House File 2322 - Introduced HOUSE FILE 2322 BY COMMITTEE ON ECONOMIC GROWTH (SUCCESSOR TO HSB 666) A BILL FOR An Act relating to the Iowa finance authority by modifying 1 certain duties and programs of the authority and 2 establishing a workforce housing assistance grant fund 3 administered by the authority. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 6118HV (1) 83 md/nh

H.F. 2322 Section 1. Section 16.100A, subsection 6, paragraph d, Code 1 Supplement 2009, is amended to read as follows: 2 d. General public members shall be reimbursed by the Iowa 3 finance authority for actual and necessary expenses incurred 4 while engaged in their official duties. Expense payments shall 5 be made from appropriations made for purposes of this section . 6 Sec. 2. Section 16.181, subsection 1, paragraph a, Code 7 Supplement 2009, is amended to read as follows: 8 a. A housing trust fund is created within the authority. 9 The moneys in the housing trust fund are annually appropriated 10 to the authority to be used for the development and 11 preservation of affordable housing for low-income people in 12 the state and for the Iowa mortgage help initiative . Payment 13 of interest, recaptures of awards, or other repayments 14 to the housing trust fund shall be deposited in the fund. 15 Notwithstanding section 12C.7, interest or earnings on moneys 16 in the housing trust fund or appropriated to the fund shall 17 be credited to the fund. Notwithstanding section 8.33, 18 unencumbered and unobligated moneys remaining in the fund 19 at the close of each fiscal year shall not revert but shall 20 remain available for expenditure for the same purposes in the 21 succeeding fiscal year. 22 Sec. 3. NEW SECTION . 16.188 Workforce housing assistance 23 grant fund. 24 1. A workforce housing assistance grant fund is created 25 under the authority of the Iowa finance authority. The fund 26 shall consist of appropriations made to the fund. The fund 27 shall be separate from the general fund of the state and the 28 balance in the fund shall not be considered part of the balance 29 of the general fund of the state. However, the fund shall be 30 considered a special account for the purposes of section 8.53, 31 relating to generally accepted accounting principles. 32 2. Notwithstanding section 12C.7, subsection 2, interest or 33 earnings on moneys in the fund shall be credited to the fund. 34 3. a. Moneys in the fund in a fiscal year may be used 35 -1- LSB 6118HV (1) 83 md/nh 1/ 3

H.F. 2322 for grants for projects that create workforce housing or for 1 projects that include adaptive reuse of buildings for workforce 2 housing. For purposes of this section, “workforce housing” 3 means housing that is affordable for a household whose income 4 does not exceed one hundred twenty percent of the median income 5 for the area. 6 b. Priority shall be given to the following types of 7 projects: 8 (1) Projects that are eligible for historic preservation 9 and cultural and entertainment district tax credits under 10 section 404A.1. 11 (2) Projects for the construction of new single-family 12 dwellings that incorporate one or more energy-efficient 13 measures. The authority shall by rule identify the types of 14 energy-efficient measures that will qualify a project for 15 priority under this subparagraph. 16 (3) Projects that utilize new markets tax credits, 17 established under the federal Community Renewal Tax Relief Act 18 of 2000, Pub. L. No. 106-554, 114 Stat. 2763A, and undertaken 19 by a qualified community development entity, as defined in the 20 federal Act. 21 (4) Projects that are located in an area where other state 22 funding has been used to support the creation of new jobs. 23 4. Annually, on or before January 15 of each year, the 24 authority shall report to the legislative services agency and 25 the department of management the status of all projects that 26 received moneys from the workforce housing assistance grant 27 fund. The report shall include a description of each project, 28 the progress of work completed, the total estimated cost of 29 each project, a list of all revenue sources being used to fund 30 each project, the amount of funds expended, the amount of 31 funds obligated, and the date each project was completed or an 32 estimated completion date of each project, where applicable. 33 5. Payment of moneys from appropriations from the fund shall 34 be made in a manner that does not adversely affect the tax 35 -2- LSB 6118HV (1) 83 md/nh 2/ 3

H.F. 2322 exempt status of any outstanding bonds issued by the treasurer 1 of state pursuant to section 12.87. 2 6. The authority shall adopt rules pursuant to chapter 17A 3 to administer this section. 4 EXPLANATION 5 This bill modifies certain funding duties and programs of 6 the Iowa finance authority and establishes a workforce housing 7 assistance grant fund. 8 The bill strikes a provision that requires expense payments 9 for general public members of the council on homelessness to 10 be made from state general fund appropriations. The bill 11 specifies that such expenses must be reimbursed by the Iowa 12 finance authority. 13 The bill also amends Code section 16.181 by authorizing the 14 Iowa finance authority to use moneys in the housing trust fund 15 for the Iowa mortgage help initiative. The Iowa mortgage help 16 initiative is a program that provides foreclosure prevention 17 assistance and counseling and includes the Iowa mortgage help 18 hotline. 19 The bill creates a new workforce housing assistance grant 20 fund under the Iowa finance authority for purposes of providing 21 financial assistance to certain workforce housing projects, as 22 defined in the bill. The bill identifies types of projects for 23 which priority must be given. The fund consists of the moneys 24 appropriated to it by the general assembly and is separate and 25 distinct from the general fund of the state. Interest and 26 earnings on moneys in the fund are credited to the fund. 27 -3- LSB 6118HV (1) 83 md/nh 3/ 3