HF 2181 (LSB 6157HH (2) 83)

HOUSE FILE 2181

BY  FORD

A BILL FOR

An Act establishing a targeted personal savings program and task force within the office of the treasurer of state.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  NEW SECTION.  12G.1  Targeted personal savings program established.
   1.  A targeted personal savings program is established, to be developed and coordinated by the treasurer of state. The objective of the program shall be to encourage low and moderate income individuals and families to save and build wealth through the development of savings strategies and coordination with nonprofit groups, employers, financial institutions, and government agencies that can offer guidance and assistance.
   2.  The treasurer of state shall adopt rules for the identification of targeted low-income and moderate-income individuals and families and the development of promotional literature regarding the existence of the program, and shall develop program parameters and guidelines establishing the following:
   a.  A public education campaign promoting the advantages of personal savings and the viability and desirability of implementing a personal savings program regardless of an individual’s or a family’s financial status.
   b.  An incentive program and awards ceremony whereby individuals and families who have made significant progress toward achieving personal savings goals shall be officially recognized by the state.
   c.  A process for facilitating access to advisory groups, credit counseling agencies, financial institutions, and state and federal agencies that can offer financial guidance and assistance in accumulating personal wealth.
   d.  Strategies for coordination of the program with the Iowa educational savings plan trust established in chapter 12D.
   e.  Presentations to schools, hospitals, civic organizations, and privately organized clubs and groups regarding the existence of the program.
   3.  The treasurer of state shall submit a report to the governor and the general assembly regarding program activities and success rates on an annual basis, with the first such report submitted by January 1, 2011.
    Sec. 2.  NEW SECTION.  12G.2  Targeted personal savings program —— task force established.  
   1.  The treasurer of state shall convene a targeted personal savings program task force to assist the office in administering the targeted personal savings program established in section 12G.1. Members of the task force may include but shall not be limited to representatives of community groups, cooperative extension offices, nonprofit credit counseling agencies, banks and credit unions, and city, county, and state government agencies, appointed by the respective entities.
   2.  Appointments are not subject to sections 69.16 and 69.16A. Vacancies shall be filled by the original appointment authority and in the manner of the original appointments.
EXPLANATION
   This bill provides for the establishment of a targeted personal savings program within the office of the treasurer of state. The objective of the program shall be to encourage low and moderate income individuals and families to save and build wealth through the development of savings strategies and coordination with nonprofit groups, employers, financial institutions, and government agencies that can offer guidance and assistance.
   The bill provides that the state treasurer shall adopt rules relating to identifying low and moderate income individuals and families who could benefit from the program, and development of promotional literature regarding the existence of the program. The bill specifies program parameters and guidelines including public education promoting the advantages of personal savings and the viability and desirability of implementing a personal savings program regardless of an individual’s or a family’s financial status; an incentive program and awards ceremony recognizing individuals and families who have made significant progress toward achieving personal savings goals; a process for facilitating access to advisory groups, credit counseling agencies, financial institutions, and state and federal agencies which can offer financial guidance and assistance; strategies for coordination of the program with the Iowa educational savings plan trust; and presentations to schools, hospitals, civic organizations, and privately organized clubs and groups regarding the existence of the program.
   The bill directs the state treasurer to establish a task force of entities specified in the bill to assist in administration of the program, and requires the state treasurer to submit a report to the governor and the general assembly regarding program activities and success rates on an annual basis, with the first such report submitted by January 1, 2011.