Senate Study Bill 1075 



                                       SENATE FILE       
                                       BY  (PROPOSED COMMITTEE ON
                                            REBUILD IOWA BILL BY
                                            CHAIRPERSON HOGG)


    Passed Senate, Date               Passed House,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to disaster assistance by providing a jumpstart
  2    housing assistance program, disaster aid individual assistance
  3    grants, and community disaster grants, making appropriations,
  4    and providing effective and retroactive applicability dates.
  5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  6 TLSB 1877SC 83
  7 tm/rj/5

PAG LIN



  1  1                           DIVISION I
  1  2                  JUMPSTART HOUSING ASSISTANCE
  1  3    Section 1.  NEW SECTION.  16.191  JUMPSTART HOUSING
  1  4 ASSISTANCE PROGRAM.
  1  5    1.  The Iowa finance authority shall establish and
  1  6 administer a jumpstart housing assistance program.  Under the
  1  7 program, the authority shall provide grants to local
  1  8 government participants for purposes of distributing the
  1  9 moneys to eligible residents for eligible purposes relating to
  1 10 disaster=affected homes.
  1 11    2.  An eligible resident is a person residing in a
  1 12 disaster=affected home who is the owner of record of a right,
  1 13 title, or interest in the disaster=affected home and who
  1 14 either has been approved by the federal emergency management
  1 15 agency for housing assistance or has a family income equal to
  1 16 or less than one hundred fifty percent of the county median
  1 17 family income.
  1 18    3.  a.  Eligible purposes include forgivable loans for down
  1 19 payment assistance and housing repair or rehabilitation and
  1 20 forgivable loans for interim mortgage assistance.  An eligible
  1 21 resident who receives a forgivable loan may also receive
  1 22 energy efficiency assistance which shall be added to the
  1 23 principal of the forgivable loan.  Forgivable loans shall be
  1 24 for a term of not more than ten years.
  1 25    b.  Forgivable loans awarded after the effective date of
  1 26 this division of this Act shall be awarded pursuant to the
  1 27 following priorities:
  1 28    (1)  First priority shall be given to eligible residents
  1 29 who have not received any moneys under the jumpstart housing
  1 30 assistance program prior to the effective date of this
  1 31 division of this Act.
  1 32    (2)  Second priority shall be given to eligible residents
  1 33 who have received less than twenty=four thousand nine hundred
  1 34 ninety=nine dollars under the jumpstart housing assistance
  1 35 program prior to the effective date of this division of this
  2  1 Act.
  2  2    (3)  Third priority shall be given to eligible residents
  2  3 who have received twenty=four thousand nine hundred
  2  4 ninety=nine dollars under the jumpstart housing assistance
  2  5 program prior to the effective date of this division of this
  2  6 Act and who continue to have unmet needs for down payment
  2  7 assistance, housing repair or rehabilitation, interim mortgage
  2  8 assistance, or energy efficiency assistance.
  2  9    4.  Except as provided in subsection 3, paragraph "b",
  2 10 subparagraph (3), an eligible resident who meets the county
  2 11 median family income requirement shall not receive more than
  2 12 twenty=four thousand nine hundred ninety=nine dollars under
  2 13 the program.
  2 14    5.  A local government participant may retain a portion of
  2 15 the grant moneys for administrative purposes as provided in a
  2 16 grant agreement between the authority and the local government
  2 17 participant.  The moneys retained for administrative purposes
  2 18 shall not exceed three percent of the moneys received by a
  2 19 local government participant.
  2 20    6.  Any moneys paid to a local government participant by an
  2 21 eligible resident shall be remitted to the authority for
  2 22 deposit in the housing assistance fund created in section
  2 23 16.40.
  2 24    7.  As determined by the authority, unused or unobligated
  2 25 moneys in the jumpstart housing assistance program may be
  2 26 reclaimed and reallocated by the authority to other local
  2 27 government participants.
  2 28    8.  As used in this section, unless the context otherwise
  2 29 requires:
  2 30    a.  "Disaster=affected home" means a dwelling that was
  2 31 destroyed or damaged due to a natural disaster occurring after
  2 32 May 24, 2008, and before August 14, 2008.
  2 33    b.  "Local government participant" means the cities of
  2 34 Ames, Cedar Falls, Cedar Rapids, Council Bluffs, Davenport,
  2 35 Des Moines, Dubuque, Iowa City, Waterloo, and West Des Moines;
  3  1 a council of governments whose territory includes at least one
  3  2 county that was declared a disaster area by the president of
  3  3 the United States after May 24, 2008, and before August 14,
  3  4 2008; and any county that is not part of any council of
  3  5 governments and that was declared a disaster area by the
  3  6 president of the United States after May 24, 2008, and before
  3  7 August 14, 2008.
  3  8    Sec. 2.  APPROPRIATION.  There is appropriated from the
  3  9 Iowa economic emergency fund created in section 8.55 to the
  3 10 Iowa finance authority for the fiscal year beginning July 1,
  3 11 2008, and ending June 30, 2009, the following amount, or so
  3 12 much thereof as is necessary, to be used for the purposes
  3 13 designated:
  3 14    For the jumpstart housing assistance program:
  3 15 .................................................. $ 24,000,000
  3 16    Notwithstanding section 8.33 and section 8.55, subsection
  3 17 3, paragraph "a", moneys appropriated in this section that
  3 18 remain unencumbered or unobligated at the close of the fiscal
  3 19 year shall not revert but shall remain available for
  3 20 expenditure for the purposes designated until the close of the
  3 21 succeeding fiscal year.
  3 22    Sec. 3.  EMERGENCY RULES.  The authority may adopt
  3 23 emergency rules under section 17A.4, subsection 3, and section
  3 24 17A.5, subsection 2, paragraph "b", to implement the
  3 25 provisions of this division of this Act and the rules shall be
  3 26 effective immediately upon filing unless a later date is
  3 27 specified in the rules.  Any rules adopted in accordance with
  3 28 this section shall also be published as a notice of intended
  3 29 action as provided in section 17A.4.
  3 30    Sec. 4.  EFFECTIVE AND RETROACTIVE APPLICABILITY DATES.
  3 31 This division of this Act, being deemed of immediate
  3 32 importance, takes effect upon enactment and applies
  3 33 retroactively to September 1, 2008, and is applicable on and
  3 34 after that date.
  3 35                           DIVISION II
  4  1            DISASTER AID INDIVIDUAL ASSISTANCE GRANTS
  4  2    Sec. 5.  DISASTER AID INDIVIDUAL ASSISTANCE GRANTS ==
  4  3 APPROPRIATION.
  4  4    1.  There is appropriated from the Iowa economic emergency
  4  5 fund created in section 8.55 to the department of human
  4  6 services for the fiscal year beginning July 1, 2008, and
  4  7 ending June 30, 2009, the following amount, or so much thereof
  4  8 as is necessary, to be used for the purposes designated:
  4  9    For providing disaster aid individual assistance grants
  4 10 pursuant to the requirements in this section:
  4 11 .................................................. $ 10,000,000
  4 12    2.  The grant funds shall be administered by the department
  4 13 of human services under the Iowa disaster aid individual
  4 14 assistance grant program created under section 29C.20A.
  4 15 Notwithstanding contrary provisions of section 29C.20A and
  4 16 rules adopted to administer the program, a grant recipient
  4 17 shall not receive more than two thousand five hundred dollars
  4 18 per household, a grant recipient shall have an annual
  4 19 household income that is less than three hundred percent of
  4 20 the federal poverty level based on the number of people in the
  4 21 recipient's household as defined by the most recently revised
  4 22 poverty income guidelines published by the United States
  4 23 department of health and human services, and a recipient's
  4 24 eligible expenses may include mental health expenses.
  4 25    3.  Notwithstanding contrary provisions of section 29C.20A,
  4 26 the department shall not be reimbursed using moneys
  4 27 appropriated under this section for administrative costs
  4 28 associated with administering the grants awarded from moneys
  4 29 appropriated under this section.
  4 30    4.  Notwithstanding contrary provisions of section 29C.20A,
  4 31 grants may be awarded to recipients located in an area for
  4 32 which the president of the United States declared a disaster
  4 33 to exist any time during 2008 or for which the governor
  4 34 proclaimed a state of disaster emergency pursuant to section
  4 35 29C.6.
  5  1    5.  Notwithstanding section 8.33 and section 8.55,
  5  2 subsection 3, paragraph "a", moneys appropriated in this
  5  3 section that remain unencumbered or unobligated at the close
  5  4 of the fiscal year shall not revert but shall remain available
  5  5 for expenditure for the purposes designated until the close of
  5  6 the succeeding fiscal year.
  5  7    Sec. 6.  EFFECTIVE DATE.  This division of the Act, being
  5  8 deemed of immediate importance, takes effect upon enactment.
  5  9                          DIVISION III
  5 10                    COMMUNITY DISASTER GRANTS
  5 11    Sec. 7.  COMMUNITY DISASTER GRANTS == APPROPRIATION.
  5 12    1.  There is appropriated from the Iowa economic emergency
  5 13 fund created in section 8.55 to the department of management
  5 14 for the fiscal year beginning July 1, 2008, and ending June
  5 15 30, 2009, the following amount, or so much thereof as is
  5 16 necessary, to be used for the purposes designated:
  5 17    For community disaster grants to cities and counties:
  5 18 .................................................. $ 22,000,000
  5 19    2.  a.  The department of management shall divide the
  5 20 moneys appropriated under this section and award grants to
  5 21 cities and counties based on their pro rata share of the total
  5 22 statewide damage costs associated with natural disasters
  5 23 occurring after May 24, 2008, and before August 14, 2008, as
  5 24 calculated by the federal emergency management agency as of
  5 25 January 1, 2009.
  5 26    b.  Moneys awarded under this section shall be used by the
  5 27 recipient for any of the following purposes:
  5 28    (1)  Small business assistance.
  5 29    (2)  Nonprofit organization assistance.
  5 30    (3)  Assistance for the public purchase of land and
  5 31 accompanying structures if financial assistance for such
  5 32 purchases is not available from the federal emergency
  5 33 management agency.
  5 34    (4)  Assistance for the replacement or rehabilitation of
  5 35 housing.
  6  1    (5)  Assistance for the repair or replacement of public
  6  2 infrastructure.
  6  3    (6)  Assistance for increased costs associated with the
  6  4 revaluation and assessment of property due to a natural
  6  5 disaster occurring in 2008.
  6  6    3.  The department of management and grant recipients shall
  6  7 not use any moneys appropriated under this section for
  6  8 purposes of reimbursement for administrative costs.
  6  9    4.  By January 1, 2010, each grant recipient under this
  6 10 section shall submit a written report to the department of
  6 11 management specifying the allocation and uses of moneys
  6 12 received pursuant to this section.  By January 8, 2010, the
  6 13 department of management shall forward copies of all reports
  6 14 received to the governor and the general assembly.
  6 15    5.  Notwithstanding section 8.33 and section 8.55,
  6 16 subsection 3, paragraph "a", moneys appropriated in this
  6 17 section that remain unencumbered or unobligated at the close
  6 18 of the fiscal year shall not revert but shall remain available
  6 19 for expenditure for the purposes designated until the close of
  6 20 the succeeding fiscal year.
  6 21    Sec. 8.  EFFECTIVE DATE.  This division of the Act, being
  6 22 deemed of immediate importance, takes effect upon enactment.
  6 23                           EXPLANATION
  6 24    This bill relates to disaster assistance by providing a
  6 25 jumpstart housing assistance program, disaster aid individual
  6 26 assistance grants, and community disaster grants, and making
  6 27 appropriations.
  6 28    DIVISION I.  This division of the bill requires the Iowa
  6 29 finance authority to establish and administer a jumpstart
  6 30 housing assistance program to provide grants to local
  6 31 government participants for purposes of distributing the
  6 32 moneys to eligible residents for eligible purposes which
  6 33 relate to disaster=affected homes.  An eligible resident is a
  6 34 person residing in a disaster=affected home who is the owner
  6 35 of record of a right, title, or interest in the
  7  1 disaster=affected home and who either has been approved by the
  7  2 federal emergency management agency for housing assistance or
  7  3 meets certain income requirements.  A disaster=affected home
  7  4 is a dwelling that was destroyed or damaged due to a natural
  7  5 disaster occurring after May 24, 2008, and before August 14,
  7  6 2008.  Eligible purposes include forgivable loans for down
  7  7 payment assistance and housing repair or rehabilitation and
  7  8 forgivable loans for interim mortgage assistance.  The bill
  7  9 prioritizes eligible residents for the receipt of forgivable
  7 10 loans.
  7 11    The division appropriates from the Iowa economic emergency
  7 12 fund to the Iowa finance authority for FY 2008=2009 $24
  7 13 million for the jumpstart housing assistance program.
  7 14    The division allows the authority to adopt emergency rules
  7 15 to implement the division's provisions.
  7 16    The division takes effect upon enactment and applies
  7 17 retroactively to September 1, 2008.
  7 18    DIVISION II.  This division of the bill appropriates from
  7 19 the Iowa economic emergency fund to the department of human
  7 20 services for FY 2008=2009 $10 million for providing disaster
  7 21 aid individual assistance grants.  The grant funds shall be
  7 22 administered by the department of human services under the
  7 23 Iowa disaster aid individual assistance grant program.  The
  7 24 division provides that notwithstanding contrary provisions of
  7 25 Code section 29C.20A and rules adopted to administer the
  7 26 program, a grant recipient shall not receive more than $2,500
  7 27 per household, shall have an annual household income that is
  7 28 less than 300 percent of the federal poverty level, and
  7 29 eligible expenses may include mental health expenses.  The
  7 30 division provides that, notwithstanding contrary provisions of
  7 31 Code section 29C.20A, the department shall not be reimbursed
  7 32 for administrative costs using the moneys appropriated.  The
  7 33 division provides that, notwithstanding contrary provisions of
  7 34 Code section 29C.20A, grants may be awarded to recipients
  7 35 located in an area for which the president of the United
  8  1 States declared a disaster to exist any time during 2008 or
  8  2 for which the governor proclaimed a state of disaster
  8  3 emergency.
  8  4    The division takes effect upon enactment.
  8  5    DIVISION III.  This division of the bill appropriates from
  8  6 the Iowa economic emergency fund to the department of
  8  7 management for FY 2008=2009 $22 million for community disaster
  8  8 grants to cities and counties.  The division requires the
  8  9 department of management to divide the appropriated moneys and
  8 10 award grants to cities and counties based on their pro rata
  8 11 share of the total statewide damage costs associated with
  8 12 natural disasters occurring after May 24, 2008, and before
  8 13 August 14, 2008, as calculated by the federal emergency
  8 14 management agency as of January 1, 2009.  The division
  8 15 requires moneys awarded to be used by the recipient for small
  8 16 business assistance, nonprofit organization assistance,
  8 17 assistance for the public purchase of land and accompanying
  8 18 structures if financial assistance for such purchases is not
  8 19 available from the federal emergency management agency,
  8 20 assistance for the replacement or rehabilitation of housing,
  8 21 assistance for the repair or replacement of public
  8 22 infrastructure, and assistance for increased costs associated
  8 23 with the revaluation and reassessment of property due to a
  8 24 natural disaster occurring in 2008.  The division prohibits
  8 25 the use of appropriated moneys for administrative costs and
  8 26 provides reporting requirements.
  8 27    The division takes effect upon enactment.
  8 28 LSB 1877SC 83
  8 29 tm/rj/5