Senate File 2137 - Introduced SENATE FILE 2137 BY SODDERS A BILL FOR An Act relating to economic development assistance at small 1 business development centers by providing for the creation 2 of economic gardening pilot programs. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5454XS (4) 83 tw/sc

S.F. 2137 Section 1. ECONOMIC GARDENING PILOT PROGRAMS. 1 1. Each small business development center in the state 2 shall develop and administer an economic gardening pilot 3 program. For purposes of this subsection, “economic gardening” 4 means the implementation of a set of data-driven economic 5 development principles and practices designed to generate new 6 job growth within the existing base of businesses. The goal 7 of an economic gardening pilot program shall be to foster an 8 environment in which entrepreneurs and small and medium-sized 9 businesses are supported through the provision of information 10 and services rather than direct financial assistance or tax 11 breaks. 12 2. An economic gardening pilot program shall develop and 13 expand upon innovative practices that focus on the following 14 core principles: 15 a. The provision of market information to local businesses. 16 Market information typically includes high-quality data and 17 supporting analysis on various product and consumer markets, 18 the demographics of a community’s residents, methods for 19 targeting the various customer markets within the community, 20 and techniques for enhancing competitive advantages. 21 b. The growth of social and business relationships that 22 facilitates productive partnerships among business owners, 23 industry groups, public officials and public sector supporters, 24 and academic institutions. 25 c. The development of the essential infrastructure 26 undergirding economically strong communities. For purposes of 27 this subsection, “essential infrastructure” means community 28 assets and public improvements such as roads, educational 29 facilities, and cultural amenities. 30 3. In developing and administering an economic gardening 31 pilot program, a small business development center shall do all 32 of the following: 33 a. Provide affordable access to business information 34 databases, geographic information system services and 35 -1- LSB 5454XS (4) 83 tw/sc 1/ 3

S.F. 2137 consulting, marketing data and analysis, best practices for 1 effective advertising and internet search engine optimization, 2 and demographic data and analysis. 3 b. Assist new and growing businesses in the community 4 by developing networks for the exchange of information and 5 services, such as peer-to-peer learning and mentoring programs, 6 the formation of trade and business associations, and the 7 sharing of research by academic institutions and think tanks. 8 4. A business seeking the assistance or services described 9 in subsection 3 shall enter into an agreement with a small 10 business development center to establish the business’s 11 commitment to making a pilot program successful. Such an 12 agreement shall require the business to attend a minimum 13 number of meetings with representatives of the small business 14 development center, track and report the number of jobs 15 created in the manner and form established by the small 16 business development center, and report certain nonconfidential 17 financial information in the manner and form established by the 18 small business development center. 19 5. By December 15, 2012, the small business development 20 centers shall submit a report to the governor and general 21 assembly regarding the effectiveness of the programs and any 22 recommendations for legislative action to expand or modify the 23 pilot programs. 24 EXPLANATION 25 This bill requires the small business development centers at 26 the regents institutions to develop and administer an economic 27 gardening pilot program. 28 “Economic gardening” means the implementation of a set 29 of data-driven economic development principles and practices 30 designed to generate new job growth within the existing base of 31 businesses. The goal of an economic gardening pilot program 32 is to foster an environment in which entrepreneurs and small 33 and medium-sized businesses are supported through the provision 34 of information and services rather than direct financial 35 -2- LSB 5454XS (4) 83 tw/sc 2/ 3

S.F. 2137 assistance or tax breaks. Each pilot program has to develop 1 and expand on certain core principles of economic gardening, 2 and the small business development centers must provide certain 3 basic information and services that reflect those principles to 4 businesses seeking assistance. 5 A business seeking assistance must enter into an agreement 6 with a small business development center to establish the 7 business’s commitment to making the pilot program successful. 8 Such an agreement must require the business to attend a 9 minimum number of meetings with representatives of the small 10 business development center, track and report the number of 11 jobs created, and report certain nonconfidential financial 12 information. 13 The small business development centers must submit a report 14 by December 15, 2012, to the governor and the general assembly 15 regarding the programs’ effectiveness and make recommendations 16 for legislative action to expand the pilot programs. 17 -3- LSB 5454XS (4) 83 tw/sc 3/ 3