SSB 3161 (LSB 5022XG (8) 86)

SENATE/HOUSE FILE _____

BY  (PROPOSED GOVERNOR BUDGET BILL)

A BILL FOR

An Act relating to and making appropriations to the department of cultural affairs, the economic development authority, the Iowa finance authority, the public employment relations board, the department of workforce development, and the state board of regents and certain regents institutions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  2015 Iowa Acts, chapter 136, section 17, is amended to read as follows:
   SEC. 17.  DEPARTMENT OF CULTURAL AFFAIRS.
   1.  There is appropriated from the general fund of the state to the department of cultural affairs for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amounts, or so much thereof as is necessary, to be used for the purposes designated:
   a.  ADMINISTRATION
   For salaries, support, maintenance, and miscellaneous purposes, and for not more than the following full-time equivalent positions for the department:
   ...................................................................... $     88,441

                                                                              176,882
   ............................................................... FTEs         74.50

   The department of cultural affairs shall coordinate activities with the tourism office of the economic development authority to promote attendance at the state historical building and at this state’s historic sites.
   Full-time equivalent positions authorized under this paragraph are funded, in full or in part, using moneys appropriated under this paragraph, paragraphs “c” through “g”, and paragraph “i”.
   b.  COMMUNITY CULTURAL GRANTS
   For planning and programming for the community cultural grants program established under section 303.3:
   ...................................................................... $     86,045

                                                                              172,090

   c.  HISTORICAL DIVISION
   For the support of the historical division:
   ...................................................................... $  1,583,851

                                                                           3,167,701

   d.  HISTORIC SITES
   For the administration and support of historic sites:
   ...................................................................... $    213,199

                                                                              426,398

   e.  ARTS DIVISION
   For the support of the arts division:
   ...................................................................... $    616,882

                                                                           1,233,764

   Of the moneys appropriated in this paragraph, the department shall allocate $300,000 for purposes of the film office.
   f.  IOWA GREAT PLACES
   For the Iowa great places program established under section 303.3C:
   ...................................................................... $     75,000

                                                                              150,000

   g.  ARCHIVE IOWA GOVERNORS’ RECORDS
   For archiving the records of Iowa governors:
   ...................................................................... $     32,967

                                                                                65,933

   h.  RECORDS CENTER RENT
   For payment of rent for the state records center:
   ...................................................................... $    113,622

                                                                              227,243

   i.  BATTLE FLAGS
   For continuation of the project recommended by the Iowa battle flag advisory committee to stabilize the condition of the battle flag collection:
   ...................................................................... $     47,000

   2.  Notwithstanding section 8.33, moneys appropriated in this section that remain unencumbered or unobligated at the close of the fiscal year shall not revert but shall remain available for expenditure for the purposes designated until the close of the succeeding fiscal year.
    Sec. 2.  2015 Iowa Acts, chapter 136, section 19, is amended to read as follows:
   SEC. 19.  ECONOMIC DEVELOPMENT AUTHORITY.
   1.  APPROPRIATION
   a.  There is appropriated from the general fund of the state to the economic development authority for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount, or so much thereof as is necessary, to be used for the purposes designated in this subsection, and for not more than the following full-time equivalent positions:
   ...................................................................... $  7,758,186

                                                                         15,516,372

   ............................................................... FTEs        149.00

   b.  (1)  For salaries, support, miscellaneous purposes, programs, marketing, and the maintenance of an administration division, a business development division, a community development division, a small business development division, and other divisions the authority may organize.
   (2)  The full-time equivalent positions authorized under this section are funded, in whole or in part, by the moneys appropriated under this subsection or by other moneys received by the authority, including certain federal moneys.
   (3)  For business development operations and programs, international trade, export assistance, workforce recruitment, and the partner state program.
   (4)  For transfer to a fund created pursuant to section 15.313 for purposes of financing strategic infrastructure projects.
   (5)  For community economic development programs, tourism operations, community assistance, plans for Iowa green corps and summer youth programs, the mainstreet and rural mainstreet programs, the school-to-career program, the community development block grant, and housing and shelter-related programs.
   (6)  For achieving the goals and accountability, and fulfilling the requirements and duties required under this Act.
   c.  Notwithstanding section 8.33, moneys appropriated in this subsection that remain unencumbered or unobligated at the close of the fiscal year shall not revert but shall remain available for expenditure for the purposes designated in this subsection until the close of the succeeding fiscal year.
   2.  FINANCIAL ASSISTANCE RESTRICTIONS
   a.  A business creating jobs through moneys appropriated in subsection 1 shall be subject to contract provisions requiring new and retained jobs to be filled by individuals who are citizens of the United States who reside within the United States or any person authorized to work in the United States pursuant to federal law, including legal resident aliens in the United States.
   b.  Any vendor who receives moneys appropriated in subsection 1 shall adhere to such contract provisions and provide periodic assurances as the state shall require that the jobs are filled solely by citizens of the United States who reside within the United States or any person authorized to work in the United States pursuant to federal law, including legal resident aliens in the United States.
   c.  A business that receives financial assistance from the authority from moneys appropriated in subsection 1 shall only employ individuals legally authorized to work in this state. In addition to all other applicable penalties provided by current law, all or a portion of the assistance received by a business which is found to knowingly employ individuals not legally authorized to work in this state is subject to recapture by the authority.
   3.  USES OF APPROPRIATIONS
   a.  From the moneys appropriated in subsection 1, the authority may provide financial assistance in the form of a grant to a community economic development entity for conducting a local workforce recruitment effort designed to recruit former citizens of the state and former students at colleges and universities in the state to meet the needs of local employers.
   b.  From the moneys appropriated in subsection 1, the authority may provide financial assistance to early stage industry companies being established by women entrepreneurs.
   c.  From the moneys appropriated in subsection 1, the authority may provide financial assistance in the form of grants, loans, or forgivable loans for advanced research and commercialization projects involving value-added agriculture, advanced technology, or biotechnology.
   d.  The authority shall not use any moneys appropriated in subsection 1 for purposes of providing financial assistance for the Iowa green streets pilot project or for any other program or project that involves the installation of geothermal systems for melting snow and ice from streets or sidewalks.
   4.  WORLD FOOD PRIZE   There is appropriated from the general fund of the state to the economic development authority for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount for the world food prize and in lieu of the standing appropriation in section 15.368, subsection 1:
   ...................................................................... $    356,250

                                                                              712,500

   5.  IOWA COMMISSION ON VOLUNTEER SERVICE   There is appropriated from the general fund of the state to the economic development authority for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount for allocation to the Iowa commission on volunteer service for purposes of the Iowa state commission grant program, the Iowa’s promise and Iowa mentoring partnership programs, and for not more than the following full-time equivalent positions:
   ...................................................................... $     89,067

                                                                              178,133
   ............................................................... FTEs            7.00

   Of the moneys appropriated in this subsection, the authority shall allocate $37,500 $75,000 for purposes of the Iowa state commission grant program and $51,567 $103,133 for purposes of the Iowa’s promise and Iowa mentoring partnership programs.   Notwithstanding section 8.33, moneys appropriated in this subsection that remain unencumbered or unobligated at the close of the fiscal year shall not revert but shall remain available for expenditure for the purposes designated until the close of the succeeding fiscal year.
   6.  COUNCILS OF GOVERNMENTS —— ASSISTANCE
   There is appropriated from the general fund of the state to the economic development authority for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount to be used for the purposes of providing financial assistance to Iowa’s councils of governments:
   ...................................................................... $    100,000

                                                                              200,000

   6A.  HOME BASE IOWA —— MARKETING
   There is appropriated from the general fund of the state to the economic development authority for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount to be used for the purpose of marketing home base Iowa:
   ...................................................................... $    250,000

   7.  SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS INTERNSHIPS
   a.  There is appropriated from the general fund of the state Iowa skilled worker and job creation fund created in section 8.75 to the Iowa economic development authority for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount, or so much thereof as is necessary, for the purposes designated:
   For the funding of internships for students studying in the fields of science, technology, engineering, and mathematics with eligible Iowa employers as provided in section 15.411, subsection 3, paragraph “c”:
   ...................................................................... $    500,000

                                                                           1,000,000

   b.  No more than 3 percent of the moneys appropriated in this subsection may be used by the authority for costs associated with administration of the internship program.
   c.  Notwithstanding section 8.33, moneys appropriated in this subsection which remain unencumbered or unobligated at the end of the fiscal year shall not revert but shall remain available for expenditure for the purposes designated in subsequent fiscal years.
    Sec. 3.  2015 Iowa Acts, chapter 136, section 20, is amended by striking the section.
    Sec. 4.  2015 Iowa Acts, chapter 136, section 22, is amended to read as follows:
   SEC. 22.  IOWA FINANCE AUTHORITY.
   1.  There is appropriated from the general fund of the state to the Iowa finance authority for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount, or so much thereof as is necessary, to be used to provide reimbursement for rent expenses to eligible persons under the rent subsidy program:
   ...................................................................... $    329,000

                                                                              658,000

   2.  Participation in the rent subsidy program shall be limited to only those persons who meet the requirements for the nursing facility level of care for home and community-based services waiver services as in effect on July 1, 2016, and to those individuals who are eligible for the federal money follows the person grant program under the medical assistance program. Of the moneys appropriated in this section, not more than $35,000 may be used for administrative costs.
    Sec. 5.  2015 Iowa Acts, chapter 136, section 24, is amended to read as follows:
   SEC. 24.  PUBLIC EMPLOYMENT RELATIONS BOARD.
   1.  There is appropriated from the general fund of the state to the public employment relations board for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount, or so much thereof as is necessary, for the purposes designated:
   For salaries, support, maintenance, and miscellaneous purposes, and for not more than the following full-time equivalent positions:
   ...................................................................... $    671,226

                                                                           1,342,452
   ............................................................... FTEs         10.00

   2.  Of the moneys appropriated in this section, the board shall allocate $15,000 for maintaining an internet site that allows searchable access to a database of collective bargaining information.
    Sec. 6.  2015 Iowa Acts, chapter 136, section 25, is amended to read as follows:
   SEC. 25.  DEPARTMENT OF WORKFORCE DEVELOPMENT.  There is appropriated from the general fund of the state to the department of workforce development for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amounts, or so much thereof as is necessary, for the purposes designated:
   1.  DIVISION OF LABOR SERVICES
   a.  For the division of labor services, including salaries, support, maintenance, and miscellaneous purposes, and for not more than the following full-time equivalent positions:
   ...................................................................... $  2,289,958

                                                                           4,305,097
   ............................................................... FTEs         67.00

   b.  From the contractor registration fees, the division of labor services shall reimburse the department of inspections and appeals for all costs associated with hearings under chapter 91C, relating to contractor registration.
   2.  DIVISION OF WORKERS’ COMPENSATION
   a.  For the division of workers’ compensation, including salaries, support, maintenance, and miscellaneous purposes, and for not more than the following full-time equivalent positions:
   ...................................................................... $  1,629,522

                                                                           3,259,044
   ............................................................... FTEs         30.00

   b.  The division of workers’ compensation shall charge a $100 filing fee for workers’ compensation cases. The filing fee shall be paid by the petitioner of a claim. However, the fee can be taxed as a cost and paid by the losing party, except in cases where it would impose an undue hardship or be unjust under the circumstances. The moneys generated by the filing fee allowed under this subsection are appropriated to the department of workforce development to be used for purposes of administering the division of workers’ compensation.
   3.  WORKFORCE DEVELOPMENT OPERATIONS
   a.  For the operation of field offices, and the workforce development board, and for not more than the following full-time equivalent positions:
   ...................................................................... $  4,589,707

                                                                           9,079,413
   ............................................................... FTEs        130.00

   b.  Of the moneys appropriated in paragraph “a” of this subsection, the department shall allocate $150,000 to the state library for the purpose of licensing an online resource which prepares persons to succeed in the workplace through programs which improve job skills and vocational test-taking abilities.
   c.  Of the moneys appropriated in paragraph “a” of this subsection, the department shall allocate at least $1,130,602 for the operation of the three satellite field offices projected by the department to serve the most people from the offices located in Decorah, Fort Madison, Iowa City, or Webster City.
   4.  OFFENDER REENTRY PROGRAM
   a.  For the development and administration of an offender reentry program to provide offenders with employment skills, and for not more than the following full-time equivalent positions:
   ...................................................................... $    179,232

                                                                              358,464
   ............................................................... FTEs            4.00

   b.  The department of workforce development shall partner with the department of corrections to provide staff within the correctional facilities to improve offenders’ abilities to find and retain productive employment.
   4A.  INTEGRATED INFORMATION FOR IOWA SYSTEM
   For the payment of services provided by the department of administrative services related to the integrated information for Iowa system:
   ...................................................................... $    274,819

   5.  NONREVERSION
   Notwithstanding section 8.33, moneys appropriated in this section that remain unencumbered or unobligated at the close of the fiscal year shall not revert but shall remain available for expenditure for the purposes designated until the close of the succeeding fiscal year.
    Sec. 7.  2015 Iowa Acts, chapter 136, section 26, is amended to read as follows:
   SEC. 26.  GENERAL FUND —— EMPLOYEE MISCLASSIFICATION PROGRAM.  There is appropriated from the general fund of the state to the department of workforce development for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount, or so much thereof as is necessary, to be used for the purposes designated:
   For enhancing efforts to investigate employers that misclassify workers and for not more than the following full-time equivalent positions:
   ...................................................................... $    225,729

                                                                              451,458
   ............................................................... FTEs            8.10
    Sec. 8.  2015 Iowa Acts, chapter 136, section 27, is amended to read as follows:
   SEC. 27.  SPECIAL EMPLOYMENT SECURITY CONTINGENCY FUND.
   1.  There is appropriated from the special employment security contingency fund to the department of workforce development for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount, or so much thereof as is necessary, to be used for field offices:
   ...................................................................... $    883,042

                                                                           1,766,084

   2.  Any remaining additional penalty and interest revenue collected by the department of workforce development is appropriated to the department for the fiscal year beginning July 1, 2016, and ending June 30, 2017, to accomplish the mission of the department.
    Sec. 9.  2015 Iowa Acts, chapter 136, section 28, is amended to read as follows:
   SEC. 28.  UNEMPLOYMENT COMPENSATION RESERVE FUND —— FIELD OFFICES.  Notwithstanding section 96.9, subsection 8, paragraph “e”, there is appropriated from interest earned on the unemployment compensation reserve fund to the department of workforce development for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount, or so much thereof as is necessary, for the purposes designated:
   For the operation of satellite field offices:
   ...................................................................... $    200,000

                                                                              400,000
    Sec. 10.  2015 Iowa Acts, chapter 136, section 31, is amended to read as follows:
   SEC. 31.  SMALL BUSINESS DEVELOPMENT CENTERS.  There is appropriated from the general fund of the state to Iowa state university of science and technology for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amount, or so much thereof as is necessary, to be used for the purposes of funding small business development centers:
   ...................................................................... $     50,500

                                                                              101,000
    Sec. 11.  2015 Iowa Acts, chapter 136, section 32, is amended to read as follows:
   SEC. 32.  IOWA SKILLED WORKER AND JOB CREATION FUND.
   1.  There is appropriated from the Iowa skilled worker and job creation fund created in section 8.75 to the following departments, agencies, and institutions for the fiscal year beginning July 1, 2016, and ending June 30, 2017, the following amounts, or so much thereof as is necessary, to be used for the purposes designated:
   a.  ECONOMIC DEVELOPMENT AUTHORITY
   (1)  For the purposes of providing assistance under the high quality jobs program as described in section 15.335B:
   ...................................................................... $  8,450,000

                                                                         15,900,000

   (2)  From the moneys appropriated in this lettered paragraph “a”, the economic development authority may use not more than $1,000,000 for purposes of providing infrastructure grants to mainstreet communities under the main street Iowa program.
   (3)  As a condition of receiving moneys appropriated in this lettered paragraph “a”, an entity shall testify upon the request of the joint appropriations subcommittee on economic development regarding the expenditure of such moneys.
   b.  STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS
   (1)  STATE BOARD OF REGENTS. For capacity building infrastructure in areas related to technology commercialization, marketing and business development efforts in areas related to technology commercialization, entrepreneurship, and business growth, and infrastructure projects and programs needed to assist in implementation of activities under chapter 262B:
   ...................................................................... $  1,500,000

                                                                           3,000,000

   Of the moneys appropriated pursuant to this subparagraph (1), 35 percent shall be allocated for Iowa state university of science and technology, 35 percent shall be allocated for the university of Iowa, and 30 percent shall be allocated for the university of northern Iowa.
   (a)  The institutions shall provide a one-to-one match of additional moneys for the activities funded with moneys appropriated under this subparagraph (1).
   (b)  The state board of regents shall annually submit a report by January 15 to the governor, the general assembly, and the legislative services agency regarding the activities, projects, and programs funded with moneys appropriated under this subparagraph (1). The report shall be provided in an electronic format and shall include a list of metrics and criteria mutually agreed to in advance by the board of regents and the economic development authority. The metrics and criteria shall allow the governor’s office and the general assembly to quantify and evaluate the progress of the board of regents institutions with regard to their activities, projects, and programs in the areas of technology commercialization, entrepreneurship, regional development, and market research.
   (2)  IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY. For small business development centers, the science and technology research park, and the center for industrial research and service, and for not more than the following full-time equivalent positions:
   ...................................................................... $  1,212,151

                                                                           2,424,302

   ............................................................... FTEs         56.63

   (a)  Of the moneys appropriated in this subparagraph (2), Iowa state university of science and technology shall allocate at least $735,728 for purposes of funding small business development centers. Iowa state university of science and technology may allocate the appropriated moneys to the various small business development centers in any manner necessary to achieve the purposes of this subparagraph.
   (b)  Iowa state university of science and technology shall do all of the following:
   (i)  Direct expenditures for research toward projects that will provide economic stimulus for Iowa.
   (ii)  Provide emphasis to providing services to Iowa-based companies.
   (c)  It is the intent of the general assembly that the industrial incentive program focus on Iowa industrial sectors and seek contributions and in-kind donations from businesses, industrial foundations, and trade associations, and that moneys for the center for industrial research and service industrial incentive program shall be allocated only for projects which are matched by private sector moneys for directed contract research or for nondirected research. The match required of small businesses as defined in section 15.102, subsection 8, for directed contract research or for nondirected research shall be $1 for each $3 of state funds. The match required for other businesses for directed contract research or for nondirected research shall be $1 for each $1 of state funds. The match required of industrial foundations or trade associations shall be $1 for each $1 of state funds.
   Iowa state university of science and technology shall report annually to the joint appropriations subcommittee on economic development and the legislative services agency the total amount of private contributions, the proportion of contributions from small businesses and other businesses, and the proportion for directed contract research and nondirected research of benefit to Iowa businesses and industrial sectors.
   (3)  STATE UNIVERSITY OF IOWA. For the state university of Iowa research park and for the advanced drug development program at the Oakdale research park, including salaries, support, maintenance, equipment, and miscellaneous purposes, and for not more than the following full-time equivalent positions:
   ...................................................................... $    104,640

                                                                              209,279

   ............................................................... FTEs            6.00

   The state university of Iowa shall do all of the following:
   (a)  Direct expenditures for research toward projects that will provide economic stimulus for Iowa.
   (b)  Provide emphasis to providing services to Iowa-based companies.
   (4)  STATE UNIVERSITY OF IOWA. For the purpose of implementing the entrepreneurship and economic growth initiative, and for not more than the following full-time equivalent positions:
   ...................................................................... $  1,000,000

                                                                           2,000,000

   ............................................................... FTEs            8.00

   (5)  UNIVERSITY OF NORTHERN IOWA. For the metal casting institute, the MyEntreNet internet application, and the institute of decision making, including salaries, support, maintenance, and miscellaneous purposes, and for not more than the following full-time equivalent positions:
   ...................................................................... $    533,210

                                                                           1,066,419

   ............................................................... FTEs            9.75

   (a)  Of the moneys appropriated pursuant to this subparagraph (5), the university of northern Iowa shall allocate at least $533,210 $617,639 for purposes of support of entrepreneurs through the university’s regional business center and economic gardening program.
   (b)  The university of northern Iowa shall do all of the following:
   (i)  Direct expenditures for research toward projects that will provide economic stimulus for Iowa.
   (ii)  Provide emphasis to providing services to Iowa-based companies.
   (6)  As a condition of receiving moneys appropriated in this lettered paragraph “b”, an entity shall testify upon the request of the joint appropriations subcommittee on economic development regarding the expenditure of such moneys.
   c.  DEPARTMENT OF WORKFORCE DEVELOPMENT
   To develop a long-term sustained program to train unemployed and underemployed central Iowans with skills necessary to advance to higher-paying jobs with full benefits:
   ...................................................................... $     50,000

                                                                              100,000

   (1)  The department of workforce development shall begin a request for proposals process, issued for purposes of this lettered paragraph “c”, no later than September 1, 2016.
   (2)  As a condition of receiving moneys appropriated under this lettered paragraph “c”, an entity shall testify upon the request of the joint appropriations subcommittee on economic development regarding the expenditure of such moneys.
   2.  Notwithstanding section 8.33, moneys appropriated in this section of this Act that remain unencumbered or unobligated at the close of the fiscal year shall not revert but shall remain available for expenditure for the purposes designated until the close of the succeeding fiscal year.
EXPLANATION
The inclusion of this explanation does not constitute agreement with

the explanation’s substance by the members of the general assembly.
   This bill makes appropriations and transfers from the general fund of the state and other funds to the department of cultural affairs, the economic development authority, the Iowa finance authority, the public employment relations board, the department of workforce development, the board of regents, the university of Iowa, the university of northern Iowa, and Iowa state university.
   The bill appropriates moneys from the special employment security contingency fund to the department of workforce development for field offices.
   The bill appropriates interest earned on the unemployment compensation reserve fund to the department of workforce development for the operation of field offices.
   The bill appropriates moneys from the Iowa skilled worker and job creation fund to the economic development authority and the board of regents and certain regents institutions.
   The bill strikes provisions related to the maximum allowable full-time equivalent positions for state agencies receiving appropriations under the bill.