Senate File 298 - Introduced
SENATE FILE
BY ZAUN
Passed Senate, Date Passed House, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to requirements under the linked investments for
2 tomorrow program.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 2715SS 82
5 tm/je/5
PAG LIN
1 1 Section 1. Section 12.34, subsection 1, Code 2007, is
1 2 amended to read as follows:
1 3 1. The treasurer of state may invest up to the lesser
1 4 greater of one hundred eight million dollars or twenty=five
1 5 twenty percent of the balance of the state pooled money fund
1 6 in certificates of deposit in eligible lending institutions as
1 7 provided in section 12.32, this section, and sections 12.35
1 8 through 12.43. One=half of the moneys invested pursuant to
1 9 this section shall be made available under the program
1 10 implemented pursuant to section 12.43 to increase the
1 11 availability of lower cost moneys for purposes of injecting
1 12 needed capital into small businesses which are fifty=one
1 13 percent or more owned, operated, and actively managed by one
1 14 or more women, minority persons, or persons with disabilities.
1 15 "Disability" means the same as defined in section 15.102,
1 16 subsection 5. A "minority person" means the same as defined
1 17 in section 15.102, subsection 5. The treasurer shall invest
1 18 the remaining one=half of the moneys invested pursuant to this
1 19 section to support any other eligible applicant as provided in
1 20 section 12.43.
1 21 Sec. 2. Section 12.43, subsection 3, Code 2007, is amended
1 22 to read as follows:
1 23 3. During the lifetime of this loan program, the maximum
1 24 amount of assistance that an eligible borrower or business may
1 25 borrow or receive through this loan program shall be two three
1 26 hundred thousand dollars. An eligible borrower or business
1 27 under this program shall be limited to one loan from one
1 28 financial institution.
1 29 Sec. 3. Section 12.43, subsection 5, unnumbered paragraph
1 30 1, Code 2007, is amended to read as follows:
1 31 In order to qualify under this program, all owners of the
1 32 business or borrowers must not have a combined net worth
1 33 exceeding seven hundred fifty thousand one million dollars as
1 34 defined in rules adopted by the treasurer of state pursuant to
1 35 chapter 17A and the small business must meet all of the
2 1 following criteria:
2 2 Sec. 4. Section 12.43, subsection 5, paragraph b, Code
2 3 2007, is amended to read as follows:
2 4 b. If an application involves an existing business or the
2 5 transfer of an existing business to a new owner, the business
2 6 must have annual gross sales of two four million dollars or
2 7 less at the time the application is submitted under section
2 8 12.35.
2 9 EXPLANATION
2 10 This bill relates to requirements under the linked
2 11 investments for tomorrow program.
2 12 The bill modifies the amount of state moneys the treasurer
2 13 of state may invest in the linked investments for tomorrow
2 14 program to up to the greater of $108 million or 20 percent of
2 15 the balance of the state pooled money fund. Currently, the
2 16 treasurer may invest up to the lesser of $108 million or 25
2 17 percent of the balance of the state pooled money fund.
2 18 The bill modifies the maximum amount an eligible borrower
2 19 or business may borrow or receive during the lifetime of the
2 20 program to $300,000. Currently, the maximum amount is
2 21 $200,000.
2 22 The bill modifies the qualifications for a small business
2 23 under the small business linked investments program to provide
2 24 that the limit on the combined net worth of all owners of a
2 25 business or borrowers is $1 million or less. Currently, all
2 26 owners of the business or borrowers must not have a combined
2 27 net worth exceeding $750,000.
2 28 The bill modifies the limit on annual gross sales for a
2 29 business under the program to $4 million or less. Currently,
2 30 a business must have annual gross sales of $2 million or less.
2 31 LSB 2715SS 82
2 32 tm:nh/je/5