Text: HSB00060                          Text: HSB00062
Text: HSB00000 - HSB00099               Text: HSB Index
Bills and Amendments: General Index     Bill History: General Index

House Study Bill 61

Bill Text

PAG LIN
  1  1    Section 1.  Section 403.22, subsection 1, Code 2003, is
  1  2 amended to read as follows:
  1  3    1.  With respect to any urban renewal area established upon
  1  4 the determination that the area is an economic development
  1  5 area, a division of revenue as provided in section 403.19
  1  6 shall not be allowed for the purpose of providing or aiding in
  1  7 the provision of public improvements related to housing and
  1  8 residential development, unless the municipality assures that
  1  9 the project will include assistance for low and moderate
  1 10 income family housing.  For a municipality with a population
  1 11 over fifteen thousand, the The amount of assistance to be
  1 12 provided for low and moderate income family housing for such
  1 13 projects shall be either equal to or greater than the
  1 14 percentage twenty percent of the original project cost that is
  1 15 equal to the percentage of low and moderate income residents
  1 16 for the county in which the urban renewal area is located as
  1 17 determined by the United States department of housing and
  1 18 urban development using section 8 guidelines or by providing
  1 19 such other amount as set out in a plan adopted by the
  1 20 municipality and approved by the Iowa department of economic
  1 21 development if the municipality can show that it cannot
  1 22 undertake the project if it has to meet the low and moderate
  1 23 income assistance requirements.  However, the amount provided
  1 24 for low and moderate income family housing for such projects
  1 25 shall not be less than an amount equal to ten percent of the
  1 26 original project cost.
  1 27    For a municipality with a population of fifteen thousand or
  1 28 less, the amount to be provided for low and moderate income
  1 29 family housing shall be the same as for a municipality of over
  1 30 fifteen thousand in population, except that a municipality of
  1 31 fifteen thousand or less in population is not subject to the
  1 32 requirement to provide not less than an amount equal to ten
  1 33 percent of the original project cost for low and moderate
  1 34 income family housing.
  1 35    For a municipality with a population of five thousand or
  2  1 less, the municipality need not provide any low and moderate
  2  2 income family housing assistance if the municipality has
  2  3 completed a housing needs assessment meeting the standards set
  2  4 out by the department of economic development, which shows no
  2  5 low and moderate income housing need, and the department of
  2  6 economic development agrees that no low and moderate income
  2  7 family housing assistance is needed.
  2  8    Sec. 2.  APPLICABILITY.  This Act applies to property tax
  2  9 revenues divided pursuant to section 403.19 for fiscal years
  2 10 beginning on or after July 1, 2003.  
  2 11                           EXPLANATION
  2 12    This bill makes changes to the low and moderate income
  2 13 housing assistance requirements in the urban renewal and tax
  2 14 increment financing law.
  2 15    Under current law, tax increment revenues from an economic
  2 16 development urban renewal area located in a municipality with
  2 17 a population over 15,000 must be set aside for low and
  2 18 moderate income housing assistance in an amount equal to the
  2 19 proportion of low and moderate income persons in the county
  2 20 where the urban renewal area is located.  A variance setting a
  2 21 lower amount of assistance may be granted by the department of
  2 22 economic development, but the amount shall not be less than 10
  2 23 percent of the urban renewal project cost.  Municipalities
  2 24 with fewer than 15,000 have the same housing assistance
  2 25 requirements except that a variance granted to such a
  2 26 municipality may allow less than 10 percent of the project
  2 27 cost in housing assistance.  A municipality with a population
  2 28 of 5,000 or less is exempt from the housing assistance
  2 29 requirement if the municipality conducts a housing needs
  2 30 assessment and the assessment shows no low and moderate income
  2 31 housing needs.
  2 32    The bill eliminates the population differentials and
  2 33 requires that all municipalities provide low and moderate
  2 34 income housing assistance equal to at least 20 percent of the
  2 35 urban renewal project cost.  The bill also eliminates the
  3  1 variance option and eliminates the exemption based on a
  3  2 housing needs assessment.
  3  3    The bill applies to tax increment finance revenues for
  3  4 fiscal years beginning on or after July 1, 2003.  
  3  5 LSB 1261DP 80
  3  6 sc/pj/5

Text: HSB00060                          Text: HSB00062
Text: HSB00000 - HSB00099               Text: HSB Index
Bills and Amendments: General Index     Bill History: General Index

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