House Amendment 8349


PAG LIN




     1  1    Amend Senate File 2183, as passed by the Senate, as
     1  2 follows:
     1  3 #1.  By striking everything after the enacting
     1  4 clause and inserting the following:
     1  5    <Section 1.  Section 15E.192, subsection 2, Code
     1  6 Supplement 2005, is amended to read as follows:
     1  7    2.  A city with a population of twenty=four
     1  8 thousand or more which includes at least three census
     1  9 tracts with at least fifty percent of the population
     1 10 in each census tract located in the city, as shown by
     1 11 the 2000 certified federal census, may create an
     1 12 economic development enterprise zone as authorized in
     1 13 this division, subject to certification by the
     1 14 department of economic development, by designating one
     1 15 or more contiguous census tracts, as determined in the
     1 16 most recent federal census, or designating other
     1 17 geographic units approved by the department of
     1 18 economic development for that purpose.  If there is an
     1 19 area in the city which meets the requirements for
     1 20 eligibility for an urban or rural enterprise community
     1 21 under Title XIII of the federal Omnibus Budget
     1 22 Reconciliation Act of 1993, such area shall be
     1 23 designated by the state as an economic development
     1 24 enterprise zone.  The area meeting the requirements
     1 25 for eligibility for an urban or rural enterprise
     1 26 community shall not be included for the purpose of
     1 27 determining the area limitation pursuant to subsection
     1 28 3.  In creating an enterprise zone, a city with a
     1 29 population of twenty=four thousand or more which
     1 30 includes at least three census tracts with at least
     1 31 fifty percent of the population in each census tract
     1 32 located in the city, as shown by the 2000 certified
     1 33 federal census, may designate as part of the area
     1 34 tracts or approved geographic units located in a
     1 35 contiguous city if such tracts or approved geographic
     1 36 units meet the criteria and the city agrees to being
     1 37 included.  The city may establish more than one
     1 38 enterprise zone.  Reference in this division to "city"
     1 39 means a city with a population of twenty=four thousand
     1 40 or more which includes at least three census tracts
     1 41 with at least fifty percent of the population in each
     1 42 census tract located in the city, as shown by the 2000
     1 43 certified federal census.
     1 44    Sec. 2.  Section 15E.192, Code Supplement 2005, is
     1 45 amended by adding the following new subsections:
     1 46    NEW SUBSECTION.  2A.  A city may create an economic
     1 47 development enterprise zone as authorized in this
     1 48 division, subject to certification by the department
     1 49 of economic development, by designating up to four
     1 50 square miles of the city for that purpose.  In order
     2  1 for an enterprise zone to be certified pursuant to
     2  2 this subsection, an enterprise zone shall meet the
     2  3 distress criteria provided in section 15E.194,
     2  4 subsection 2A.  Section 15E.194, subsection 2, shall
     2  5 not apply to an enterprise zone certified pursuant to
     2  6 this subsection.  A cumulative total of not more than
     2  7 twenty=five million dollars worth of incentives and
     2  8 assistance under section 15E.196, subsections 1, 2, 3,
     2  9 4, and 6, shall be awarded to businesses located in
     2 10 enterprise zones certified prior to July 1, 2007,
     2 11 pursuant to this subsection.  For the fiscal period
     2 12 beginning July 1, 2007, and ending June 30, 2010, each
     2 13 fiscal year a cumulative total of not more than
     2 14 twenty=five million dollars worth of incentives and
     2 15 assistance under section 15E.196, subsections 1, 2, 3,
     2 16 4, and 6, shall be awarded to businesses located in
     2 17 enterprise zones certified during that fiscal year
     2 18 pursuant to this subsection.  A business located in an
     2 19 enterprise zone certified pursuant to this subsection
     2 20 that receives incentives and assistance shall have up
     2 21 to two fiscal years after the fiscal year in which
     2 22 incentives and assistance are awarded to use or expend
     2 23 such incentives and assistance.  Any incentives and
     2 24 assistance that remain unused or unexpended at the end
     2 25 of a project or by June 30 of the second fiscal year
     2 26 after the fiscal year in which the incentives and
     2 27 assistance were awarded shall be credited to the
     2 28 fiscal year in which the incentives and assistance
     2 29 were awarded and may be awarded by the department to a
     2 30 different business.  For purposes of this subsection
     2 31 and section 15E.194, subsection 2A, "city" means a
     2 32 city that includes at least three census tracts, as
     2 33 determined in the most recent federal census.
     2 34    NEW SUBSECTION.  2B.  A city that includes at least
     2 35 two census tracts with at least fifty percent of the
     2 36 population in each census tract located in the city
     2 37 may create an economic development enterprise zone as
     2 38 authorized in this division, subject to certification
     2 39 by the department of economic development as provided
     2 40 in section 15E.194, subsection 3.  An enterprise zone
     2 41 under this subsection shall not be required to meet
     2 42 any distress criteria.
     2 43    Sec. 3.  Section 15E.192, subsection 3, paragraph
     2 44 b, Code Supplement 2005, is amended to read as
     2 45 follows:
     2 46    b.  A county or city may apply to the department
     2 47 for an area to be certified as an enterprise zone at
     2 48 any time prior to March 1, 2006.  However, the total
     2 49 amount of land designated as enterprise zones under
     2 50 subsections 1 and 2 subsection 1, and any other
     3  1 enterprise zones certified by the department,
     3  2 excluding those approved pursuant to subsection 2B and
     3  3 section 15E.194, subsection subsections 2A and 4,
     3  4 shall not exceed in the aggregate one percent of the
     3  5 total county area.
     3  6    Sec. 4.  Section 15E.192, subsection 4, Code
     3  7 Supplement 2005, is amended to read as follows:
     3  8    4.  An enterprise zone designation shall remain in
     3  9 effect for ten years following the date of
     3 10 certification until one year following the completion
     3 11 of the designation of census tracts for the state as
     3 12 part of the 2010 census process.  Any state or local
     3 13 incentives or assistance that may be conferred must be
     3 14 conferred before the designation expires.  However,
     3 15 the benefits of the incentive or assistance may
     3 16 continue beyond the expiration.
     3 17    Sec. 5.  Section 15E.193B, subsection 1, Code
     3 18 Supplement 2005, is amended to read as follows:
     3 19    1.  A housing business qualifying under this
     3 20 section is eligible to receive incentives and
     3 21 assistance only as provided in this section.  An
     3 22 eligible housing business shall not receive incentives
     3 23 or assistance for a home or multiple dwelling unit
     3 24 built or rehabilitated in an enterprise zone
     3 25 designated pursuant to section 15E.194, subsection 2A
     3 26 or 4.  Sections 15E.193 and 15E.196 do not apply to an
     3 27 eligible housing business qualifying under this
     3 28 section.
     3 29    Sec. 6.  Section 15E.194, Code 2005, is amended by
     3 30 adding the following new subsection:
     3 31    NEW SUBSECTION.  2A.  A city may designate an area
     3 32 of up to four square miles to be an enterprise zone if
     3 33 the area includes or is located within four miles of
     3 34 at least three of the following:
     3 35    a.  A commercial service airport.
     3 36    b.  A barge terminal or a navigable waterway.
     3 37    c.  Entry to a rail line.
     3 38    d.  Entry to an interstate highway.
     3 39    e.  Entry to a commercial and industrial highway
     3 40 network as identified pursuant to section 313.2A.
     3 41    An eligible housing business under section 15E.193B
     3 42 shall not receive incentives or assistance for a home
     3 43 or multiple dwelling unit built or rehabilitated in an
     3 44 enterprise zone designated pursuant to this
     3 45 subsection.
     3 46    Sec. 7.  Section 15E.194, subsection 3, Code 2005,
     3 47 is amended to read as follows:
     3 48    3.  The department of economic development shall
     3 49 certify eligible enterprise zones that meet the
     3 50 requirements of subsection 1 upon request by the
     4  1 county, or subsection 2 upon request by the city, or
     4  2 subsection 2A upon request by the city, as applicable.
     4  3 Once every two years, the department may certify one
     4  4 enterprise zone pursuant to section 15E.192,
     4  5 subsection 2B.
     4  6    Sec. 8.  Section 15E.195, subsection 2, Code 2005,
     4  7 is amended to read as follows:
     4  8    2.  A city with a population of twenty=four
     4  9 thousand or more which includes at least three census
     4 10 tracts with at least fifty percent of the population
     4 11 in each census tract located in the city and which
     4 12 designates an enterprise zone pursuant to section
     4 13 15E.194, subsection 2 or 2A, and in which an eligible
     4 14 enterprise zone is certified shall establish an
     4 15 enterprise zone commission to review applications from
     4 16 qualified businesses located within or requesting to
     4 17 locate within an enterprise zone to receive incentives
     4 18 or assistance as provided in section 15E.196.  The
     4 19 enterprise zone commission shall review applications
     4 20 from qualified housing businesses requesting to
     4 21 receive incentives or assistance as provided in
     4 22 section 15E.193B.  The commission shall consist of
     4 23 nine members.  Six of these members shall consist of
     4 24 one representative of an international labor
     4 25 organization, one member with economic development
     4 26 expertise chosen by the department of economic
     4 27 development, one representative of the city council,
     4 28 one member of the local community college board of
     4 29 directors, one member of the city planning and zoning
     4 30 commission, and one representative of the local
     4 31 workforce development center.  These six members shall
     4 32 select the remaining three members.  If the enterprise
     4 33 zone consists of an area meeting the requirements for
     4 34 eligibility for an urban enterprise community under
     4 35 Title XIII of the federal Omnibus Budget
     4 36 Reconciliation Act of 1993, one of the remaining three
     4 37 members shall be a representative of that community.
     4 38 If a city contiguous to the city designating the
     4 39 enterprise zone is included in an enterprise zone, a
     4 40 representative of the contiguous city, chosen by the
     4 41 city council, shall be a member of the commission.  A
     4 42 city in which an eligible enterprise zone is certified
     4 43 shall have only one enterprise zone commission.  If a
     4 44 city has established an enterprise zone commission
     4 45 prior to July 1, 1998, the city may petition to the
     4 46 department of economic development to change the
     4 47 structure of the existing commission.
     4 48    Sec. 9.  EFFECTIVE AND RETROACTIVE APPLICABILITY
     4 49 DATES.  This Act, being deemed of immediate
     4 50 importance, takes effect upon enactment and, if
     5  1 enacted after March 1, 2006, applies retroactively to
     5  2 March 1, 2006.>
     5  3 #2.  Title page, by striking lines 1 and 2 and
     5  4 inserting the following:  <An Act relating to the
     5  5 certification of enterprise zones and incentives and
     5  6 assistance under the enterprise zone program and
     5  7 including effective date and retroactive applicability
     5  8 provisions.>
     5  9 #3.  By renumbering as necessary.
     5 10
     5 11
     5 12                               
     5 13 COMMITTEE ON WAYS AND MEANS
     5 14 J. K. VAN FOSSEN of Scott, Chairperson
     5 15 SF 2183.203 81
     5 16 tm/sh/4220

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