Senate Amendment 5135


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 subsection:
     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.  For the fiscal year beginning July
     2  7 1, 2007, and ending June 30, 2010, each fiscal year a
     2  8 cumulative total of not more than twenty=five million
     2  9 dollars worth of incentives and assistance under
     2 10 section 15E.196, subsections 1, 2, 3, 4, and 6, shall
     2 11 be awarded to businesses located in enterprise zones
     2 12 certified during that fiscal year pursuant to this
     2 13 subsection.  For purposes of this subsection and
     2 14 section 15E.194, subsection 2A, "city" means a city
     2 15 that includes at least three census tracts, as
     2 16 determined in the most recent federal census.
     2 17    Sec. 3.  Section 15E.192, subsection 3, paragraph
     2 18 b, Code Supplement 2005, is amended to read as
     2 19 follows:
     2 20    b.  A county or city may apply to the department
     2 21 for an area to be certified as an enterprise zone at
     2 22 any time prior to March 1, 2006 July 1, 2010.
     2 23 However, the total amount of land designated as
     2 24 enterprise zones under subsections 1 and 2 subsection
     2 25 1, and any other enterprise zones certified by the
     2 26 department, excluding those approved pursuant to
     2 27 subsection 2 and section 15E.194, subsection
     2 28 subsections 2A and 4, shall not exceed in the
     2 29 aggregate one percent of the total county area.
     2 30    Sec. 4.  Section 15E.192, subsection 4, Code
     2 31 Supplement 2005, is amended to read as follows:
     2 32    4.  An enterprise zone designation shall remain in
     2 33 effect for ten years following the date of
     2 34 certification.  Prior to the expiration of an
     2 35 enterprise zone designation, a city or county meeting
     2 36 the distress criteria in section 15E.194 may apply for
     2 37 a one=time ten=year extension of the designation.  In
     2 38 applying for a one=time ten=year extension of an
     2 39 enterprise zone designation, a city or county may
     2 40 redefine the boundaries of the enterprise zone
     2 41 provided that the redefined enterprise zone meets the
     2 42 applicable distress criteria provided in section
     2 43 15E.194.  Prior to the expiration of an enterprise
     2 44 zone designation, a city or county that is not
     2 45 eligible to designate an enterprise zone but
     2 46 previously designated the enterprise zone pursuant to
     2 47 section 15E.194, Code Supplement 1997, may apply for a
     2 48 one=time extension of the enterprise zone designation
     2 49 to one year following the complete publication of the
     2 50 2010 federal census.  In applying for a one=time
     3  1 extension of the enterprise zone designation, the city
     3  2 or county may redefine the boundaries of the
     3  3 enterprise zone provided that the redefined enterprise
     3  4 zone meets the distress criteria provided in section
     3  5 15E.194, Code Supplement 1997.  The department shall
     3  6 designate by rule the specific date of one year
     3  7 following the complete publication of the 2010 federal
     3  8 census.  Any state or local incentives or assistance
     3  9 that may be conferred must be conferred before the
     3 10 designation expires.  However, the benefits of the
     3 11 incentive or assistance may continue beyond the
     3 12 expiration.
     3 13    Sec. 5.  Section 15E.193B, subsection 1, Code
     3 14 Supplement 2005, is amended to read as follows:
     3 15    1.  A housing business qualifying under this
     3 16 section is eligible to receive incentives and
     3 17 assistance only as provided in this section.  An
     3 18 eligible housing business shall not receive incentives
     3 19 or assistance for a home or multiple dwelling unit
     3 20 built or rehabilitated in an enterprise zone
     3 21 designated pursuant to section 15E.194, subsection 2A
     3 22 or 4.  Sections 15E.193 and 15E.196 do not apply to an
     3 23 eligible housing business qualifying under this
     3 24 section.
     3 25    Sec. 6.  Section 15E.194, Code 2005, is amended by
     3 26 adding the following new subsection:
     3 27    NEW SUBSECTION.  2A.  A city may designate an area
     3 28 of up to four square miles to be an enterprise zone if
     3 29 the area includes or is located within four miles of
     3 30 at least three of the following:
     3 31    a.  A commercial service airport.
     3 32    b.  A barge terminal or a navigable waterway.
     3 33    c.  Entry to a rail line.
     3 34    d.  Entry to an interstate highway.
     3 35    e.  Entry to a commercial and industrial highway
     3 36 network as identified pursuant to section 313.2A.
     3 37    An eligible housing business under section 15E.193B
     3 38 shall not receive incentives or assistance for a home
     3 39 or multiple dwelling unit built or rehabilitated in an
     3 40 enterprise zone designated pursuant to this
     3 41 subsection.
     3 42    Sec. 7.  Section 15E.194, subsection 3, Code 2005,
     3 43 is amended to read as follows:
     3 44    3.  The department of economic development shall
     3 45 certify eligible enterprise zones that meet the
     3 46 requirements of subsection 1 upon request by the
     3 47 county, or subsection 2 upon request by the city, or
     3 48 subsection 2A upon request by the city, as applicable.
     3 49    Sec. 8.  Section 15E.195, subsection 2, Code 2005,
     3 50 is amended to read as follows:
     4  1    2.  A city with a population of twenty=four
     4  2 thousand or more which includes at least three census
     4  3 tracts with at least fifty percent of the population
     4  4 in each census tract located in the city and which
     4  5 designates an enterprise zone pursuant to section
     4  6 15E.194, subsection 2 or 2A, and in which an eligible
     4  7 enterprise zone is certified shall establish an
     4  8 enterprise zone commission to review applications from
     4  9 qualified businesses located within or requesting to
     4 10 locate within an enterprise zone to receive incentives
     4 11 or assistance as provided in section 15E.196.  The
     4 12 enterprise zone commission shall review applications
     4 13 from qualified housing businesses requesting to
     4 14 receive incentives or assistance as provided in
     4 15 section 15E.193B.  The commission shall consist of
     4 16 nine members.  Six of these members shall consist of
     4 17 one representative of an international labor
     4 18 organization, one member with economic development
     4 19 expertise chosen by the department of economic
     4 20 development, one representative of the city council,
     4 21 one member of the local community college board of
     4 22 directors, one member of the city planning and zoning
     4 23 commission, and one representative of the local
     4 24 workforce development center.  These six members shall
     4 25 select the remaining three members.  If the enterprise
     4 26 zone consists of an area meeting the requirements for
     4 27 eligibility for an urban enterprise community under
     4 28 Title XIII of the federal Omnibus Budget
     4 29 Reconciliation Act of 1993, one of the remaining three
     4 30 members shall be a representative of that community.
     4 31 If a city contiguous to the city designating the
     4 32 enterprise zone is included in an enterprise zone, a
     4 33 representative of the contiguous city, chosen by the
     4 34 city council, shall be a member of the commission.  A
     4 35 city in which an eligible enterprise zone is certified
     4 36 shall have only one enterprise zone commission.  If a
     4 37 city has established an enterprise zone commission
     4 38 prior to July 1, 1998, the city may petition to the
     4 39 department of economic development to change the
     4 40 structure of the existing commission.
     4 41    Sec. 9.  REPORT.  By December 31, 2006, the
     4 42 department of economic development shall submit a
     4 43 written report to the general assembly regarding the
     4 44 enterprise zone program and other programs
     4 45 administered by the department.  The report shall
     4 46 include an analysis of the impact the enterprise zone
     4 47 program has on the state's economy and the economy of
     4 48 the cities and counties where enterprise zones are and
     4 49 have been located, how the enterprise zone program
     4 50 integrates with other programs administered by the
     5  1 department, whether other programs administered by the
     5  2 department are used to focus assistance on
     5  3 economically distressed areas of the state, and any
     5  4 changes to the enterprise zone program or any other
     5  5 programs administered by the department necessary to
     5  6 better serve the needs of the economically distressed
     5  7 areas of the state.
     5  8    Sec. 10.  EFFECTIVE AND RETROACTIVE APPLICABILITY
     5  9 DATES.
     5 10    1.  The section of this Act amending section
     5 11 15E.192, subsection 4, being deemed of immediate
     5 12 importance, takes effect upon enactment and applies
     5 13 retroactively to May 14, 1997.
     5 14    2.  The remaining sections of this Act, being
     5 15 deemed of immediate importance, take effect upon
     5 16 enactment and apply retroactively to March 1, 2006.>
     5 17 #2.  Title page, by striking lines 1 and 2 and
     5 18 inserting the following:  <An Act relating to the
     5 19 certification of enterprise zones and incentives and
     5 20 assistance under the enterprise zone program and
     5 21 including effective date and retroactive applicability
     5 22 provisions.>
     5 23 #3.  By renumbering as necessary.
     5 24 SF 2183.H
     5 25 tm/es/25

                              -1-