House File 1040 H-1327 Amend House File 1040 as follows: 1 1. By striking everything after the enacting clause and 2 inserting: 3 < DIVISION I 4 FY 2025-2026 APPROPRIATIONS 5 Section 1. GOALS AND ACCOUNTABILITY —— ECONOMIC 6 DEVELOPMENT. 7 1. For the fiscal year beginning July 1, 2025, the goals 8 for the economic development authority shall be to expand and 9 stimulate the state economy, increase the wealth of Iowans, and 10 increase the population of the state. 11 2. To achieve the goals in subsection 1, the economic 12 development authority shall do all of the following for the 13 fiscal year beginning July 1, 2025: 14 a. Concentrate its efforts on programs and activities that 15 result in commercially viable products and services. 16 b. Adopt practices and services consistent with free 17 market, private sector philosophies. 18 c. Ensure economic growth and development throughout the 19 state. 20 d. Work with businesses and communities to continually 21 improve the economic development climate along with the 22 economic well-being and quality of life for Iowans. 23 e. Coordinate with other state agencies to ensure that they 24 are attentive to the needs of an entrepreneurial culture. 25 f. Establish a strong and aggressive marketing image to 26 showcase Iowa’s workforce, existing industry, and potential. 27 A priority shall be placed on recruiting new businesses, 28 business expansion, and retaining existing Iowa businesses. 29 Emphasis shall be placed on entrepreneurial development through 30 helping entrepreneurs secure capital, and developing networks 31 and a business climate conducive to entrepreneurs and small 32 businesses. 33 g. Encourage the development of communities and quality of 34 life to foster economic growth. 35 -1- HF 1040.2037 (2) 91 nls/ko 1/ 18 #1.

h. Prepare communities for future growth and development 1 through development, expansion, and modernization of 2 infrastructure. 3 i. Develop public-private partnerships with Iowa businesses 4 in the tourism industry, Iowa tour groups, Iowa tourism 5 organizations, and political subdivisions in this state to 6 assist in the development of advertising efforts. 7 Sec. 2. ECONOMIC DEVELOPMENT AUTHORITY. 8 1. APPROPRIATION 9 a. There is appropriated from the general fund of the state 10 to the economic development authority for the fiscal year 11 beginning July 1, 2025, and ending June 30, 2026, the following 12 amount, or so much thereof as is necessary, to be used for the 13 purposes designated in this subsection, and for not more than 14 the following full-time equivalent positions: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 12,921,510 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 112.50 17 b. (1) For salaries, support, miscellaneous purposes, 18 programs, marketing, administration, business development, 19 community development, small business development, and any 20 divisions the authority may organize. 21 (2) For business development operations and programs, 22 international trade, export assistance, workforce recruitment, 23 and the partner state program. 24 (3) For transfer to a fund created pursuant to section 25 15.313 for purposes of financing strategic infrastructure 26 projects. 27 (4) For community economic development programs, tourism 28 operations, community assistance, and the community development 29 block grant. 30 (5) For achieving the goals and accountability, and 31 fulfilling the requirements and duties required under this Act. 32 (6) The full-time equivalent positions authorized under 33 this subsection are funded, in whole or in part, by the moneys 34 appropriated under this subsection or by other moneys received 35 -2- HF 1040.2037 (2) 91 nls/ko 2/ 18

by the authority, including certain federal moneys. 1 c. Notwithstanding section 8.33 , moneys appropriated in 2 this subsection that remain unencumbered or unobligated at the 3 close of the fiscal year shall not revert but shall remain 4 available for expenditure for the purposes designated in this 5 subsection until the close of the succeeding fiscal year. 6 2. FINANCIAL ASSISTANCE RESTRICTIONS 7 a. A business creating jobs through moneys appropriated in 8 subsection 1 shall be subject to contract provisions requiring 9 new and retained jobs to be filled by individuals who are 10 citizens of the United States who reside within the United 11 States, or any person authorized to work in the United States 12 pursuant to federal law, including legal resident aliens 13 residing in the United States. 14 b. Any vendor who receives moneys appropriated in 15 subsection 1 shall adhere to such contract provisions and 16 provide periodic assurances as the state shall require that the 17 jobs are filled solely by citizens of the United States who 18 reside within the United States, or any person authorized to 19 work in the United States, pursuant to federal law, including 20 legal resident aliens residing in the United States. 21 c. A business that receives financial assistance from 22 the authority from moneys appropriated in subsection 1 shall 23 only employ individuals legally authorized to work in this 24 state. In addition to all other applicable penalties provided 25 by current law, all or a portion of the assistance received 26 by a business which is found to knowingly employ individuals 27 not legally authorized to work in this state is subject to 28 recapture by the authority. 29 3. USES OF APPROPRIATIONS 30 a. From the moneys appropriated in subsection 1, the 31 authority may provide financial assistance in the form of a 32 grant to a community economic development entity for conducting 33 a local workforce recruitment effort designed to recruit 34 former citizens of the state, and former students at colleges 35 -3- HF 1040.2037 (2) 91 nls/ko 3/ 18

and universities in the state, to meet the needs of local 1 employers. 2 b. From the moneys appropriated in subsection 1, the 3 authority may provide financial assistance to early stage 4 industry companies being established by women entrepreneurs. 5 c. From the moneys appropriated in subsection 1, the 6 authority may provide financial assistance in the form of 7 grants, loans, or forgivable loans for advanced research and 8 commercialization projects involving value-added agriculture, 9 advanced technology, or biotechnology. 10 d. The authority shall not use any moneys appropriated in 11 subsection 1 for purposes of providing financial assistance 12 for any program or project that involves the installation of 13 geothermal systems for melting snow and ice from streets or 14 sidewalks. 15 4. WORLD FOOD PRIZE 16 In lieu of the standing appropriation in section 15.368 , 17 there is appropriated from the general fund of the state to the 18 economic development authority for the fiscal year beginning 19 July 1, 2025, and ending June 30, 2026, the following amount 20 for the world food prize: 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 22 5. COUNCILS OF GOVERNMENTS —— ASSISTANCE 23 There is appropriated from the general fund of the state 24 to the economic development authority for the fiscal year 25 beginning July 1, 2025, and ending June 30, 2026, the following 26 amount to be used for the purposes of providing financial 27 assistance to Iowa’s councils of governments: 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 350,000 29 6. TOURISM OFFICE 30 a. There is appropriated from the general fund of the state 31 to the economic development authority for the fiscal year 32 beginning July 1, 2025, and ending June 30, 2026, the following 33 amount for the tourism office to be used for advertising, 34 promoting, placement, and implementation of the economic 35 -4- HF 1040.2037 (2) 91 nls/ko 4/ 18

development authority’s strategic plan for tourism and travel: 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,050,000 2 b. Notwithstanding section 8.33 , moneys appropriated in 3 this subsection that remain unencumbered or unobligated at the 4 close of the fiscal year shall not revert but shall remain 5 available for expenditure for the purposes designated until the 6 close of the succeeding fiscal year. 7 c. The economic development authority shall submit an 8 annual report on or before January 15 to the general assembly 9 regarding the tourism office’s activities funded with moneys 10 appropriated under this subsection. The report shall be 11 provided in an electronic format and shall include metrics 12 and criteria that allow the general assembly to quantify 13 and evaluate the effectiveness and economic impact of the 14 tourism office’s activities related to advertising, promoting, 15 placement, and implementation of the economic development 16 authority’s strategic plan for tourism and travel. 17 7. CULTURAL AFFAIRS ACTIVITIES 18 a. There is appropriated from the general fund of the state 19 to the economic development authority for the fiscal year 20 beginning July 1, 2025, and ending June 30, 2026, the following 21 amount, or so much thereof as is necessary, to be used for the 22 purposes designated: 23 For support of the Iowa arts council: 24 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,771,800 25 b. Of the moneys appropriated in paragraph “a”, the economic 26 development authority shall allocate $321,800 for deposit in 27 the arts and culture enhancement fund established in section 28 15.436, if enacted by 2025 Iowa Acts, House File 975. 29 c. Notwithstanding section 8.33, moneys appropriated in 30 this subsection that remain unencumbered or unobligated at the 31 close of the fiscal year shall not revert but shall remain 32 available for expenditure for the purposes designated until the 33 close of the succeeding fiscal year. 34 Sec. 3. LIMITATIONS OF STANDING APPROPRIATIONS —— FY 35 -5- HF 1040.2037 (2) 91 nls/ko 5/ 18

2025-2026. Notwithstanding the standing appropriations in the 1 following designated sections for the fiscal year beginning 2 July 1, 2025, and ending June 30, 2026, the amount appropriated 3 from the general fund of the state pursuant to the following 4 sections for the following purposes shall not exceed the 5 following amounts: 6 1. For the arts and culture enhancement fund under section 7 99F.11, subsection 4, paragraph “d”, subparagraph (1), as 8 amended by 2025 Iowa Acts, House File 975, if enacted: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 448,403 10 2. For the purposes of tourism marketing under section 11 99F.11, subsection 4 , paragraph “d”, subparagraph (2): 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,443,700 13 Sec. 4. FINANCIAL ASSISTANCE REPORTING —— ECONOMIC 14 DEVELOPMENT AUTHORITY. The economic development authority 15 shall submit an annual report to the general assembly no later 16 than November 1, 2025, that details the amount of every direct 17 loan, forgivable loan, tax credit, tax exemption, tax refund, 18 grant, or any other financial assistance awarded to a person 19 during the prior fiscal year by the authority under an economic 20 development program administered by the authority. The report 21 shall identify the county where the project associated with 22 each such award is located. 23 Sec. 5. INSURANCE ECONOMIC DEVELOPMENT. From the moneys 24 collected by the insurance division of the department of 25 insurance and financial services in excess of the anticipated 26 gross revenues under section 505.7, subsection 3 , during 27 the fiscal year beginning July 1, 2025, $100,000 shall be 28 transferred to the economic development authority for insurance 29 economic development and international insurance economic 30 development. 31 Sec. 6. IOWA FINANCE AUTHORITY. 32 1. There is appropriated from the general fund of the state 33 to the Iowa finance authority for the fiscal year beginning 34 July 1, 2025, and ending June 30, 2026, the following amounts, 35 -6- HF 1040.2037 (2) 91 nls/ko 6/ 18

or so much thereof as is necessary, to be used for the purposes 1 designated: 2 a. Rent subsidy program 3 (1) To provide reimbursement for rent expenses to eligible 4 persons under the home and community-based services rent 5 subsidy program established in section 16.55: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 873,000 7 (2) Of the moneys appropriated in this paragraph, not more 8 than $35,000 may be used for administrative costs. 9 b. Housing renewal pilot program 10 To provide housing renewal moneys to a nonprofit Iowa 11 affiliate to award grants to eligible communities for a housing 12 renewal pilot program: 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 550,000 14 2. Notwithstanding section 8.33, moneys appropriated in 15 this section that remain unencumbered or unobligated at the 16 close of the fiscal year shall not revert but shall remain 17 available for expenditure for the purposes designated until the 18 close of the succeeding fiscal year. 19 Sec. 7. IOWA FINANCE AUTHORITY AUDIT. The auditor of state 20 is requested to review the audit of the Iowa finance authority 21 performed by the auditor hired by the authority. 22 Sec. 8. DEPARTMENT OF WORKFORCE DEVELOPMENT. There 23 is appropriated from the general fund of the state to the 24 department of workforce development for the fiscal year 25 beginning July 1, 2025, and ending June 30, 2026, the following 26 amounts, or so much thereof as is necessary, to be used for the 27 purposes designated: 28 1. WORKFORCE DEVELOPMENT OPERATIONS 29 a. For the operation of field offices and the workforce 30 development board, and for not more than the following 31 full-time equivalent positions: 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,902,636 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 167.45 34 b. Of the moneys appropriated in paragraph “a”, the 35 -7- HF 1040.2037 (2) 91 nls/ko 7/ 18

department shall allocate $150,000 to the state library for the 1 purpose of licensing an online resource which prepares persons 2 to succeed in the workplace through programs which improve job 3 skills and vocational test-taking abilities. 4 2. OFFENDER REENTRY PROGRAM 5 a. For the development and administration of an offender 6 reentry program to provide offenders with employment skills, 7 and for not more than the following full-time equivalent 8 positions: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 387,158 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 5.00 11 b. The department of workforce development shall partner 12 with the department of corrections to provide staff within 13 the correctional facilities resources to improve offenders’ 14 abilities to find and retain productive employment. 15 3. INTEGRATED INFORMATION FOR IOWA SYSTEM 16 For the payment of services provided by the department of 17 administrative services related to the integrated information 18 for Iowa system: 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 228,822 20 4. WORKPLACE INJURY AND SAFETY SURVEYS 21 For the operation of workplace safety surveys and workplace 22 data collection and analysis, including salaries, support, 23 maintenance, and miscellaneous purposes, and for not more than 24 the following full-time equivalent positions: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 125,555 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 2.55 27 5. SUMMER YOUTH INTERN PILOT PROGRAM 28 For the funding of a summer youth intern pilot program that 29 helps young people at risk of not graduating from high school 30 to explore and prepare for high-demand careers through summer 31 work experience, including the development of soft skills: 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 250,000 33 6. VOCATIONAL REHABILITATION SERVICES DIVISION 34 a. For salaries, support, maintenance, and miscellaneous 35 -8- HF 1040.2037 (2) 91 nls/ko 8/ 18

purposes, and for not more than the following full-time 1 equivalent positions: 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,226,739 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 251.00 4 For purposes of optimizing the job placement of individuals 5 with disabilities, the division shall make its best efforts 6 to work with community rehabilitation program providers for 7 job placement and retention services for individuals with 8 significant disabilities and most significant disabilities. By 9 January 15, 2026, the division shall submit a written report to 10 the general assembly regarding the division’s outreach efforts 11 with community rehabilitation program providers. 12 b. For matching moneys for programs to enable persons 13 with severe physical or mental disabilities to function more 14 independently, including salaries and support, and for not more 15 than the following full-time equivalent positions: 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 84,804 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 1.00 18 c. For the entrepreneurs with disabilities program 19 established pursuant to section 84H.4: 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 138,506 21 d. For costs associated with centers for independent 22 living: 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 86,547 24 7. ADULT EDUCATION AND LITERACY PROGRAMS 25 For distribution as grants to community colleges for 26 the purpose of adult basic education programs for students 27 requiring instruction in English as a second language: 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 29 In issuing grants under this subsection, the department of 30 workforce development shall use the same application process 31 and criteria as are used for purposes of awarding grants to 32 community colleges for the purpose of adult basic education 33 programs for students requiring instruction in English as a 34 second language using moneys that are appropriated to the 35 -9- HF 1040.2037 (2) 91 nls/ko 9/ 18

department from the Iowa skilled worker and job creation fund 1 created in section 8.57J. 2 8. REGISTERED APPRENTICESHIP DEVELOPMENT PROGRAMS 3 For the funding of the registered apprenticeship development 4 programs under chapter 84F to encourage small to midsize 5 businesses to start or grow registered apprenticeships: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 760,000 7 Notwithstanding section 8.33 , moneys appropriated in this 8 section that remain unencumbered or unobligated at the close of 9 the fiscal year shall not revert but shall remain available for 10 expenditure for the purposes designated until the close of the 11 succeeding fiscal year. 12 Sec. 9. DEPARTMENT OF WORKFORCE DEVELOPMENT —— EMPLOYEE 13 MISCLASSIFICATION PROGRAM. There is appropriated from the 14 general fund of the state to the department of workforce 15 development for the fiscal year beginning July 1, 2025, and 16 ending June 30, 2026, the following amount, or so much thereof 17 as is necessary, to be used for the purposes designated: 18 For enhancing efforts to investigate employers that 19 misclassify workers, and for not more than the following 20 full-time equivalent positions: 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 379,631 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 4.00 23 Sec. 10. DEPARTMENT OF WORKFORCE DEVELOPMENT —— SPECIAL 24 EMPLOYMENT SECURITY CONTINGENCY FUND. 25 1. There is appropriated from the special employment 26 security contingency fund created in section 96.13 to the 27 department of workforce development for the fiscal year 28 beginning July 1, 2025, and ending June 30, 2026, the following 29 amount, or so much thereof as is necessary, to be used for 30 field offices: 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,616,084 32 2. Any remaining additional penalty and interest revenue 33 collected by the department of workforce development is 34 appropriated to the department for the fiscal year beginning 35 -10- HF 1040.2037 (2) 91 nls/ko 10/ 18

July 1, 2025, and ending June 30, 2026, to accomplish the 1 mission of the department. 2 Sec. 11. IOWA SKILLED WORKER AND JOB CREATION FUND. 3 1. There is appropriated from the Iowa skilled worker and 4 job creation fund created in section 8.57J to the following 5 departments, agencies, and institutions for the fiscal year 6 beginning July 1, 2025, and ending June 30, 2026, the following 7 amounts, or so much thereof as is necessary, to be used for the 8 purposes designated: 9 a. ECONOMIC DEVELOPMENT AUTHORITY 10 (1) For the purposes of providing assistance as described in 11 section 15.335B for the high quality jobs program: 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 11,700,000 13 (a) From the moneys appropriated in this subparagraph 14 (1), the economic development authority may use not more than 15 $1,000,000 for purposes of providing infrastructure grants to 16 main street communities under the main street Iowa program. 17 (b) As a condition of receiving moneys appropriated in this 18 subparagraph (1), an entity shall testify upon the request of 19 the joint appropriations subcommittee on economic development 20 regarding the expenditure of such moneys. 21 (2) For support of the manufacturing 4.0 technology 22 investment program established in section 15.371: 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,016,675 24 (3) For the empower rural Iowa program: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 700,000 26 b. STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS 27 (1) STATE BOARD OF REGENTS. For capacity building 28 infrastructure in areas related to technology 29 commercialization, marketing and business development 30 efforts in areas related to technology commercialization, 31 entrepreneurship, and business growth, and infrastructure 32 projects and programs needed to assist in implementation of 33 activities under chapter 262B: 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 35 -11- HF 1040.2037 (2) 91 nls/ko 11/ 18

(a) Of the moneys appropriated pursuant to this 1 subparagraph (1), 35 percent shall be allocated for Iowa state 2 university of science and technology, 35 percent shall be 3 allocated for the state university of Iowa, and 30 percent 4 shall be allocated for the university of northern Iowa. 5 (b) The institutions shall provide a one-to-one match 6 of additional moneys for the activities funded with moneys 7 appropriated under this subparagraph (1). 8 (c) The state board of regents shall submit a report by 9 January 15, 2026, to the governor and the general assembly 10 regarding the activities, projects, and programs funded with 11 moneys appropriated under this subparagraph (1), The report 12 shall be provided in an electronic format and shall include a 13 list of metrics and criteria mutually agreed to in advance by 14 the board of regents and the economic development authority. 15 The metrics and criteria shall allow the governor's office and 16 the general assembly to quantify and evaluate the progress 17 of the board of regents institutions with regard to their 18 activities, projects, and programs in the areas of technology 19 commercialization, entrepreneurship, regional development, and 20 market research. 21 (2) IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY. For 22 small business development centers, the research park, and the 23 center for industrial research and service, and for not more 24 than the following full-time equivalent positions: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,424,302 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 50.94 27 (a) Of the moneys appropriated in this subparagraph (2), 28 Iowa state university of science and technology shall allocate 29 at least $735,728 for purposes of funding small business 30 development centers. Iowa state university of science and 31 technology may allocate the appropriated moneys to the various 32 small business development centers in any manner necessary to 33 achieve the purposes of this subparagraph. 34 (b) Iowa state university of science and technology shall 35 -12- HF 1040.2037 (2) 91 nls/ko 12/ 18

do all of the following: 1 (i) Direct expenditures for research toward projects that 2 will provide economic stimulus for Iowa. 3 (ii) Provide emphasis to providing services to Iowa-based 4 companies. 5 (c) It is the intent of the general assembly that the 6 industrial incentive program focus on Iowa industrial sectors 7 and seek contributions and in-kind donations from businesses, 8 industrial foundations, and trade associations, and that moneys 9 for the center for industrial research and service industrial 10 incentive program shall be allocated only for projects which 11 are matched by private sector moneys for directed contract 12 research or for nondirected research. The match required of 13 small businesses as defined in section 15.102 for directed 14 contract research or for nondirected research shall be $1 15 for each $3 of state funds. The match required for other 16 businesses for directed contract research or for nondirected 17 research shall be $1 for each $1 of state funds. The match 18 required of industrial foundations or trade associations shall 19 be $1 for each $1 of state funds. 20 (d) Iowa state university of science and technology shall 21 report annually to the general assembly the total amount of 22 private contributions, the proportion of contributions from 23 small businesses and other businesses, and the proportion for 24 directed contract research and nondirected research of benefit 25 to Iowa businesses and industrial sectors. 26 (3) STATE UNIVERSITY OF IOWA 27 (a) For the state university of Iowa research park and for 28 university of Iowa pharmaceuticals located at the research 29 park, including salaries, support, maintenance, equipment, and 30 miscellaneous purposes, and for not more than the following 31 full-time equivalent positions: 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 209,279 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 6.00 34 The state university of Iowa shall do all of the following: 35 -13- HF 1040.2037 (2) 91 nls/ko 13/ 18

(i) Direct expenditures for research toward projects that 1 will provide economic stimulus for Iowa. 2 (ii) Provide emphasis to providing services to Iowa-based 3 companies. 4 (b) For the purpose of implementing the entrepreneurship 5 and economic growth initiative, and for not more than the 6 following full-time equivalent positions: 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,000,000 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 8.00 9 (4) UNIVERSITY OF NORTHERN IOWA 10 For the metal casting and foundry 4.0 centers, advance Iowa, 11 family business center, and the institute for decision making, 12 including salaries, support, maintenance, and miscellaneous 13 purposes, and for not more than the following full-time 14 equivalent positions: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,466,419 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 13.00 17 The university of northern Iowa shall do all of the 18 following: 19 (a) Direct expenditures for research toward projects that 20 will provide economic stimulus for Iowa. 21 (b) Provide emphasis to providing services to Iowa-based 22 companies. 23 (5) As a condition of receiving moneys appropriated in 24 this lettered paragraph “b”, an entity shall testify upon the 25 request of the joint appropriations subcommittee on economic 26 development regarding the expenditure of such moneys. 27 c. DEPARTMENT OF WORKFORCE DEVELOPMENT 28 (1) For staffing costs related to completing workforce 29 preparation outcome reporting in conjunction with the 30 department of education: 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 125,000 32 (2) For distribution to community colleges for the purposes 33 of implementing adult education and literacy programs pursuant 34 to section 84A.19: 35 -14- HF 1040.2037 (2) 91 nls/ko 14/ 18

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5,500,000 1 (a) From the moneys appropriated in this numbered 2 subparagraph, $3,883,000 shall be allocated pursuant to the 3 formula established in section 260C.18C. 4 (b) From the moneys appropriated in this numbered 5 subparagraph, not more than $150,000 shall be used by the 6 department of workforce development for implementation of adult 7 education and literacy programs pursuant to section 84A.19. 8 (c) From the moneys appropriated in this numbered 9 subparagraph, not more than $1,257,000 shall be distributed 10 as grants to community colleges for the purpose of adult 11 basic education programs for students requiring instruction 12 in English as a second language. The department of workforce 13 development shall establish an application process and criteria 14 to award grants pursuant to this subparagraph division to 15 community colleges. The criteria shall be based on need for 16 instruction in English as a second language in the region 17 served by each community college as determined by factors 18 including data from the latest federal decennial census and 19 outreach efforts to determine regional needs. 20 (d) From the moneys appropriated in this numbered 21 subparagraph, $210,000 shall be transferred to the department 22 of health and human services for purposes of administering a 23 program to provide access to international resources to Iowans 24 and new Iowans to provide economic and leadership development 25 resulting in Iowa being a more welcoming place to live, work, 26 and raise a family. The program shall provide supplemental 27 support services for international refugees to improve 28 learning, English literacy, life skills, cultural competencies, 29 and integration in a county with a population over 350,000 30 as determined by the 2020 federal decennial census. The 31 department of health and human services shall utilize a request 32 for proposals process to identify the entity best qualified to 33 implement the program. 34 (3) For the funding of internships for students studying in 35 -15- HF 1040.2037 (2) 91 nls/ko 15/ 18

the fields of science, technology, engineering, and mathematics 1 with eligible Iowa employers as provided in section 84A.21, 2 subsection 2, paragraph “c”: 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 633,325 4 2. Notwithstanding section 8.33 , moneys appropriated in 5 this section that remain unencumbered or unobligated at the 6 close of the fiscal year shall not revert but shall remain 7 available for expenditure for the purposes designated until the 8 close of the succeeding fiscal year. 9 Sec. 12. GENERAL FUND —— CERTAIN REGENTS INSTITUTIONS. 10 1. There is appropriated from the general fund of the state 11 to the following institutions for the fiscal year beginning 12 July 1, 2025, and ending June 30, 2026, the following amounts, 13 or so much thereof as is necessary, to be used for the purposes 14 designated: 15 a. IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY 16 In cooperation with the economic development authority, for 17 support of a biosciences innovation ecosystem, to strengthen 18 Iowa’s leadership positions in the area of bio-based chemicals, 19 digital agriculture, vaccines, and medical devices, including 20 salaries, support, maintenance, and miscellaneous purposes, and 21 for not more than the following full-time equivalent positions: 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,963,995 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 9.18 24 b. STATE UNIVERSITY OF IOWA 25 In cooperation with the economic development authority, for 26 support of a biosciences innovation ecosystem, to strengthen 27 Iowa’s leadership positions in the area of bio-based chemicals, 28 digital agriculture, vaccines, and medical devices, including 29 salaries, support, maintenance, and miscellaneous purposes, and 30 for not more than the following full-time equivalent positions: 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,000,000 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 4.35 33 c. UNIVERSITY OF NORTHERN IOWA 34 For equipment and technology to expand the university’s 35 -16- HF 1040.2037 (2) 91 nls/ko 16/ 18