Text: HSB00057                          Text: HSB00059
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House Study Bill 58

Bill Text

PAG LIN
  1  1    Section 1.  Section 15.330, Code 2003, is amended to read
  1  2 as follows:
  1  3    15.330  AGREEMENT – NONCOMPLIANCE – PENALTIES.
  1  4    1.  A business or group of businesses shall enter into an
  1  5 agreement with the department specifying the requirements
  1  6 which must be met to satisfy the criteria of section 15.329.
  1  7 The department shall consult with the community during
  1  8 negotiations relating to the agreement.  The agreement shall
  1  9 contain the following provisions:
  1 10    1. a.  If the business or group of businesses has not met
  1 11 more than ninety percent of the job creation requirement in
  1 12 section 15.329, subsection 1, paragraph "f", it shall pay a
  1 13 percentage of the incentive received under section 15.334, or
  1 14 if the business or group of businesses does not receive the
  1 15 incentive under section 15.334, then under section 15.333 as
  1 16 follows:
  1 17    a. (1)  If the business or group of businesses has met
  1 18 fifty percent or less of the requirement, the business or
  1 19 group of businesses shall pay the same percentage in benefits
  1 20 as the business or group of businesses failed to create in
  1 21 jobs.
  1 22    b. (2)  If the business or group of businesses has met more
  1 23 than fifty percent but not more than seventy-five percent of
  1 24 the requirement, the business or group of businesses shall pay
  1 25 one-half of the percentage in benefits as the business or
  1 26 group of businesses failed to create in jobs.
  1 27    c. (3)  If the business or group of businesses has met more
  1 28 than seventy-five percent but not more than ninety percent of
  1 29 the requirement, the business or group of businesses shall pay
  1 30 one quarter of the percentage in benefits as the business or
  1 31 group of businesses failed to create in jobs.
  1 32    2. b.  If a business or group of businesses does not meet
  1 33 the wage requirement of section 15.329, subsection 1, or any
  1 34 of the three criteria selected by the business or group of
  1 35 businesses under section 15.329, subsection 2, in any one
  2  1 year, it must meet that requirement in the following year or
  2  2 forfeit the incentives for that year.
  2  3    c.  If a business or group of businesses approved to
  2  4 receive incentives under this part experiences a layoff within
  2  5 the state or closes any of its facilities within the state
  2  6 prior to receiving the incentives, the department may reduce
  2  7 or eliminate some or all of the incentives.  If a business or
  2  8 group of businesses receives incentives under this part and
  2  9 experiences a layoff within the state or closes any of its
  2 10 facilities within the state, the business or group of
  2 11 businesses may be subject to repayment of some or all of the
  2 12 incentives received by the business or group of businesses.
  2 13    2.  The department shall adopt rules for repayment of
  2 14 incentives by the business or group of businesses if the
  2 15 business or group of businesses has not met any of the
  2 16 requirements of this part.
  2 17    Sec. 2.  Section 15.331B, subsection 3, Code 2003, is
  2 18 amended to read as follows:
  2 19    3.  An eligible business shall not receive the exemption
  2 20 under this section unless it has applied to be designated an
  2 21 exempt business by July 1, 2002 2003.
  2 22    Sec. 3.  Section 427B.17, subsection 5, unnumbered
  2 23 paragraph 2, Code 2003, is amended to read as follows:
  2 24    Any electric power generating plant which operated during
  2 25 the preceding assessment year at a net capacity factor of more
  2 26 than twenty percent, shall not receive the benefits of this
  2 27 section or of sections section 15.332 and 15.334.  For
  2 28 purposes of this section, "electric power generating plant"
  2 29 means any nameplate rated electric power generating plant, in
  2 30 which electric energy is produced from other forms of energy,
  2 31 including all taxable land, buildings, and equipment used in
  2 32 the production of such energy.  "Net capacity factor" means
  2 33 net actual generation divided by the product of net maximum
  2 34 capacity times the number of hours the unit was in the active
  2 35 state during the assessment year.  Upon commissioning, a unit
  3  1 is in the active state until it is decommissioned.  "Net
  3  2 actual generation" means net electrical megawatt hours
  3  3 produced by the unit during the preceding assessment year.
  3  4 "Net maximum capacity" means the capacity the unit can sustain
  3  5 over a specified period when not restricted by ambient
  3  6 conditions or equipment deratings, minus the losses associated
  3  7 with station service or auxiliary loads.
  3  8    Sec. 4.  Sections 15.334 and 15.334A, Code 2003, are
  3  9 repealed.
  3 10    Sec. 5.  EFFECTIVE AND RETROACTIVE APPLICABILITY DATES.
  3 11 Section 2 of this bill, amending Code section 15.331B, being
  3 12 deemed of immediate importance, takes effect upon enactment
  3 13 and applies retroactively to July 1, 2002.  
  3 14                           EXPLANATION
  3 15    This bill makes statutory changes to the new jobs and
  3 16 income program administered by the department of economic
  3 17 development.
  3 18    The bill adds a requirement to be included in new jobs and
  3 19 income program agreements.  The bill provides that agreements
  3 20 shall include a provision that if a business or group of
  3 21 businesses is approved to receive or actually receives
  3 22 incentives under the program and the business or group of
  3 23 businesses experiences a layoff within the state or closes any
  3 24 of its facilities within the state, the department may reduce
  3 25 or eliminate incentives that have not yet been received or may
  3 26 require repayment of some or all of the incentives received.
  3 27    The bill extends the sunset of the application date from
  3 28 July 1, 2002, to July 1, 2003, for the exemption from land
  3 29 ownership restrictions for nonresident aliens.  This provision
  3 30 takes effect upon enactment and applies retroactively to July
  3 31 1, 2002.
  3 32    The bill repeals two provisions in the new jobs and income
  3 33 program relating to a property tax exemption and a sales and
  3 34 use tax exemption for machinery, equipment, and computers.
  3 35 The bill makes conforming amendments to the repeals.  
  4  1 LSB 1263DP 80
  4  2 tm/sh/8 
     

Text: HSB00057                          Text: HSB00059
Text: HSB00000 - HSB00099               Text: HSB Index
Bills and Amendments: General Index     Bill History: General Index

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