Text: SF02438 Text: SF02440 Text: SF02400 - SF02499 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 15.342A, Code Supplement 1999, is 1 2 amended to read as follows: 1 3 15.342A WORKFORCE DEVELOPMENT FUND ACCOUNT. 1 4 A workforce development fund account is established in the 1 5 office of the treasurer of state under the control of the 1 6 department. The account shall receive funds pursuant to 1 7 section 422.16A up to a maximum oftennine million dollars 1 8 per year. The account shall also receive funds pursuant to 1 9 section 15.251 with no dollar limitation. 1 10 Sec. 2. Section 260G.2, Code Supplement 1999, is amended 1 11 by adding the following new subsection: 1 12 NEW SUBSECTION. 12A. "Program job credit" means the 1 13 credit as provided in section 260G.4A. 1 14 Sec. 3. Section 260G.3, subsection 2, Code Supplement 1 15 1999, is amended to read as follows: 1 16 2. An agreement may include reasonable and necessary 1 17 provisions to implement the accelerated career education 1 18 program. If an agreement is entered into, the community 1 19 college and the employer shall notify the department of 1 20 revenue and finance as soon as possible. The community 1 21 college shall also file a copy of the agreement with the 1 22 department of economic development as required in section 1 23 260G.4B. The agreement shall provide for program costs, 1 24 including deferred costs, which may be paid from any of the 1 25 following sources: 1 26 a. Program job credits which the employer receives based 1 27 on the number of program job positions agreed to by the 1 28 employer to be available under the agreement. 1 29a.b. Cash or in-kind contributions by the employer toward 1 30 the program cost. At a minimum, the employer contribution 1 31 shall be twenty percent of the program costs. 1 32b.c. Tuition, student fees, or special charges fixed by 1 33 the board of directors to defray program costs. 1 34c.d. Guarantee by the employer of payments to be received 1 35 underparagraphparagraphs "a" and "b". 2 1 Sec. 4. NEW SECTION. 260G.4A PROGRAM JOB CREDITS FROM 2 2 WITHHOLDING. 2 3 In order to develop and retain program jobs within the 2 4 state, an agreement entered into under section 260G.3 may 2 5 include a provision for program job credits based on program 2 6 jobs identified in the agreement. If a program provides that 2 7 part of the program costs are to be met by receipt of program 2 8 job credits, the method to be used shall be as follows: 2 9 1. Program job credits shall be based upon the program job 2 10 positions identified and agreed to in the agreement. 2 11 2. Eligibility for program job credits shall be based on 2 12 certification of program job positions and program job wages 2 13 by the employer at the time established in the agreement. An 2 14 amount up to ten percent of the gross program job wage as 2 15 certified by the employer in the agreement shall be credited 2 16 from the total payment made by an employer pursuant to section 2 17 422.16. The employer shall receive a credit against all 2 18 withholding taxes due by the employer regardless of whether or 2 19 not the withholding from the employer of current program job 2 20 wages is less than ten percent. The employer shall remit the 2 21 amount of the credit quarterly in the same manner as 2 22 withholding payments are reported to the department of revenue 2 23 and finance, to the community college to be allocated to and 2 24 when collected paid into a special fund of the community 2 25 college to pay, in part, the program costs. When the program 2 26 costs have been paid, the employer credits shall cease and any 2 27 moneys received after the program costs have been paid shall 2 28 be remitted to the treasurer of state to be deposited in the 2 29 general fund of the state. 2 30 3. The employer shall certify to the department of revenue 2 31 and finance that the program job credit is in accordance with 2 32 the agreement and shall provide other information the 2 33 department may require. 2 34 4. A community college shall certify to the department of 2 35 revenue and finance that the amount of the program job credit 3 1 is in accordance with an agreement and shall provide other 3 2 information the department may require. 3 3 5. Employees from an employer participating in an 3 4 agreement shall receive full credit for the amount withheld as 3 5 provided in section 422.16. 3 6 Sec. 5. NEW SECTION. 260G.4B MAXIMUM STATEWIDE PROGRAM 3 7 JOB CREDIT. 3 8 1. The total amount of program job credits from all 3 9 employers which shall be allocated for all accelerated career 3 10 education programs in the state in any one fiscal year shall 3 11 not exceed the sum of three million dollars in the fiscal year 3 12 beginning July 1, 2000, six million dollars in the fiscal year 3 13 beginning July 1, 2001, and six million dollars in the fiscal 3 14 year beginning July 1, 2002, and every fiscal year thereafter. 3 15 Any increase in program job credits above the six-million- 3 16 dollar limitation per fiscal year shall be developed, based on 3 17 recommendations in a study which shall be conducted by the 3 18 department of economic development of the needs and 3 19 performance of approved programs in the fiscal years beginning 3 20 July 1, 2000, and July 1, 2001. The study's findings and 3 21 recommendations shall be submitted to the general assembly by 3 22 the department by December 31, 2002. The study shall include 3 23 but not be limited to an examination of the quality of the 3 24 programs, the number of program participant placements, the 3 25 wages and benefits in program jobs, the level of employer 3 26 contributions, the size of participating employers, and 3 27 employer locations. A community college shall file a copy of 3 28 each agreement with the department of economic development. 3 29 The department shall maintain an annual record of the proposed 3 30 program job credits under each agreement for each fiscal year. 3 31 Upon receiving a copy of an agreement, the department shall 3 32 allocate any available amount of program job credits to the 3 33 community college according to the agreement sufficient for 3 34 the fiscal year and for the term of the agreement. When the 3 35 total available program job credits are allocated for a fiscal 4 1 year, the department shall notify all community colleges that 4 2 the maximum amount has been allocated and that further program 4 3 job credits will not be available for the remainder of the 4 4 fiscal year. Once program job credits have been allocated to 4 5 a community college, the full allocation shall be received by 4 6 the community college throughout the fiscal year and for the 4 7 term of the agreement even if the statewide program job credit 4 8 maximum amount is subsequently allocated and used. 4 9 2. For the fiscal years beginning July 1, 2000, and July 4 10 1, 2001, the department of economic development shall allocate 4 11 eighty thousand dollars of the first one million two hundred 4 12 thousand dollars of program job credits authorized and 4 13 available for that fiscal year to each community college. 4 14 This allocation shall be used by each community college to 4 15 provide funding for approved programs. For the fiscal year 4 16 beginning July 1, 2002, and for every fiscal year thereafter, 4 17 the department of economic development shall divide equally 4 18 among the community colleges thirty percent of the program job 4 19 credits available for that fiscal year for allocation to each 4 20 community college to be used to provide funding for approved 4 21 programs. If any portion of the allocation to a community 4 22 college under this subsection has not been committed by April 4 23 1 of the fiscal year for which the allocation is made, the 4 24 uncommitted portion is available for use by other community 4 25 colleges. Once a community college has committed its 4 26 allocation for any fiscal year under this subsection, the 4 27 community college may receive additional program job credit 4 28 allocations from those program job credits authorized and 4 29 still available for that fiscal year. 4 30 Sec. 6. NEW SECTION. 260G.4C FACILITATOR. 4 31 The department of economic development shall administer the 4 32 statewide allocations of program job credits to accelerated 4 33 career education programs. The department shall collect data 4 34 related to the programs and prepare an annual report regarding 4 35 the activities of the programs during the previous fiscal 5 1 year. The report shall be submitted to the governor and the 5 2 general assembly by December 31 of each year. 5 3 Sec. 7. NEW SECTION. 260G.7 FUTURE PROGRAM 5 4 DISCONTINUANCE. 5 5 The general assembly shall act on or before March 1, 2006, 5 6 to discontinue the program job credits from withholding 5 7 provided for in section 260G.4A. 5 8 Sec. 8. NEW SECTION. 261.22 ACCELERATED CAREER EDUCATION 5 9 GRANTS. 5 10 1. An accelerated career education grant program is 5 11 established to be administered by the college student aid 5 12 commission. An individual is eligible for the grant program 5 13 if the individual is a resident of this state who is enrolled 5 14 at a community college as a participant in an accelerated 5 15 career education program in accordance with the provisions of 5 16 chapter 260G. The college student aid commission shall adopt 5 17 rules pursuant to chapter 17A for determining financial need 5 18 and to administer this section and shall develop and implement 5 19 a method for allocating moneys based upon the need for skills 5 20 and occupations for which an applied technical education is 5 21 required. 5 22 2. To be eligible to receive a grant under this section, 5 23 an applicant shall, in accordance with the rules of the 5 24 commission, do the following: 5 25 a. Complete and file an application for an accelerated 5 26 career education grant. The individual shall be responsible 5 27 for the prompt submission of any information required by the 5 28 commission. 5 29 b. File a new application and submit information as 5 30 required by the commission annually on the basis of which the 5 31 applicant's eligibility for the renewed grant will be 5 32 evaluated and determined. 5 33 3. If a student receives financial aid from any source 5 34 other than the program established under this section, the 5 35 full amount of such financial aid shall be considered part of 6 1 the student's financial resources available in determining the 6 2 amount of the student's financial need for the period of the 6 3 financial aid. Grant moneys received by a student in 6 4 accordance with this section shall be used to pay the 6 5 student's cost of attendance, which includes community college 6 6 tuition and fees, materials, textbooks and supplies, 6 7 transportation, room and board, dependent care during the time 6 8 the person is in class, and the purchase or rental of a 6 9 computer. 6 10 4. The amount of the grant shall not exceed a student's 6 11 annual financial need or two thousand dollars, whichever is 6 12 less. The grants shall be awarded on an annual basis. 6 13 Applicants who meet the application deadline shall be ranked 6 14 by the commission in order of need. The commission shall 6 15 award grants to applicants in order of need beginning with 6 16 applicants with the greatest need, insofar as funds permit. 6 17 If a student receiving grant moneys discontinues attendance 6 18 before the end of any term, the entire amount of any refund 6 19 due that student, up to the amount of any payments made under 6 20 the grant, shall be paid by the institution to the state for 6 21 deposit in the accelerated career education grant fund. 6 22 5. An accelerated career education grant fund is created 6 23 in the state treasury as a separate fund under the control of 6 24 the commission. Moneys in the fund shall be used for 6 25 accelerated career education grants. The fund shall consist 6 26 of any moneys appropriated by the general assembly and any 6 27 other moneys available to and obtained or accepted by the 6 28 commission from the federal government or private sources for 6 29 placement in the fund. Notwithstanding section 8.33, any 6 30 balance in the fund on June 30 of each fiscal year shall not 6 31 revert to the general fund of the state, but shall be 6 32 available for the purposes of this section in subsequent 6 33 fiscal years. 6 34 6. By December 15 of each year, the commission shall 6 35 submit a report to the general assembly, the department of 7 1 management, and the legislative fiscal bureau including, but 7 2 not limited to, all of the following data: 7 3 a. The total funding of the grant program for the previous 7 4 fiscal year itemized by type of funding including state, 7 5 federal, or other funding. The information shall also be 7 6 provided according to each community college. 7 7 b. The expenditures under the grant program and related 7 8 information of the grant program including, but not limited 7 9 to, all of the following: 7 10 (1) The number of participants in the accelerated career 7 11 education program receiving moneys under the grant program. 7 12 (2) The number of participants in the accelerated career 7 13 education program receiving moneys under the grant program who 7 14 remain in the state upon completion of a program agreement. 7 15 (3) The number of participants in the accelerated career 7 16 education program receiving moneys under the grant program who 7 17 successfully complete a program agreement and the number who 7 18 fail to successfully complete a program agreement. 7 19 c. Any other information requested by the general 7 20 assembly. 7 21 Sec. 9. Section 422.16A, Code 1999, is amended to read as 7 22 follows: 7 23 422.16A JOB TRAINING WITHHOLDING – CERTIFICATION AND 7 24 TRANSFER. 7 25 Upon the completion by a business of its repayment 7 26 obligation for a training project funded under chapter 260E, 7 27 including a job training project funded under section 15A.8 or 7 28 repaid in whole or in part by the supplemental new jobs credit 7 29 from withholding under section 15A.7 or section 15.331, the 7 30 sponsoring community college shall report to the department of 7 31 economic development the amount of withholding paid by the 7 32 business to the community college during the final twelve 7 33 months of withholding payments. The department of economic 7 34 development shall notify the department of revenue and finance 7 35 of that amount. The department shall credit to the workforce 8 1 development fund account established in section 15.342A 8 2 twenty-five percent of that amount each quarter for a period 8 3 of ten years. If the amount of withholding from the business 8 4 or employer is insufficient, the department shall prorate the 8 5 quarterly amount credited to the workforce development fund 8 6 account. The maximum amount from all employers which shall be 8 7 transferred to the workforce development fund account in any 8 8 year istennine million dollars. 8 9 Sec. 10. EFFECTIVE DATE. This Act, being deemed of 8 10 immediate importance, takes effect upon enactment. 8 11 SF 2439 8 12 tm/cc/26
Text: SF02438 Text: SF02440 Text: SF02400 - SF02499 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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