House File 550 - Introduced



                                       HOUSE FILE       
                                       BY  MILLER


    Passed House, Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act creating a community infrastructure and transportation
  2    enhancement program and fund, making appropriations, and
  3    providing a contingent effective date.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 2974HH 81
  6 tm/gg/14

PAG LIN



  1  1    Section 1.  NEW SECTION.  15E.321  DEFINITIONS.
  1  2    As used in this division, unless the context otherwise
  1  3 requires:
  1  4    1.  "Board" means the Iowa economic development board
  1  5 created in section 15.103.
  1  6    2.  "Fund" means the community infrastructure and
  1  7 transportation enhancement fund created in section 15E.324.
  1  8    3.  "Program" means the community infrastructure and
  1  9 transportation enhancement program established in section
  1 10 15E.322.
  1 11    Sec. 2.  NEW SECTION.  15E.322  COMMUNITY INFRASTRUCTURE
  1 12 AND TRANSPORTATION ENHANCEMENT PROGRAM.
  1 13    1.  The department shall establish and administer a
  1 14 community infrastructure and transportation enhancement
  1 15 program to assist communities on a regional basis in the
  1 16 promotion, marketing, and provision of infrastructure
  1 17 enhancement for existing airports, railways, port facilities,
  1 18 and recreational trails.
  1 19    2.  A city or county may submit an application to the
  1 20 department for financial assistance for a project under the
  1 21 program.  The assistance shall be provided only from funds,
  1 22 rights, and assets legally available to the department and
  1 23 shall be in the form of grants, loans, forgivable loans, and
  1 24 credit enhancements and financing instruments.  The
  1 25 application shall include, but not be limited to, the
  1 26 following information:
  1 27    a.  The total capital investment of the project, including
  1 28 but not limited to costs for construction, site acquisition,
  1 29 and infrastructure improvement.
  1 30    b.  The amount or percentage of local and private matching
  1 31 moneys which will be or have been provided for the project.
  1 32    c.  The total number of jobs to be created or retained by
  1 33 the project.
  1 34    d.  The need of the community for the project and for the
  1 35 financial assistance.
  2  1    e.  The long=term tax=generating impact of the project.
  2  2    3.  The department shall adopt rules relating to the
  2  3 establishment and administration of the program, including
  2  4 eligibility criteria.
  2  5    Sec. 3.  NEW SECTION.  15E.323  APPLICATION REVIEW.
  2  6    1.  Applications for assistance under the program shall be
  2  7 submitted to the department.  For those applications that meet
  2  8 the eligibility criteria, the department shall provide a staff
  2  9 review analysis and evaluation to the board.  The department
  2 10 shall make recommendations to the board regarding the
  2 11 approval, deferral, or denial of applications.
  2 12    2.  When reviewing the applications, the department shall
  2 13 consider, at a minimum, all of the following:
  2 14    a.  Whether the wages, benefits, including health benefits,
  2 15 safety, and other attributes of the project would improve the
  2 16 quality of life in the community.
  2 17    b.  The ability of the project to produce a long=term, tax=
  2 18 generating economic impact.
  2 19    c.  The location of the projects and geographic diversity
  2 20 of the applications.
  2 21    d.  Whether the project is primarily a vertical
  2 22 infrastructure project with demonstrated substantial regional
  2 23 or statewide economic impact.  For purposes of the program,
  2 24 "vertical infrastructure" means land acquisition and
  2 25 construction, major renovation and major repair of buildings,
  2 26 all appurtenant structures, utilities, site development, and
  2 27 recreational trails.  "Vertical infrastructure" does not
  2 28 include routine, recurring maintenance or operational expenses
  2 29 or leasing of a building, appurtenant structure, or utility
  2 30 without a lease=purchase agreement.
  2 31    e.  Whether the applicant has received financial assistance
  2 32 under the program for the same project.
  2 33    f.  The extent to which the project has taken the following
  2 34 planning principles into consideration:
  2 35    (1)  Efficient and effective use of land resources and
  3  1 existing infrastructure by encouraging development in areas
  3  2 with existing infrastructure or capacity to avoid costly
  3  3 duplication of services and costly use of land.
  3  4    (2)  Provision for a variety of transportation choices,
  3  5 including pedestrian traffic.
  3  6    (3)  Maintenance of a unique sense of place by respecting
  3  7 local cultural and natural environmental features.
  3  8    (4)  Conservation of open space and farmland and
  3  9 preservation of critical environmental areas.
  3 10    (5)  Promotion of the safety, livability, and
  3 11 revitalization of existing urban and rural communities.
  3 12    g.  Whether financial assistance under the program would
  3 13 supplement investments in the project made by private
  3 14 individuals or supplement other state or federal financial
  3 15 assistance for the project.
  3 16    3.  Upon review of the recommendations, the board shall
  3 17 approve, defer, or deny the applications.
  3 18    Sec. 4.  NEW SECTION.  15E.324  COMMUNITY INFRASTRUCTURE
  3 19 AND TRANSPORTATION ENHANCEMENT PROGRAM FUND == ALLOCATION OF
  3 20 MONEYS == APPROPRIATION.
  3 21    1.  A community infrastructure and transportation
  3 22 enhancement program fund is created as a separate fund in the
  3 23 state treasury under the control of the department, consisting
  3 24 of any moneys appropriated by the general assembly and any
  3 25 other moneys available to and obtained or accepted by the
  3 26 department for placement in the fund.
  3 27    2.  Payments of interest, repayments of moneys loaned
  3 28 pursuant to this division, and recaptures of grants or loans
  3 29 shall be deposited in the fund.
  3 30    3.  Moneys in the fund shall be used to provide assistance
  3 31 under the program.  A project with a total cost exceeding
  3 32 twenty million dollars may receive financial assistance under
  3 33 the program.  An applicant under the program shall not receive
  3 34 financial assistance from the fund in an amount exceeding
  3 35 fifty percent of the total cost of the project.
  4  1    4.  Moneys in the fund are not subject to section 8.33.
  4  2 Notwithstanding section 12C.7, subsection 2, interest or
  4  3 earnings on moneys in the fund shall be credited to the fund.
  4  4    5.  At the beginning of each fiscal year, the department
  4  5 shall allocate all moneys in the fund in the following manner:
  4  6    a.  One=third of the moneys shall be allocated to provide
  4  7 assistance to cities and counties which meet the following
  4  8 criteria:
  4  9    (1)  A city that has a population of ten thousand or less
  4 10 according to the most recently published census.
  4 11    (2)  A county that has a population that ranks in the
  4 12 bottom thirty=three counties according to the most recently
  4 13 published census.
  4 14    b.  Two=thirds of the moneys shall be allocated to provide
  4 15 assistance to any city or county in the state, which may
  4 16 include a city or county included under paragraph "a".
  4 17    6.  If two or more cities or counties submit a joint
  4 18 project application for financial assistance under the
  4 19 program, all joint applicants must meet the criteria of
  4 20 subsection 5, paragraph "a", in order to receive any moneys
  4 21 allocated under that paragraph.
  4 22    7.  If any portion of the allocated moneys under subsection
  4 23 5, paragraph "a", has not been awarded by April 1 of the
  4 24 fiscal year for which the allocation is made, the portion
  4 25 which has not been awarded may be utilized by the board to
  4 26 provide financial assistance under the program to any city or
  4 27 county in the state.
  4 28    8.  For the fiscal period beginning July 1, 2005, and
  4 29 ending June 30, 2010, there is appropriated two million
  4 30 dollars each fiscal year from the grow Iowa values fund to the
  4 31 community infrastructure and transportation enhancement
  4 32 program fund.
  4 33    9.  Notwithstanding the allocation requirements in
  4 34 subsection 5, the board may make a multiyear commitment to an
  4 35 applicant of up to four million dollars in any one fiscal
  5  1 year.
  5  2    Sec. 5.  CONTINGENT EFFECTIVE DATE.  This Act takes effect
  5  3 upon the enactment of legislation creating a grow Iowa values
  5  4 fund by the general assembly during the 2005 legislative
  5  5 session.
  5  6                           EXPLANATION
  5  7    This bill creates a community infrastructure and
  5  8 transportation enhancement program and fund and makes
  5  9 appropriations.
  5 10    The bill requires the department of economic development to
  5 11 establish and administer a community infrastructure and
  5 12 transportation enhancement program to assist communities on a
  5 13 regional basis in the promotion, marketing, and provision of
  5 14 infrastructure enhancement for existing airports, railways,
  5 15 port facilities, and recreational trails.  The bill provides
  5 16 that a city or county in the state may submit an application
  5 17 to the department for financial assistance for a project under
  5 18 the program.
  5 19    The bill provides that applications for assistance under
  5 20 the program shall be submitted to the department and that the
  5 21 department shall provide a staff review analysis and
  5 22 evaluation and make recommendations to the Iowa economic
  5 23 development board.  The bill provides certain criteria for the
  5 24 department to consider in developing the staff review analysis
  5 25 including the wages, benefits, and other attributes that the
  5 26 project would bring to the community; the economic impact of
  5 27 the project; the location of the project; whether the project
  5 28 involves vertical infrastructure; whether the applicant has
  5 29 received other financial assistance; the extent of the use of
  5 30 certain planning principles; and whether the financial
  5 31 assistance under the program would supplement investments in
  5 32 the project made by private individuals or supplement other
  5 33 state or federal financial assistance for the project.  The
  5 34 bill provides that, upon review of the recommendations, the
  5 35 board shall approve, defer, or deny the applications.
  6  1    The bill creates a community infrastructure and
  6  2 transportation enhancement program fund in the state treasury
  6  3 under the control of the department.  The bill provides that
  6  4 the fund shall be used to provide financial assistance under
  6  5 the program in the form of grants, loans, forgivable loans,
  6  6 and credit enhancements and financing instruments.  The bill
  6  7 provides that a project with a total cost exceeding $20
  6  8 million may receive financial assistance under the program.
  6  9 The bill limits the amount of financial assistance a recipient
  6 10 can receive to not more than 50 percent of the total cost of
  6 11 the project.
  6 12    The bill requires the department, at the beginning of each
  6 13 fiscal year, to allocate one=third of the moneys in the fund
  6 14 to provide assistance to cities that have a population of
  6 15 10,000 or less and to counties that have a population that
  6 16 ranks in the bottom 33 counties in the state.  The remaining
  6 17 two=thirds of the moneys shall be allocated to provide
  6 18 assistance to any city and county in the state.  The bill
  6 19 provides that if any portion of the one=third of the moneys
  6 20 allocated to small cities or counties has not been awarded by
  6 21 April 1 of the fiscal year for which the allocation is made,
  6 22 the portion which has not been awarded may be utilized by the
  6 23 board to provide financial assistance under the program to any
  6 24 city or county in the state.
  6 25    For the fiscal period beginning July 1, 2005, and ending
  6 26 June 30, 2010, the bill appropriates $2 million each fiscal
  6 27 year from the grow Iowa values fund to the community
  6 28 infrastructure and transportation enhancement program fund.
  6 29    The bill provides that, notwithstanding the allocation
  6 30 requirements of the bill, the board may make a multiyear
  6 31 commitment to an applicant of up to $4 million in any one
  6 32 fiscal year.
  6 33    The bill takes effect upon the enactment of legislation
  6 34 creating a grow Iowa values fund by the general assembly
  6 35 during the 2005 legislative session.
  7  1 LSB 2974HH 81
  7  2 tm:nh/gg/14