House File 872 - Introduced
HOUSE FILE
BY GIPP and MURPHY
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to local government innovation and providing an
2 effective date.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 3608HH 81
5 sc/cf/24
PAG LIN
1 1 Section 1. Section 8.64, Code 2005, is amended by striking
1 2 the section and inserting in lieu thereof the following:
1 3 8.64 LOCAL GOVERNMENT INNOVATION COMMISSION.
1 4 1. A local government innovation commission is created
1 5 consisting of thirteen voting members and four nonvoting
1 6 members.
1 7 a. Voting members of the commission shall be appointed for
1 8 a term of three years as follows:
1 9 (1) One member representing the executive branch appointed
1 10 by the governor.
1 11 (2) One member representing county government appointed by
1 12 the president of the Iowa state association of counties.
1 13 (3) One member representing city government appointed by
1 14 the president of the Iowa league of cities.
1 15 (4) One member representing community colleges appointed
1 16 by the president of the Iowa association of community college
1 17 presidents.
1 18 (5) One member representing the councils of governments
1 19 appointed by the president of the Iowa association of councils
1 20 of government.
1 21 (6) The administrator of the homeland security and
1 22 emergency management division of the Iowa department of public
1 23 defense.
1 24 (7) The director of the department of economic development
1 25 or the director's designee.
1 26 (8) Two members representing the general public appointed
1 27 by the governor.
1 28 (9) Four members representing the general public, one each
1 29 appointed by each co=floor leader of the senate, the speaker
1 30 of the house of representatives, and the minority leader of
1 31 the house of representatives.
1 32 b. Four nonvoting members of the general assembly shall be
1 33 appointed for a term of two years commencing at the convening
1 34 of each general assembly, one each appointed by each co=floor
1 35 leader of the senate, the speaker of the house of
2 1 representatives, and the minority leader of the house of
2 2 representatives. However, initial appointments of members
2 3 under this paragraph shall be made on the effective date of
2 4 this Act.
2 5 2. a. Any vacancy shall be filled in the same manner as
2 6 regular appointments are made for the unexpired portion of the
2 7 regular term.
2 8 b. Members of the commission shall be allowed their actual
2 9 and necessary expenses incurred in the performance of their
2 10 duties. The members of the commission representing the
2 11 general public shall also be compensated as provided in
2 12 section 7E.6. Per diem and expenses paid to commission
2 13 members shall be paid from moneys appropriated to the local
2 14 government innovation fund, except that the per diem and
2 15 expenses of members of the general assembly shall be paid
2 16 pursuant to section 2.12.
2 17 c. The commission shall meet in September of each year for
2 18 the purpose of electing one of its voting members as
2 19 chairperson. However, the initial meeting of the commission
2 20 shall be held within sixty days of the effective date of this
2 21 Act. The commission shall meet at the call of the chairperson
2 22 or when a majority of the voting members of the commission
2 23 file a written request with the chairperson for a meeting.
2 24 Written notice of the time and place of each meeting shall be
2 25 given to each member of the commission.
2 26 d. A majority of the voting members of the commission
2 27 shall constitute a quorum. Any action taken by the commission
2 28 must be adopted by the affirmative vote of a majority of its
2 29 voting membership.
2 30 e. The local government innovation commission shall be
2 31 considered part of the department of management. The
2 32 department of management shall provide staff assistance and
2 33 administrative support to the commission.
2 34 3. The local government innovation commission shall, by
2 35 January 15, 2006, submit a report to the general assembly
3 1 detailing a proposed request for results process. The process
3 2 shall focus on results, strategies, and desired outcomes for
3 3 community=wide areas. The report shall specify the indicators
3 4 to be used by the commission in quantifying the achievement of
3 5 a result as that result is described in an application for
3 6 approval of a proposed local governance and revenue model
3 7 submitted to the commission. The report shall indicate the
3 8 criteria to be used by the commission in reviewing proposed
3 9 local governance and revenue models. In developing a request
3 10 for results application and review process, the local
3 11 government innovation commission may request, and shall
3 12 receive, the assistance of the Iowa center for governing
3 13 excellence established pursuant to section 262.102.
3 14 Before September 1, 2006, the local government innovation
3 15 commission shall approve an application and review process for
3 16 proposed local governance and revenue models which implements
3 17 the request for results report in this subsection. The
3 18 department of management shall adopt the commission's
3 19 application and review process by rule pursuant to chapter
3 20 17A.
3 21 On or before September 1, 2006, the local government
3 22 innovation commission shall provide to the president of each
3 23 community college and the director of each council of
3 24 governments described in section 28H.1 the report prepared
3 25 pursuant to this subsection, and the rules approved by the
3 26 commission and adopted by the department.
3 27 4. The local government innovation commission shall review
3 28 all local governance and revenue models submitted for
3 29 approval. The commission shall approve those local governance
3 30 and revenue models that, if implemented, would result in all
3 31 of the following:
3 32 a. Cost savings to citizens, in particular lowering of
3 33 local government property taxes.
3 34 b. Creation of, or inducement to create, high=wage, stable
3 35 employment opportunities for a local government's citizens and
4 1 more effective leveraging of resources to improve competitive
4 2 advantage.
4 3 c. Elimination of duplication of government
4 4 administration.
4 5 d. More efficient delivery of services by government,
4 6 including eliminating duplication of service delivery by more
4 7 than one unit of government in the same area.
4 8 e. Creation of a state=local partnership in one or more
4 9 areas of service delivery and governance that would increase
4 10 quality and efficiency on the local level.
4 11 5. A community=wide area seeking approval of a local
4 12 governance and revenue model shall complete an application
4 13 form designed by the local government innovation commission
4 14 which employs a return on investment concept and demonstrates
4 15 how the local governance and revenue model will result in
4 16 reduced local government or state general fund expenditures or
4 17 how local government fund revenues will increase without an
4 18 increase in state costs, how local government services will be
4 19 provided more efficiently or will be of increased quality
4 20 resulting in greater value from the expenditure of local
4 21 government revenues, and how the model develops partnerships
4 22 with the state to provide increased quality and efficiency on
4 23 the local level.
4 24 The local government innovation commission shall utilize
4 25 the department of management, the department of revenue, or
4 26 other sources of technical expertise designated by the
4 27 commission to certify savings projected for a proposed local
4 28 governance and revenue model.
4 29 6. On or before January 1, 2008, the local government
4 30 innovation commission shall submit to the general assembly and
4 31 to the office of the governor recommendations for legislation
4 32 that would provide flexibility and freedom to local
4 33 governments in implementing governance and revenue models
4 34 submitted for review and approval to the local government
4 35 innovation commission.
5 1 7. Officials of a community=wide area that has approved at
5 2 election a local governance and revenue model may apply to the
5 3 local government innovation commission for a grant from the
5 4 local government innovation fund to implement all or a portion
5 5 of such governance and revenue model. Minimum requirements
5 6 for local government grant requests shall be determined by the
5 7 commission and adopted by rule by the department of
5 8 management.
5 9 Sec. 2. NEW SECTION. 8.65 LOCAL GOVERNMENT INNOVATION
5 10 FUND.
5 11 1. A local government innovation fund is created in the
5 12 state treasury under the control of the department of
5 13 management for the purpose of stimulating and encouraging
5 14 innovation in local government by providing moneys to
5 15 facilitate the process established in sections 8.64 and 8.66
5 16 and for the purpose of providing grants to assist in the
5 17 implementation of local governance and revenue models that
5 18 have been approved at election.
5 19 2. Notwithstanding section 12C.7, subsection 2, interest
5 20 or earnings on moneys deposited in the local government
5 21 innovation fund shall be credited to the local government
5 22 innovation fund. Notwithstanding section 8.33, moneys
5 23 appropriated to and moneys remaining in the local government
5 24 innovation fund at the end of a fiscal year shall not revert
5 25 to the general fund of the state.
5 26 Sec. 3. NEW SECTION. 8.66 COMMUNITY=WIDE MEETINGS ==
5 27 ECONOMIC DEVELOPMENT MISSION STATEMENT AND PLAN == LOCAL
5 28 GOVERNANCE AND REVENUE MODELS.
5 29 1. On or before September 1, 2005, the president of each
5 30 community college, in conjunction with the director of the
5 31 council of governments located within the merged area, shall
5 32 initiate and coordinate a series of meetings of local
5 33 government officials within the merged area with economic
5 34 development entities located in the merged area, including
5 35 area chambers of commerce, and Iowa state university of
6 1 science and technology extension offices located in the merged
6 2 area, and representatives of the following agencies or
6 3 departments of state government:
6 4 a. The office of attorney general.
6 5 b. The department of economic development.
6 6 c. The department of education.
6 7 d. The department of corrections.
6 8 e. The department of transportation.
6 9 If an area of the state is not represented by a council of
6 10 governments, an established organization operating in that
6 11 area that represents multigovernmental jurisdictions shall
6 12 serve as if it were the council of governments for that area.
6 13 For purposes of this section, "merged area" means a merged
6 14 area operating a community college as those terms are defined
6 15 in section 260C.2.
6 16 2. The purpose of the initial meeting organized under
6 17 subsection 1 is for the local government officials involved to
6 18 discuss economic development goals and activities. Each
6 19 community college shall make available to the participants in
6 20 the other merged areas a written summary of discussions at the
6 21 initial meeting. After the initial meeting, local governments
6 22 shall create community=wide areas based on common economic
6 23 development goals which areas may be other than those based on
6 24 the merged area boundaries. However, the resulting community=
6 25 wide areas shall be comprised of at least three contiguous
6 26 counties, which, if possible, are located within the same
6 27 council of governments area. Representatives of the community
6 28 colleges and councils of governments wholly or partially
6 29 located within the community=wide areas shall facilitate
6 30 subsequent meetings of the local government participants.
6 31 The local government officials in each community=wide area
6 32 shall develop a regional integrated economic development
6 33 mission statement, or shall affirm a regional integrated
6 34 economic development mission statement that has already been
6 35 developed for the area. After development of a mission
7 1 statement, the participants shall develop a regional
7 2 integrated economic development plan, or affirm an existing
7 3 plan, relating to one or more of the following areas:
7 4 a. Regional marketing strategies.
7 5 b. Development of the information solutions sector.
7 6 c. Development of the advanced manufacturing sector.
7 7 d. Development of the life sciences and biotechnology
7 8 sector.
7 9 e. Development of the insurance or financial services
7 10 sector.
7 11 f. Physical infrastructure including, but not limited to,
7 12 horizontal infrastructure, water and sewer infrastructure, and
7 13 telecommunications infrastructure.
7 14 g. Entrepreneurship.
7 15 h. Tourism and recreation.
7 16 3. After the local participants have developed a regional
7 17 integrated economic development mission statement and plan,
7 18 the community college president, or the president's designee,
7 19 in conjunction with the councils of governments for the area,
7 20 shall facilitate the development of local governance and
7 21 revenue models which relate to, and center around, the common
7 22 economic development goals as expressed in the regional
7 23 integrated economic development mission statement and in the
7 24 regional integrated economic development plan for that
7 25 community=wide area. The local governance and revenue models
7 26 shall be designed to do all of the following:
7 27 a. Provide cost savings to citizens, in particular
7 28 lowering of local government property taxes.
7 29 b. Provide for creation of, or inducement to create, high=
7 30 wage, stable employment opportunities for a local government's
7 31 citizens and provide for more effective leveraging of
7 32 resources to improve competitive advantage.
7 33 c. Eliminate duplication of government administration.
7 34 d. Deliver government services more efficiently, including
7 35 eliminating duplication of service delivery by more than one
8 1 unit of government in the same area.
8 2 e. Propose creation of a state=local partnership in one or
8 3 more areas of service delivery and governance that would
8 4 increase quality and efficiency on the local level.
8 5 If applicable, a governance and revenue model shall include
8 6 recommended legislation necessary to fully implement the
8 7 model. If a governance and revenue model proposes to adopt an
8 8 alternative form of county government or a consolidated
8 9 metropolitan corporation, the charter commission process and
8 10 election requirements of chapter 331, division II, part 2, and
8 11 chapter 373 shall not apply.
8 12 4. Each council of governments described in section 28H.1
8 13 shall, on or before September 1, 2006, provide a report
8 14 containing an assessment of the current local governance
8 15 structures and revenue systems to assist in development of
8 16 local governance and revenue models. The report shall include
8 17 assessments of services provided by each local government,
8 18 inventory and needs of infrastructure maintained by each local
8 19 government, cultural and fine arts resources assessments for
8 20 the area, housing assessment for the area, natural resources,
8 21 conservation, and recreational facilities in the area, current
8 22 sharing agreements to which a local government is a party, an
8 23 assessment of the state's role in providing local government
8 24 services within the area, and recommendations relating to
8 25 alternative service delivery options.
8 26 5. At the series of meetings organized under subsection 1,
8 27 the community college president, or the president's designee,
8 28 shall inform, and review with, the participants the local
8 29 governance and revenue models review process adopted by the
8 30 local government innovation commission.
8 31 6. On or before September 1, 2007, each community=wide
8 32 area participating in the series of meetings organized under
8 33 subsection 1 shall submit its local governance and revenue
8 34 model to the local government innovation commission for review
8 35 and approval. The local government innovation commission
9 1 shall, by June 1, 2008, complete its review of all local
9 2 governance and revenue models submitted for approval. If the
9 3 commission does not approve a local governance and revenue
9 4 model, the commission shall notify the local government
9 5 officials in the community=wide area, the appropriate
9 6 community college president, the appropriate council of
9 7 governments, and any other participants listed in subsection
9 8 1. The commission shall specify the reasons for rejecting the
9 9 proposed local governance and revenue model. The participants
9 10 involved in developing the local governance and revenue model
9 11 shall reconvene to develop an amended model and shall submit
9 12 the amended model to the commission for review.
9 13 7. Local governance and revenue models shall be submitted
9 14 to the electorate at the general election in 2008 or 2010 or
9 15 at a special election called for that purpose. A local
9 16 governance and revenue model is deemed adopted if it receives
9 17 a favorable majority of the votes cast on the proposition in
9 18 the community=wide area. If a model is rejected by the
9 19 voters, the local governments, merged area, and council of
9 20 governments involved in development of the model shall
9 21 reconvene to amend the model. The amended model shall be
9 22 submitted to the local government innovation commission for
9 23 review. If the amended model is not approved by the
9 24 commission, the participants shall repeat the process in
9 25 subsection 6. If approved by the commission, the amended
9 26 model shall be submitted to the voters.
9 27 Sec. 4. NEW SECTION. 8.67 INTENT.
9 28 1. It is the intent of the general assembly to enact
9 29 legislation to provide the flexibility and freedom to local
9 30 governments necessary to implement governance and revenue
9 31 systems developed as models and submitted to the local
9 32 government innovation commission. Local governments are
9 33 encouraged to consider innovative approaches to government
9 34 administration, and funding and delivery of local government
9 35 services when developing governance and revenue models.
10 1 2. It is further the intent of the general assembly to
10 2 reward those community=wide areas that have implemented a
10 3 local governance and revenue system pursuant to sections 8.64
10 4 through 8.66 by enacting legislation that would provide
10 5 freedom and flexibility relating to compliance with state
10 6 mandates and rules of state agencies relating to local
10 7 governments. Accountability and performance measures shall be
10 8 included in the legislation.
10 9 3. It is further the intent of the general assembly that
10 10 sharing agreements in effect on the effective date of this
10 11 Act, and that will be in effect for the five years following
10 12 the effective date of this Act, shall also be eligible for
10 13 flexibilities and freedoms enacted by the general assembly
10 14 pursuant to subsection 1, if such agreements meet one or more
10 15 of the results specified in section 8.66, subsection 3.
10 16 Sec. 5. NEW SECTION. 262.102 IOWA CENTER FOR GOVERNING
10 17 EXCELLENCE.
10 18 1. The board of regents shall establish an Iowa center for
10 19 governing excellence in the public policy and administration
10 20 program of the department of political science at Iowa state
10 21 university of science and technology. The purpose of the Iowa
10 22 center for governing excellence is to do all of the following:
10 23 a. Enhance the accountability, effectiveness, and
10 24 efficiency of Iowa's local governments and state agencies by
10 25 providing objective and nonpartisan research and training
10 26 support for policymakers and government officials.
10 27 b. Integrate the research capacities of the universities
10 28 under the board's control and of organizations representing
10 29 local governments to support management and policy research.
10 30 c. Facilitate dialogues among Iowa's state agencies and
10 31 local governments, regents universities, organizations
10 32 representing local governments, and citizens on government
10 33 policy design, implementation, and evaluation.
10 34 2. The president of Iowa state university, in consultation
10 35 with the president of the university of Iowa and the president
11 1 of the university of northern Iowa, shall employ a full=time
11 2 director and administrative assistant at the center. Each
11 3 regents university shall provide funding or commit staff to
11 4 the center for governing excellence. Clerical staff shall be
11 5 provided to the center by the office of state and local
11 6 government programs at Iowa state university.
11 7 3. The center may solicit, accept, and administer moneys
11 8 contributed to the center by any source, and may enter into
11 9 contracts with public or private agencies in order to carry
11 10 out its purposes.
11 11 4. The center shall submit an annual report of the
11 12 activities of the center to the governor and to the general
11 13 assembly as provided in section 7A.11A by January 15 of each
11 14 year.
11 15 Sec. 6. NEW SECTION. 262.103 COORDINATING COUNCIL
11 16 CREATED.
11 17 1. a. A coordinating council is created to oversee and
11 18 direct the activities of the Iowa center for governing
11 19 excellence.
11 20 b. The following members of the coordinating council shall
11 21 be appointed by the board of regents:
11 22 (1) A representative of the office of state and local
11 23 government programs at Iowa state university of science and
11 24 technology.
11 25 (2) A representative of the institute of public affairs at
11 26 the university of Iowa.
11 27 (3) A representative of the state and local government
11 28 programs at the university of northern Iowa.
11 29 (4) A representative of the Iowa league of cities.
11 30 (5) A representative of the Iowa state association of
11 31 counties.
11 32 (6) A representative of the association of municipal
11 33 utilities.
11 34 (7) A city administrator or city manager.
11 35 (8) A county administrator or county manager.
12 1 (9) An elected city official.
12 2 (10) An elected county official.
12 3 c. The following persons shall also be members of the
12 4 coordinating council:
12 5 (1) A representative of the office of governor appointed
12 6 by the governor.
12 7 (2) The director of the department of management or the
12 8 director's designee.
12 9 (3) The director of the department of revenue or the
12 10 director's designee.
12 11 (4) The auditor of state or the auditor of state's
12 12 designee.
12 13 (5) The director of the legislative services agency or the
12 14 director's designee as a nonvoting member.
12 15 2. The coordinating council shall oversee the operations
12 16 of the Iowa center for governing excellence and shall make
12 17 decisions regarding research and training activities conducted
12 18 by the center.
12 19 Sec. 7. EFFECTIVE DATE. This Act, being deemed of
12 20 immediate importance, takes effect upon enactment.
12 21 EXPLANATION
12 22 This bill makes changes relating to local government
12 23 innovation.
12 24 The bill creates the local government innovation commission
12 25 in the department of management. Members of the commission
12 26 represent the executive branch, county and city governments,
12 27 community colleges, councils of governments, the homeland
12 28 security and emergency management division of the Iowa
12 29 department of public defense, the department of economic
12 30 development, and the general public. Four members of the
12 31 general assembly are appointed as nonvoting members of the
12 32 commission. The commission is to approve rules relating to
12 33 review of local governance and revenue models.
12 34 The bill also creates a local government innovation fund
12 35 for the purpose of providing moneys to facilitate the meetings
13 1 of local government officials in developing a regional
13 2 integrated economic development statement and plan and in
13 3 developing local governance and revenue models. The fund is
13 4 also to be used for providing grants to community=wide areas
13 5 to assist in the implementation of local governance and
13 6 revenue models that have been approved at election by the
13 7 voters of a community=wide area.
13 8 The bill requires the president of each community college,
13 9 in conjunction with the director of the council of governments
13 10 located within the community college area, to initiate and
13 11 coordinate a series of meetings on or before September 1,
13 12 2005, with local government officials and economic development
13 13 entities in the community college area, and representatives of
13 14 state government. The purpose of the initial meeting is to
13 15 discuss economic development goals and activities in the area.
13 16 The bill further requires that, after the initial meeting, the
13 17 local governments are to create community=wide areas that
13 18 share common economic development goals in order to develop a
13 19 regional integrated economic development mission statement and
13 20 plan for the area. The officials within the community=wide
13 21 area are to also develop a local governance and revenue model
13 22 for the area. The bill requires councils of governments for
13 23 each area to provide a report on or before September 1, 2006,
13 24 containing a local government assessment for each community=
13 25 wide area.
13 26 The bill provides that, on or before September 1, 2007,
13 27 each local governance and revenue model is to be submitted to
13 28 the local government innovation commission for review. If
13 29 approved by the commission, the model is to be submitted to
13 30 the electorate in the community=wide area at the general
13 31 election in 2008 or 2010 or at a special election called for
13 32 that purpose.
13 33 The bill contains intent language regarding future action
13 34 of the general assembly pertaining to encouraging local
13 35 government innovation.
14 1 The bill directs the state board of regents to establish
14 2 the Iowa center for governing excellence in the public policy
14 3 and administration program of the department of political
14 4 science at Iowa state university. The bill provides that the
14 5 purpose of the center for governing excellence is to provide
14 6 objective and nonpartisan research and training for
14 7 policymakers and government officials; to integrate the
14 8 research capacities of Iowa state university, the university
14 9 of Iowa, and the university of northern Iowa; and to
14 10 facilitate dialogues among Iowa's state agencies, local
14 11 governments, regents universities, and citizens on government
14 12 policy design, implementation, and evaluation. The bill
14 13 provides that the activities of the Iowa center for governing
14 14 excellence shall be directed and supervised by a coordinating
14 15 council comprised of representatives of the three state
14 16 universities, organizations representing certain local
14 17 governments, local officials, and representatives of certain
14 18 executive branch offices and the legislative services agency.
14 19 The bill takes effect upon enactment.
14 20 LSB 3608HH 81
14 21 sc/cf/24