Senate File 2246 - Introduced SENATE FILE 2246 BY FEENSTRA A BILL FOR An Act relating to state funds, concerning the state bond 1 repayment fund and the water quality initiative fund, making 2 transfers and appropriations, and including effective date 3 provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 5916XS (5) 86 ec/tm

S.F. 2246 Section 1. Section 8.57, subsection 5, paragraph f, 1 subparagraph (1), subparagraph division (b), Code 2016, is 2 amended to read as follows: 3 (b) For the fiscal year beginning July 1, 2013, and for 4 each fiscal year through the fiscal year beginning July 1, 5 2019 2016 , of the wagering tax receipts received pursuant to 6 sections 99D.17 and 99F.11 , the next fifteen million dollars 7 shall be deposited in the vision Iowa fund created in section 8 12.72 . 9 Sec. 2. Section 8.57, subsection 5, paragraph f, 10 subparagraph (1), Code 2016, is amended by adding the following 11 new subparagraph division: 12 NEW SUBPARAGRAPH DIVISION . (0c) For the fiscal year 13 beginning July 1, 2017, and for each fiscal year thereafter, 14 of the wagering tax receipts received pursuant to sections 15 99D.17 and 99F.11, the next fifteen million dollars shall be 16 deposited in the water quality initiative fund created in 17 section 466B.45. 18 Sec. 3. Section 8.57, subsection 5, paragraph f, 19 subparagraph (1), subparagraph division (d), Code 2016, is 20 amended to read as follows: 21 (d) For the fiscal year beginning July 1, 2013, and for 22 each fiscal year thereafter, the total moneys in excess of the 23 moneys deposited under this paragraph “f” in the revenue bonds 24 debt service fund, the revenue bonds federal subsidy holdback 25 fund, the vision Iowa fund, the water quality initiative fund, 26 and the Iowa skilled worker and job creation fund shall be 27 deposited in the rebuild Iowa infrastructure fund and shall be 28 used as provided in this section , notwithstanding section 8.60 . 29 Sec. 4. Section 8.57F, Code 2016, is amended by adding the 30 following new subsection: 31 NEW SUBSECTION . 2A. The moneys credited to and available 32 in the fund for the fiscal year beginning July 1, 2016, are 33 appropriated to the treasurer of state for the defeasance or 34 redemption of the vision Iowa program bonds issued pursuant to 35 -1- LSB 5916XS (5) 86 ec/tm 1/ 4

S.F. 2246 section 12.71 and for the costs relating to the defeasance or 1 redemption, to the extent the bonds can be defeased or redeemed 2 and costs paid within the amount appropriated. 3 Sec. 5. Section 8.57F, subsection 3, Code 2016, is amended 4 to read as follows: 5 3. Any bonds listed in subsection subsections 2 and 2A that 6 are not defeased or redeemed in accordance with this section 7 shall continue to be payable from their original payment 8 source. 9 Sec. 6. STATE BOND REPAYMENT FUND —— APPROPRIATIONS. 10 1. There is appropriated from the general fund of the state 11 to the treasurer of state for the fiscal year beginning July 12 1, 2015, and ending June 30, 2016, the following amount, or 13 so much thereof as is necessary, to be used for the purpose 14 designated: 15 For deposit in the state bond repayment fund created in 16 section 8.57F: 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 30,400,000 18 2. To the extent the vision Iowa program bonds issued 19 pursuant to section 12.71 are defeased or redeemed by moneys 20 transferred or credited to the state bond repayment fund 21 created in section 8.57F, there is transferred to the water 22 quality initiative fund created in section 466B.45, from the 23 revenue source otherwise designated by law or existing practice 24 for payment of the vision Iowa program bonds, an amount equal 25 to that which otherwise would have been paid in connection with 26 the vision Iowa program bonds issued pursuant to section 12.71 27 from such revenue source for the fiscal year beginning July 1, 28 2016, as provided in section 8.57, subsection 5, paragraph “f”. 29 3. Notwithstanding any provision of section 8.57F to the 30 contrary, for the fiscal year beginning July 1, 2017, any 31 unobligated and unencumbered moneys in the state bond repayment 32 fund from the previous fiscal year are appropriated to the 33 department of agriculture and land stewardship for deposit in 34 the water quality initiative fund created in section 466B.45. 35 -2- LSB 5916XS (5) 86 ec/tm 2/ 4

S.F. 2246 Sec. 7. EFFECTIVE UPON ENACTMENT. This Act, being deemed of 1 immediate importance, takes effect upon enactment. 2 EXPLANATION 3 The inclusion of this explanation does not constitute agreement with 4 the explanation’s substance by the members of the general assembly. 5 This bill provides for the defeasance or redemption of 6 vision Iowa program bonds and for the deposit of certain 7 wagering tax receipts and other funds into the water quality 8 initiative fund. 9 Code section 8.57(5), concerning the distribution of 10 wagering tax receipts received pursuant to Code sections 99D.17 11 and 99F.11, is amended. The bill provides that the annual 12 fiscal year distribution of $15 million for deposit in the 13 vision Iowa fund shall end following the distribution for FY 14 2016-2017. Instead, the bill provides that beginning with FY 15 2017-2018, and each fiscal year thereafter, $15 million of 16 wagering tax receipts will be deposited in the water quality 17 initiative fund created in Code section 466B.45. 18 Code section 8.57F, concerning the state bond repayment 19 fund, is amended to allow moneys credited to and available in 20 the fund to be used for the defeasance or redemption of vision 21 Iowa program bonds along with costs related to the defeasance 22 or redemption of such bonds. 23 Concerning the state bond repayment fund, the bill provides 24 for an appropriation of $30.4 million from the general fund 25 for FY 2015-2016 to the treasurer of state for deposit in 26 the state bond repayment fund. In addition, to the extent 27 the vision Iowa program bonds are defeased or redeemed by 28 moneys in the state bond repayment fund, transfers are made 29 to the water quality initiative fund from the revenue source 30 otherwise designated by law or existing practice for payment 31 of the vision Iowa program bonds, an amount equal to that 32 which otherwise would have been paid in connection with the 33 bonds from such revenue source for FY 2016-2017 as provided 34 in Code section 8.57. The bill further provides that for 35 -3- LSB 5916XS (5) 86 ec/tm 3/ 4

S.F. 2246 FY 2017-2018, any unobligated and unencumbered moneys in the 1 state bond repayment fund are appropriated to the department 2 of agriculture and land stewardship for deposit in the water 3 quality initiative fund. 4 The bill takes effect upon enactment. 5 -4- LSB 5916XS (5) 86 ec/tm 4/ 4