House File 2784 - Introduced
HOUSE FILE
BY COMMITTEE ON WAYS AND MEANS
(SUCCESSOR TO HF 2670)
(SUCCESSOR TO HF 2004)
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act concerning community foundations and economic development
2 relating to the endow Iowa tax credit, the allocation of
3 gambling tax revenues, the distribution of county endowment
4 moneys, making an appropriation, and providing an effective
5 date.
6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
7 TLSB 5566HZ 81
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PAG LIN
1 1 Section 1. Section 15E.305, subsection 2, unnumbered
1 2 paragraph 1, Code Supplement 2005, is amended to read as
1 3 follows:
1 4 The aggregate amount of tax credits authorized pursuant to
1 5 this section shall not exceed a total of two million dollars
1 6 plus such additional credit amount as provided by this section
1 7 annually. The maximum amount of tax credits granted to a
1 8 taxpayer shall not exceed five percent of the aggregate amount
1 9 of tax credits authorized.
1 10 Sec. 2. Section 15E.305, subsection 2, Code Supplement
1 11 2005, is amended by adding the following new unnumbered
1 12 paragraph:
1 13 NEW UNNUMBERED PARAGRAPH. For purposes of this subsection,
1 14 the additional credit amount shall be an amount for each
1 15 applicable calendar year determined by the department of
1 16 revenue equal to the amount of money credited as provided by
1 17 section 99F.11, subsection 3, paragraph "d", subparagraph (3),
1 18 for the prior fiscal year.
1 19 Sec. 3. Section 15E.305, subsection 4, Code Supplement
1 20 2005, is amended by striking the subsection.
1 21 Sec. 4. Section 15E.311, subsection 3, paragraph a, Code
1 22 Supplement 2005, is amended to read as follows:
1 23 a. At the end of each fiscal year, moneys in the fund
1 24 shall be transferred into separate accounts within the fund
1 25 and designated for use by each county in which no licensee
1 26 authorized to conduct gambling games under chapter 99F was
1 27 located during that fiscal year. Moneys transferred to county
1 28 accounts shall be divided equally among the counties. Moneys
1 29 transferred into an account for a county shall be transferred
1 30 by the department to an eligible county recipient for that
1 31 county. Of the moneys transferred, an eligible county
1 32 recipient shall distribute seventy=five percent of the moneys
1 33 as grants to charitable organizations for charitable purposes
1 34 in that county and shall retain twenty=five percent of the
1 35 moneys for use in establishing a permanent endowment fund for
2 1 the benefit of charitable organizations for charitable
2 2 purposes. Of the amounts distributed, eligible county
2 3 recipients shall give special consideration to grants for
2 4 projects that include significant vertical infrastructure
2 5 components designed to enhance quality of life aspects within
2 6 local communities.
2 7 Sec. 5. Section 99F.11, subsection 3, paragraph d, Code
2 8 2005, is amended to read as follows:
2 9 d. One=half of one One percent of the adjusted gross
2 10 receipts shall be deposited allocated as follows:
2 11 (1) Eight=tenths of one percent shall be deposited in the
2 12 county endowment fund created in section 15E.311.
2 13 (2) One=tenth of one percent, less up to two hundred sixty
2 14 thousand dollars, is appropriated to the community development
2 15 division of the department of economic development for the
2 16 purposes of regional tourism marketing. However, none of the
2 17 moneys appropriated shall be used for administrative purposes.
2 18 (3) One=tenth of one percent, less up to two hundred sixty
2 19 thousand dollars, shall be credited to the general fund of the
2 20 state for the purpose of funding the endow Iowa tax credit
2 21 provided in section 15E.305.
2 22 (4) Up to five hundred twenty thousand dollars is
2 23 appropriated to the department of cultural affairs with one=
2 24 half of the moneys allocated for operational support grants
2 25 and the remaining one=half allocated for the community
2 26 cultural grants program established under section 303.3.
2 27 Sec. 6. 2003 Iowa Acts, 1st Extraordinary Session, chapter
2 28 2, section 93, is amended to read as follows:
2 29 SEC. 93. The divisions of this Act designated economic
2 30 development appropriations, workforce=related issues, loan and
2 31 credit guarantee fund, university=based research utilization
2 32 program appropriation, endow Iowa tax credit, and
2 33 rehabilitation project tax credits are repealed effective June
2 34 30, 2010.
2 35 Sec. 7. EFFECTIVE DATE. This Act takes effect July 1,
3 1 2007.
3 2 EXPLANATION
3 3 This bill concerns the endow Iowa tax credit and the
3 4 distribution of gambling tax revenues collected from excursion
3 5 gambling boats and racetracks.
3 6 Code section 15E.305, concerning the endow Iowa tax credit,
3 7 is amended. The bill increases the aggregate amount of tax
3 8 credits authorized in a calendar year by an amount equal to
3 9 the amount generated for this purpose from a distribution of
3 10 gambling tax revenues generated in the prior fiscal year. The
3 11 bill eliminates the provision ending this tax credit after
3 12 December 31, 2008. The bill also eliminates the repeal of the
3 13 Code provisions concerning the endow Iowa tax credit that
3 14 would have occurred on June 30, 2010.
3 15 Code section 15E.311 is amended to provide that eligible
3 16 county recipients receiving money from the county endowment
3 17 fund shall consider grants for projects that include vertical
3 18 infrastructure components designed to enhance the quality of
3 19 life within local communities.
3 20 Code section 99F.11, subsection 3, concerning the
3 21 distribution of gambling tax revenues from gambling games at
3 22 excursion gambling boats and racetracks, is amended. Current
3 23 law provides that one=half of 1 percent of tax revenues shall
3 24 be deposited in the county endowment fund. The bill increases
3 25 this percentage to eight=tenths of 1 percent. The bill also
3 26 provides that two=tenths of 1 percent of tax revenues is
3 27 allocated as follows, with up to $520,000 appropriated to the
3 28 department of cultural affairs and split equally between
3 29 operational support grants and the community cultural grants
3 30 program. Of the remaining moneys derived from the two=tenths
3 31 of 1 percent, one=half is appropriated to the community
3 32 development division of the department of economic development
3 33 for regional tourism marketing and one=half shall be credited
3 34 to the general fund of the state for the purposes of funding
3 35 the endow Iowa tax credit.
4 1 The bill takes effect July 1, 2007.
4 2 LSB 5566HZ 81
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