Senate Study Bill 1261 - Introduced SENATE/HOUSE FILE _____ BY (PROPOSED GOVERNOR BUDGET BILL) A BILL FOR An Act making appropriations to the department of cultural 1 affairs, the economic development authority, the Iowa 2 finance authority, the public employment relations board, 3 the department of workforce development, and the state board 4 of regents and certain regents institutions, and providing 5 for other properly related matters. 6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 7 TLSB 1028XG (8) 86 ad/tm

S.F. _____ H.F. _____ Section 1. DEPARTMENT OF CULTURAL AFFAIRS. 1 1. There is appropriated from the general fund of the 2 state to the department of cultural affairs for the following 3 fiscal years, the following amounts, or so much thereof as is 4 necessary, to be used for the purposes designated: 5 a. ADMINISTRATION 6 For salaries, support, maintenance, and miscellaneous 7 purposes: 8 (1) FY 2015-2016: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 176,882 10 (2) FY 2016-2017: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 176,882 12 The department of cultural affairs shall coordinate 13 activities with the tourism office of the economic development 14 authority to promote attendance at the state historical 15 building and at this state’s historic sites. 16 b. COMMUNITY CULTURAL GRANTS 17 For planning and programming for the community cultural 18 grants program established under section 303.3 : 19 (1) FY 2015-2016: 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 172,090 21 (2) FY 2016-2017: 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 172,090 23 c. HISTORICAL DIVISION 24 For the support of the historical division: 25 (1) FY 2015-2016: 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,754,032 27 (2) FY 2016-2017: 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,754,032 29 d. ARTS DIVISION 30 For the support of the arts division: 31 (1) FY 2015-2016: 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,233,764 33 (2) FY 2016-2017: 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,233,764 35 -1- LSB 1028XG (8) 86 ad/tm 1/ 19

S.F. _____ H.F. _____ Of the moneys appropriated in this paragraph, the department 1 shall allocate $300,000 each fiscal year for purposes of the 2 film office. 3 e. IOWA GREAT PLACES 4 For the Iowa great places program established under section 5 303.3C: 6 (1) FY 2015-2016: 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 150,000 8 (2) FY 2016-2017: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 150,000 10 f. RECORDS CENTER RENT 11 For payment of rent for the state records center: 12 (1) FY 2015-2016: 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 227,243 14 (2) FY 2016-2017: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 227,243 16 2. Notwithstanding section 8.33, moneys appropriated in 17 this section that remain unencumbered or unobligated at the 18 close of a fiscal year shall not revert but shall remain 19 available for expenditure for the purposes designated until the 20 close of the succeeding fiscal year. 21 Sec. 2. GOALS AND ACCOUNTABILITY —— ECONOMIC DEVELOPMENT. 22 1. For the fiscal years beginning July 1, 2015, and July 1, 23 2016, the goals for the economic development authority shall be 24 to expand and stimulate the state economy, increase the wealth 25 of Iowans, and increase the population of the state. 26 2. To achieve the goals in subsection 1, the economic 27 development authority shall do all of the following: 28 a. Concentrate its efforts on programs and activities that 29 result in commercially viable products and services. 30 b. Adopt practices and services consistent with free 31 market, private sector philosophies. 32 c. Ensure economic growth and development throughout the 33 state. 34 d. Work with businesses and communities to continually 35 -2- LSB 1028XG (8) 86 ad/tm 2/ 19

S.F. _____ H.F. _____ improve the economic development climate along with the 1 economic well-being and quality of life for Iowans. 2 e. Coordinate with other state agencies to ensure that they 3 are attentive to the needs of an entrepreneurial culture. 4 f. Establish a strong and aggressive marketing image to 5 showcase Iowa’s workforce, existing industry, and potential. 6 A priority shall be placed on recruiting new businesses, 7 business expansion, and retaining existing Iowa businesses. 8 Emphasis shall be placed on entrepreneurial development through 9 helping entrepreneurs secure capital, and developing networks 10 and a business climate conducive to entrepreneurs and small 11 businesses. 12 g. Encourage the development of communities and quality of 13 life to foster economic growth. 14 h. Prepare communities for future growth and development 15 through development, expansion, and modernization of 16 infrastructure. 17 i. Develop public-private partnerships with Iowa businesses 18 in the tourism industry, Iowa tour groups, Iowa tourism 19 organizations, and political subdivisions in this state to 20 assist in the development of advertising efforts. 21 j. Develop, to the fullest extent possible, cooperative 22 efforts for advertising with contributions from other sources. 23 Sec. 3. ECONOMIC DEVELOPMENT AUTHORITY. 24 1. APPROPRIATION 25 a. There is appropriated from the general fund of the 26 state to the economic development authority for the following 27 fiscal years, the following amounts, or so much thereof as 28 is necessary, to be used for the purposes designated in this 29 subsection: 30 (1) FY 2015-2016: 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 15,766,372 32 (2) FY 2016-2017: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 15,766,372 34 b. (1) For salaries, support, miscellaneous purposes, 35 -3- LSB 1028XG (8) 86 ad/tm 3/ 19

S.F. _____ H.F. _____ programs, marketing, and the maintenance of an administration 1 division, a business development division, a community 2 development division, a small business development division, 3 and other divisions the authority may organize. 4 (2) For business development operations and programs, 5 international trade, export assistance, workforce recruitment, 6 and the partner state program. 7 (3) For transfer to a fund created pursuant to section 8 15.313 for purposes of financing strategic infrastructure 9 projects. 10 (4) For community economic development programs, tourism 11 operations, community assistance, plans for Iowa green corps 12 and summer youth programs, the mainstreet and rural mainstreet 13 programs, the school-to-career program, the community 14 development block grant, and housing and shelter-related 15 programs. 16 (5) For achieving the goals and accountability, and 17 fulfilling the requirements and duties required under this Act. 18 c. Notwithstanding section 8.33, moneys appropriated in 19 this subsection that remain unencumbered or unobligated at 20 the close of a fiscal year shall not revert but shall remain 21 available for expenditure for the purposes designated in this 22 subsection until the close of the succeeding fiscal year. 23 2. FINANCIAL ASSISTANCE RESTRICTIONS 24 a. A business creating jobs through moneys appropriated in 25 subsection 1 shall be subject to contract provisions requiring 26 new and retained jobs to be filled by individuals who are 27 citizens of the United States who reside within the United 28 States or any person authorized to work in the United States 29 pursuant to federal law, including legal resident aliens in the 30 United States. 31 b. Any vendor who receives moneys appropriated in 32 subsection 1 shall adhere to such contract provisions and 33 provide periodic assurances as the state shall require that the 34 jobs are filled solely by citizens of the United States who 35 -4- LSB 1028XG (8) 86 ad/tm 4/ 19

S.F. _____ H.F. _____ reside within the United States or any person authorized to 1 work in the United States pursuant to federal law, including 2 legal resident aliens in the United States. 3 c. A business that receives financial assistance from 4 the authority from moneys appropriated in subsection 1 shall 5 only employ individuals legally authorized to work in this 6 state. In addition to all other applicable penalties provided 7 by current law, all or a portion of the assistance received 8 by a business which is found to knowingly employ individuals 9 not legally authorized to work in this state is subject to 10 recapture by the authority. 11 3. USES OF APPROPRIATIONS 12 a. From the moneys appropriated in subsection 1, the 13 authority may provide financial assistance in the form of a 14 grant to a community economic development entity for conducting 15 a local workforce recruitment effort designed to recruit former 16 citizens of the state and former students at colleges and 17 universities in the state to meet the needs of local employers. 18 b. From the moneys appropriated in subsection 1, the 19 authority may provide financial assistance to early stage 20 industry companies being established by women entrepreneurs. 21 c. From the moneys appropriated in subsection 1, the 22 authority may provide financial assistance in the form of 23 grants, loans, or forgivable loans for advanced research and 24 commercialization projects involving value-added agriculture, 25 advanced technology, or biotechnology. 26 d. The authority shall not use any moneys appropriated in 27 subsection 1 for purposes of providing financial assistance for 28 the Iowa green streets pilot project or for any other program 29 or project that involves the installation of geothermal systems 30 for melting snow and ice from streets or sidewalks. 31 4. WORLD FOOD PRIZE 32 There is appropriated from the general fund of the state 33 to the economic development authority for the following 34 fiscal years, the following amounts for the world food prize 35 -5- LSB 1028XG (8) 86 ad/tm 5/ 19

S.F. _____ H.F. _____ and in lieu of the standing appropriation in section 15.368, 1 subsection 1 : 2 a. FY 2015-2016: 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 800,000 4 b. FY 2016-2017: 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 800,000 6 5. IOWA COMMISSION ON VOLUNTEER SERVICE 7 There is appropriated from the general fund of the state 8 to the economic development authority for the following 9 fiscal years, the following amounts for allocation to the Iowa 10 commission on volunteer service for purposes of the Iowa state 11 commission grant program, and the Iowa’s promise and Iowa 12 mentoring partnership programs: 13 a. FY 2015-2016: 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 178,133 15 b. FY 2016-2017: 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 178,133 17 Of the moneys appropriated in this subsection, the authority 18 shall allocate $75,000 each fiscal year for purposes of the 19 Iowa state commission grant program and $103,133 each fiscal 20 year for purposes of the Iowa’s promise and Iowa mentoring 21 partnership programs. 22 Notwithstanding section 8.33 , moneys appropriated in this 23 subsection that remain unencumbered or unobligated at the close 24 of a fiscal year shall not revert but shall remain available 25 for expenditure for the purposes designated until the close of 26 the succeeding fiscal year. 27 6. COUNCILS OF GOVERNMENTS —— ASSISTANCE 28 There is appropriated from the general fund of the state to 29 the economic development authority for the following fiscal 30 years, the following amounts to be used for the purposes 31 of providing financial assistance to Iowa’s councils of 32 governments: 33 a. FY 2015-2016: 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 200,000 35 -6- LSB 1028XG (8) 86 ad/tm 6/ 19

S.F. _____ H.F. _____ b. FY 2016-2017: 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 200,000 2 7. BUSINESS TO BUSINESS PORTAL 3 There is appropriated from the general fund of the state to 4 the economic development authority for the following fiscal 5 years, the following amounts to be used for the purposes of 6 providing a business to business portal service: 7 a. FY 2015-2016: 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 9 b. FY 2016-2017: 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 11 8. HOME BASE IOWA MARKETING 12 There is appropriated from the general fund of the state to 13 the economic development authority for the following fiscal 14 years, the following amounts to be used for the purposes of 15 marketing to attract veterans to the state: 16 a. FY 2015-2016: 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 18 b. FY 2016-2017: 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 20 Sec. 4. INSURANCE ECONOMIC DEVELOPMENT. From the moneys 21 collected by the division of insurance in excess of the 22 anticipated gross revenues under section 505.7, subsection 23 3 , during the fiscal years beginning July 1, 2015, and July 24 1, 2016, $100,000 shall be transferred each fiscal year to 25 the economic development authority for insurance economic 26 development and international insurance economic development. 27 Sec. 5. IOWA FINANCE AUTHORITY. 28 1. There is appropriated from the general fund of the state 29 to the Iowa finance authority for the following fiscal years, 30 the following amounts, or so much thereof as is necessary, to 31 be used to provide reimbursement for rent expenses to eligible 32 persons under the rent subsidy program: 33 a. FY 2015-2016: 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 658,000 35 -7- LSB 1028XG (8) 86 ad/tm 7/ 19

S.F. _____ H.F. _____ b. FY 2016-2017: 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 658,000 2 2. Participation in the rent subsidy program shall be 3 limited to only those persons who meet the requirements for the 4 nursing facility level of care for home and community-based 5 services waiver services as in effect on July 1, 2015, for the 6 fiscal year beginning July 1, 2015, and as in effect on July 1, 7 2016, for the fiscal year beginning July 1, 2016, and to those 8 individuals who are eligible for the federal money follows the 9 person grant program under the medical assistance program. Of 10 the moneys appropriated in this section, not more than $35,000 11 may be used each fiscal year for administrative costs. 12 Sec. 6. IOWA FINANCE AUTHORITY AUDIT. The auditor of state 13 is requested to review the audit of the Iowa finance authority 14 performed by the auditor hired by the authority. 15 Sec. 7. PUBLIC EMPLOYMENT RELATIONS BOARD. 16 1. There is appropriated from the general fund of the state 17 to the public employment relations board for the following 18 fiscal years, the following amounts, or so much thereof as is 19 necessary, for the purposes designated: 20 For salaries, support, maintenance, and miscellaneous 21 purposes: 22 a. FY 2015-2016: 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,342,452 24 b. FY 2016-2017: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,342,452 26 2. Of the moneys appropriated in this section, the board 27 shall allocate $15,000 each fiscal year for maintaining an 28 internet site that allows searchable access to a database of 29 collective bargaining information. 30 Sec. 8. DEPARTMENT OF WORKFORCE DEVELOPMENT. There 31 is appropriated from the general fund of the state to the 32 department of workforce development for the following fiscal 33 years, the following amounts, or so much thereof as is 34 necessary, for the purposes designated: 35 -8- LSB 1028XG (8) 86 ad/tm 8/ 19

S.F. _____ H.F. _____ 1. DIVISION OF LABOR SERVICES 1 a. For the division of labor services, including salaries, 2 support, maintenance, and miscellaneous purposes: 3 (1) FY 2015-2016: 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,492,416 5 (2) FY 2016-2017: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,525,860 7 b. From the contractor registration fees, the division of 8 labor services shall reimburse the department of inspections 9 and appeals for all costs associated with hearings under 10 chapter 91C , relating to contractor registration. 11 2. DIVISION OF WORKERS’ COMPENSATION 12 a. For the division of workers’ compensation, including 13 salaries, support, maintenance, and miscellaneous purposes: 14 (1) FY 2015-2016: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,259,044 16 (2) FY 2016-2017: 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,259,044 18 b. The division of workers’ compensation shall charge a 19 $100 filing fee for workers’ compensation cases. The filing 20 fee shall be paid by the petitioner of a claim. However, the 21 fee can be taxed as a cost and paid by the losing party, except 22 in cases where it would impose an undue hardship or be unjust 23 under the circumstances. The moneys generated by the filing 24 fee allowed under this subsection are appropriated to the 25 department of workforce development to be used for purposes of 26 administering the division of workers’ compensation. 27 3. WORKFORCE DEVELOPMENT OPERATIONS 28 a. For the operation of field offices, the workforce 29 development board: 30 (1) FY 2015-2016: 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 9,179,413 32 (2) FY 2016-2017: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 9,179,413 34 b. Of the moneys appropriated in paragraph “a” of this 35 -9- LSB 1028XG (8) 86 ad/tm 9/ 19

S.F. _____ H.F. _____ subsection, the department shall allocate $150,000 each fiscal 1 year to the state library for the purpose of licensing an 2 online resource which prepares persons to succeed in the 3 workplace through programs which improve job skills and 4 vocational test-taking abilities. 5 4. OFFENDER REENTRY PROGRAM 6 a. For the development and administration of an offender 7 reentry program to provide offenders with employment skills: 8 (1) FY 2015-2016: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 358,464 10 (2) FY 2016-2017: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 358,464 12 b. The department of workforce development shall partner 13 with the department of corrections to provide staff within the 14 correctional facilities to improve offenders’ abilities to find 15 and retain productive employment. 16 5. NONREVERSION 17 Notwithstanding section 8.33 , moneys appropriated in this 18 section that remain unencumbered or unobligated at the close of 19 a fiscal year shall not revert but shall remain available for 20 expenditure for the purposes designated until the close of the 21 succeeding fiscal year. 22 Sec. 9. GENERAL FUND —— EMPLOYEE MISCLASSIFICATION 23 PROGRAM. There is appropriated from the general fund of 24 the state to the department of workforce development for 25 the following fiscal years, the following amounts, or so 26 much thereof as is necessary, to be used for the purposes 27 designated: 28 For enhancing efforts to investigate employers that 29 misclassify workers: 30 1. FY 2015-2016: 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 451,458 32 2. FY 2016-2017: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 451,458 34 Sec. 10. SPECIAL EMPLOYMENT SECURITY CONTINGENCY FUND. 35 -10- LSB 1028XG (8) 86 ad/tm 10/ 19

S.F. _____ H.F. _____ 1. There is appropriated from the special employment 1 security contingency fund to the department of workforce 2 development for the following fiscal years, the following 3 amounts, or so much thereof as is necessary, to be used for 4 field offices: 5 a. FY 2015-2016: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,766,084 7 b. FY 2016-2017: 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,766,084 9 2. Any remaining additional penalty and interest revenue 10 collected by the department of workforce development is 11 appropriated to the department for the fiscal years beginning 12 July 1, 2015, and July 1, 2016, to accomplish the mission of 13 the department. 14 Sec. 11. UNEMPLOYMENT COMPENSATION RESERVE FUND —— 15 FIELD OFFICES. Notwithstanding section 96.9, subsection 8 , 16 paragraph “e”, there is appropriated from interest earned on 17 the unemployment compensation reserve fund to the department 18 of workforce development for the following fiscal years, the 19 following amounts, or so much thereof as is necessary, for the 20 purposes designated: 21 For the operation of field offices: 22 1. FY 2015-2016: 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 400,000 24 2. FY 2016-2017: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 400,000 26 Sec. 12. VIRTUAL ACCESS WORKFORCE DEVELOPMENT OFFICES. The 27 department of workforce development shall require a unique 28 identification login for all users of workforce development 29 centers operated through electronic means. 30 Sec. 13. UNEMPLOYMENT COMPENSATION PROGRAM. Notwithstanding 31 section 96.9, subsection 4 , paragraph “a”, moneys credited to 32 the state by the secretary of the treasury of the United 33 States pursuant to section 903 of the Social Security 34 Act are appropriated to the department of workforce 35 -11- LSB 1028XG (8) 86 ad/tm 11/ 19

S.F. _____ H.F. _____ development and shall be used by the department for the 1 administration of the unemployment compensation program only. 2 This appropriation shall not apply to any fiscal year 3 beginning after December 31, 2016. 4 Sec. 14. SMALL BUSINESS DEVELOPMENT CENTERS. There is 5 appropriated from the general fund of the state to Iowa 6 state university of science and technology for the following 7 fiscal years, the following amounts, or so much thereof as 8 is necessary, to be used for the purposes of funding small 9 business development centers: 10 1. FY 2015-2016: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 101,000 12 2. FY 2016-2017: 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 101,000 14 Sec. 15. SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS 15 INTERNSHIPS —— APPROPRIATION. 16 1. There is appropriated from the general fund of the state 17 to the Iowa economic development authority for the following 18 fiscal years, the following amounts, or so much thereof as is 19 necessary, for the purposes designated: 20 For the funding of internships for students studying in the 21 fields of science, technology, engineering, and mathematics 22 with eligible Iowa employers as provided in section 15.411, 23 subsection 3, paragraph “c”: 24 a. FY 2015-2016: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,000,000 26 b. FY 2016-2017: 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,000,000 28 2. No more than 3 percent of the moneys appropriated 29 pursuant to this section may be used by the authority for costs 30 associated with administration of the internship program. 31 3. Notwithstanding section 8.33, moneys appropriated in 32 this section which remain unencumbered or unobligated at 33 the end of a fiscal year shall not revert but shall remain 34 available for expenditure for the purposes designated in 35 -12- LSB 1028XG (8) 86 ad/tm 12/ 19

S.F. _____ H.F. _____ subsequent fiscal years. 1 Sec. 16. IOWA SKILLED WORKER AND JOB CREATION FUND. 2 1. There is appropriated from the Iowa skilled worker and 3 job creation fund created in section 8.75 to the following 4 departments, agencies, and institutions for the following 5 fiscal years, the following amounts, or so much thereof as is 6 necessary, to be used for the purposes designated: 7 a. ECONOMIC DEVELOPMENT AUTHORITY 8 (1) For the purposes of providing assistance under the high 9 quality jobs program as described in section 15.335B: 10 (a) FY 2015-2016: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 16,900,000 12 (b) FY 2016-2017: 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 16,900,000 14 (2) From the moneys appropriated in this lettered paragraph 15 “a”, the economic development authority may use not more 16 than $1,000,000 each fiscal year for purposes of providing 17 infrastructure grants to mainstreet communities under the main 18 street Iowa program. 19 (3) As a condition of receiving moneys appropriated in 20 this lettered paragraph “a”, an entity shall testify upon the 21 request of the joint appropriations subcommittee on economic 22 development regarding the expenditure of such moneys. 23 b. STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS 24 (1) (a) STATE BOARD OF REGENTS. For capacity 25 building infrastructure in areas related to technology 26 commercialization, marketing and business development 27 efforts in areas related to technology commercialization, 28 entrepreneurship, and business growth, and infrastructure 29 projects and programs needed to assist in implementation of 30 activities under chapter 262B: 31 (i) FY 2015-2016: 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 33 (ii) FY 2016-2017: 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 35 -13- LSB 1028XG (8) 86 ad/tm 13/ 19

S.F. _____ H.F. _____ Of the moneys appropriated pursuant to this subparagraph 1 (1), 35 percent shall be allocated each fiscal year for Iowa 2 state university, 35 percent shall be allocated each fiscal 3 year for the university of Iowa, and 30 percent shall be 4 allocated each fiscal year for the university of northern Iowa. 5 (b) The institutions shall provide a one-to-one match 6 of additional moneys for the activities funded with moneys 7 appropriated under this subparagraph (1). 8 (c) The state board of regents shall annually submit a 9 report by January 15 of each year to the governor, the general 10 assembly, and the legislative services agency regarding 11 the activities, projects, and programs funded with moneys 12 appropriated under this subparagraph (1). The report shall be 13 provided in an electronic format and shall include a list of 14 metrics and criteria mutually agreed to in advance by the board 15 of regents and the economic development authority. The metrics 16 and criteria shall allow the governor’s office and the general 17 assembly to quantify and evaluate the progress of the board of 18 regents institutions with regard to their activities, projects, 19 and programs in the areas of technology commercialization, 20 entrepreneurship, regional development, and market research. 21 (2) (a) IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY. 22 For small business development centers, the science and 23 technology research park, and the institute for physical 24 research and technology: 25 (i) FY 2015-2016: 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,424,302 27 (ii) FY 2016-2017: 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,424,302 29 (b) Of the moneys appropriated in this subparagraph (2), 30 Iowa state university of science and technology shall allocate 31 at least $735,728 each fiscal year for purposes of funding 32 small business development centers. Iowa state university of 33 science and technology may allocate the appropriated moneys to 34 the various small business development centers in any manner 35 -14- LSB 1028XG (8) 86 ad/tm 14/ 19

S.F. _____ H.F. _____ necessary to achieve the purposes of this subparagraph. 1 (c) Iowa state university of science and technology shall 2 do all of the following: 3 (i) Direct expenditures for research toward projects that 4 will provide economic stimulus for Iowa. 5 (ii) Provide emphasis to providing services to Iowa-based 6 companies. 7 (d) It is the intent of the general assembly that the 8 industrial incentive program focus on Iowa industrial 9 sectors and seek contributions and in-kind donations from 10 businesses, industrial foundations, and trade associations, 11 and that moneys for the institute for physical research and 12 technology industrial incentive program shall be allocated 13 only for projects which are matched by private sector moneys 14 for directed contract research or for nondirected research. 15 The match required of small businesses as defined in section 16 15.102, subsection 10, for directed contract research or for 17 nondirected research shall be $1 for each $3 of state funds. 18 The match required for other businesses for directed contract 19 research or for nondirected research shall be $1 for each $1 of 20 state funds. The match required of industrial foundations or 21 trade associations shall be $1 for each $1 of state funds. 22 Iowa state university of science and technology shall 23 report annually to the joint appropriations subcommittee on 24 economic development and the legislative services agency the 25 total amount of private contributions, the proportion of 26 contributions from small businesses and other businesses, and 27 the proportion for directed contract research and nondirected 28 research of benefit to Iowa businesses and industrial sectors. 29 (3) (a) STATE UNIVERSITY OF IOWA. For the state university 30 of Iowa research park and for the advanced drug development 31 program at the Oakdale research park, including salaries, 32 support, maintenance, equipment, and miscellaneous purposes: 33 (i) FY 2015-2016: 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 209,279 35 -15- LSB 1028XG (8) 86 ad/tm 15/ 19