House File 2582
HOUSE FILE
BY RANTS
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to appropriations for economic development
2 purposes, workforce development field offices, workforce
3 training and economic development funds of community colleges,
4 and including effective date and retroactive applicability
5 provisions.
6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
7 TLSB 7152YH 80
8 mg/sh/8
PAG LIN
1 1 DIVISION I
1 2 APPROPRIATION RELATED
1 3 Section 1. CONTRACT OR APPROVED PROJECT OR ACTIVITY
1 4 VALIDATION. Any contract or approved project or activity
1 5 originally funded or intended to be funded in whole or in part
1 6 with moneys from the grow Iowa values fund, and entered into
1 7 or approved by the department of economic development or the
1 8 grow Iowa values board after June 30, 2003, and before June
1 9 16, 2004, in reliance on the publication of law implementing
1 10 the grow Iowa values fund in the 2003 Code Supplement and 2003
1 11 Iowa Acts, is valid and enforceable to the full extent of the
1 12 law. The Iowa supreme court decision in Rants and Iverson v.
1 13 Vilsack, No. 60/03=1948, June 16, 2004, and the provisions of
1 14 this Act shall not in themselves constitute grounds for
1 15 recision or modification of such contracts or approved
1 16 projects or activities. This Act provides appropriations to
1 17 fund these contracts or approved projects or activities.
1 18 Sec. 2. ECONOMIC DEVELOPMENT APPROPRIATIONS.
1 19 1. There is appropriated from the fund created in
1 20 subsection 2, to the following designated entities and funds
1 21 for the fiscal year beginning July 1, 2004, and ending June
1 22 30, 2005, the following amounts, or so much thereof as is
1 23 necessary, to be used for the purposes designated:
1 24 a. (1) To the department of economic development for
1 25 marketing strategies for the state:
1 26 .................................................. $ 6,782,949
1 27 (2) Of the amount appropriated in subparagraph (1),
1 28 $6,771,417 shall be expended pursuant to contracts or approved
1 29 projects or activities validated in this division of this Act.
1 30 b. (1) To the department of economic development for
1 31 financial assistance and incentives to businesses under
1 32 programs currently existing which are administered by the
1 33 department:
1 34 .................................................. $ 61,045,652
1 35 (2) Of the amount appropriated in subparagraph (1),
2 1 $36,915,343 shall be expended pursuant to contracts or
2 2 approved projects or activities validated in this division of
2 3 this Act.
2 4 (3) In addition to the amount appropriated in subparagraph
2 5 (1), $700,000 of any interest or earnings on moneys in the
2 6 fund created in subsection 2 which are credited to the fund
2 7 shall be appropriated to the department for the purposes
2 8 specified in subparagraph (1).
2 9 c. To the department of economic development for providing
2 10 financial assistance for projects in targeted state parks and
2 11 destination parks pursuant to contracts or approved projects
2 12 or activities validated in this division of this Act:
2 13 .................................................. $ 475,806
2 14 d. (1) For deposit in the loan and credit guarantee fund
2 15 created in section 15E.227:
2 16 .................................................. $ 5,728,402
2 17 (2) Of the amount appropriated in subparagraph (1), $1,785
2 18 shall be expended pursuant to contracts or approved projects
2 19 or activities validated in this division of this Act.
2 20 e. To the department of economic development for financial
2 21 assistance for institutions of higher learning under the
2 22 control of the board of regents and for accredited private
2 23 institutions pursuant to contracts or approved projects or
2 24 activities validated in this division of this Act:
2 25 .................................................. $ 10,058,162
2 26 f. (1) To the department of economic development for
2 27 deposit into the workforce training and economic development
2 28 funds of the community colleges pursuant to section 260C.18A:
2 29 .................................................. $ 3,848,668
2 30 (2) Of the amount appropriated in subparagraph (1),
2 31 $742,608 shall be expended pursuant to contracts or approved
2 32 projects or activities validated in this division of this Act.
2 33 g. To the department of economic development for deposit
2 34 into the workforce training and economic development funds of
2 35 the community colleges created in section 260C.18A for
3 1 purposes of the job retention program pursuant to section
3 2 260F.9:
3 3 .................................................. $ 1,000,000
3 4 h. To the department of economic development for endow
3 5 Iowa grants to lead philanthropic entities pursuant to section
3 6 15E.304:
3 7 .................................................. $ 155,303
3 8 i. To the department of economic development for deposit
3 9 into the general fund of the state for lost revenue due to
3 10 endow Iowa tax credits granted pursuant to section 15E.305:
3 11 .................................................. $ 155,303
3 12 j. For deposit into the cash reserve fund to replace
3 13 claims paid from the general fund of the state by the state
3 14 appeal board as affirmed in section 3 of this division of this
3 15 Act:
3 16 .................................................. $ 10,749,754
3 17 2. A federal economic stimulus and jobs holding fund is
3 18 created in the state treasury under the control of the
3 19 department of management consisting of moneys received from
3 20 the federal government for state and local government fiscal
3 21 relief under the federal Jobs and Growth Tax Relief
3 22 Reconciliation Act of 2003. Notwithstanding section 12C.7,
3 23 interest or earnings on moneys in the fund shall be credited
3 24 to the fund. Moneys appropriated from the fund in this
3 25 section shall be expended as provided in the federal law
3 26 making the moneys available and in conformance with chapter
3 27 17A.
3 28 3. Notwithstanding section 8.33, moneys that remain
3 29 unexpended at the end of a fiscal year shall not revert to any
3 30 fund but shall remain available for expenditure for the
3 31 designated purposes during the succeeding fiscal year.
3 32 Sec. 3. PAYMENT OF CLAIMS. The general assembly affirms
3 33 the action by the state appeal board on August 27, 2004,
3 34 approving payment of claims against the state for moneys
3 35 appropriated from the grow Iowa values fund and obligated
4 1 prior to the Iowa supreme court decision of Rants and Iverson
4 2 v. Vilsack, No. 60/03=1948, June 16, 2004, that invalidated
4 3 the proper enactment of the appropriations.
4 4 Sec. 4. REPEAL. 2003 Iowa Acts, First Extraordinary
4 5 Session, chapter 2, sections 65 through 75, are repealed.
4 6 Sec. 5. EFFECTIVE AND RETROACTIVE APPLICABILITY DATES.
4 7 This division of this Act, being deemed of immediate
4 8 importance, takes effect upon enactment and applies
4 9 retroactively to July 1, 2003.
4 10 DIVISION II
4 11 WORKFORCE DEVELOPMENT FIELD OFFICES
4 12 APPROPRIATIONS
4 13 Sec. 6. NEW SECTION. 96.7A APPROPRIATIONS FOR WORKFORCE
4 14 DEVELOPMENT FIELD OFFICES.
4 15 There is appropriated from the general fund of the state to
4 16 the department of workforce development for the fiscal period
4 17 beginning July 1, 2004, and ending June 30, 2007, the
4 18 following amounts, or so much thereof as is necessary, to be
4 19 used for the purposes designated:
4 20 For workforce development field offices, including
4 21 salaries, support, maintenance, conducting labor market
4 22 surveys, and miscellaneous purposes:
4 23 1. FY 2004=2005................................. $ 6,525,000
4 24 2. FY 2005=2006................................. $ 6,525,000
4 25 3. FY 2006=2007................................. $ 3,262,500
4 26 Notwithstanding section 8.33, moneys that remain unexpended at
4 27 the end of the fiscal year shall not revert but shall remain
4 28 available for expenditure for the designated purposes during the
4 29 succeeding fiscal year.
4 30 Sec. 7. EFFECTIVE DATE. This division of this Act, being
4 31 deemed of immediate importance, takes effect upon enactment.
4 32 DIVISION III
4 33 WORKFORCE TRAINING AND ECONOMIC DEVELOPMENT FUNDS
4 34 Sec. 8. Section 260C.18A, subsection 2, unnumbered
4 35 paragraph 1, Code Supplement 2003, as amended by 2004 Iowa
5 1 Acts, Senate File 2298, section 370, is amended to read as
5 2 follows:
5 3 On July 1 of each year for the fiscal year beginning July
5 4 1, 2003, and for every fiscal year thereafter, moneys from the
5 5 grow Iowa values fund created in section 15G.108 are
5 6 appropriated to the department of economic development for
5 7 deposit in the workforce training and economic development
5 8 funds in amounts determined pursuant to subsection 4. Moneys
5 9 deposited in the funds and disbursed to community colleges for
5 10 a fiscal year shall be expended for the following purposes,
5 11 provided seventy percent of the moneys shall be used on
5 12 projects in the areas of advanced manufacturing, information
5 13 technology and insurance, and life sciences which include the
5 14 areas of biotechnology, health care technology, and nursing
5 15 care technology:
5 16 Sec. 9. Section 260C.18A, subsections 3, 4, and 7, Code
5 17 Supplement 2003, as amended by 2004 Iowa Acts, Senate File
5 18 2298, section 330, are amended by striking the subsections.
5 19 Sec. 10. Section 260C.18A, subsection 6, paragraph d, Code
5 20 Supplement 2003, is amended to read as follows:
5 21 d. Annually submit the two=year plan and progress report
5 22 to the department of economic development in a manner
5 23 prescribed by rules adopted by the department pursuant to
5 24 chapter 17A and annually file a copy of the plan and progress
5 25 report with the grow Iowa values board. For the fiscal year
5 26 beginning July 1, 2004, and each fiscal year thereafter, a
5 27 community college shall not have moneys deposited in the
5 28 workforce training and economic development fund of that
5 29 community college unless the grow Iowa values board approves
5 30 the annual progress report of the community college.
5 31 Sec. 11. Section 260C.18A, subsection 8, as enacted by
5 32 2004 Iowa Acts, Senate File 2298, section 331, is amended by
5 33 striking the subsection.
5 34 Sec. 12. Section 260C.18A, Code Supplement 2003, is
5 35 amended by adding the following new subsection:
6 1 NEW SUBSECTION. 9. This section is repealed effective
6 2 June 30, 2010.
6 3 Sec. 13. EFFECTIVE AND RETROACTIVE APPLICABILITY DATES.
6 4 This division of this Act, being deemed of immediate
6 5 importance, takes effect upon enactment and applies
6 6 retroactively to June 30, 2004.
6 7 EXPLANATION
6 8 Division I == This division validates contracts entered
6 9 into or projects or activities approved by the department of
6 10 economic development or the grow Iowa values board in reliance
6 11 on the validity of the law implementing the grow Iowa values
6 12 fund which was subsequently declared invalid by the Iowa
6 13 supreme court in the decision of Rants and Iverson v. Vilsack.
6 14 This division makes appropriations of federal funding
6 15 received by the state under the federal Jobs and Growth Tax
6 16 Relief Reconciliation Act of 2003. Appropriations are made
6 17 for fiscal year 2004=2005 to the department of economic
6 18 development for the following purposes: marketing strategies,
6 19 financial assistance and incentives to businesses, financial
6 20 assistance for institutions under the control of the state
6 21 board of regents and accredited private institutions,
6 22 workforce training and economic development funds of the
6 23 community colleges, endow Iowa grants and tax credits, and for
6 24 targeted state parks and destination parks; for deposit in the
6 25 loan and credit guarantee fund; and to the cash reserve fund.
6 26 The appropriations remaining unobligated or unexpended do not
6 27 revert at the close of the fiscal year but remain available
6 28 for the succeeding fiscal year.
6 29 The action by the state appeals board is validated that
6 30 approved payment of claims against the state for moneys
6 31 appropriated from the grow Iowa values fund and obligated
6 32 prior to the Iowa supreme court decision of Rants and Iverson
6 33 v. Vilsack that invalidated the grow Iowa values fund
6 34 appropriations.
6 35 The division of the 2003 session law invalidated by the
7 1 Iowa supreme court decision containing the grow Iowa values
7 2 fund appropriations is repealed.
7 3 The division takes effect upon enactment and is
7 4 retroactively applicable to July 1, 2003.
7 5 Division II == This division appropriates state general
7 6 fund moneys for the fiscal period beginning July 1, 2004, and
7 7 ending June 30, 2007, for department of workforce development
7 8 field offices. These offices were to be funded by
7 9 administrative contribution surcharges to be collected in the
7 10 2004, 2005, and 2006 calendar years. The Iowa supreme court
7 11 decision making House File 692, dealing with the grow Iowa
7 12 values fund, invalid also made the surcharges for those three
7 13 calendar years invalid.
7 14 The division takes effect upon enactment.
7 15 Division III == This division amends Code section 260C.18A
7 16 that establishes the workforce training and economic
7 17 development funds of community colleges to strike references
7 18 to the grow Iowa values fund and the multiyear appropriations
7 19 made from it.
7 20 The division takes effect upon enactment and applies
7 21 retroactively to July 1, 2004.
7 22 LSB 7152YH 80
7 23 mg/sh/8