SSB 1207 (LSB 2409XC (3) 86)

SENATE FILE _____

BY  (PROPOSED COMMITTEE ON NATURAL RESOURCES AND ENVIRONMENT BILL BY CHAIRPERSON DEARDEN)

A BILL FOR

An Act creating the emerald ash borer revolving loan program and fund and including appropriations. 
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

PART 10

EMERALD ASH BORER REVOLVING LOAN PROGRAM
    Section 1.  NEW SECTION.  16.222  Emerald ash borer revolving loan program —— fund.
   1.  For purposes of this section, unless the context otherwise requires:
   a.  “Department” means the department of natural resources.
   b.  “Political subdivision” means a city, county, township, or school district.
   c.  “Treatment” means the administration, by environmentally sensitive processes and methods, of products and materials proven by academic research to protect ash trees from the invasive emerald ash borer in order to prevent or reverse damage to ash trees from the emerald ash borer on public land in political subdivisions and prevent the death of the trees.
   2.  The authority, in cooperation with the department, shall establish and administer an emerald ash borer revolving loan program. Assistance under the program shall consist of low-interest or no-interest loans and shall be used for the purpose of treatment of standing ash trees located on public land in political subdivisions.
   3.  A political subdivision may apply for assistance under the program. The authority, in cooperation with the department, shall adopt rules to administer the program, including procedures for prioritizing applications from political subdivisions that apply for the loans.
   4.  An emerald ash borer revolving loan fund is created in the state treasury under the control of the authority, in cooperation with the department, and consisting of moneys appropriated by the general assembly and any other moneys available to and obtained or accepted by the authority or the department for placement in the fund.
   5.  Repayment of moneys loaned and recaptures of loans shall be deposited in the fund.
   6.  Moneys in the fund are appropriated to the authority, in cooperation with the department, to provide assistance under the emerald ash borer revolving loan program established in this section.
   7.  Not more than three percent of the moneys in the emerald ash borer revolving loan fund in a fiscal year may be used by the authority and the department to establish and administer the emerald ash borer revolving loan program.
   8.  Notwithstanding section 8.33, moneys in the fund that remain unencumbered or unobligated at the close of a fiscal year shall not revert but shall remain available for expenditure for the purposes designated until the close of the succeeding fiscal year. Notwithstanding section 12C.7, interest or earnings on moneys in the fund shall be credited to the fund.
    Sec. 2.  EMERALD ASH BORER REVOLVING LOAN FUND —— APPROPRIATION.  There is appropriated from the general fund of the state to the emerald ash borer revolving loan fund established in section 16.222, as enacted in this Act, for the fiscal year beginning July 1, 2015, and ending June 30, 2016, the following amount, or so much thereof as is necessary, to be used for the establishment and administration of the emerald ash borer revolving loan program established pursuant to this Act:

.................................................. $  3,000,000
EXPLANATION
The inclusion of this explanation does not constitute agreement with

the explanation’s substance by the members of the general assembly.
   This bill creates the emerald ash borer revolving loan program and fund and appropriates moneys to the fund.
   The bill requires the Iowa finance authority (authority), in cooperation with the department of natural resources (department), to establish and administer an emerald ash borer revolving loan program to provide low-interest or no-interest loans to political subdivisions to be used for the purpose of treatment of standing ash trees located on public land in political subdivisions. For purposes of the program, “treatment” means the administration, by environmentally sensitive processes and methods, of products and materials proven by academic research to protect ash trees from the invasive emerald ash borer in order to prevent or reverse damage to ash trees from the emerald ash borer on public land in political subdivisions and prevent the death of the trees.
   A political subdivision may apply for assistance under the program. The authority, in cooperation with the department, is directed to adopt rules to administer the program, including procedures for prioritizing applications for the loans.
   The bill also creates an emerald ash borer revolving loan fund in the state treasury under the control of the authority, in cooperation with the department. The fund consists of moneys appropriated by the general assembly as well as any other moneys available to and obtained or accepted by the authority or department for placement in the fund. Repayment of moneys loaned and recaptures of loans are to be deposited in the fund. Not more than 3 percent of the moneys in the fund in a fiscal year may be used by the authority and the department to establish and administer the emerald ash borer revolving loan program. Moneys appropriated to the fund that are unencumbered or unobligated at the close of the fiscal year remain in the fund for the designated purposes until the close of the succeeding fiscal year and interest or earnings on moneys in the fund are credited to the fund.
   The bill also contains an appropriation of $3 million from the general fund to the emerald ash borer revolving loan fund for FY 2015-2016 to establish and administer the emerald ash borer revolving loan program.