Senate Study Bill 1281 - Introduced SENATE FILE _____ BY (PROPOSED COMMITTEE ON APPROPRIATIONS BILL BY SENATE APPROPRIATIONS SUBCOMMITTEE ON ECONOMIC DEVELOPMENT) 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, modifying the 5 redevelopment tax credit, and providing for other properly 6 related matters. 7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 8 TLSB 1019SB (3) 86 ad/tm

S.F. _____ DIVISION I 1 FY 2015-2016 2 Section 1. DEPARTMENT OF CULTURAL AFFAIRS. 3 1. There is appropriated from the general fund of the state 4 to the department of cultural affairs for the fiscal year 5 beginning July 1, 2015, and ending June 30, 2016, the following 6 amounts, or so much thereof as is necessary, to be used for the 7 purposes designated: 8 a. ADMINISTRATION 9 For salaries, support, maintenance, and miscellaneous 10 purposes, and for not more than the following full-time 11 equivalent positions for the department: 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 176,882 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 74.50 14 The department of cultural affairs shall coordinate 15 activities with the tourism office of the economic development 16 authority to promote attendance at the state historical 17 building and at this state’s historic sites. 18 Full-time equivalent positions authorized under this 19 paragraph are funded, in full or in part, using moneys 20 appropriated under this paragraph, paragraphs “c” through “g”, 21 and paragraph “i”. 22 b. COMMUNITY CULTURAL GRANTS 23 For planning and programming for the community cultural 24 grants program established under section 303.3 : 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 172,090 26 c. HISTORICAL DIVISION 27 For the support of the historical division: 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,167,701 29 d. HISTORIC SITES 30 For the administration and support of historic sites: 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 426,398 32 e. ARTS DIVISION 33 For the support of the arts division: 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,233,764 35 -1- LSB 1019SB (3) 86 ad/tm 1/ 44

S.F. _____ Of the moneys appropriated in this paragraph, the department 1 shall allocate $300,000 for purposes of the film office. 2 f. IOWA GREAT PLACES 3 For the Iowa great places program established under section 4 303.3C: 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 150,000 6 g. ARCHIVE IOWA GOVERNORS’ RECORDS 7 For archiving the records of Iowa governors: 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 65,933 9 h. RECORDS CENTER RENT 10 For payment of rent for the state records center: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 227,243 12 i. BATTLE FLAGS 13 For continuation of the project recommended by the Iowa 14 battle flag advisory committee to stabilize the condition of 15 the battle flag collection: 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 94,000 17 2. Notwithstanding section 8.33, moneys appropriated in 18 this section that remain unencumbered or unobligated at the 19 close of the fiscal year shall not revert but shall remain 20 available for expenditure for the purposes designated until the 21 close of the succeeding fiscal year. 22 Sec. 2. GOALS AND ACCOUNTABILITY —— ECONOMIC DEVELOPMENT. 23 1. For the fiscal year beginning July 1, 2015, the goals 24 for the economic development authority shall be to expand and 25 stimulate the state economy, increase the wealth of Iowans, and 26 increase the population of the state. 27 2. To achieve the goals in subsection 1, the economic 28 development authority shall do all of the following for the 29 fiscal year beginning July 1, 2015: 30 a. Concentrate its efforts on programs and activities that 31 result in commercially viable products and services. 32 b. Adopt practices and services consistent with free 33 market, private sector philosophies. 34 c. Ensure economic growth and development throughout the 35 -2- LSB 1019SB (3) 86 ad/tm 2/ 44

S.F. _____ state. 1 d. Work with businesses and communities to continually 2 improve the economic development climate along with the 3 economic well-being and quality of life for Iowans. 4 e. Coordinate with other state agencies to ensure that they 5 are attentive to the needs of an entrepreneurial culture. 6 f. Establish a strong and aggressive marketing image to 7 showcase Iowa’s workforce, existing industry, and potential. 8 A priority shall be placed on recruiting new businesses, 9 business expansion, and retaining existing Iowa businesses. 10 Emphasis shall be placed on entrepreneurial development through 11 helping entrepreneurs secure capital, and developing networks 12 and a business climate conducive to entrepreneurs and small 13 businesses. 14 g. Encourage the development of communities and quality of 15 life to foster economic growth. 16 h. Prepare communities for future growth and development 17 through development, expansion, and modernization of 18 infrastructure. 19 i. Develop public-private partnerships with Iowa businesses 20 in the tourism industry, Iowa tour groups, Iowa tourism 21 organizations, and political subdivisions in this state to 22 assist in the development of advertising efforts. 23 j. Develop, to the fullest extent possible, cooperative 24 efforts for advertising with contributions from other sources. 25 Sec. 3. ECONOMIC DEVELOPMENT AUTHORITY. 26 1. APPROPRIATION 27 a. There is appropriated from the general fund of the state 28 to the economic development authority for the fiscal year 29 beginning July 1, 2015, and ending June 30, 2016, the following 30 amount, or so much thereof as is necessary, to be used for the 31 purposes designated in this subsection, and for not more than 32 the following full-time equivalent positions: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 15,766,372 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 149.00 35 -3- LSB 1019SB (3) 86 ad/tm 3/ 44

S.F. _____ b. (1) For salaries, support, miscellaneous purposes, 1 programs, marketing, and the maintenance of an administration 2 division, a business development division, a community 3 development division, a small business development division, 4 and other divisions the authority may organize. 5 (2) The full-time equivalent positions authorized under 6 this section are funded, in whole or in part, by the moneys 7 appropriated under this subsection or by other moneys received 8 by the authority, including certain federal moneys. 9 (3) For business development operations and programs, 10 international trade, export assistance, workforce recruitment, 11 and the partner state program. 12 (4) For transfer to a fund created pursuant to section 13 15.313 for purposes of financing strategic infrastructure 14 projects. 15 (5) For community economic development programs, tourism 16 operations, community assistance, plans for Iowa green corps 17 and summer youth programs, the mainstreet and rural mainstreet 18 programs, the school-to-career program, the community 19 development block grant, and housing and shelter-related 20 programs. 21 (6) For achieving the goals and accountability, and 22 fulfilling the requirements and duties required under this Act. 23 c. As a condition of receiving the appropriation under 24 this subsection, the authority shall transfer $100,000 to the 25 department of transportation for deposit in the Iowa employment 26 rides fund created pursuant to section 324A.8 as enacted in 27 this Act. 28 d. Notwithstanding section 8.33, moneys appropriated in 29 this subsection that remain unencumbered or unobligated at the 30 close of the fiscal year shall not revert but shall remain 31 available for expenditure for the purposes designated in this 32 subsection until the close of the succeeding fiscal year. 33 2. FINANCIAL ASSISTANCE RESTRICTIONS 34 a. A business creating jobs through moneys appropriated in 35 -4- LSB 1019SB (3) 86 ad/tm 4/ 44

S.F. _____ subsection 1 shall be subject to contract provisions requiring 1 new and retained jobs to be filled by individuals who are 2 citizens of the United States who reside within the United 3 States or any person authorized to work in the United States 4 pursuant to federal law, including legal resident aliens in the 5 United States. 6 b. Any vendor who receives moneys appropriated in 7 subsection 1 shall adhere to such contract provisions and 8 provide periodic assurances as the state shall require that the 9 jobs are filled solely by citizens of the United States who 10 reside within the United States or any person authorized to 11 work in the United States pursuant to federal law, including 12 legal resident aliens in the United States. 13 c. A business that receives financial assistance from 14 the authority from moneys appropriated in subsection 1 shall 15 only employ individuals legally authorized to work in this 16 state. In addition to all other applicable penalties provided 17 by current law, all or a portion of the assistance received 18 by a business which is found to knowingly employ individuals 19 not legally authorized to work in this state is subject to 20 recapture by the authority. 21 3. USES OF APPROPRIATIONS 22 a. From the moneys appropriated in subsection 1, the 23 authority may provide financial assistance in the form of a 24 grant to a community economic development entity for conducting 25 a local workforce recruitment effort designed to recruit former 26 citizens of the state and former students at colleges and 27 universities in the state to meet the needs of local employers. 28 b. From the moneys appropriated in subsection 1, the 29 authority may provide financial assistance to early stage 30 industry companies being established by women entrepreneurs. 31 c. From the moneys appropriated in subsection 1, the 32 authority may provide financial assistance in the form of 33 grants, loans, or forgivable loans for advanced research and 34 commercialization projects involving value-added agriculture, 35 -5- LSB 1019SB (3) 86 ad/tm 5/ 44

S.F. _____ advanced technology, or biotechnology. 1 d. The authority shall not use any moneys appropriated in 2 subsection 1 for purposes of providing financial assistance for 3 the Iowa green streets pilot project or for any other program 4 or project that involves the installation of geothermal systems 5 for melting snow and ice from streets or sidewalks. 6 4. WORLD FOOD PRIZE 7 There is appropriated from the general fund of the state 8 to the economic development authority for the fiscal year 9 beginning July 1, 2015, and ending June 30, 2016, the following 10 amount for the world food prize and in lieu of the standing 11 appropriation in section 15.368, subsection 1 : 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 800,000 13 5. IOWA COMMISSION ON VOLUNTEER SERVICE 14 There is appropriated from the general fund of the state 15 to the economic development authority for the fiscal year 16 beginning July 1, 2015, and ending June 30, 2016, the following 17 amount for allocation to the Iowa commission on volunteer 18 service for purposes of the Iowa state commission grant 19 program, the Iowa’s promise and Iowa mentoring partnership 20 programs, and for not more than the following full-time 21 equivalent positions: 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 228,133 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 7.00 24 Of the moneys appropriated in this subsection, the authority 25 shall allocate $125,000 for purposes of the Iowa state 26 commission grant program and $103,133 for purposes of the 27 Iowa’s promise and Iowa mentoring partnership programs. 28 Notwithstanding section 8.33 , moneys appropriated in this 29 subsection that remain unencumbered or unobligated at the close 30 of the fiscal year shall not revert but shall remain available 31 for expenditure for the purposes designated until the close of 32 the succeeding fiscal year. 33 6. COUNCILS OF GOVERNMENTS —— ASSISTANCE 34 There is appropriated from the general fund of the state 35 -6- LSB 1019SB (3) 86 ad/tm 6/ 44

S.F. _____ to the economic development authority for the fiscal year 1 beginning July 1, 2015, and ending June 30, 2016, the following 2 amount to be used for the purposes of providing financial 3 assistance to Iowa’s councils of governments: 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 250,000 5 7. SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS 6 INTERNSHIPS 7 a. There is appropriated from the general fund of the state 8 to the Iowa economic development authority for the fiscal year 9 beginning July 1, 2015, and ending June 30, 2016, the following 10 amount, or so much thereof as is necessary, for the purposes 11 designated: 12 For the funding of internships for students studying in the 13 fields of science, technology, engineering, and mathematics 14 with eligible Iowa employers as provided in section 15.411, 15 subsection 3, paragraph “c”: 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,000,000 17 b. No more than 3 percent of the moneys appropriated in this 18 subsection may be used by the authority for costs associated 19 with administration of the internship program. 20 c. Notwithstanding section 8.33, moneys appropriated in 21 this subsection which remain unencumbered or unobligated at 22 the end of the fiscal year shall not revert but shall remain 23 available for expenditure for the purposes designated in 24 subsequent fiscal years. 25 8. HOME BASE IOWA MARKETING 26 There is appropriated from the general fund of the state 27 to the economic development authority for the fiscal year 28 beginning July 1, 2015, and ending June 30, 2016, the following 29 amount to be used for the purposes of marketing to attract 30 veterans to the state: 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 32 Sec. 4. VISION IOWA PROGRAM —— FTE AUTHORIZATION. For 33 purposes of administrative duties associated with the vision 34 Iowa program for the fiscal year beginning July 1, 2015, the 35 -7- LSB 1019SB (3) 86 ad/tm 7/ 44

S.F. _____ economic development authority is authorized an additional 2.25 1 FTEs above those otherwise authorized in this division of this 2 Act. 3 Sec. 5. INSURANCE ECONOMIC DEVELOPMENT. From the moneys 4 collected by the division of insurance in excess of the 5 anticipated gross revenues under section 505.7, subsection 6 3 , during the fiscal year beginning July 1, 2015, $200,000 7 shall be transferred to the economic development authority for 8 insurance economic development and international insurance 9 economic development. 10 Sec. 6. IOWA FINANCE AUTHORITY. 11 1. There is appropriated from the general fund of the state 12 to the Iowa finance authority for the fiscal year beginning 13 July 1, 2015, and ending June 30, 2016, the following amount, 14 or so much thereof as is necessary, to be used to provide 15 reimbursement for rent expenses to eligible persons under the 16 rent subsidy program: 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 658,000 18 2. Participation in the rent subsidy program shall be 19 limited to only those persons who meet the requirements for the 20 nursing facility level of care for home and community-based 21 services waiver services as in effect on July 1, 2015, and 22 to those individuals who are eligible for the federal money 23 follows the person grant program under the medical assistance 24 program. Of the moneys appropriated in this section, not more 25 than $35,000 may be used for administrative costs. 26 Sec. 7. IOWA FINANCE AUTHORITY AUDIT. The auditor of state 27 is requested to review the audit of the Iowa finance authority 28 performed by the auditor hired by the authority. 29 Sec. 8. PUBLIC EMPLOYMENT RELATIONS BOARD. 30 1. There is appropriated from the general fund of the state 31 to the public employment relations board for the fiscal year 32 beginning July 1, 2015, and ending June 30, 2016, the following 33 amount, or so much thereof as is necessary, for the purposes 34 designated: 35 -8- LSB 1019SB (3) 86 ad/tm 8/ 44

S.F. _____ For salaries, support, maintenance, and miscellaneous 1 purposes, and for not more than the following full-time 2 equivalent positions: 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,342,452 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 10.00 5 2. Of the moneys appropriated in this section, the board 6 shall allocate $15,000 for maintaining an internet site that 7 allows searchable access to a database of collective bargaining 8 information. 9 Sec. 9. DEPARTMENT OF WORKFORCE DEVELOPMENT. There 10 is appropriated from the general fund of the state to the 11 department of workforce development for the fiscal year 12 beginning July 1, 2015, and ending June 30, 2016, the following 13 amounts, or so much thereof as is necessary, for the purposes 14 designated: 15 1. DIVISION OF LABOR SERVICES 16 a. For the division of labor services, including salaries, 17 support, maintenance, and miscellaneous purposes, and for not 18 more than the following full-time equivalent positions: 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,667,416 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 68.00 21 b. From the contractor registration fees, the division of 22 labor services shall reimburse the department of inspections 23 and appeals for all costs associated with hearings under 24 chapter 91C , relating to contractor registration. 25 c. Of the moneys appropriated under this subsection, the 26 department shall allocate $175,000 for the purpose of employing 27 additional investigators and support staff to investigate wage 28 enforcement. 29 2. DIVISION OF WORKERS’ COMPENSATION 30 a. For the division of workers’ compensation, including 31 salaries, support, maintenance, and miscellaneous purposes, and 32 for not more than the following full-time equivalent positions: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,259,044 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 30.00 35 -9- LSB 1019SB (3) 86 ad/tm 9/ 44

S.F. _____ b. The division of workers’ compensation shall charge a 1 $100 filing fee for workers’ compensation cases. The filing 2 fee shall be paid by the petitioner of a claim. However, the 3 fee can be taxed as a cost and paid by the losing party, except 4 in cases where it would impose an undue hardship or be unjust 5 under the circumstances. The moneys generated by the filing 6 fee allowed under this subsection are appropriated to the 7 department of workforce development to be used for purposes of 8 administering the division of workers’ compensation. 9 3. WORKFORCE DEVELOPMENT OPERATIONS 10 a. For the operation of field offices, the workforce 11 development board, and for not more than the following 12 full-time equivalent positions: 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 9,179,413 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 130.00 15 b. Of the moneys appropriated in paragraph “a” of this 16 subsection, the department shall allocate $150,000 to the state 17 library for the purpose of licensing an online resource which 18 prepares persons to succeed in the workplace through programs 19 which improve job skills and vocational test-taking abilities. 20 c. Of the moneys appropriated in paragraph “a” of this 21 subsection, the department shall allocate at least $1,130,602 22 for the operation of the four satellite field offices located 23 in Decorah, Fort Madison, Iowa City, and Webster City. 24 4. OFFENDER REENTRY PROGRAM 25 a. For the development and administration of an offender 26 reentry program to provide offenders with employment skills, 27 and for not more than the following full-time equivalent 28 positions: 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 358,464 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 4.00 31 b. The department of workforce development shall partner 32 with the department of corrections to provide staff within the 33 correctional facilities to improve offenders’ abilities to find 34 and retain productive employment. 35 -10- LSB 1019SB (3) 86 ad/tm 10/ 44

S.F. _____ 5. NONREVERSION 1 Notwithstanding section 8.33 , moneys appropriated in this 2 section that remain unencumbered or unobligated at the close of 3 the fiscal year shall not revert but shall remain available for 4 expenditure for the purposes designated until the close of the 5 succeeding fiscal year. 6 Sec. 10. GENERAL FUND —— EMPLOYEE MISCLASSIFICATION 7 PROGRAM. There is appropriated from the general fund of the 8 state to the department of workforce development for the fiscal 9 year beginning July 1, 2015, and ending June 30, 2016, the 10 following amount, or so much thereof as is necessary, to be 11 used for the purposes designated: 12 For enhancing efforts to investigate employers that 13 misclassify workers and for not more than the following 14 full-time equivalent positions: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 451,458 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 8.10 17 Sec. 11. SPECIAL EMPLOYMENT SECURITY CONTINGENCY FUND. 18 1. There is appropriated from the special employment 19 security contingency fund to the department of workforce 20 development for the fiscal year beginning July 1, 2015, and 21 ending June 30, 2016, the following amount, or so much thereof 22 as is necessary, to be used for field offices: 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,766,084 24 2. Any remaining additional penalty and interest revenue 25 collected by the department of workforce development is 26 appropriated to the department for the fiscal year beginning 27 July 1, 2015, and ending June 30, 2016, to accomplish the 28 mission of the department. 29 Sec. 12. UNEMPLOYMENT COMPENSATION RESERVE FUND —— 30 FIELD OFFICES. Notwithstanding section 96.9, subsection 8 , 31 paragraph “e”, there is appropriated from interest earned on 32 the unemployment compensation reserve fund to the department 33 of workforce development for the fiscal year beginning July 1, 34 2015, and ending June 30, 2016, the following amount, or so 35 -11- LSB 1019SB (3) 86 ad/tm 11/ 44

S.F. _____ much thereof as is necessary, for the purposes designated: 1 For the operation of satellite field offices: 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 400,000 3 Sec. 13. VIRTUAL ACCESS WORKFORCE DEVELOPMENT OFFICES. The 4 department of workforce development shall require a unique 5 identification login for all users of workforce development 6 centers operated through electronic means. 7 Sec. 14. UNEMPLOYMENT COMPENSATION PROGRAM. Notwithstanding 8 section 96.9, subsection 4 , paragraph “a”, moneys credited to 9 the state by the secretary of the treasury of the United 10 States pursuant to section 903 of the Social Security 11 Act are appropriated to the department of workforce 12 development and shall be used by the department for the 13 administration of the unemployment compensation program only. 14 This appropriation shall not apply to any fiscal year 15 beginning after December 31, 2015. 16 Sec. 15. SMALL BUSINESS DEVELOPMENT CENTERS. There is 17 appropriated from the general fund of the state to Iowa state 18 university of science and technology for the fiscal year 19 beginning July 1, 2015, and ending June 30, 2016, the following 20 amount, or so much thereof as is necessary, to be used for the 21 purposes of funding small business development centers: 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 101,000 23 Sec. 16. IOWA SKILLED WORKER AND JOB CREATION FUND. 24 1. There is appropriated from the Iowa skilled worker and 25 job creation fund created in section 8.75 to the following 26 departments, agencies, and institutions for the fiscal year 27 beginning July 1, 2015, and ending June 30, 2016, the following 28 amounts, or so much thereof as is necessary, to be used for the 29 purposes designated: 30 a. ECONOMIC DEVELOPMENT AUTHORITY 31 (1) For the purposes of providing assistance under the high 32 quality jobs program as described in section 15.335B: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 16,900,000 34 (2) From the moneys appropriated in this lettered paragraph 35 -12- LSB 1019SB (3) 86 ad/tm 12/ 44

S.F. _____ “a”, the economic development authority may use not more than 1 $1,000,000 for purposes of providing infrastructure grants to 2 mainstreet communities under the main street Iowa program. 3 (3) As a condition of receiving moneys appropriated in 4 this lettered paragraph “a”, an entity shall testify upon the 5 request of the joint appropriations subcommittee on economic 6 development regarding the expenditure of such moneys. 7 b. STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS 8 (1) STATE BOARD OF REGENTS. For capacity building 9 infrastructure in areas related to technology 10 commercialization, marketing and business development 11 efforts in areas related to technology commercialization, 12 entrepreneurship, and business growth, and infrastructure 13 projects and programs needed to assist in implementation of 14 activities under chapter 262B: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 16 Of the moneys appropriated pursuant to this subparagraph 17 (1), 35 percent shall be allocated for Iowa state university 18 of science and technology, 35 percent shall be allocated for 19 the university of Iowa, and 30 percent shall be allocated for 20 the university of northern Iowa. 21 (a) The institutions shall provide a one-to-one match 22 of additional moneys for the activities funded with moneys 23 appropriated under this subparagraph (1). 24 (b) The state board of regents shall annually submit a 25 report by January 15 to the governor, the general assembly, 26 and the legislative services agency regarding the activities, 27 projects, and programs funded with moneys appropriated under 28 this subparagraph (1). The report shall be provided in an 29 electronic format and shall include a list of metrics and 30 criteria mutually agreed to in advance by the board of regents 31 and the economic development authority. The metrics and 32 criteria shall allow the governor’s office and the general 33 assembly to quantify and evaluate the progress of the board of 34 regents institutions with regard to their activities, projects, 35 -13- LSB 1019SB (3) 86 ad/tm 13/ 44

S.F. _____ and programs in the areas of technology commercialization, 1 entrepreneurship, regional development, and market research. 2 (2) IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY. For 3 small business development centers, the science and technology 4 research park, and the center for industrial research and 5 service, and for not more than the following full-time 6 equivalent positions: 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,424,302 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 56.63 9 (a) Of the moneys appropriated in this subparagraph (2), 10 Iowa state university of science and technology shall allocate 11 at least $735,728 for purposes of funding small business 12 development centers. Iowa state university of science and 13 technology may allocate the appropriated moneys to the various 14 small business development centers in any manner necessary to 15 achieve the purposes of this subparagraph. 16 (b) Iowa state university of science and technology shall 17 do all of the following: 18 (i) Direct expenditures for research toward projects that 19 will provide economic stimulus for Iowa. 20 (ii) Provide emphasis to providing services to Iowa-based 21 companies. 22 (c) It is the intent of the general assembly that the 23 industrial incentive program focus on Iowa industrial sectors 24 and seek contributions and in-kind donations from businesses, 25 industrial foundations, and trade associations, and that moneys 26 for the center for industrial research and service industrial 27 incentive program shall be allocated only for projects which 28 are matched by private sector moneys for directed contract 29 research or for nondirected research. The match required of 30 small businesses as defined in section 15.102, subsection 10, 31 for directed contract research or for nondirected research 32 shall be $1 for each $3 of state funds. The match required 33 for other businesses for directed contract research or 34 for nondirected research shall be $1 for each $1 of state 35 -14- LSB 1019SB (3) 86 ad/tm 14/ 44

S.F. _____ funds. The match required of industrial foundations or trade 1 associations shall be $1 for each $1 of state funds. 2 Iowa state university of science and technology shall 3 report annually to the joint appropriations subcommittee on 4 economic development and the legislative services agency the 5 total amount of private contributions, the proportion of 6 contributions from small businesses and other businesses, and 7 the proportion for directed contract research and nondirected 8 research of benefit to Iowa businesses and industrial sectors. 9 (3) STATE UNIVERSITY OF IOWA. For the state university 10 of Iowa research park and for the advanced drug development 11 program at the Oakdale research park, including salaries, 12 support, maintenance, equipment, and miscellaneous purposes, 13 and for not more than the following full-time equivalent 14 positions: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 209,279 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 6.00 17 The state university of Iowa shall do all of the following: 18 (a) Direct expenditures for research toward projects that 19 will provide economic stimulus for Iowa. 20 (b) Provide emphasis to providing services to Iowa-based 21 companies. 22 (4) STATE UNIVERSITY OF IOWA. For the purpose of 23 implementing the entrepreneurship and economic growth 24 initiative, and for not more than the following full-time 25 equivalent positions: 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,000,000 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 9.75 28 (5) UNIVERSITY OF NORTHERN IOWA. For the metal casting 29 institute, the MyEntreNet internet application, and the 30 institute of decision making, including salaries, support, 31 maintenance, and miscellaneous purposes, and for not more than 32 the following full-time equivalent positions: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,066,419 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 7.72 35 -15- LSB 1019SB (3) 86 ad/tm 15/ 44