Senate File 367
SENATE FILE
BY COMMITTEE ON ECONOMIC GROWTH
(SUCCESSOR TO SSB 1150)
Passed Senate, Date Passed House, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to animal biotechnology by creating an animal
2 biotechnology commercialization fund, extending the time
3 period during which a life science enterprise may purchase
4 agricultural land, making appropriations, and providing an
5 effective date.
6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
7 TLSB 2585SV 80
8 tm/cf/24
PAG LIN
1 1 Section 1. Section 10C.6, subsection 1, paragraph a,
1 2 subparagraph (1), Code 2003, is amended to read as follows:
1 3 (1) The life science enterprise acquires the agricultural
1 4 land on or before June 30, 2004 2008.
1 5 Sec. 2. NEW SECTION. 15E.221 ANIMAL BIOTECHNOLOGY
1 6 COMMERCIALIZATION FUND.
1 7 1. An animal biotechnology commercialization fund is
1 8 created in the state treasury under the control of the
1 9 department of economic development. Moneys in the fund shall
1 10 be used to provide financial assistance in the form of grants
1 11 and loans for all of the following:
1 12 a. Constructing infrastructure and developing proprietary
1 13 biotechnology interests in order to implement life science
1 14 enterprise plans approved by the department pursuant to
1 15 section 15.104.
1 16 b. Constructing facilities for the purification of animal
1 17 life science products which facilities shall, in part, be
1 18 available in a commercially reasonable manner to other
1 19 companies engaging in the business of purification of animal
1 20 life science products. At least ten million dollars of the
1 21 total cost of constructing such a facility must be paid for
1 22 through the use of any combination of federal, local, and
1 23 private moneys.
1 24 c. Constructing commercial animal biodefense
1 25 pharmaceutical production and processing facilities in this
1 26 state, provided that an Iowa=based qualified life science
1 27 enterprise holds an equity interest in the facilities. Prior
1 28 to receiving financial assistance under this paragraph, the
1 29 recipient must be a party to a federal contract for the
1 30 construction of a facility described in this paragraph.
1 31 2. The fund shall consist of moneys appropriated by the
1 32 general assembly for deposit in the fund, and other moneys
1 33 available to and obtained or accepted by the department for
1 34 deposit in the fund. Moneys in the fund are appropriated to
1 35 the department to be used for the purposes provided in this
2 1 section.
2 2 3. a. Applications for financial assistance for projects
2 3 described in subsection 1, paragraphs "a" and "b", shall be
2 4 filed with the department not later than May 30, 2003, and
2 5 shall be acted upon by the department not later than June 30,
2 6 2003. Administrative rules relating to the time frame for the
2 7 approval or disapproval of life science enterprise plans shall
2 8 not apply to the time frame for the application process under
2 9 this subsection.
2 10 b. Applications for financial assistance for projects
2 11 described in subsection 1, paragraph "c", shall be filed with
2 12 the department not later than July 1, 2005, and financial
2 13 assistance provided to such projects shall be expended not
2 14 later than June 30, 2006.
2 15 4. A financial assistance award approved under this
2 16 section may involve the disbursement of moneys from the fund
2 17 over a period of more than one year. At least one=half of
2 18 each financial assistance award approved under this section
2 19 shall be in the form of a loan or equity=like investment.
2 20 5. Notwithstanding section 8.33, all moneys in the animal
2 21 biotechnology commercialization fund which remain unexpended
2 22 or unobligated at the close of the fiscal year shall not
2 23 revert, but shall remain available for expenditure for
2 24 subsequent fiscal years. Notwithstanding section 12C.7,
2 25 interest or earnings on moneys in the fund shall be credited
2 26 to the fund.
2 27 Sec. 3. ANIMAL BIOTECHNOLOGY COMMERCIALIZATION FUND
2 28 APPROPRIATION. There is appropriated from the tax=exempt bond
2 29 proceeds restricted capital funds account of the tobacco
2 30 settlement trust fund established in section 12E.12 to the
2 31 department of economic development for the fiscal period
2 32 beginning July 1, 2002, and ending June 30, 2005, the
2 33 following amounts, or so much thereof as is necessary, to be
2 34 used for the purpose designated:
2 35 1. For deposit in the animal biotechnology
3 1 commercialization fund created in section 15E.221 to be used
3 2 for purposes of projects described in section 15E.221,
3 3 subsection 1, paragraph "a":
3 4 FY 2002=2003.......................................$ 0
3 5 FY 2003=2004.......................................$ 5,000,000
3 6 FY 2004=2005.......................................$ 0
3 7 2. For deposit in the animal biotechnology
3 8 commercialization fund created in section 15E.221 to be used
3 9 for purposes of projects described in section 15E.221,
3 10 subsection 1, paragraph "b":
3 11 FY 2002=2003.......................................$ 5,000,000
3 12 FY 2003=2004.......................................$ 10,000,000
3 13 FY 2004=2005.......................................$ 0
3 14 3. For deposit in the animal biotechnology
3 15 commercialization fund created in section 15E.221 to be used
3 16 for purposes of projects described in section 15E.221,
3 17 subsection 1, paragraph "c":
3 18 FY 2002=2003.......................................$ 0
3 19 FY 2003=2004.......................................$ 0
3 20 FY 2004=2005.......................................$ 10,000,000
3 21 Any moneys remaining in the fund from the appropriations
3 22 under subsection 3 that are unexpended or unobligated on June
3 23 30, 2006, shall revert to the tax=exempt bond proceeds
3 24 restricted capital funds account of the tobacco settlement
3 25 trust fund on June 30, 2006.
3 26 Sec. 4. STATE BOARD OF REGENTS APPROPRIATION. There is
3 27 appropriated from the tax=exempt bond proceeds restricted
3 28 capital funds account of the tobacco settlement trust fund
3 29 established in section 12E.12 to the state board of regents
3 30 for the fiscal year beginning July 1, 2003, and ending June
3 31 30, 2004, the following amount, or so much thereof as is
3 32 necessary, to be used for the purpose designated:
3 33 For the construction of an animal biotechnology commercial
3 34 pharmaceutical research center to be built in cooperation with
3 35 the establishment by private and local sources of an animal
4 1 biotechnology business development center:
4 2 .................................................. $ 3,000,000
4 3 Sec. 5. EFFECTIVE DATE. This Act, being deemed of
4 4 immediate importance, takes effect upon enactment.
4 5 EXPLANATION
4 6 This bill relates to animal biotechnology by creating an
4 7 animal biotechnology commercialization fund, extending the
4 8 time period during which a life science enterprise may
4 9 purchase agricultural land, and making appropriations.
4 10 The bill extends the time period during which a life
4 11 science enterprise may purchase agricultural land from June
4 12 30, 2004, to June 30, 2008.
4 13 The bill creates an animal biotechnology commercialization
4 14 fund in the state treasury under the control of the department
4 15 of economic development. The bill provides that moneys in the
4 16 fund shall be used to provide financial assistance in the form
4 17 of grants and loans for constructing infrastructure and
4 18 developing proprietary biotechnology interests in order to
4 19 implement life science enterprise plans approved by the
4 20 department, constructing facilities for the purification of
4 21 animal life science products, and constructing commercial
4 22 animal biodefense pharmaceutical production facilities in
4 23 Iowa. The bill provides that at least $10 million of the
4 24 total costs of constructing a purification facility must be
4 25 paid for through the use of any combination of federal, local,
4 26 and private moneys. The bill provides that prior to receiving
4 27 financial assistance for an animal biodefense pharmaceutical
4 28 production facility, the recipient must be a party to a
4 29 federal contract for the construction of such a facility.
4 30 The bill provides that applications for financial
4 31 assistance for infrastructure projects for life science
4 32 enterprise plans and purification facilities shall be filed
4 33 with the department not later than May 30, 2003, and shall be
4 34 acted upon by the department not later than June 30, 2003.
4 35 The bill provides that applications for financial assistance
5 1 for a biodefense facility shall be filed not later than July
5 2 1, 2005, and financial assistance shall be expended not later
5 3 than June 30, 2006. The bill provides that a financial
5 4 assistance package may involve the disbursement of moneys from
5 5 the fund over a period of more than one year and at least one=
5 6 half of each financial assistance package shall be a loan or
5 7 equity=like investment.
5 8 The bill appropriates moneys from the tax=exempt bond
5 9 proceeds restricted capital funds account of the tobacco
5 10 settlement trust fund to the department of economic
5 11 development for deposit in the animal biotechnology
5 12 commercialization fund. The bill appropriates $5 million in
5 13 FY 2003=2004 for constructing infrastructure and developing
5 14 proprietary biotechnology interests. The bill appropriates $5
5 15 million in FY 2002=2003 and $10 million in FY 2003=2004 for
5 16 purification facilities. The bill appropriates $10 million in
5 17 FY 2004=2005 for a biodefense facility.
5 18 The bill appropriates $3 million from the tax=exempt bond
5 19 proceeds restricted capital funds account of the tobacco
5 20 settlement trust fund to the state board of regents for the
5 21 fiscal year beginning July 1, 2003, and ending June 30, 2004,
5 22 for the construction of an animal biotechnology commercial
5 23 pharmaceutical research center to be built in cooperation with
5 24 the establishment by private and local sources of an animal
5 25 biotechnology business development center.
5 26 The bill takes effect upon enactment.
5 27 LSB 2585SV 80
5 28 tm/cf/24