HF 2305 (LSB 5406HV (2) 83)

HOUSE FILE 2305

BY  COMMITTEE ON ECONOMIC GROWTH

(SUCCESSOR TO HSB 593)

A BILL FOR

An Act relating to provisions authorizing sales and use tax exemptions and refunds for a data center business, and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 423.3, subsection 95, paragraph e, Code Supplement 2009, is amended by adding the following new subparagraph:
   NEW SUBPARAGRAPH.  (3)  “Rehabilitated” means a process of substantial repair, remodeling, or alteration, which may include but is not limited to upgrading mechanical systems, plumbing, roofing, wiring, windows, heating and cooling systems, and performing significant interior or exterior structural modification. Although they may be included as part of an overall rehabilitation project, singular actions such as the installation of a new information system or cosmetic changes to the interior or exterior appearance of a building do not, in and of themselves, constitute a rehabilitated building.
    Sec. 2.  EFFECTIVE UPON ENACTMENT.  This Act, being deemed of immediate importance, takes effect upon enactment.
EXPLANATION
   This bill relates to provisions authorizing sales and use tax exemptions and refunds for data center businesses under specified circumstances.
   Code section 423.3, subsection 95, paragraph “e”, defines a “data center” to mean a building rehabilitated or constructed for specified purposes. Currently, “rehabilitated” is undefined. The bill defines “rehabilitated” to mean a process of substantial repair, remodeling, or alteration, which may include but is not limited to upgrading mechanical systems, plumbing, roofing, wiring, windows, heating and cooling systems, and performing significant interior or exterior structural modification. The bill states that singular actions such as the installation of a new information system or cosmetic changes to the interior or exterior appearance of a building shall not constitute a rehabilitated building.
   The bill takes effect upon enactment.