House File 1041 H-1359 Amend House File 1041 as follows: 1 1. By striking everything after the enacting clause and 2 inserting: 3 < DIVISION I 4 SPORTS WAGERING RECEIPTS 5 Section 1. Section 8.57I, subsection 3, Code 2025, is 6 amended to read as follows: 7 3. a. Moneys in the sports wagering receipts fund in a 8 fiscal year shall be used as directed by the general assembly. 9 b. For the fiscal year beginning July 1, 2025, and each 10 fiscal year thereafter, there is appropriated from the sports 11 wagering receipts fund to the public safety equipment fund 12 created in section 80.48 eight million dollars. Subsections 4 13 and 5 do not apply to moneys appropriated under this paragraph. 14 Sec. 2. SPORTS WAGERING RECEIPTS FUND —— DEPARTMENT OF 15 EDUCATION —— EDUCATION SUPPORT PERSONNEL SALARY SUPPLEMENT —— 16 FY 2025-2026. 17 1. There is appropriated from the sports wagering receipts 18 fund created in section 8.57I to the department of education 19 for the fiscal year beginning July 1, 2025, and ending June 30, 20 2026, the following amount, or so much thereof as is necessary, 21 to be used for the purposes designated: 22 To supplement education support personnel compensation: 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 14,000,000 24 2. Moneys appropriated in this section are miscellaneous 25 income as defined in section 257.2 and shall not be included 26 in any computation of district cost under chapter 257 for any 27 budget year. 28 3. Moneys appropriated in this section shall be used to 29 provide a funding supplement to each school district during the 30 fiscal year beginning July 1, 2025, to supplement education 31 support personnel compensation. 32 4. In order to receive the funding supplement, a school 33 district shall first report to the department of education 34 on or before July 1, 2025, the number of education support 35 -1- HF 1041.2146 (3) 91 (Amending this HF 1041 to CONFORM to SF 660) ns/js 1/ 10 #1.

personnel employed by the school district, including all 1 other information related to such personnel required by the 2 department of education. Each school district’s funding 3 supplement amount shall be equal to $14,000,000 multiplied by 4 the quotient of the school district’s budget enrollment for the 5 budget year beginning July 1, 2024, divided by the statewide 6 total budget enrollment for the budget year beginning July 1, 7 2024. 8 5. For purposes of this section, “education support 9 personnel” means regular and part-time employees of a school 10 district who are not salaried. 11 6. The payment of funding supplement amounts under this 12 section shall be paid by the department of education at the 13 same time and in the same manner as foundation aid is paid 14 under section 257.16 for the fiscal year beginning July 1, 15 2025, and may be included in the monthly payment of state aid 16 under section 257.16, subsection 2. 17 Sec. 3. SPORTS WAGERING RECEIPTS FUND —— DEPARTMENT OF 18 EDUCATION DIVISION OF SPECIAL EDUCATION —— FY 2025-2026. There 19 is appropriated from the sports wagering receipts fund created 20 in section 8.57I to the department of education for the fiscal 21 year beginning July 1, 2025, and ending June 30, 2026, the 22 following amount, or so much thereof as is necessary, to be 23 used for the purposes designated: 24 For the division of special education, including general 25 supervision, oversight, compliance, employee salaries, support, 26 maintenance, and miscellaneous purposes within the area 27 education agency regions and the department of education main 28 office: 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5,000,000 30 Sec. 4. SPORTS WAGERING RECEIPTS FUND —— IOWA FILM 31 PRODUCTION INCENTIVE FUND —— FY 2025-2026. There is 32 appropriated from the sports wagering receipts fund created in 33 section 8.57I to the economic development authority for the 34 fiscal year beginning July 1, 2025, and ending June 30, 2026, 35 -2- HF 1041.2146 (3) 91 (Amending this HF 1041 to CONFORM to SF 660) ns/js 2/ 10

the following amount, or so much thereof as is necessary, to be 1 used for the purposes designated: 2 For deposit in the Iowa film production incentive fund 3 created in section 15.517, if enacted by 2025 Iowa Acts, Senate 4 File 657, section 78: 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,000,000 6 Sec. 5. SPORTS WAGERING RECEIPTS FUND —— MAJOR EVENTS AND 7 TOURISM PROGRAM —— FY 2025-2026. There is appropriated from 8 the sports wagering receipts fund created in section 8.57I 9 to the economic development authority for the fiscal year 10 beginning July 1, 2025, and ending June 30, 2026, the following 11 amount, or so much thereof as is necessary, to be used for the 12 purposes designated: 13 For deposit in the Iowa major events and tourism fund created 14 in section 15G.104, as enacted by this Act: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,000,000 16 Sec. 6. EFFECTIVE DATE. The following, being deemed of 17 immediate importance, takes effect upon enactment: 18 The section of this division of this Act appropriating 19 moneys to the department of education for an education support 20 personnel salary supplement. 21 DIVISION II 22 IOWA MAJOR EVENTS AND TOURISM PROGRAM AND FUND 23 Sec. 7. NEW SECTION . 15G.101 Definitions. 24 As used in this chapter, unless the context otherwise 25 requires: 26 1. “Board” means the same as defined in section 15.102. 27 2. “Entity” means an Iowa nonprofit organization established 28 to promote economic development and tourism in an area. 29 3. “Event” means a tourism-oriented athletic contest, 30 convention, music festival, or art festival. 31 4. “Financial assistance” means assistance provided only 32 from the funds, rights, and assets legally available to the 33 authority and includes but is not limited to assistance in the 34 form of grants. 35 -3- HF 1041.2146 (3) 91 (Amending this HF 1041 to CONFORM to SF 660) ns/js 3/ 10

5. “Fund” means the Iowa major events and tourism fund 1 established in section 15G.104. 2 6. “Program” means the Iowa major events and tourism program 3 established in section 15G.102. 4 Sec. 8. NEW SECTION . 15G.102 Iowa major events and tourism 5 program —— purpose. 6 1. The authority shall establish and administer the 7 Iowa major events and tourism program to provide financial 8 assistance to eligible entities that support events in this 9 state, or support events involving a geographic region that 10 includes this state, and the event generates large attendance, 11 significant publicity, and has a measurable economic impact on 12 this state. 13 2. The program shall be administered for the purpose of 14 awarding financial assistance to an eligible entity for any of 15 the following purposes: 16 a. To pay for or reimburse the costs incurred by the entity 17 to apply or bid for selection as the site for the event. 18 b. To pay for or reimburse the costs incurred by the entity 19 to plan or to conduct the event, including any fees charged by 20 a site selection organization as a prerequisite to hosting the 21 event, including but not limited to hosting fees, sanctioning 22 fees, participation fees, operational fees, or bid fees. 23 Sec. 9. NEW SECTION . 15G.103 Program —— application, 24 review, eligibility, and funding. 25 1. An application for financial assistance under the 26 program shall be submitted to the authority. For each 27 application that meets the eligibility criteria under 28 subsection 2, the authority shall conduct a staff evaluation 29 of the application and forward the application and staff 30 evaluation to the board. 31 2. a. The authority shall establish eligibility criteria 32 for the program by rule. The eligibility criteria must include 33 all of the following: 34 (1) The entity must currently be involved in the bidding and 35 -4- HF 1041.2146 (3) 91 (Amending this HF 1041 to CONFORM to SF 660) ns/js 4/ 10

selection process for the event for which the entity submits 1 an application. 2 (2) The entity’s application under subsection 1 must 3 include an economic analysis of the event that includes but is 4 not limited to all of the following: 5 (a) Projected hotel and motel room occupancies during the 6 event. 7 (b) Projected number of event attendees from this state, 8 other states, and other countries. 9 b. Notwithstanding paragraph “a” , an entity shall be deemed 10 eligible for the program if any of the following apply: 11 (1) After a highly competitive bidding and selection 12 process involving potential sites not located in this state, a 13 location in Iowa has been selected for the entity’s event. 14 (2) This state serves as the sole site for the entity’s 15 event. 16 (3) The sole site for the entity’s event is a geographical 17 region that includes this state and one or more contiguous 18 states. 19 3. When evaluating an application, the authority shall 20 consider, at a minimum, all of the following: 21 a. The potential impact of the event on the local, regional, 22 and state economies. 23 b. The event’s potential to attract visitors from this 24 state, other states, and other countries. 25 c. The amount of positive advertising or media coverage the 26 event may generate. 27 d. The quality, size, and scope of the event. 28 e. The ratio of public-to-private investment required for 29 the event. 30 4. a. (1) Upon review of the staff evaluation, the board 31 shall make the final funding decision on each application 32 and may approve, deny, defer, or modify each application, in 33 the board’s discretion, to fund as many events as possible 34 with the moneys available. The board and the authority may 35 -5- HF 1041.2146 (3) 91 (Amending this HF 1041 to CONFORM to SF 660) ns/js 5/ 10

negotiate with an eligible applicant regarding the details of 1 the applicant’s proposed event and the amount and terms of 2 any financial assistance. In making final funding decisions 3 pursuant to this subsection, the board and the authority shall 4 be exempt from chapter 17A. 5 (2) An application and staff evaluation forwarded to 6 the board under subsection 1 shall remain eligible for 7 consideration by the board under subparagraph (1) for up to two 8 years from the date of receipt of the application by the board. 9 b. In order to be awarded financial assistance under the 10 program, an applicant must demonstrate the ability to provide 11 matching funds for the event that equal at least fifty percent 12 of the award of financial assistance. 13 Sec. 10. NEW SECTION . 15G.104 Iowa major events and tourism 14 fund. 15 1. a. The authority shall establish an Iowa major events 16 and tourism fund pursuant to section 15.106A, subsection 1, 17 paragraph “o” , for purposes of providing financial assistance 18 as described in this chapter. The fund may be administered as 19 a revolving fund and shall consist of any moneys transferred to 20 the fund and any moneys appropriated by the general assembly 21 for purposes of this chapter. 22 b. (1) Notwithstanding section 8.33, moneys appropriated 23 in this section that remain unencumbered or unobligated at the 24 close of the fiscal year shall not revert but shall remain 25 available for expenditure for the purposes designated until the 26 close of the fiscal year following the succeeding fiscal year. 27 (2) Moneys encumbered or obligated pursuant to financial 28 assistance awarded under section 15G.103, subsection 4, shall 29 be disbursed by the authority within five calendar years from 30 the date of encumbrance or obligation, or the moneys shall 31 revert to the state treasury and shall be credited to the funds 32 from which the appropriations were made as provided in section 33 8.33. 34 c. Notwithstanding section 12C.7, subsection 2, interest or 35 -6- HF 1041.2146 (3) 91 (Amending this HF 1041 to CONFORM to SF 660) ns/js 6/ 10

earnings on moneys deposited in the fund shall be credited to 1 the fund. 2 2. a. Moneys in the fund are appropriated to the authority 3 for purposes of providing financial assistance under the 4 program. The authority shall not use more than five percent 5 of the moneys in the fund at the beginning of each fiscal year 6 for purposes of administrative costs, technical assistance, and 7 other program support. 8 b. An entity that is awarded financial assistance pursuant 9 to this chapter is not eligible to receive financial assistance 10 under the sports tourism infrastructure program pursuant to 11 chapter 15F, subchapter IV. 12 DIVISION III 13 SPORTS TOURISM MARKETING PROGRAM AND FUND —— REPEAL 14 Sec. 11. Section 15F.401, subsection 1, paragraph a, Code 15 2025, is amended to read as follows: 16 a. The authority shall establish, and, at the direction 17 of the board, shall administer a sports tourism marketing and 18 infrastructure program to provide financial assistance for 19 projects that promote sporting events or for infrastructure 20 projects supporting sporting events for organizations of 21 accredited colleges and universities, professional sporting 22 events, and other sporting events in the state. 23 Sec. 12. Section 15F.401, subsection 1, paragraph b, Code 24 2025, is amended by adding the following new subparagraph: 25 NEW SUBPARAGRAPH . (03) “Fund” means the sports tourism 26 infrastructure program fund established in section 15F.404. 27 Sec. 13. Section 15F.401, subsection 2, paragraph a, 28 subparagraph (1), Code 2025, is amended by striking the 29 subparagraph. 30 Sec. 14. Section 15F.401, subsection 2, paragraph a, 31 subparagraph (2), Code 2025, is amended to read as follows: 32 (2) A city or county in the state , or a public entity 33 that is a convention and visitors bureau or a district 34 nonprofit organization, may apply to the authority be 35 -7- HF 1041.2146 (3) 91 (Amending this HF 1041 to CONFORM to SF 660) ns/js 7/ 10

eligible for financial assistance from the sports tourism 1 infrastructure program fund created in section 15F.404 fund for 2 an infrastructure project that actively and directly supports 3 sporting events for accredited colleges and universities, 4 professional sporting events, and other sporting events in the 5 area served by the city, county, or public entity. However, 6 financial assistance shall not be provided to an applicant a 7 public entity that is a nonprofit organization from the sports 8 tourism infrastructure program fund created in section 15F.404 9 fund for infrastructure projects located in a reinvestment 10 district as defined and approved by the authority pursuant to 11 section 15J.4 or to applicants that have received a rebate 12 of sales tax imposed and collected by retailers pursuant to 13 section 423.4, subsection 5 . A city, county, or public entity 14 that is a nonprofit organization that receives financial 15 assistance under this paragraph is not eligible to receive 16 financial assistance under the Iowa major events and tourism 17 program under chapter 15G. 18 Sec. 15. Section 15F.401, subsection 4, paragraph b, Code 19 2025, is amended to read as follows: 20 b. An applicant under the program shall not receive 21 financial assistance from the sports tourism marketing 22 program fund created in section 15F.403 or the sports tourism 23 infrastructure program fund created in section 15F.404 fund 24 in an amount exceeding fifty percent of the total cost of the 25 project. 26 Sec. 16. Section 15F.401, subsection 5, Code 2025, is 27 amended to read as follows: 28 5. The board shall make final funding decisions on 29 each application and may approve, deny, defer, or modify 30 applications for financial assistance under the sports tourism 31 marketing and infrastructure program, in its discretion, in 32 order to fund as many projects with the moneys available as 33 possible. The board and the authority may negotiate with 34 applicants regarding the details of projects and the amount and 35 -8- HF 1041.2146 (3) 91 (Amending this HF 1041 to CONFORM to SF 660) ns/js 8/ 10

terms of any award. The total amount of financial assistance 1 provided to an applicant from the sports tourism marketing 2 program fund created in section 15F.403 in any one fiscal year 3 shall not exceed five hundred thousand dollars. In making 4 final funding decisions pursuant to this subsection , the board 5 and the authority are exempt from chapter 17A . 6 Sec. 17. Section 15F.401, subsection 6, Code 2025, is 7 amended by striking the subsection and inserting in lieu 8 thereof the following: 9 6. A city, county, or public entity shall not use financial 10 assistance received under the program from the fund as 11 reimbursement for completed projects. 12 Sec. 18. Section 15F.402, subsections 1 and 2, Code 2025, 13 are amended to read as follows: 14 1. Applications for assistance under the sports tourism 15 marketing and infrastructure program established in section 16 15F.401 shall be submitted to the authority. For those 17 applications that meet the eligibility criteria, the authority 18 shall forward the applications to the board and provide a staff 19 review analysis and evaluation to the sports tourism program 20 review committee referred to in subsection 2 and to the board. 21 2. A review committee composed of five members of the 22 board shall review sports tourism marketing and infrastructure 23 program applications forwarded to the board and make 24 recommendations regarding the applications to the authority. 25 Sec. 19. Section 15F.404, subsection 2, paragraph a, Code 26 2025, is amended to read as follows: 27 a. Moneys in the fund are appropriated to the authority for 28 purposes of providing financial assistance to cities, counties, 29 and eligible public entities under the sports tourism marketing 30 and infrastructure program established and administered 31 pursuant to this subchapter . 32 Sec. 20. REPEAL. Section 15F.403, Code 2025, is repealed. 33 Sec. 21. TRANSFER OF MONEYS. On the effective date of 34 this division of this Act, any moneys remaining in the sports 35 -9- HF 1041.2146 (3) 91 (Amending this HF 1041 to CONFORM to SF 660) ns/js 9/ 10

tourism marketing program fund in section 15F.403, Code 2025, 1 shall be transferred to the Iowa major events tourism fund 2 established in section 15G.104, as enacted in this Act. > 3 2. Title page, by striking lines 1 and 2 and inserting 4 < An Act relating to sports wagering and tourism, making 5 appropriations, and including effective date provisions. > 6 ______________________________ GEHLBACH of Dallas -10- HF 1041.2146 (3) 91 (Amending this HF 1041 to CONFORM to SF 660) ns/js 10/ 10 #2.