SF 2044 (LSB 5452SS (8) 83)

SENATE FILE 2044

BY  OLIVE and STEWART

A BILL FOR

An Act relating to the requirements of businesses seeking financial assistance under the value-added agriculture component of the grow Iowa values financial assistance program and including applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 15G.112, subsection 8, paragraph a, Code Supplement 2009, is amended to read as follows:
   a.  In order to qualify for financial assistance under the value-added agriculture component of the program, a business shall be:
    (1)  Be a production facility engaged in the process of adding value to agricultural products. Projects considered eligible under this subsection include but are not limited to innovative agricultural products and processes, innovative and new renewable fuels, agricultural biotechnology, biomass and alternative energy production, and organic products and emerging markets. Financial assistance is available for project development as well as project creation.
   (2)  Meet the requirements of subsection 4.
    Sec. 2.  APPLICABILITY.  This Act applies to agreements entered into on or after July 1, 2010.
EXPLANATION
   This bill relates to the requirements of businesses applying for financial assistance under the value-added agriculture component of the grow Iowa values fund. 
   Currently, the value-added agriculture component does not require applicants to meet the requirements of the 130 percent wage component. The 130 percent wage component requires applicants to create or retain jobs as part of a project and to meet certain wage thresholds by certain times. Businesses that are creating jobs must initially pay 100 percent of the qualifying wage threshold and, by the end of the period set by agreement with the department, must pay at least 130 percent. Businesses retaining jobs must pay 130 percent both initially and during the period covered by its agreement. 
   The bill requires value-added agriculture component applicants to meet the same requirements as applicants under the 130 percent wage component of the program. The bill also makes certain other related provisions of the 130 percent wage component applicable for purposes of the value-added agriculture component.
   The bill applies to agreements entered into on or after July 1, 2010.