of the project would improve the
4 31 quality of attraction and tourism employment in the community.
4 32 b. The extent to which such a project would generate
4 33 additional recreational and cultural attractions and tourism
4 34 opportunities.
4 35 c. The ability of the project to produce a long-term tax-
5 1 generating economic impact.
5 2 d. The location of the projects and geographic diversity
5 3 of the applications.
5 4 e. The extent to which any part of the proposed project
5 5 meets the definition of vertical infrastructure in section
5 6 8.57, subsection 5, paragraph "c".
5 7 f. Whether the applicant has received financial assistance
5 8 under the program for the same project.
5 9 4. Upon review of the recommendations of the review
5 10 committee, the board shall approve, defer, or deny the
5 11 applications.
5 12 5. Upon approval of an application for financial
5 13 assistance under the program, the board shall notify the
5 14 treasurer of state regarding the amount of moneys needed to
5 15 satisfy the award of financial assistance and the terms of the
5 16 award.
5 17 Sec. 8. NEW SECTION. 15F.204 COMMUNITY ATTRACTION AND
5 18 TOURISM FUND.
5 19 1. A community attraction and tourism fund is created as a
5 20 separate fund in the state treasury under the control of the
5 21 board, consisting of any moneys appropriated by the general
5 22 assembly and any other moneys available to and obtained or
5 23 accepted by the board for placement in the fund.
5 24 2. Payments of interest, repayments of moneys loaned
5 25 pursuant to this subchapter, and recaptures of grants or loans
5 26 shall be deposited in the fund.
5 27 3. The fund shall be used to provide grants, loans,
5 28 forgivable loans, and loan guarantees under the community
5 29 attraction and tourism program established in section 15F.202.
5 30 An applicant under the community attraction and tourism
5 31 program shall not receive financial assistance from the fund
5 32 in an amount exceeding fifty percent of the total cost of the
5 33 project.
5 34 4. Moneys in the fund are not subject to section 8.33.
5 35 Notwithstanding section 12C.7, subsection 2, interest or
6 1 earnings on moneys in the fund shall be credited to the fund.
6 2 5. At the beginning of each fiscal year, the board shall
6 3 allocate all moneys in the fund in the following manner:
6 4 a. One-third of the moneys shall be allocated to provide
6 5 assistance to cities and counties which meet the following
6 6 criteria:
6 7 (1) A city which has a population of ten thousand or less
6 8 according to the most recently published census.
6 9 (2) A county which has a population that ranks in the
6 10 bottom thirty-three counties according to the most recently
6 11 published census.
6 12 b. Two-thirds of the moneys shall be allocated to provide
6 13 assistance to any city and county in the state, which may
6 14 include a city or county included under paragraph "a".
6 15 6. If two or more cities or counties submit a joint
6 16 project application for financial assistance under the
6 17 program, all joint applicants must meet the criteria of
6 18 subsection 5, paragraph "a", in order to receive any moneys
6 19 allocated under that paragraph.
6 20 7. If any portion of the allocated moneys under subsection
6 21 5, paragraph "a", has not been awarded by April 1 of the
6 22 fiscal year for which the allocation is made, the portion
6 23 which has not been awarded may be utilized by the board to
6 24 provide financial assistance under the program to any city or
6 25 county in the state.
6 26 SUBCHAPTER III
6 27 VISION IOWA PROGRAM
6 28 Sec. 9. NEW SECTION. 15F.301 DEFINITIONS.
6 29 As used in this subchapter, unless the context otherwise
6 30 requires:
6 31 1. "Fund" means the vision Iowa fund created in section
6 32 12.72.
6 33 2. "Program" means the vision Iowa program established in
6 34 section 15F.302.
6 35 Sec. 10. NEW SECTION. 15F.302 VISION IOWA PROGRAM.
7 1 1. The board shall establish and administer a vision Iowa
7 2 program to assist communities in the development of major
7 3 tourism facilities.
7 4 2. A city or county or a public organization in the state
7 5 may submit an application to the board for financial
7 6 assistance for a project under the program. For purposes of
7 7 this subsection, "public organization" means a nonprofit
7 8 economic development organization or other nonprofit
7 9 organization that sponsors or supports community or tourism
7 10 attractions and activities. The financial assistance from the
7 11 fund shall be in the form of grants, loans, forgivable loans,
7 12 pledges, and guarantees. The application shall include, but
7 13 not be limited to, the following information:
7 14 a. The total capital investment of the project, including
7 15 but not limited to costs for construction, site acquisition,
7 16 and infrastructure improvement.
7 17 b. A description of the proposed financing including the
7 18 amount or percentage of local and private matching moneys to
7 19 be provided for the project.
7 20 c. The total number of jobs to be created or retained by
7 21 the project.
7 22 d. The need of the community for the project and for
7 23 financial assistance.
7 24 e. The long-term tax-generating impact of the project.
7 25 f. A discussion of how the project meets other criteria
7 26 established in this subchapter.
7 27 g. The projected long-term economic viability of the
7 28 project, including projected revenues and expenses.
7 29 3. A school district, in cooperation with a city or
7 30 county, may submit a joint application for financial
7 31 assistance for a project under the program. The financial
7 32 assistance shall be in the form of grants, loans, forgivable
7 33 loans, and loan guarantees. In addition to the information
7 34 required in subsection 2, the application shall include a
7 35 demonstration that the intended future use of the project
8 1 shall be by both joint applicants.
8 2 4. The department shall provide the board with assistance
8 3 in developing administrative rules for the program,
8 4 implementing administrative functions, marketing the program,
8 5 providing technical assistance and application assistance to
8 6 applicants under the program, negotiating contracts, and
8 7 providing project follow-up.
8 8 Sec. 11. NEW SECTION. 15F.303 ELIGIBILITY.
8 9 1. The total cost for a project must be at least twenty
8 10 million dollars in order for an applicant to receive financial
8 11 assistance under the program.
8 12 2. An applicant must demonstrate local and private
8 13 financial and nonfinancial support for the project. Local and
8 14 private nonfinancial support may include the cost of labor and
8 15 land. Local and private financial and nonfinancial support
8 16 shall be at least fifty percent of the total cost of the
8 17 project.
8 18 3. In order for a project to be eligible to receive
8 19 financial assistance, the project must satisfy all of the
8 20 following criteria:
8 21 a. The project is primarily a vertical infrastructure
8 22 project with demonstrated substantial regional or statewide
8 23 economic impact. For purposes of this paragraph, "vertical
8 24 infrastructure" means land acquisition and construction, major
8 25 renovation and major repair of buildings, all appurtenant
8 26 structures, utilities, site development, and recreational
8 27 trails. "Vertical infrastructure" does not include routine,
8 28 recurring maintenance or operational expenses or leasing of a
8 29 building, appurtenant structure, or utility without a lease-
8 30 purchase agreement.
8 31 b. The project supports or is strategically aligned with
8 32 other existing regional or statewide cultural, recreational,
8 33 entertainment, or educational activities.
8 34 c. The project provides benefits to persons living outside
8 35 the county in which the project is located.
9 1 d. The project will increase the diversity of activities
9 2 available to citizens, workers, families, and tourists, and
9 3 enhance recruitment and retention of young people as
9 4 residents.
9 5 e. The project has economic or other obstacles impeding
9 6 local financing of the project.
9 7 f. The project shall attract visitors from outside the
9 8 state.
9 9 4. The board shall not approve an application for
9 10 assistance for any of the following purposes:
9 11 a. To refinance an existing loan or debt.
9 12 b. For a project that has previously received assistance
9 13 under the program, unless the applicant demonstrates that the
9 14 assistance would be used for a significant expansion of a
9 15 project.
9 16 Sec. 12. NEW SECTION. 15F.304 VISION IOWA PROGRAM
9 17 APPLICATION REVIEW.
9 18 1. A review committee composed of eight members of the
9 19 board shall review vision Iowa program applications submitted
9 20 to the board and make recommendations regarding the
9 21 applications to the board. The review committee shall consist
9 22 of members of the board listed in section 15F.102, subsection
9 23 2, paragraphs "d" through "h".
9 24 2. When reviewing the applications, the review committee
9 25 shall consider, in addition to other criteria established in
9 26 this subchapter, all of the following:
9 27 a. Whether wages, benefits, including health benefits,
9 28 safety, and other attributes of the project would improve the
9 29 quality of other existing regional or statewide cultural,
9 30 recreational, entertainment, and educational activities or
9 31 employment in the community.
9 32 b. The extent to which the project would generate
9 33 additional attraction and tourism opportunities.
9 34 c. The ability of the project to produce a long-term tax-
9 35 generating economic impact in excess of the proposed financial
10 1 assistance from the vision Iowa fund.
10 2 d. The geographic diversity of the project in combination
10 3 with other proposed projects.
10 4 e. The investment of the city, county, or region in the
10 5 overall project.
10 6 f. Other funding mechanisms.
10 7 g. The long-term economic viability of the project.
10 8 3. Upon review of the recommendations of the review
10 9 committee, the board shall approve, defer, or deny the
10 10 applications.
10 11 DIVISION II
10 12 Sec. 13. NEW SECTION. 12.71 GENERAL AND SPECIFIC BONDING
10 13 POWERS – VISION IOWA PROGRAM.
10 14 1. The treasurer of state may issue bonds upon the request
10 15 of the vision Iowa board created in section 15F.102 and do all
10 16 things necessary with respect to the purposes of the vision
10 17 Iowa fund. The treasurer of state shall have all of the
10 18 powers which are necessary to issue and secure bonds and carry
10 19 out the purposes of the fund. The treasurer of state may
10 20 issue bonds in principal amounts which, in the opinion of the
10 21 treasurer of state, are necessary to provide sufficient funds
10 22 for the fund as requested by the vision Iowa board, the
10 23 payment of interest on the bonds, the establishment of
10 24 reserves to secure the bonds, the costs of issuance of the
10 25 bonds, other expenditures of the treasurer of state incident
10 26 to and necessary or convenient to carry out the bond issue for
10 27 the fund, and all other expenditures of the treasurer of state
10 28 necessary or convenient to administer the fund. The bonds are
10 29 investment securities and negotiable instruments within the
10 30 meaning of and for purposes of the uniform commercial code.
10 31 2. Bonds issued under this section are payable solely and
10 32 only out of the moneys, assets, or revenues of the vision Iowa
10 33 fund, all of which may be deposited with trustees or
10 34 depositories in accordance with bond or security documents and
10 35 pledged by the treasurer of state to the payment thereof.
11 1 Bonds issued under this section shall contain on their face a
11 2 statement that the bonds do not constitute an indebtedness of
11 3 the state. The treasurer of state shall not pledge the credit
11 4 or taxing power of this state or any political subdivision of
11 5 this state or make its debts payable out of any moneys except
11 6 those in the vision Iowa fund.
11 7 3. The proceeds of bonds issued by the treasurer of state
11 8 and not required for immediate disbursement may be deposited
11 9 with a trustee or depository as provided in the bond documents
11 10 and invested or reinvested in any investment approved by the
11 11 treasurer of state and specified in the trust indenture,
11 12 resolution, or other instrument pursuant to which the bonds
11 13 are issued without regard to any limitation otherwise provided
11 14 by law.
11 15 4. The bonds shall be:
11 16 a. In a form, issued in denominations, executed in a
11 17 manner, and payable over terms and with rights of redemption,
11 18 and be subject to such other terms and conditions as
11 19 prescribed in the trust indenture, resolution, or other
11 20 instrument authorizing their issuance.
11 21 b. Negotiable instruments under the laws of the state and
11 22 may be sold at prices, at public or private sale, and in a
11 23 manner, as prescribed by the treasurer of state. Chapters
11 24 73A, 74, 74A, and 75 do not apply to the sale or issuance of
11 25 the bonds.
11 26 c. Subject to the terms, conditions, and covenants
11 27 providing for the payment of the principal, redemption
11 28 premiums, if any, interest, and other terms, conditions,
11 29 covenants, and protective provisions safeguarding payment, not
11 30 inconsistent with this section and as determined by the trust
11 31 indenture, resolution, or other instrument authorizing their
11 32 issuance.
11 33 5. The bonds are securities in which public officers and
11 34 bodies of this state; political subdivisions of this state;
11 35 insurance companies and associations and other persons
12 1 carrying on an insurance business; banks, trust companies,
12 2 savings associations, savings and loan associations, and
12 3 investment companies; administrators, guardians, executors,
12 4 trustees, and other fiduciaries; and other persons authorized
12 5 to invest in bonds or other obligations of the state, may
12 6 properly and legally invest funds, including capital, in their
12 7 control or belonging to them.
12 8 6. Bonds must be authorized by a trust indenture,
12 9 resolution, or other instrument of the treasurer of state.
12 10 However, a trust indenture, resolution, or other instrument
12 11 authorizing the issuance of bonds may delegate to an officer
12 12 of the issuer the power to negotiate and fix the details of an
12 13 issue of bonds.
12 14 7. Neither the resolution, trust agreement, nor any other
12 15 instrument by which a pledge is created needs to be recorded
12 16 or filed under the Iowa uniform commercial code to be valid,
12 17 binding, or effective.
12 18 8. Bonds issued under the provisions of this section are
12 19 declared to be issued for a general public and governmental
12 20 purpose and all bonds issued under this section shall be
12 21 exempt from taxation by the state of Iowa and the interest on
12 22 the bonds shall be exempt from the state income tax and the
12 23 state inheritance and estate tax.
12 24 9. Subject to the terms of any bond documents, moneys in
12 25 the vision Iowa fund may be expended for administration
12 26 expenses.
12 27 10. The treasurer of state may issue its bonds for the
12 28 purpose of refunding any bonds or notes of the treasurer of
12 29 state then outstanding, including the payment of any
12 30 redemption premiums thereon and any interest accrued or to
12 31 accrue to the date of redemption of the outstanding bonds or
12 32 notes. Until the proceeds of bonds issued for the purpose of
12 33 refunding outstanding bonds or notes are applied to the
12 34 purchase or retirement of outstanding bonds or notes or the
12 35 redemption of outstanding bonds or notes, the proceeds may be
13 1 placed in escrow and be invested and reinvested in accordance
13 2 with the provisions of this section. The interest, income,
13 3 and profits earned or realized on an investment may also be
13 4 applied to the payment of the outstanding bonds or notes to be
13 5 refunded by purchase, retirement, or redemption. After the
13 6 terms of the escrow have been fully satisfied and carried out,
13 7 any balance of proceeds and interest earned or realized on the
13 8 investments may be returned to the board for use by it in any
13 9 lawful manner. All refunding bonds shall be issued and
13 10 secured and subject to the provisions of this chapter in the
13 11 same manner and to the same extent as other bonds issued
13 12 pursuant to this section.
13 13 Sec. 14. NEW SECTION. 12.72 VISION IOWA AND RESERVE
13 14 FUNDS.
13 15 1. A vision Iowa fund is created and established as a
13 16 separate and distinct fund in the state treasury. The fund
13 17 shall be used for purposes of the vision Iowa program
13 18 established in section 15F.302. An applicant under the vision
13 19 Iowa program shall not receive more than seventy-five million
13 20 dollars in financial assistance from the fund.
13 21 2. Revenue for the vision Iowa fund shall include, but is
13 22 not limited to, the following, which shall be deposited with
13 23 the treasurer of state or its designee as provided by any bond
13 24 or security documents and credited to the fund:
13 25 a. The proceeds of bonds issued to capitalize and pay the
13 26 costs of the fund and investment earnings on the proceeds.
13 27 b. Interest attributable to investment of money in the
13 28 fund or an account of the fund.
13 29 c. Moneys in the form of a devise, gift, bequest,
13 30 donation, federal or other grant, reimbursement, repayment,
13 31 judgment, transfer, payment, or appropriation from any source
13 32 intended to be used for the purposes of the fund.
13 33 3. Moneys in the vision Iowa fund are not subject to
13 34 section 8.33. Notwithstanding section 12C.7, subsection 2,
13 35 interest or earnings on moneys in the fund shall be credited
14 1 to the fund.
14 2 4. The treasurer of state may establish reserve funds to
14 3 secure one or more issues of its bonds or notes. The
14 4 treasurer of state may deposit in a reserve fund established
14 5 under this subsection the proceeds of the sale of its bonds or
14 6 notes and other money which is made available from any other
14 7 source. The treasurer of state may allow a reserve fund
14 8 established under this subsection to be depleted.
14 9 Sec. 15. NEW SECTION. 12.73 PLEDGES.
14 10 1. It is the intention of the general assembly that a
14 11 pledge made in respect of bonds or notes shall be valid and
14 12 binding from the time the pledge is made, that the money or
14 13 property so pledged and received after the pledge by the
14 14 authority shall immediately be subject to the lien of the
14 15 pledge without physical delivery or further act, and that the
14 16 lien of the pledge shall be valid and binding as against all
14 17 parties having claims of any kind in tort, contract, or
14 18 otherwise against the treasurer of state whether or not the
14 19 parties have notice of the lien.
14 20 2. The state pledges to and agrees with the holders of
14 21 bonds or notes issued under section 12.71, that the state will
14 22 not limit or alter the rights and powers vested in the
14 23 treasurer of state to fulfill the terms of a contract made by
14 24 the treasurer of state with respect to the bonds or notes, or
14 25 in any way impair the rights and remedies of the holders until
14 26 the bonds and notes, together with the interest on them
14 27 including interest on unpaid installments of interest, and all
14 28 costs and expenses in connection with an action or proceeding
14 29 by or on behalf of the holders, are fully met and discharged.
14 30 The treasurer of state is authorized to include this pledge
14 31 and agreement of the state, as it refers to holders of bonds
14 32 or notes of the authority, in a contract with the holders.
14 33 Sec. 16. NEW SECTION. 12.74 PROJECTS.
14 34 1. The vision Iowa board may undertake a project for two
14 35 or more applicants jointly or for any combination of
15 1 applicants, and may combine for financing purposes, with the
15 2 consent of all of the applicants which are involved, the
15 3 project and some or all future projects of any applicant, and
15 4 sections 12.71, 12.72, and 12.73, this section, and sections
15 5 12.75 and 12.76 apply to and for the benefit of the vision
15 6 Iowa board and the joint applicants. However, the money set
15 7 aside in a fund or funds pledged for any series or issue of
15 8 bonds or notes shall be held for the sole benefit of the
15 9 series or issue separate and apart from money pledged for
15 10 another series or issue of bonds or notes of the treasurer of
15 11 state. To facilitate the combining of projects, bonds or
15 12 notes may be issued in series under one or more resolutions or
15 13 trust agreements and may be fully open-ended, thus providing
15 14 for the unlimited issuance of additional series, or partially
15 15 open-ended, limited as to additional series.
15 16 2. For purposes of this section, "applicant" means a city
15 17 or county applying for financial assistance under the vision
15 18 Iowa program established in section 15F.302.
15 19 Sec. 17. NEW SECTION. 12.75 LIMITATIONS.
15 20 Bonds or notes issued pursuant to section 12.71 are not
15 21 debts of the state or of any political subdivision of the
15 22 state or a pledge of the faith and credit of the state or of
15 23 any political subdivision, but the bonds or notes are limited
15 24 obligations of the treasurer of state payable solely from the
15 25 funds or securities, pledged for their payment as authorized
15 26 in section 12.73, unless the bonds or notes are refunded by
15 27 refunding bonds or notes issued under section 12.71, which
15 28 refunding bonds or notes shall be payable solely from funds or
15 29 securities pledged for their payment as authorized in sections
15 30 12.71 and 12.73. All revenue bonds or notes shall contain on
15 31 their face a statement to the effect that the bonds or notes,
15 32 as to both principal and interest, are not bonds or notes of
15 33 the state, or of any political subdivision of the state, but
15 34 are limited obligations of the treasurer of state payable
15 35 solely from revenue or securities pledged for their payment.
16 1 Expenses incurred in carrying out sections 12.71 through
16 2 12.74, this section, and section 12.76 are payable solely from
16 3 funds available under those sections.
16 4 Sec. 18. NEW SECTION. 12.76 CONSTRUCTION.
16 5 Sections 12.71 through 12.75, being necessary for the
16 6 welfare of this state and its inhabitants, shall be liberally
16 7 construed to effect its purposes.
16 8 DIVISION III
16 9 Sec. 19. NEW SECTION. 292.1 DEFINITIONS.
16 10 As used in this chapter, unless the context otherwise
16 11 requires:
16 12 1. "Capacity per pupil" means the sum of a school
16 13 district's property tax infrastructure capacity per pupil and
16 14 the sales tax capacity per pupil.
16 15 2. "Committee" means the school budget review committee
16 16 established in section 257.30.
16 17 3. "Department" means the department of education
16 18 established in section 256.1.
16 19 4. "Fund" means the school infrastructure fund created in
16 20 section 292.3.
16 21 5. "Local match percentage" means a percentage equivalent
16 22 to either of the following, whichever is less:
16 23 a. Fifty percent.
16 24 b. The quotient of a school district's capacity per pupil
16 25 divided by the capacity per pupil of all school districts at
16 26 the fortieth percentile, multiplied by fifty, except that the
16 27 percentage in this paragraph shall not be less than twenty
16 28 percent.
16 29 6. "Program" means the school infrastructure program
16 30 established in section 292.2.
16 31 7. "Property tax infrastructure capacity per pupil" means
16 32 the sum of a school district's levies under sections 298.2 and
16 33 298.18 when the levies are imposed to the maximum extent
16 34 allowable under law in the budget year divided by the school
16 35 district's basic enrollment for the budget year.
17 1 8. "Sales tax capacity per pupil" means the estimated
17 2 amount of revenues that a school district receives or would
17 3 receive if a local sales and services tax for school
17 4 infrastructure is imposed at one percent pursuant to section
17 5 422E.2, divided by the school district's basic enrollment for
17 6 the budget year. For budget years beginning on or after July
17 7 1, 2001, the school district's actual enrollment shall be used
17 8 in the calculation in place of the school district's basic
17 9 enrollment for the budget year.
17 10 9. "School infrastructure" means activities initiated on
17 11 or after July 1, 2000, as authorized in section 296.1 but does
17 12 not include those activities related to stadiums, bus barns, a
17 13 home or homes of a teacher or superintendent, procuring a site
17 14 or sites or purchasing land to add to a site already owned or
17 15 procuring and improving a site for an athletic field, or
17 16 improving a site already owned for an athletic field.
17 17 Sec. 20. NEW SECTION. 292.2 SCHOOL INFRASTRUCTURE
17 18 PROGRAM.
17 19 1. a. The department shall establish and administer a
17 20 school infrastructure program to provide financial assistance
17 21 in the form of grants to school districts with school
17 22 infrastructure needs.
17 23 b. The department of education, in consultation with the
17 24 department of management, shall annually compute the property
17 25 tax infrastructure capacity per pupil for each school district
17 26 in the state.
17 27 c. The department of education, in consultation with the
17 28 department of revenue and finance and the legislative fiscal
17 29 bureau, shall annually calculate the estimated sales and
17 30 services tax for school infrastructure, if imposed at one
17 31 percent, that is or would be received by each school district
17 32 in the state pursuant to section 422E.3. These calculations
17 33 shall be made on a total tax and on a tax per pupil basis for
17 34 each school district.
17 35 d. The department of education, in consultation with the
18 1 department of revenue and finance and the department of
18 2 management, shall annually compute capacity per pupil and the
18 3 local match percentage for each school district in the state.
18 4 The initial calculations shall be released not later than
18 5 January 1, 2001. For all calculations thereafter, the
18 6 calculations shall be released not later than July 1 of each
18 7 year.
18 8 2. a. A school district may submit an application to the
18 9 department for financial assistance under the program if the
18 10 school district meets the district's local match percentage
18 11 requirement through one or more of the following sources:
18 12 (1) The issuance of bonds.
18 13 (2) Local sales and services tax moneys received pursuant
18 14 to section 422E.3.
18 15 (3) A physical plant and equipment levy under chapter 298.
18 16 (4) Other moneys locally obtained by the school district
18 17 excluding other state or federal grant moneys.
18 18 b. If the project is in collaboration with other public or
18 19 private entities, the school district shall be eligible to
18 20 apply for only the school district's portion of the project.
18 21 As such, state or federal grants received by the other
18 22 entities cannot be used toward the local match required under
18 23 paragraph "a", subparagraph (4).
18 24 c. A school district may submit an application for a
18 25 project which includes activities at more than one attendance
18 26 center. However, if the activities relate to new
18 27 construction, the project shall only relate to one attendance
18 28 center.
18 29 d. A school district may submit an application for
18 30 conditional approval to the department for financial
18 31 assistance under the program if the school district submits a
18 32 plan for securing the school district's local match percentage
18 33 as required under paragraph "a". If a school district does
18 34 not meet the requirements of paragraph "a" within nine months
18 35 of receiving conditional approval from the department, the
19 1 application for financial assistance shall be denied by the
19 2 department and the financial assistance shall be carried
19 3 forward to be made available under the allocation provided
19 4 under subsection 4, paragraph "d", for the next available
19 5 grant cycle.
19 6 e. For the fiscal year beginning July 1, 2000,
19 7 applications shall be submitted to the department by March 1,
19 8 2001. For the fiscal year beginning July 1, 2001, and every
19 9 fiscal year thereafter, applications shall be submitted to the
19 10 department by October 15 of each year.
19 11 f. For the fiscal year beginning July 1, 2000, the
19 12 department shall notify all approved applicants by May 1,
19 13 2001, regarding the approval of the application. For the
19 14 fiscal year beginning July 1, 2001, and every fiscal year
19 15 thereafter, the department shall notify all approved
19 16 applicants by December 15 of each year regarding the approval
19 17 of the application.
19 18 g. An applicant which is not successful in obtaining
19 19 financial assistance under the program may reapply for
19 20 financial assistance in succeeding years.
19 21 3. The application shall include, but shall not be limited
19 22 to, the following information:
19 23 a. The total capital investment of the project.
19 24 b. The amount and percentage of moneys which the school
19 25 district will be providing for the project.
19 26 c. The infrastructure needs of the school district,
19 27 especially the fire and health safety needs of the school
19 28 district, and including the extent to which the project would
19 29 allow the school district to meet the infrastructure needs of
19 30 the school district on a long-term basis.
19 31 d. The financial assistance needed by the school district
19 32 based upon the capacity per pupil.
19 33 e. Any previous efforts by the school district to secure
19 34 infrastructure funding from federal, state, or local
19 35 resources, including any funding received for any project
20 1 under the Iowa demonstration construction grant program. The
20 2 previous efforts shall be evaluated on a case-by-case basis.
20 3 f. Evidence that the school district meets or will meet
20 4 the local match percentage requirement in subsection 2,
20 5 paragraph "a".
20 6 g. The nature of the proposed project and its relationship
20 7 to improving educational opportunities for the students.
20 8 h. Evidence that the school district has reorganized on or
20 9 after July 1, 2000, or that the school district has initiated
20 10 a resolution to reorganize by July 1, 2004, or entered into an
20 11 innovative collaboration with another school district or
20 12 school districts.
20 13 i. Evidence that the school district receives sales and
20 14 services tax for school infrastructure funding under section
20 15 422E.3.
20 16 4. A school district shall not receive more than one grant
20 17 under the program. The financial assistance shall be in the
20 18 form of grants and shall be allocated in the following manner:
20 19 a. Twenty-five percent of the financial assistance each
20 20 year shall be awarded to school districts with an enrollment
20 21 of one thousand one hundred ninety-nine students or less.
20 22 b. Twenty-five percent of the financial assistance each
20 23 year shall be awarded to school districts with an enrollment
20 24 of more than one thousand one hundred ninety-nine students but
20 25 not more than four thousand seven hundred fifty students.
20 26 c. Twenty-five percent of the financial assistance each
20 27 year shall be awarded to school districts with an enrollment
20 28 of more than four thousand seven hundred fifty students.
20 29 d. Twenty-five percent of the financial assistance each
20 30 year, any financial assistance not awarded under paragraphs
20 31 "a" through "c", and financial assistance not awarded in
20 32 previous fiscal years shall be awarded to school districts
20 33 with any size enrollment.
20 34 5. A district shall receive the lesser of one million
20 35 dollars of financial assistance under the program, or the
21 1 total capital investment of the project minus the local match
21 2 requirement. The program shall provide grants each year for a
21 3 period of five years.
21 4 6. The school budget review committee shall review all
21 5 applications for financial assistance under the program and
21 6 make recommendations regarding the applications to the
21 7 department. The department shall make the final determination
21 8 on grant awards. The school budget review committee shall
21 9 base the recommendations on the criteria established pursuant
21 10 to subsections 3 and 7.
21 11 7. The department shall form a task force to review
21 12 applications for financial assistance and provide
21 13 recommendations to the school budget review committee. The
21 14 task force shall include, at a minimum, representatives from
21 15 the kindergarten through grade twelve education community, the
21 16 state fire marshal, and individuals knowledgeable in school
21 17 infrastructure and construction issues. The department, in
21 18 consultation with the task force, shall establish the
21 19 parameters and the details of the criteria for awarding grants
21 20 based on the information listed in subsection 3, including
21 21 greater priority to the following:
21 22 a. A school district with a lower capacity per pupil.
21 23 b. A school district whose plans address specific occupant
21 24 safety issues.
21 25 c. A school district reorganizing or collaborating as
21 26 described in subsection 3, paragraph "h".
21 27 d. A school district for which a sales and services tax
21 28 for school infrastructure has not been imposed pursuant to
21 29 section 422E.2 or a school district receiving minimal revenues
21 30 under section 422E.3 when the total enrollment of the school
21 31 district is considered.
21 32 8. Notwithstanding section 8.57, subsection 5, paragraph
21 33 "c", from the funds appropriated annually to this program, the
21 34 amount of fifty thousand dollars shall be allocated annually
21 35 during the term of the program, beginning on the effective
22 1 date of this Act, to the department of public safety for the
22 2 use of the state fire marshal. The funds shall be used by the
22 3 state fire marshal solely for the purpose of retaining an
22 4 architect or architectural firm to evaluate structures for
22 5 which grant applications are made, to consult with school
22 6 district representatives and builders, to review construction
22 7 drawings and blueprints, and to perform related duties at the
22 8 direction of the state fire marshal to ensure the best
22 9 possible use of moneys received under the program by a school
22 10 district.
22 11 9. An applicant receiving financial assistance under the
22 12 program shall submit a progress report to the department of
22 13 education as requested by the department which shall include a
22 14 description of the activities under the project, the status of
22 15 the implementation of the project, and any other information
22 16 required by the department.
22 17 Sec. 21. NEW SECTION. 292.3 SCHOOL INFRASTRUCTURE FUND.
22 18 1. A school infrastructure fund is created in the state
22 19 treasury under the control of the department consisting of
22 20 moneys appropriated by the general assembly and any other
22 21 moneys available to and obtained by the department for
22 22 placement in the fund.
22 23 2. The fund shall be used to provide financial assistance
22 24 in the form of grants under the school infrastructure program.
22 25 3. Moneys in the fund are not subject to section 8.33.
22 26 Sec. 22. NEW SECTION. 292.4 RULES.
22 27 The department shall adopt rules, pursuant to chapter 17A,
22 28 necessary for administering the school infrastructure program
22 29 and fund.
22 30 Sec. 23. Sections 15.371 through 15.373, Code Supplement
22 31 1999, are repealed.
22 32 Sec. 24. REPEAL AND REENACTMENT – CONTINUATION. The
22 33 repeal and reenactment of Code sections relating to the
22 34 community attraction and tourism development program and the
22 35 community attraction and tourism development fund are intended
23 1 to be a continuation of the prior statutes and not a new
23 2 enactment, so far as the new enactment is the same as the
23 3 prior statutes. The repeal and reenactment of Code sections
23 4 relating to the community attraction and tourism development
23 5 program and the community attraction and tourism development
23 6 fund shall not cause moneys in the current community
23 7 attraction and tourism development fund to revert to any other
23 8 fund but such moneys shall remain in the community attraction
23 9 and tourism fund established in Code section 15F.204 for
23 10 expenditure for subsequent fiscal years.
23 11 Sec. 25. This Act prevails over the provisions of 2000
23 12 Iowa Acts, House File 2392, if enacted, relating to any
23 13 amendments to the community attraction and tourism development
23 14 program and fund, which provisions are void.
23 15 EXPLANATION
23 16 This bill creates a vision Iowa board to administer a
23 17 community attraction and tourism program and a vision Iowa
23 18 program. The bill provides that the board consists of 13
23 19 members, with most members appointed for three-year staggered
23 20 terms. The bill provides that the board shall be located
23 21 within the department of economic development for
23 22 administrative purposes. The bill provides for the
23 23 compensation and reimbursement of expenses of board members.
23 24 The bill provides for the repeal of sections in the Code
23 25 relating to the community attraction and tourism development
23 26 program and fund, moves these sections to new Code chapter
23 27 15F, and changes the name to the community attraction and
23 28 tourism program and fund. The program is designed to assist
23 29 communities in the development and creation of multiple-
23 30 purpose attraction and tourism facilities. The bill amends
23 31 these sections by allowing a school district to submit a joint
23 32 application for financial assistance with a city or county.
23 33 The bill amends these sections by providing that an applicant
23 34 shall not receive financial assistance in an amount exceeding
23 35 50 percent of the total cost of a project. The bill amends
24 1 these sections by providing for a review committee consisting
24 2 of certain members of the board to review the applications for
24 3 assistance and make recommendations to the board. The bill
24 4 provides that upon review of the recommendations, the board
24 5 shall approve, defer, or deny the applications. The bill also
24 6 amends these sections by providing for the allocation of one-
24 7 third of the moneys in the fund to provide assistance to
24 8 cities with a population of 10,000 or less according to the
24 9 most recently published census and to counties with a
24 10 population that ranks in the bottom 33 counties according to
24 11 the most recently published census. The bill provides that
24 12 any allocated moneys which are not awarded by April 1 of each
24 13 fiscal year may be utilized to provide assistance to any city
24 14 or county in the state.
24 15 The bill provides for the establishment of the vision Iowa
24 16 program. The bill provides that the program is designed to
24 17 assist communities in the development of major tourism
24 18 facilities. The bill provides a review committee consisting
24 19 of certain members of the board to review the applications for
24 20 assistance and make recommendations to the board. The bill
24 21 provides that upon review of the recommendations, the board
24 22 shall approve, defer, or deny the applications. The bill
24 23 provides that the total cost of a project must be at least $20
24 24 million in order for an applicant to receive assistance. The
24 25 bill provides that local and private financial and
24 26 nonfinancial support must be demonstrated by the applicant and
24 27 such support must be at least 50 percent of the total cost of
24 28 the project. The bill provides that assistance under the
24 29 program shall not be used to refinance a loan or debt and a
24 30 project shall not receive more than one award under the
24 31 program unless the applicant demonstrates that the assistance
24 32 would be used for a significant expansion of the project.
24 33 The bill provides the treasurer of state with powers
24 34 relating to issuance of bonds and the deposit or disbursement
24 35 of bond proceeds. The bill provides that the bonds are
25 1 payable solely and only out of the moneys, assets, or revenues
25 2 of the vision Iowa fund. The bill provides for the form the
25 3 bonds shall take. The bill provides for persons authorized to
25 4 invest in the bonds, the manner in which the bonds shall be
25 5 authorized, and that the authorization does not need to be
25 6 recorded to be valid and binding. The bill provides that the
25 7 interest on the bonds shall be exempt from the state income
25 8 tax and the state inheritance and estate tax. The bill allows
25 9 the moneys in the vision Iowa fund to be used for
25 10 administrative purposes and allows the treasurer of state to
25 11 issue refunding bonds.
25 12 The bill provides for the creation of a vision Iowa fund as
25 13 a separate and distinct fund in the state treasury to be used
25 14 for purposes of the vision Iowa program. The bill provides
25 15 that revenue for the fund shall include proceeds of bonds
25 16 issued to capitalize the fund and other moneys received for
25 17 purposes of the fund. The bill provides that an applicant
25 18 shall not receive more than $75 million in financial
25 19 assistance from the fund. The bill provides the treasurer of
25 20 state with the power to establish reserve funds to secure one
25 21 or more issues of its bonds or notes.
25 22 The bill provides for the binding and valid nature of a
25 23 pledge made in respect of bonds or notes issued by the
25 24 treasurer of state. The bill provides that the state will not
25 25 limit or alter the rights and powers vested in the treasurer
25 26 of state to fulfill the terms of a contract made by the
25 27 treasurer of state with respect to bonds or notes.
25 28 The bill provides the board with the ability to undertake a
25 29 project for two or more applicants jointly and combine, for
25 30 financing purposes, a project with some or all future projects
25 31 of an applicant.
25 32 The bill provides that obligations issued by the treasurer
25 33 of state are not debts of the state or of any political
25 34 subdivision of the state or a pledge of the faith and credit
25 35 of the state or of any political subdivision, but the
26 1 obligations are limited obligations of the treasurer of state.
26 2 The bill provides for the liberal construction of the
26 3 bonding provisions of the bill.
26 4 The bill provides that repeal and reenactment of Code
26 5 sections relating to the community attraction and tourism
26 6 development program and fund are intended to be a continuation
26 7 of the prior statutes and that moneys in the current community
26 8 attraction and tourism fund shall not revert to any other
26 9 fund.
26 10 The bill creates a school infrastructure program and fund
26 11 to provide financial assistance in the form of grants to
26 12 certain school districts with infrastructure needs. The bill
26 13 provides that a school district may apply for financial
26 14 assistance under the program if the school meets the school
26 15 district's local match percentage through the issuance of
26 16 bonds, the local sales and services tax for school
26 17 infrastructure moneys received pursuant to section 422E.3, a
26 18 physical plant and equipment levy under Code chapter 298, or
26 19 other moneys locally obtained by the school district excluding
26 20 other state or federal grants. The bill provides that the
26 21 local match percentage means the lesser of 50 percent or the
26 22 quotient of the school district's capacity per pupil divided
26 23 by the capacity per pupil for all school districts at the
26 24 fortieth percentile multiplied by 50. However, the bill
26 25 provides that the local match percentage shall not be less
26 26 than 20 percent. The bill provides for the calculation of
26 27 capacity per pupil by the department of education, in
26 28 consultation with the department of revenue and finance, the
26 29 department of management, and the legislative fiscal bureau.
26 30 The bill provides that a school district may apply for
26 31 conditional approval of a grant in order to secure the
26 32 remaining costs of the project.
26 33 The department is required to form a task force to review
26 34 applications for financial assistance under the school
26 35 infrastructure program and provide recommendations to the
27 1 school budget review committee.
27 2 The bill requires the school budget review committee to
27 3 review all applications for financial assistance to determine
27 4 qualifying grant recipients and to make recommendations to the
27 5 department of education, with the department making final
27 6 grant awards. The school budget review committee's
27 7 recommendations shall be based on certain criteria. The bill
27 8 provides that, under the program, grants shall be awarded each
27 9 year plus any unexpended moneys from previous years for a
27 10 period of five years. The bill provides that a school
27 11 district shall not receive more than one grant under the
27 12 program and that the grant shall equal the lesser of $1
27 13 million or the total capital investment of the project minus
27 14 the local match requirement.
27 15 The bill allows for the appropriation of $50,000 annually
27 16 to the department of public safety from moneys appropriated
27 17 for purposes of this program to be used for retaining an
27 18 architect or architectural firm.
27 19 The bill provides that applicants receiving financial
27 20 assistance under the program shall submit a progress report to
27 21 the department of education as requested by the department.
27 22 The bill provides that this bill shall prevail over
27 23 provisions of 2000 Iowa Acts, House File 2392, if enacted,
27 24 relating to any amendments to the community attraction and
27 25 tourism development program and fund, which provisions are
27 26 void.
27 27 LSB 5232HH 78
27 28 tm/cls/14
Text: HF02574 Text: HF02576 Text: HF02500 - HF02599 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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