House File 725 - Introduced HOUSE FILE 725 BY COMMITTEE ON APPROPRIATIONS (SUCCESSOR TO HSB 249) A BILL FOR An Act relating to and making appropriations for the economic 1 development of the state, including to the economic 2 development authority, the Iowa finance authority, the 3 public employment relations board, the department of 4 workforce development, and the state board of regents and 5 certain regents institutions, and by modifying provisions 6 relating to the pathways for academic career and employment 7 program, the apprenticeship training program, and new jobs 8 training agreements. 9 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 10 TLSB 1002HV (2) 90 ko/ns

H.F. 725 DIVISION I 1 FY 2023-2024 APPROPRIATIONS 2 Section 1. GOALS AND ACCOUNTABILITY —— ECONOMIC 3 DEVELOPMENT. 4 1. For the fiscal year beginning July 1, 2023, the goals 5 for the economic development authority shall be to expand and 6 stimulate the state economy, increase the wealth of Iowans, and 7 increase the population of the state. 8 2. To achieve the goals in subsection 1, the economic 9 development authority shall do all of the following for the 10 fiscal year beginning July 1, 2023: 11 a. Concentrate its efforts on programs and activities that 12 result in commercially viable products and services. 13 b. Adopt practices and services consistent with free 14 market, private sector philosophies. 15 c. Ensure economic growth and development throughout the 16 state. 17 d. Work with businesses and communities to continually 18 improve the economic development climate along with the 19 economic well-being and quality of life for Iowans. 20 e. Coordinate with other state agencies to ensure that they 21 are attentive to the needs of an entrepreneurial culture. 22 f. Establish a strong and aggressive marketing image to 23 showcase Iowa’s workforce, existing industry, and potential. 24 A priority shall be placed on recruiting new businesses, 25 business expansion, and retaining existing Iowa businesses. 26 Emphasis shall be placed on entrepreneurial development through 27 helping entrepreneurs secure capital, and developing networks 28 and a business climate conducive to entrepreneurs and small 29 businesses. 30 g. Encourage the development of communities and quality of 31 life to foster economic growth. 32 h. Prepare communities for future growth and development 33 through development, expansion, and modernization of 34 infrastructure. 35 -1- LSB 1002HV (2) 90 ko/ns 1/ 24

H.F. 725 i. Develop public-private partnerships with Iowa businesses 1 in the tourism industry, Iowa tour groups, Iowa tourism 2 organizations, and political subdivisions in this state to 3 assist in the development of advertising efforts. 4 j. Develop, to the fullest extent possible, cooperative 5 efforts for advertising with contributions from other sources. 6 Sec. 2. ECONOMIC DEVELOPMENT AUTHORITY. 7 1. APPROPRIATION 8 a. There is appropriated from the general fund of the state 9 to the economic development authority for the fiscal year 10 beginning July 1, 2023, and ending June 30, 2024, the following 11 amount, or so much thereof as is necessary, to be used for the 12 purposes designated in this subsection, and for not more than 13 the following full-time equivalent positions: 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 12,807,359 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 111.35 16 b. (1) For salaries, support, miscellaneous purposes, 17 programs, marketing, and the maintenance of an administration 18 division, a business development division, a community 19 development division, a small business development division, 20 and other divisions the authority may organize. 21 (2) For business development operations and programs, 22 international trade, export assistance, workforce recruitment, 23 and the partner state program. 24 (3) For transfer to a fund created pursuant to section 25 15.313 for purposes of financing strategic infrastructure 26 projects. 27 (4) For community economic development programs, tourism 28 operations, community assistance, plans for Iowa green corps 29 and summer youth programs, the main street and rural main 30 street programs, the school-to-career program, the community 31 development block grant, and housing and shelter-related 32 programs. 33 (5) For achieving the goals and accountability, and 34 fulfilling the requirements and duties required under this Act. 35 -2- LSB 1002HV (2) 90 ko/ns 2/ 24

H.F. 725 (6) The full-time equivalent positions authorized under 1 this section are funded, in whole or in part, by the moneys 2 appropriated under this subsection or by other moneys received 3 by the authority, including certain federal moneys. 4 c. Notwithstanding section 8.33 , moneys appropriated in 5 this subsection that remain unencumbered or unobligated at the 6 close of the fiscal year shall not revert but shall remain 7 available for expenditure for the purposes designated in this 8 subsection until the close of the succeeding fiscal year. 9 2. FINANCIAL ASSISTANCE RESTRICTIONS 10 a. A business creating jobs through moneys appropriated in 11 subsection 1 shall be subject to contract provisions requiring 12 new and retained jobs to be filled by individuals who are 13 citizens of the United States who reside within the United 14 States, or any person authorized to work in the United States 15 pursuant to federal law, including legal resident aliens 16 residing in the United States. 17 b. Any vendor who receives moneys appropriated in 18 subsection 1 shall adhere to such contract provisions and 19 provide periodic assurances as the state shall require that the 20 jobs are filled solely by citizens of the United States who 21 reside within the United States, or any person authorized to 22 work in the United States, pursuant to federal law, including 23 legal resident aliens residing in the United States. 24 c. A business that receives financial assistance from 25 the authority from moneys appropriated in subsection 1 shall 26 only employ individuals legally authorized to work in this 27 state. In addition to all other applicable penalties provided 28 by current law, all or a portion of the assistance received 29 by a business which is found to knowingly employ individuals 30 not legally authorized to work in this state is subject to 31 recapture by the authority. 32 3. USES OF APPROPRIATIONS 33 a. From the moneys appropriated in subsection 1, the 34 authority may provide financial assistance in the form of a 35 -3- LSB 1002HV (2) 90 ko/ns 3/ 24

H.F. 725 grant to a community economic development entity for conducting 1 a local workforce recruitment effort designed to recruit former 2 citizens of the state and former students at colleges and 3 universities in the state to meet the needs of local employers. 4 b. From the moneys appropriated in subsection 1, the 5 authority may provide financial assistance to early stage 6 industry companies being established by women entrepreneurs. 7 c. From the moneys appropriated in subsection 1, the 8 authority may provide financial assistance in the form of 9 grants, loans, or forgivable loans for advanced research and 10 commercialization projects involving value-added agriculture, 11 advanced technology, or biotechnology. 12 d. The authority shall not use any moneys appropriated in 13 subsection 1 for purposes of providing financial assistance for 14 the Iowa green streets pilot project or for any other program 15 or project that involves the installation of geothermal systems 16 for melting snow and ice from streets or sidewalks. 17 4. WORLD FOOD PRIZE 18 In lieu of the standing appropriation in section 15.368 , 19 there is appropriated from the general fund of the state to the 20 economic development authority for the fiscal year beginning 21 July 1, 2023, and ending June 30, 2024, the following amount 22 for the world food prize: 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 24 5. COUNCILS OF GOVERNMENTS —— ASSISTANCE 25 There is appropriated from the general fund of the state 26 to the economic development authority for the fiscal year 27 beginning July 1, 2023, and ending June 30, 2024, the following 28 amount to be used for the purposes of providing financial 29 assistance to Iowa’s councils of governments: 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 250,000 31 6. BUTCHERY INNOVATION AND REVITALIZATION PROGRAM 32 a. There is appropriated from the general fund of the state 33 to the economic development authority for the fiscal year 34 beginning July 1, 2023, and ending June 30, 2024, the following 35 -4- LSB 1002HV (2) 90 ko/ns 4/ 24

H.F. 725 amount, or so much thereof as is necessary, to be used for the 1 purposes designated: 2 For support of the butchery innovation and revitalization 3 program established in section 15E.370 : 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 633,325 5 b. There is appropriated from the Iowa skilled worker and 6 job creation fund created in section 8.75 to the economic 7 development authority for the fiscal year beginning July 1, 8 2023, and ending June 30, 2024, the following amount, or so 9 much thereof as is necessary, to be used for the purposes 10 designated: 11 For support of the butchery innovation and revitalization 12 program established in section 15E.370 : 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 366,675 14 7. TOURISM OFFICE 15 a. There is appropriated from the general fund of the state 16 to the economic development authority for the fiscal year 17 beginning July 1, 2023, and ending June 30, 2024, the following 18 amount for the tourism office to be used for advertising, 19 promoting, placement, and implementation of the economic 20 development authority’s strategic plan for tourism and travel: 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,100,000 22 b. Notwithstanding section 8.33 , moneys appropriated in 23 this subsection that remain unencumbered or unobligated at the 24 close of the fiscal year shall not revert but shall remain 25 available for expenditure for the purposes designated until the 26 close of the succeeding fiscal year. 27 c. The economic development authority shall submit an 28 annual report on or before January 15 to the general assembly 29 regarding the tourism office’s activities funded with moneys 30 appropriated under this subsection. The report shall be 31 provided in an electronic format and shall include metrics 32 and criteria that allow the general assembly to quantify 33 and evaluate the effectiveness and economic impact of the 34 tourism office’s activities related to advertising, promoting, 35 -5- LSB 1002HV (2) 90 ko/ns 5/ 24

H.F. 725 placement, and implementation of the economic development 1 authority’s strategic plan for tourism and travel. 2 8. EMPOWER RURAL IOWA 3 a. There is appropriated from the Iowa skilled worker and 4 job creation fund created in section 8.75 to the economic 5 development authority for the fiscal year beginning July 1, 6 2023, and ending June 30, 2024, the following amount, or so 7 much thereof as is necessary, to be used for the purposes 8 designated: 9 Empower rural Iowa program: 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 700,000 11 b. Notwithstanding section 8.33 , moneys appropriated in 12 this subsection that remain unencumbered or unobligated at the 13 close of the fiscal year shall not revert but shall remain 14 available for expenditure for the purposes designated until the 15 close of the succeeding fiscal year. 16 c. The authority shall adopt rules pursuant to chapter 17 17A to establish criteria for the distribution of the moneys 18 appropriated in this subsection. 19 9. CULTURAL AFFAIRS ACTIVITIES 20 a. There is appropriated from the general fund of the state 21 to the economic development authority for the fiscal year 22 beginning July 1, 2023, and ending June 30, 2024, the following 23 amounts, or so much thereof as is necessary, to be used for the 24 purposes designated: 25 (1) For planning and programming for the community cultural 26 grants program established under section 303.3, as amended by 27 2023 Iowa Acts, Senate File 514: 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 172,090 29 (2) For support of the Iowa arts council: 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,400,000 31 Of the moneys appropriated in this subparagraph, the 32 authority shall allocate $300,000 for purposes of the film 33 office. 34 (3) For the Iowa great places program established under 35 -6- LSB 1002HV (2) 90 ko/ns 6/ 24

H.F. 725 section 303.3C, as amended by 2023 Iowa Acts, Senate File 514: 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 149,710 2 (4) For grant programs administered by the Iowa arts 3 council including those programs supporting the long-term 4 financial stability and sustainability of nonprofit cultural 5 organizations: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 150,000 7 b. Notwithstanding section 8.33, moneys appropriated in 8 this subsection that remain unencumbered or unobligated at the 9 close of the fiscal year shall not revert but shall remain 10 available for expenditure for the purposes designated until the 11 close of the succeeding fiscal year. 12 Sec. 3. LIMITATIONS OF STANDING APPROPRIATIONS —— FY 13 2023-2024. Notwithstanding the standing appropriations 14 in the following designated sections for the fiscal year 15 beginning July 1, 2023, and ending June 30, 2024, the amounts 16 appropriated from the general fund of the state pursuant to 17 those sections for the following purposes shall not exceed the 18 following amounts: 19 1. For operational support grants and community cultural 20 grants under section 99F.11, subsection 4 , paragraph “d”, 21 subparagraph (1): 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 448,403 23 2. For the purposes of regional tourism marketing under 24 section 99F.11, subsection 4 , paragraph “d”, subparagraph (2): 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,443,700 26 Sec. 4. FINANCIAL ASSISTANCE REPORTING —— ECONOMIC 27 DEVELOPMENT AUTHORITY. The economic development authority 28 shall submit an annual report to the general assembly no later 29 than November 1, 2023, that details the amount of every direct 30 loan, forgivable loan, tax credit, tax exemption, tax refund, 31 grant, or any other financial assistance awarded to a person 32 during the prior fiscal year by the authority under an economic 33 development program administered by the authority. The report 34 shall identify the county where the project associated with 35 -7- LSB 1002HV (2) 90 ko/ns 7/ 24

H.F. 725 each such award is located. 1 Sec. 5. INSURANCE ECONOMIC DEVELOPMENT. From the 2 moneys collected by the insurance division in excess of the 3 anticipated gross revenues under section 505.7, subsection 4 3 , during the fiscal year beginning July 1, 2023, $100,000 5 shall be transferred to the economic development authority for 6 insurance economic development and international insurance 7 economic development. 8 Sec. 6. IOWA FINANCE AUTHORITY. 9 1. There is appropriated from the general fund of the state 10 to the Iowa finance authority for the fiscal year beginning 11 July 1, 2023, and ending June 30, 2024, the following amounts, 12 or so much thereof as is necessary, to be used for the purposes 13 designated: 14 a. Rent subsidy program 15 (1) To provide reimbursement for rent expenses to eligible 16 persons under the home and community-based services rent 17 subsidy program established in section 16.55 : 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 873,000 19 (2) Of the moneys appropriated in this paragraph, not more 20 than $35,000 may be used for administrative costs. 21 b. Housing renewal pilot program 22 To provide housing renewal moneys to a nonprofit Iowa 23 affiliate to award grants to eligible communities for a housing 24 renewal pilot program: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 26 2. Notwithstanding section 8.33 , moneys appropriated in 27 this section that remain unencumbered or unobligated at the 28 close of the fiscal year shall not revert but shall remain 29 available for expenditure for the purposes designated until the 30 close of the succeeding fiscal year. 31 Sec. 7. IOWA FINANCE AUTHORITY AUDIT. The auditor of state 32 is requested to review the audit of the Iowa finance authority 33 performed by the auditor hired by the authority. 34 Sec. 8. PUBLIC EMPLOYMENT RELATIONS BOARD. 35 -8- LSB 1002HV (2) 90 ko/ns 8/ 24

H.F. 725 1. There is appropriated from the general fund of the state 1 to the public employment relations board for the fiscal year 2 beginning July 1, 2023, and ending June 30, 2024, the following 3 amount, or so much thereof as is necessary, to be used for the 4 purposes designated: 5 For salaries, support, maintenance, and miscellaneous 6 purposes, and for not more than the following full-time 7 equivalent positions: 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,290,230 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 9.00 10 2. Of the moneys appropriated in this section, the board 11 shall allocate $15,000 for maintaining an internet site that 12 allows access to a searchable database of collective bargaining 13 information. 14 Sec. 9. DEPARTMENT OF WORKFORCE DEVELOPMENT. There 15 is appropriated from the general fund of the state to the 16 department of workforce development for the fiscal year 17 beginning July 1, 2023, and ending June 30, 2024, the following 18 amounts, or so much thereof as is necessary, to be used for the 19 purposes designated: 20 1. WORKFORCE DEVELOPMENT OPERATIONS 21 a. For the operation of field offices and the workforce 22 development board, and for not more than the following 23 full-time equivalent positions: 24 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,801,205 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 169.41 26 b. Of the moneys appropriated in paragraph “a”, the 27 department shall allocate $150,000 to the state library for the 28 purpose of licensing an online resource which prepares persons 29 to succeed in the workplace through programs which improve job 30 skills and vocational test-taking abilities. 31 2. OFFENDER REENTRY PROGRAM 32 a. For the development and administration of an offender 33 reentry program to provide offenders with employment skills, 34 and for not more than the following full-time equivalent 35 -9- LSB 1002HV (2) 90 ko/ns 9/ 24

H.F. 725 positions: 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 387,158 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 5.00 3 b. The department of workforce development shall partner 4 with the department of corrections to provide staff within 5 the correctional facilities resources to improve offenders’ 6 abilities to find and retain productive employment. 7 3. INTEGRATED INFORMATION FOR IOWA SYSTEM 8 For the payment of services provided by the department of 9 administrative services related to the integrated information 10 for Iowa system: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 228,822 12 4. SUMMER YOUTH INTERN PILOT PROGRAM 13 For the funding of a summer youth intern pilot program that 14 will help young people at risk of not graduating from high 15 school to explore and prepare for high-demand careers through 16 summer work experience, including the development of soft 17 skills: 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 250,000 19 5. VOCATIONAL REHABILITATION SERVICES DIVISION 20 a. For salaries, support, maintenance, and miscellaneous 21 purposes, and for not more than the following full-time 22 equivalent positions: 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,106,732 24 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 248.00 25 For purposes of optimizing the job placement of individuals 26 with disabilities, the division shall make its best efforts 27 to work with community rehabilitation program providers for 28 job placement and retention services for individuals with 29 significant disabilities and most significant disabilities. By 30 January 15, 2024, the division shall submit a written report to 31 the general assembly regarding the division’s outreach efforts 32 with community rehabilitation program providers. 33 b. For matching moneys for programs to enable persons 34 with severe physical or mental disabilities to function more 35 -10- LSB 1002HV (2) 90 ko/ns 10/ 24

H.F. 725 independently, including salaries and support, and for not more 1 than the following full-time equivalent positions: 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 84,804 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 1.00 4 c. For the entrepreneurs with disabilities program 5 established pursuant to section 259.4, as amended by 2023 Iowa 6 Acts, Senate File 514: 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 138,506 8 d. For costs associated with centers for independent 9 living: 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 86,457 11 6. ADULT EDUCATION AND LITERACY PROGRAMS 12 For distribution as grants to community colleges for 13 the purpose of adult basic education programs for students 14 requiring instruction in English as a second language: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 16 In issuing grants under this subsection, the department of 17 workforce development shall use the same application process 18 and criteria as are used for purposes of awarding grants to 19 community colleges for the purpose of adult basic education 20 programs for students requiring instruction in English as a 21 second language using moneys that are appropriated to the 22 department from the Iowa skilled worker and job creation fund. 23 7. FUTURE READY IOWA REGISTERED APPRENTICESHIP DEVELOPMENT 24 PROGRAM 25 For the funding of the future ready Iowa registered 26 apprenticeship development program under chapter 15C, as 27 amended by 2023 Iowa Acts, Senate File 514, to encourage 28 small to midsize businesses to start or grow registered 29 apprenticeships: 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 760,000 31 Notwithstanding section 8.33 , moneys appropriated in this 32 section that remain unencumbered or unobligated at the close of 33 the fiscal year shall not revert but shall remain available for 34 expenditure for the purposes designated until the close of the 35 -11- LSB 1002HV (2) 90 ko/ns 11/ 24

H.F. 725 succeeding fiscal year. 1 Sec. 10. GENERAL FUND —— EMPLOYEE MISCLASSIFICATION 2 PROGRAM. There is appropriated from the general fund of the 3 state to the department of workforce development for the fiscal 4 year beginning July 1, 2023, and ending June 30, 2024, the 5 following amount, or so much thereof as is necessary, to be 6 used for the purposes designated: 7 For enhancing efforts to investigate employers that 8 misclassify workers, and for not more than the following 9 full-time equivalent positions: 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 379,631 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 3.00 12 Sec. 11. SPECIAL EMPLOYMENT SECURITY CONTINGENCY FUND. 13 1. There is appropriated from the special employment 14 security contingency fund created in section 96.13 to the 15 department of workforce development for the fiscal year 16 beginning July 1, 2023, and ending June 30, 2024, the following 17 amount, or so much thereof as is necessary, to be used for 18 field offices: 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,416,084 20 2. Any remaining additional penalty and interest revenue 21 collected by the department of workforce development is 22 appropriated to the department for the fiscal year beginning 23 July 1, 2023, and ending June 30, 2024, to accomplish the 24 mission of the department. 25 Sec. 12. UNEMPLOYMENT COMPENSATION RESERVE FUND —— FIELD 26 OFFICES. Notwithstanding section 96.9, subsection 8 , paragraph 27 “e”, there is appropriated from interest earned on the 28 unemployment compensation reserve fund created in section 96.9 29 to the department of workforce development for the fiscal year 30 beginning July 1, 2023, and ending June 30, 2024, the following 31 amount, or so much thereof as is necessary, to be used for the 32 purposes designated: 33 For the operation of field offices: 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,200,000 35 -12- LSB 1002HV (2) 90 ko/ns 12/ 24

H.F. 725 Sec. 13. VIRTUAL ACCESS WORKFORCE DEVELOPMENT OFFICES. The 1 department of workforce development shall require a unique 2 identification login for all users of workforce development 3 centers operated through electronic means. 4 Sec. 14. UNEMPLOYMENT COMPENSATION PROGRAM. 5 1. Notwithstanding section 96.9, subsection 4 , paragraph 6 “a”, moneys credited to the state by the secretary of the 7 treasury of the United States pursuant to section 903 of the 8 federal Social Security Act are appropriated to the department 9 of workforce development and shall be used by the department 10 for the administration of the unemployment compensation program 11 only. This appropriation shall not apply to any fiscal year 12 beginning after December 31, 2023. 13 2. Notwithstanding subsection 1, up to $800,000, or 14 so much thereof as may be necessary, of the unemployment 15 compensation modernization incentive payments made to the 16 state’s unemployment trust fund account as a special transfer 17 under section 903 of the federal Social Security Act, pursuant 18 to the federal Assistance for Unemployed Workers and Struggling 19 Families Act, of the American Recovery and Reinvestment Act of 20 2009, Pub. L. No. 111-5, are appropriated to the department of 21 workforce development for the fiscal year beginning July 1, 22 2023, and ending June 30, 2024, for the purpose of modification 23 of space for unemployment insurance administrative law judge 24 offices and conference rooms in which to hold unemployment 25 insurance appeal hearings. 26 Sec. 15. IOWA SKILLED WORKER AND JOB CREATION FUND. 27 1. There is appropriated from the Iowa skilled worker and 28 job creation fund created in section 8.75 to the following 29 departments, agencies, and institutions for the fiscal year 30 beginning July 1, 2023, and ending June 30, 2024, the following 31 amounts, or so much thereof as is necessary, to be used for the 32 purposes designated: 33 a. ECONOMIC DEVELOPMENT AUTHORITY 34 (1) For the purposes of providing assistance as described in 35 -13- LSB 1002HV (2) 90 ko/ns 13/ 24

H.F. 725 section 15.335B for the high quality jobs program: 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 11,700,000 2 From the moneys appropriated in this subparagraph, the 3 economic development authority may use not more than $1,000,000 4 for purposes of providing infrastructure grants to main street 5 communities under the main street Iowa program and may allocate 6 not more than $300,000 for the purposes of supporting statewide 7 worker education and quality preapprenticeship programs. 8 (2) As a condition of receiving moneys appropriated in 9 this lettered paragraph “a”, an entity shall testify upon the 10 request of the joint appropriations subcommittee on economic 11 development regarding the expenditure of such moneys. 12 b. STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS 13 (1) STATE BOARD OF REGENTS. For capacity building 14 infrastructure in areas related to technology 15 commercialization, marketing and business development 16 efforts in areas related to technology commercialization, 17 entrepreneurship, and business growth, and infrastructure 18 projects and programs needed to assist in implementation of 19 activities under chapter 262B : 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 21 (a) Of the moneys appropriated pursuant to this 22 subparagraph (1), 35 percent shall be allocated for Iowa state 23 university of science and technology, 35 percent shall be 24 allocated for the state university of Iowa, and 30 percent 25 shall be allocated for the university of northern Iowa. 26 (b) The institutions shall provide a one-to-one match 27 of additional moneys for the activities funded with moneys 28 appropriated under this subparagraph (1). 29 (c) The state board of regents shall submit a report by 30 January 15, 2024, to the governor and the general assembly 31 regarding the activities, projects, and programs funded with 32 moneys appropriated under this subparagraph (1). The report 33 shall be provided in an electronic format and shall include a 34 list of metrics and criteria mutually agreed to in advance by 35 -14- LSB 1002HV (2) 90 ko/ns 14/ 24

H.F. 725 the board of regents and the economic development authority. 1 The metrics and criteria shall allow the governor’s office and 2 the general assembly to quantify and evaluate the progress 3 of the board of regents institutions with regard to their 4 activities, projects, and programs in the areas of technology 5 commercialization, entrepreneurship, regional development, and 6 market research. 7 (2) IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY. For 8 small business development centers, the research park, and the 9 center for industrial research and service, and for not more 10 than the following full-time equivalent positions: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,424,302 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 50.95 13 (a) Of the moneys appropriated in this subparagraph (2), 14 Iowa state university of science and technology shall allocate 15 at least $735,728 for purposes of funding small business 16 development centers. Iowa state university of science and 17 technology may allocate the appropriated moneys to the various 18 small business development centers in any manner necessary to 19 achieve the purposes of this subparagraph. 20 (b) Iowa state university of science and technology shall 21 do all of the following: 22 (i) Direct expenditures for research toward projects that 23 will provide economic stimulus for Iowa. 24 (ii) Provide emphasis to providing services to Iowa-based 25 companies. 26 (c) It is the intent of the general assembly that the 27 industrial incentive program focus on Iowa industrial sectors 28 and seek contributions and in-kind donations from businesses, 29 industrial foundations, and trade associations, and that moneys 30 for the center for industrial research and service industrial 31 incentive program shall be allocated only for projects which 32 are matched by private sector moneys for directed contract 33 research or for nondirected research. The match required of 34 small businesses as defined in section 15.102 for directed 35 -15- LSB 1002HV (2) 90 ko/ns 15/ 24

H.F. 725 contract research or for nondirected research shall be $1 1 for each $3 of state funds. The match required for other 2 businesses for directed contract research or for nondirected 3 research shall be $1 for each $1 of state funds. The match 4 required of industrial foundations or trade associations shall 5 be $1 for each $1 of state funds. 6 (d) Iowa state university of science and technology shall 7 report annually to the general assembly the total amount of 8 private contributions, the proportion of contributions from 9 small businesses and other businesses, and the proportion for 10 directed contract research and nondirected research of benefit 11 to Iowa businesses and industrial sectors. 12 (3) STATE UNIVERSITY OF IOWA. 13 (a) For the state university of Iowa research park and for 14 university of Iowa pharmaceuticals located at the research 15 park, including salaries, support, maintenance, equipment, and 16 miscellaneous purposes, and for not more than the following 17 full-time equivalent positions: 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 209,279 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 6.00 20 The state university of Iowa shall do all of the following: 21 (i) Direct expenditures for research toward projects that 22 will provide economic stimulus for Iowa. 23 (ii) Provide emphasis to providing services to Iowa-based 24 companies. 25 (b) For the purpose of implementing the entrepreneurship 26 and economic growth initiative, and for not more than the 27 following full-time equivalent positions: 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,000,000 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 8.00 30 (4) UNIVERSITY OF NORTHERN IOWA. For the metal casting and 31 foundry 4.0 centers, advance Iowa, family business center, and 32 the institute for decision making, including salaries, support, 33 maintenance, and miscellaneous purposes, and for not more than 34 the following full-time equivalent positions: 35 -16- LSB 1002HV (2) 90 ko/ns 16/ 24