House File 130HOUSE FILE BY VAN FOSSEN Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to the increase in the amount of historic 2 preservation and cultural and entertainment district tax 3 credits authorized for approval for a fiscal year and 4 including effective and applicability date provisions. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 6 TLSB 1753YH 82 7 mg/je/5 PAG LIN 1 1 Section 1. Section 404A.4, subsection 4, Code 2007, is 1 2 amended to read as follows: 1 3 4. The total amount of tax credits that may be approved 1 4 for a fiscal year under this chapter shall not exceed two1 5 twenty millionfour hundred thousanddollars. For the fiscal 1 6 period beginning July 1, 2005, and ending June 30, 2015, an 1 7 additional four million dollars of tax credits may be approved 1 8 each fiscal year for purposes of projects located in cultural 1 9 and entertainment districts certified pursuant to section 1 10 303.3B. Any of the additional tax credits allocated for 1 11 projects located in certified cultural and entertainment 1 12 districts that are not approved during a fiscal year shall be 1 13 applied to reserved tax credits issued in accordance with 1 14 section 404A.3 in order of original reservation. The 1 15 department of cultural affairs shall dedicate for each fiscal 1 16 year at least two million dollars in tax credits for awarding 1 17 to rehabilitation projects with total project costs of under 1 18 two hundred thousand dollars. The department of cultural 1 19 affairs shall establish by rule the procedures for the 1 20 application, review, selection, and awarding of certifications 1 21 of completion. The departments of economic development, 1 22 cultural affairs, and revenue shall each adopt rules to 1 23 jointly administer this subsection and shall provide by rule 1 24 for the method to be used to determine for which fiscal year 1 25 the tax credits are available. With the exception of tax 1 26 credits issued pursuant to contracts entered into prior to 1 27 July 1, 2005, tax credits shall not be reserved for more than 1 28 five years. 1 29 Sec. 2. EFFECTIVE AND APPLICABILITY DATES. This Act, 1 30 being deemed of immediate importance, takes effect upon 1 31 enactment and applies retroactively to January 1, 2006, for 1 32 fiscal years beginning after that date. 1 33 EXPLANATION 1 34 This bill increases the amount of historic preservation and 1 35 cultural and entertainment district tax credits that may be 2 1 authorized in a fiscal year from $2.4 million to $20 million. 2 2 In addition, the bill requires that at least $2 million of the 2 3 tax credits be dedicated for awarding to projects under 2 4 $200,000. 2 5 The bill takes effect upon enactment and applies 2 6 retroactively to January 1, 2006, for fiscal years beginning 2 7 after that date. 2 8 LSB 1753YH 82 2 9 mg:nh/je/5