House File 654 S-3200 Amend House File 654, as passed by the House, as 1 follows: 2 1. Page 8, after line 6 by inserting: 3 < DIVISION ___ 4 REINVESTMENT DISTRICTS AND FLOOD MITIGATION 5 Sec. ___. Section 15J.4, subsection 3, paragraph a, 6 Code 2015, is amended to read as follows: 7 a. The municipality shall submit a copy of the 8 resolution, the proposed district plan, and all 9 accompanying materials adopted pursuant to this section 10 to the board for evaluation. The board shall not 11 approve a proposed district plan or an amendment to an 12 existing district’s plan on or after July 1, 2018. 13 Sec. ___. Section 28F.12, Code 2015, is amended to 14 read as follows: 15 28F.12 Additional powers of the entity. 16 1. If the entity is comprised solely of cities, 17 counties, and sanitary districts established under 18 chapter 358 , or any combination thereof, the entity 19 shall have in addition to all the powers enumerated in 20 this chapter , the powers which that a county has with 21 respect to solid waste disposal projects. 22 2. If the entity is comprised solely of cities, 23 counties, and sanitary districts established under 24 chapter 358, or any combination thereof, it is a 25 governmental entity with respect to projects undertaken 26 pursuant to chapter 418 and may exercise all of the 27 powers of a governmental entity under that chapter in 28 connection with the flood mitigation project. Unless 29 otherwise provided in chapter 418, if undertaking a 30 flood mitigation project as a governmental entity 31 under chapter 418, the provisions of chapter 418 shall 32 prevail over any conflicting provision in this chapter. 33 Sec. ___. Section 418.1, subsection 4, paragraph c, 34 unnumbered paragraph 1, Code 2015, is amended to read 35 as follows: 36 A joint board or other legal or administrative 37 entity established or designated in an agreement 38 pursuant to chapter 28E or 28F between any of the 39 following: 40 Sec. ___. Section 418.1, subsection 4, paragraph 41 c, Code 2015, is amended by adding the following new 42 subparagraph: 43 NEW SUBPARAGRAPH . (4) One or more counties, one or 44 more cities that are located in whole or in part within 45 those counties, and one or more sanitary districts 46 established under chapter 358 or a combined water and 47 sanitary district as provided for in sections 357.1B 48 and 358.1B, located in whole or in part within those 49 counties. 50 -1- HF654.1876 (2) 86 ad/sc 1/ 7 #1.
Sec. ___. Section 418.4, subsection 1, paragraph b, 1 Code 2015, is amended to read as follows: 2 b. A governmental entity as defined in section 3 418.1, subsection 4 , paragraph “c” , shall have the 4 power to construct, acquire, own, repair, improve, 5 operate, and maintain a project, may sue and be sued, 6 contract, and acquire and hold real and personal 7 property, subject to the limitation in paragraph 8 “c” , and shall have such other powers as may be 9 included in the chapter 28E or 28F agreement. Such a 10 governmental entity may contract with a city or the 11 county participating in the chapter 28E agreement 12 to perform any governmental service, activity, or 13 undertaking that the city or county is authorized by 14 law to perform, including but not limited to contracts 15 for administrative services. 16 Sec. ___. Section 418.11, subsection 3, paragraph 17 c, Code 2015, is amended to read as follows: 18 c. For projects approved for a governmental 19 entity as defined in section 418.1, subsection 4 , 20 paragraph “c” , the area used to determine the sales 21 tax increment shall include the incorporated areas 22 of each participating city that is participating in 23 the chapter 28E agreement , the unincorporated areas 24 of the each participating county, and the area of any 25 participating drainage district not otherwise included 26 in the areas of the participating cities or county, and 27 the area served by any sanitary district or combined 28 water and sanitary district and not otherwise included 29 in the areas of the participating cities or counties, 30 as applicable. 31 Sec. ___. Section 418.11, subsection 3, Code 2015, 32 is amended by adding the following new paragraph: 33 NEW PARAGRAPH . d. For all projects, the area used 34 to determine the sales tax increment shall not include 35 any parcels of real property that are included in a 36 reinvestment district designated pursuant to chapter 37 15J. 38 Sec. ___. Section 418.14, subsection 3, paragraph 39 a, Code 2015, is amended to read as follows: 40 a. Except as otherwise provided in this section , 41 bonds issued pursuant to this section shall not be 42 subject to the provisions of any other law or charter 43 relating to the authorization, issuance, or sale of 44 bonds. Bonds issued under this section shall not limit 45 or restrict the authority of a governmental entity as 46 defined in section 418.1, subsection 4 , paragraphs 47 “a” and “b” , or a city, county, or drainage district , 48 sanitary district, or combined water and sanitary 49 district participating in a governmental entity as 50 -2- HF654.1876 (2) 86 ad/sc 2/ 7
defined in section 418.1, subsection 4 , paragraph “c” , 1 to issue bonds for the project under other provisions 2 of the Code. 3 Sec. ___. Section 418.14, subsection 4, paragraph 4 b, Code 2015, is amended to read as follows: 5 b. If the moneys in the governmental entity’s 6 flood project fund are insufficient to pay the 7 governmental entity’s costs related to bonds, notes, 8 or other obligations issued under this chapter , the 9 amounts necessary to pay such costs may be levied and 10 transferred for deposit in the governmental entity’s 11 flood project fund from the debt service fund of 12 the governmental entity or, if applicable, the debt 13 service fund of a participating city or county for 14 a governmental entity as defined in section 418.1, 15 subsection 4 , paragraph “c” , but only if and to the 16 extent provided in the resolution authorizing the 17 issuance of bonds and, if applicable, the chapter 28E 18 or 28F agreement. 19 Sec. ___. Section 418.15, subsection 4, Code 2015, 20 is amended to read as follows: 21 4. All property and improvements acquired by 22 a governmental entity as defined in section 418.1, 23 subsection 4 , paragraph “c” , relating to a project 24 shall be transferred to the county, city, or drainage 25 district , sanitary district, or combined water and 26 sanitary district designated in the chapter 28E or 28F 27 agreement to receive such property and improvements. 28 The county, city, or drainage district , sanitary 29 district, or combined water and sanitary district to 30 which such property or improvements are transferred 31 shall, unless otherwise provided in the chapter 32 28E or 28F agreement, be solely responsible for the 33 ongoing maintenance and support of such property and 34 improvements. 35 Sec. ___. Section 423.2, subsection 11, paragraph 36 b, Code 2015, is amended by adding the following new 37 subparagraph: 38 NEW SUBPARAGRAPH . (05) Beginning the first day 39 of the calendar quarter beginning on the reinvestment 40 district’s commencement date, subject to remittance 41 limitations established by the economic development 42 authority board pursuant to section 15J.4, subsection 43 3, transfer to a district account created in the state 44 reinvestment district fund for each reinvestment 45 district established under chapter 15J, the amount of 46 new state sales tax revenue, determined in section 47 15J.5, subsection 1, paragraph “b” , in the district, 48 that remains after the prior transfers required 49 under this paragraph “b” . Such transfers shall cease 50 -3- HF654.1876 (2) 86 ad/sc 3/ 7
pursuant to section 15J.8. 1 Sec. ___. Section 423.2, subsection 11, paragraph 2 b, subparagraph (6), Code 2015, is amended by striking 3 the subparagraph. 4 Sec. ___. Section 423.2, Code 2015, is amended by 5 adding the following new subsection: 6 NEW SUBSECTION . 11A. Of the amount of sales tax 7 revenue actually transferred per quarter pursuant to 8 subsection 11, paragraph “b” , subparagraphs (05) and 9 (5), the department shall retain an amount equal to 10 the actual cost of administering the transfers under 11 subsection 11, paragraph “b” , subparagraphs (05) and 12 (5), or twenty-five thousand dollars, whichever is 13 less. The amount retained by the department pursuant 14 to this subsection shall be divided pro rata each 15 quarter between the amounts that would have been 16 transferred pursuant to subsection 11, paragraph “b” , 17 subparagraphs (05) and (5), without the deduction made 18 by operation of this subsection. Revenues retained by 19 the department pursuant to this subsection shall be 20 considered repayment receipts as defined in section 21 8.2. 22 Sec. ___. EFFECTIVE UPON ENACTMENT. This division 23 of this Act, being deemed of immediate importance, 24 takes effect upon enactment. 25 Sec. ___. RETROACTIVE AND OTHER APPLICABILITY. 26 1. Except as provided in subsection 3, this 27 division of this Act applies retroactively to 28 reinvestment districts designated under chapter 15J in 29 existence on or after July 1, 2014. 30 2. Except as provided in subsection 3, this 31 division of this Act applies to flood mitigation 32 project plan applications received under chapter 33 418 before, on, or after the effective date of this 34 division of this Act. 35 3. The sections of this division of this Act 36 amending section 423.2, subsection 11, and enacting 37 section 423.2, subsection 11A, apply to transfers of 38 sales tax revenues made on or after July 1, 2015. 39 DIVISION ___ 40 NUISANCE PROPERTIES AND ABANDONED BUILDINGS 41 Sec. ___. Section 15.335B, subsection 2, paragraph 42 a, Code 2015, is amended by adding the following new 43 subparagraph: 44 NEW SUBPARAGRAPH . (8) For deposit in the nuisance 45 property remediation fund created pursuant to section 46 15.338. 47 Sec. ___. NEW SECTION . 15.338 Nuisance property 48 remediation assistance —— fund. 49 1. a. The economic development authority shall 50 -4- HF654.1876 (2) 86 ad/sc 4/ 7
establish a nuisance property remediation fund pursuant 1 to section 15.106A, subsection 1, paragraph “o” , 2 for purposes of providing financial assistance to 3 cities for the remediation of nuisance properties 4 and abandoned buildings and other structures. The 5 authority shall administer the fund in a manner 6 designed to make funds annually available to cities for 7 purposes of this section. 8 b. The authority may administer a fund established 9 for purposes of this section as a revolving fund. The 10 fund may consist of any moneys appropriated by the 11 general assembly for purposes of this section and 12 any other moneys that are lawfully available to the 13 authority, including moneys transferred or deposited 14 from other funds created pursuant to section 15.106A, 15 subsection 1, paragraph “o” . 16 c. The authority shall use any moneys specifically 17 appropriated for purposes of this section only for the 18 purposes of this section. The authority may use all 19 other moneys in the fund, including interest, earnings, 20 recaptures, and repayments for purposes of this section 21 or the authority may transfer the other moneys to other 22 funds created pursuant to section 15.106A, subsection 23 1, paragraph “o” . 24 d. Notwithstanding section 8.33, moneys in the 25 nuisance property remediation fund at the end of each 26 fiscal year shall not revert to any other fund but 27 shall remain in the fund for expenditure for subsequent 28 fiscal years. 29 e. The authority may use not more than five percent 30 of the moneys in the fund at the beginning of the 31 fiscal year for purposes of administrative costs, 32 finance, compliance, marketing, and program support. 33 2. The authority shall use moneys in the fund 34 to provide financial assistance to cities for the 35 remediation of nuisance properties and abandoned 36 buildings and other structures. Such financial 37 assistance may include grants, loans, forgivable loans, 38 or other forms of financial assistance as necessary to 39 effectuate the purposes of this section. The authority 40 may provide financial assistance under this section 41 using a competitive scoring process. 42 3. In providing financial assistance under this 43 section, the authority may give priority to cities 44 with severe blighted areas, widespread dilapidated 45 housing stock, or high rates of low or moderate income 46 residents. 47 4. The authority shall enter into an agreement with 48 each city for the receipt of financial assistance under 49 this section. The authority may negotiate the terms 50 -5- HF654.1876 (2) 86 ad/sc 5/ 7
of the agreement. 1 5. In providing financial assistance under this 2 section, the authority shall coordinate with a city to 3 develop a plan for the use of funds that is consistent 4 with the community development, housing, and economic 5 development goals of the city. The terms of the 6 agreement entered into pursuant to subsection 3 and the 7 use of financial assistance provided under this section 8 shall reflect the plan developed based on a city’s 9 goals. 10 6. If a city receives financial assistance under 11 this section, the amount of any lien created for 12 costs related to remediation of the property shall not 13 include any moneys that the city received pursuant to 14 this section to remediate the property. 15 7. The authority shall submit a report to the 16 general assembly and the governor’s office on or 17 before January 31, 2019, describing the results of the 18 program implemented pursuant to this section and making 19 recommendations for additional program changes. 20 Sec. ___. Section 657A.1, subsections 1 and 3, Code 21 2015, are amended to read as follows: 22 1. “Abandoned” or “abandonment” means that a 23 building has remained vacant and has been in violation 24 of the housing code or building code of the city in 25 which the property is located or the housing code or 26 building code applicable in the county in which the 27 property is located if outside the limits of a city for 28 a period of six consecutive months. 29 3. “Building” means a building or structure located 30 in a city or outside the limits of a city in a county, 31 which is used or intended to be used for commercial 32 or industrial purposes or which is used or intended 33 to be used for residential purposes , and includes a 34 building or structure in which some floors may be used 35 for retail stores, shops, salesrooms, markets, or 36 similar commercial uses, or for offices, banks, civic 37 administration activities, professional services, or 38 similar business or civic uses, and other floors are 39 used, designed, or intended to be used for residential 40 purposes. 41 Sec. ___. Section 657A.10A, subsection 1, paragraph 42 b, Code 2015, is amended to read as follows: 43 b. The petition shall be filed in the district 44 court of the county in which the property is located. 45 Service on the owner and any other named respondents 46 shall be by personal service or certified mail and or, 47 if service cannot be made by either method, by posting 48 the notice in a conspicuous place on the building and 49 by publication in a newspaper of general circulation in 50 -6- HF654.1876 (2) 86 ad/sc 6/ 7
the city . The action shall be in equity. 1 Sec. ___. Section 657A.10A, subsection 3, 2 paragraphs d, f, and j, Code 2015, are amended to read 3 as follows: 4 d. Whether the building meets the city’s housing 5 code for as being fit for human habitation, occupancy, 6 or use. 7 f. Whether the building is boarded up or otherwise 8 secured from unauthorized entry . 9 j. Past and current compliance with orders of the 10 local housing or building code official. 11 Sec. ___. Section 657A.10A, subsection 3, 12 Code 2015, is amended by adding the following new 13 paragraphs: 14 NEW PARAGRAPH . 0e. Whether the building meets the 15 city’s building code as being fit for occupancy or use. 16 NEW PARAGRAPH . 0h. Whether those claiming an 17 interest in the property have, prior to the filing 18 of the petition, demonstrated a good-faith effort to 19 restore the property to productive use. 20 Sec. ___. Section 657A.10A, subsections 4 and 5, 21 Code 2015, are amended to read as follows: 22 4. In lieu of the considerations in subsection 3 , 23 if the city can establish to the court’s satisfaction 24 that all parties with an interest in the property have 25 received proper notice and either consented to the 26 entry of an order awarding title to the property to the 27 city or did not make a good faith good-faith effort to 28 comply with the order of the local housing or building 29 code official within sixty days after the filing of the 30 petition, the court shall enter judgment against the 31 respondents granting the city title to the property. 32 5. If the court determines that the property has 33 been abandoned or that subsection 4 applies, the court 34 shall enter judgment and order awarding title to the 35 city. The title awarded to the city shall be free and 36 clear of any claims, liens, or encumbrances held by the 37 respondents. > 38 2. Title page, line 3, after < retroactive > by 39 inserting < and other > 40 3. By renumbering, redesignating, and correcting 41 internal references as necessary. 42 ______________________________ COMMITTEE ON WAYS AND MEANS JOE BOLKCOM, CHAIRPERSON -7- HF654.1876 (2) 86 ad/sc 7/ 7 #2. #3.