House File 607 H-1224 Amend House File 607 as follows: 1 1. Page 1, line 32, by striking < executive 2 director > and inserting < agricultural development 3 board, executive director, > 4 2. By striking page 1, line 35, through page 2, 5 line 18. 6 3. Page 2, by striking lines 28 through 30 and 7 inserting < An Iowa finance authority board of directors 8 is created. The powers of the authority are vested in 9 and shall be exercised by a the board of . The board 10 includes nine members appointed by the > 11 4. Page 3, by striking lines 7 through 10. 12 5. Page 3, before line 11 by inserting: 13 < Sec. ___. Section 16.2A, subsections 5 and 7, Code 14 2013, are amended to read as follows: 15 5. Members of the board and the executive director 16 shall give bond as required for public officers in 17 chapter 64 . 18 7. Members shall elect a chair and vice chair 19 annually and other officers as they determine. The 20 executive director shall serve as secretary to the 21 board. > 22 6. Page 3, after line 24 by inserting: 23 < Sec. ___. NEW SECTION . 16.221 Agricultural 24 development division —— administration of programs. 25 1. An agricultural development division is created 26 within the authority. The division shall administer 27 chapter 175, by providing assistance to beginning 28 farmers, agricultural producers, displaced farmers, 29 or other persons qualifying for such assistance under 30 chapter 175. 31 2. The agricultural development division shall 32 be administered in accordance with the policies of 33 the agricultural development board created in section 34 175.3. The executive director of the authority may 35 organize the division and employ necessary qualified 36 personnel to administer this chapter and chapter 175. 37 3. The division shall, to every extent practical, 38 assist such persons to do all of the following: 39 a. Acquire agricultural land, agricultural 40 improvements, or depreciable agricultural property, 41 including as provided in section 175.12 or 175.33. 42 b. Implement the installation of permanent soil 43 and water conservation practices and the acquisition 44 of conservation farm equipment for agricultural land, 45 including as provided in section 175.34. 46 c. Obtain affordable operating capital, including 47 as provided by section 175.35. 48 d. Begin or expand beef cattle operations, 49 including as provided in section 175.36. 50 -1- HF607.1343 (2) 85 da/rj 1/ 4 #1. #2. #3. #4. #5. #6.

e. Obtain agricultural assets transfer tax credits, 1 including by issuing tax credit certificates pursuant 2 to section 175.37. 3 f. Develop programs to assist qualified 4 agricultural producers within the state with financing 5 other capital requirements or operating expenses. 6 4. A program established in chapter 175 may be 7 combined with any other program established in this 8 chapter, or a federal program, in order to facilitate, 9 as far as practical, the types of assistance described 10 in this section. 11 5. The net earnings of the division, beyond that 12 necessary for retirement of its notes, bonds, or other 13 obligations or to implement the public purposes and 14 programs authorized in this chapter or chapter 175, 15 shall not inure to the benefit of any person other than 16 the state. 17 6. a. At least two of the authority’s full-time 18 equivalent positions, as defined in section 8.36A, 19 shall be entirely dedicated to administering programs 20 established pursuant to chapter 175. One of those 21 full-time equivalent positions shall be dedicated to 22 overseeing the administration of those programs, and 23 to the extent that the programs are affected, the 24 full-time equivalent position shall be provided the 25 powers and duties necessary to do all of the following: 26 (1) Participate in making managerial decisions. 27 (2) Provide for outreach and promotion. 28 (3) Improve delivery of services. 29 b. This subsection is repealed on July 1, 2015. > 30 7. Page 3, by striking lines 31 and 32 and 31 inserting: 32 < NEW PARAGRAPH . 0h. “Board” means the agricultural 33 development board created in section 175.3. > 34 8. Page 4, by striking lines 3 through 35 and 35 inserting: 36 < 175.3 Agricultural development board. 37 1. The powers of the agricultural development 38 division, created within the Iowa finance authority 39 under section 16.221, are vested in and shall be 40 exercised by the agricultural development board as 41 provided in section 16.221 and this section. 42 2. The agricultural development board is created to 43 exercise all powers and perform all duties necessary 44 to administer this chapter according to policies 45 established by the Iowa finance authority. The 46 authority shall establish policies and practices for 47 the division and oversee its operations. The authority 48 may review or approve decisions affecting the division 49 or administration of this chapter, including decisions 50 -2- HF607.1343 (2) 85 da/rj 2/ 4 #7. #8.

of the agricultural development board. 1 3. The agricultural development board consists of 2 five members appointed by the governor. The executive 3 director of the Iowa finance authority or the executive 4 director’s designee shall serve as an ex officio 5 nonvoting member. 6 4. The appointed members of the agricultural 7 development board shall be appointed and retain office 8 as follows: 9 a. Not more than three members shall belong to the 10 same political party. 11 b. As far as possible the governor shall include 12 within the membership persons who represent financial 13 institutions experienced in agricultural lending, 14 real estate sales, farmers, beginning farmers, 15 average taxpayers, local government, soil and 16 water conservation district officials, agricultural 17 educators, and other persons specially interested in 18 family farm development. 19 c. Members shall serve for staggered terms of 20 six years beginning and ending as provided in section 21 69.19. A person appointed to fill a vacancy shall 22 serve only for the unexpired portion of the member’s 23 term. A member is eligible for reappointment. An 24 appointed member may be removed from office by the 25 governor for misfeasance, malfeasance, willful neglect 26 of duty, or other just cause, after notice and hearing, 27 unless the notice and hearing is expressly waived in 28 writing. 29 5. The agricultural development board shall conduct 30 business according to all of the following: 31 a. Three appointed members constitute a quorum and 32 the affirmative vote of a majority of the appointed 33 members is necessary for any substantive action taken 34 by the board. A majority of appointed members shall 35 not include any member who has a conflict of interest 36 and a statement by a member that the member has a 37 conflict of interest is conclusive for this purpose. A 38 vacancy in the membership does not impair the right of 39 a quorum to exercise all rights and perform all duties 40 of the board. 41 b. Meetings of the board shall be held at the call 42 of the chairperson or whenever two appointed members 43 so request. 44 c. The appointed members shall elect a chairperson 45 and vice chairperson annually, and other officers as 46 they determine. The executive director of the Iowa 47 finance authority or the executive director’s designee 48 shall serve as secretary to the board. 49 6. An appointed member of the agricultural 50 -3- HF607.1343 (2) 85 da/rj 3/ 4

development board is entitled to receive a per diem 1 as specified in section 7E.6 for each day spent 2 in performance of duties as a member, and shall be 3 reimbursed for all actual and necessary expenses 4 incurred in the performance of duties as a member. 5 7. An appointed member of the agricultural 6 development board shall give bond as required for 7 public officers in chapter 64. > 8 9. Page 5, line 12, by striking < as provided in 9 section 175.3 > and inserting < under this chapter > 10 10. Page 6, by striking line 13 and inserting: 11 < Sec. ___. REPEAL. Section 175.7, Code 2013, is > 12 11. Page 9, after line 8 by inserting: 13 < Sec. ___. APPOINTMENTS. In making appointments 14 to the agricultural development board as created in 15 section 175.3, as enacted in this Act, the governor 16 shall appoint a number of initial members to serve 17 for less than six years to ensure that members serve 18 staggered terms. > 19 12. Page 9, by striking lines 9 through 16. 20 13. Page 11, line 15, before < The > by inserting 21 < The Iowa finance authority shall consult with the 22 agricultural development board when implementing this 23 Act. > 24 14. Title page, by striking lines 4 through 5 25 and inserting < the composition of the Iowa finance 26 authority board of directors, > 27 15. By renumbering, redesignating, and correcting 28 internal references as necessary. 29 ______________________________ PETTENGILL of Benton -4- HF607.1343 (2) 85 da/rj 4/ 4 #9. #10. #11. #12. #13. #14. #15.