House File 628 H-1332 Amend House File 628 as follows: 1 1. Page 1, line 31, by striking < 403.19 , subsection 2 2, > and inserting < 403.19 > 3 2. Page 2, line 15, by striking < 403.19, subsection 4 2, > and inserting < 403.19 > 5 3. By striking page 2, line 30, through page 4, 6 line 34, and inserting: 7 < Sec. ___. Section 403.17, subsection 5, Code 2015, 8 is amended to read as follows: 9 5. “Blighted area” means : 10 a. For an urban renewal area established before 11 the effective date of this Act, an area of a 12 municipality within which the local governing body 13 of the municipality determines that the presence 14 of a substantial number of slum, deteriorated, or 15 deteriorating structures; defective or inadequate 16 street layout; faulty lot layout in relation to size, 17 adequacy, accessibility, or usefulness; insanitary 18 or unsafe conditions; deterioration of site or other 19 improvements; diversity of ownership, tax or special 20 assessment delinquency exceeding the fair value of the 21 land; defective or unusual conditions of title; or the 22 existence of conditions which endanger life or property 23 by fire and other causes; or any combination of these 24 factors; substantially impairs or arrests the sound 25 growth of a municipality, retards the provision of 26 housing accommodations, or constitutes an economic or 27 social liability and is a menace to the public health, 28 safety, or welfare in its present condition and use. A 29 disaster area referred to in section 403.5, subsection 30 7 , constitutes a “blighted area” . “Blighted area” does 31 not include real property assessed as agricultural 32 property for purposes of property taxation. 33 b. For an urban renewal area established on or 34 after the effective date of this Act, an area of a 35 municipality within which the local governing body 36 of the municipality determines that the presence 37 of a substantial number of slum, deteriorated, 38 or deteriorating structures; insanitary or 39 unsafe conditions; deterioration of site or other 40 improvements; or the existence of conditions which 41 endanger life or property by fire and other causes; 42 or any combination of these factors; substantially 43 impairs or arrests the sound growth of a municipality, 44 retards the provision of housing accommodations, or 45 constitutes an economic or social liability and is a 46 menace to the public health, safety, or welfare in its 47 present condition and use. A disaster area referred to 48 in section 403.5, subsection 7, constitutes a “blighted 49 area” . “Blighted area” does not include real property 50 -1- HF628.1704 (3) 86 md/sc 1/ 4 #1. #2. #3.

assessed as agricultural property for purposes of 1 property taxation. 2 Sec. ___. NEW SECTION . 403.18A Urban renewal area 3 duration —— limitations. 4 1. An urban renewal area in existence on the 5 effective date of this Act for which an ordinance 6 providing for a division of revenue under section 7 403.19 was adopted before the effective date of this 8 Act and that is not limited in duration under section 9 403.17, subsection 10, section 403.19, subsection 3A, 10 or section 403.22, subsection 5, shall be subject to 11 the duration limitation in subsection 2. 12 2. a. For an urban renewal area described in 13 subsection 1, the urban renewal area, including 14 all applicable urban renewal plans, projects, and 15 ordinances providing for a division of revenue, shall 16 continue in effect under this chapter, until such 17 time that the urban renewal area is dissolved by the 18 municipality or until the urban renewal area terminates 19 under the conditions of this section, whichever occurs 20 first. The municipality may continue to incur or issue 21 additional costs or indebtedness for such urban renewal 22 area, including loans, advances, and bonds that qualify 23 for payment from the special fund created in section 24 403.19, on or after the effective date of this Act and 25 until dissolution or termination of the urban renewal 26 area. 27 b. (1) For an urban renewal area described in 28 subsection 1 that is based on a finding that the 29 area is an economic development area and that no part 30 contains slum or blighted conditions, the urban renewal 31 area, including all applicable urban renewal plans, 32 projects, and ordinances providing for a division of 33 revenue, shall terminate and be of no further force and 34 effect on July 1, 2035. 35 (2) For an urban renewal area described in 36 subsection 1 that is based on a finding that all or a 37 part of the area contains slum or blighted conditions, 38 the urban renewal area, including all applicable urban 39 renewal plans, projects, and ordinances providing for 40 a division of revenue, shall terminate and be of no 41 further force and effect on July 1, 2040. 42 3. The department of management shall adopt rules 43 pursuant to chapter 17A necessary to implement and 44 administer this section. 45 Sec. ___. Section 403.19, Code 2015, is amended by 46 adding the following new subsection: 47 NEW SUBSECTION . 3A. a. Except as otherwise 48 provided in paragraph “b” or section 403.22, an 49 ordinance providing for a division of revenue under 50 -2- HF628.1704 (3) 86 md/sc 2/ 4

this section that is adopted on or after the effective 1 date of this Act shall be limited to twenty years from 2 the calendar year following the calendar year in which 3 the municipality first certifies to the county auditor 4 the amount of any loans, advances, indebtedness, 5 or bonds that qualify for payment from the division 6 of revenue provided for in this section. The urban 7 renewal area, including all applicable urban renewal 8 plans, projects, and ordinances, shall terminate 9 and be of no further force and effect following the 10 twenty-year period provided in this subsection. 11 b. An ordinance providing for a division of revenue 12 under this section that is adopted on or after the 13 effective date of this Act for an urban renewal area 14 that contains slum or blighted conditions shall be 15 limited to twenty-five years from the calendar year 16 following the calendar year in which the municipality 17 first certifies to the county auditor the amount of any 18 loans, advances, indebtedness, or bonds that qualify 19 for payment from the division of revenue provided 20 in this section. The urban renewal area, including 21 all applicable urban renewal plans, projects, and 22 ordinances, shall terminate and be of no further force 23 and effect following the twenty-five-year period 24 provided in this subsection. > 25 4. Title page, by striking lines 4 and 5 and 26 inserting < the use of divided revenues, modifying the 27 conditions for establishing certain urban renewal 28 areas, imposing duration limits on certain urban 29 renewal areas, and including > 30 5. By renumbering as necessary. 31 ______________________________ NUNN of Polk ______________________________ VANDER LINDEN of Mahaska ______________________________ MAXWELL of Poweshiek ______________________________ L. MILLER of Scott -3- HF628.1704 (3) 86 md/sc 3/ 4 #4. #5.