H.F. 1047 Section 1. Section 12.80, subsection 4, Code 2025, is 1 amended to read as follows: 2 4. The net proceeds from the bonds issued under this section 3 shall be deposited into the FY 2009 prison bonding fund new 4 prison construction account of the Iowa prison infrastructure 5 fund created in section 602.8108A . 6 Sec. 2. Section 602.8108A, Code 2025, is amended to read as 7 follows: 8 602.8108A Prison Iowa prison infrastructure fund —— new 9 prison construction account . 10 1. The Iowa prison infrastructure fund is created and 11 established as a separate and distinct fund in the state 12 treasury. Notwithstanding any other provision of this chapter 13 to the contrary, the first eight million dollars and, beginning 14 July 1, 1997, the first nine million five hundred thousand 15 dollars , of moneys remitted to the treasurer of state from 16 fines, fees, costs, and forfeited bail collected by the clerks 17 of the district court in criminal cases, including those 18 collected for both scheduled and nonscheduled violations, 19 collected in each fiscal year commencing with the fiscal 20 year beginning July 1, 1995, shall be deposited in the fund. 21 Beginning July 1, 2009, the The treasurer of state shall 22 certify to the judicial branch the annual amount of funds 23 moneys necessary to be remitted for deposit into the fund for 24 that fiscal year and such moneys shall be remitted to the 25 treasurer of state from fines, fees, costs, and forfeited bail 26 collected by the clerks of the district court in criminal 27 cases, including those collected for both scheduled and 28 nonscheduled violations, for debt payments and deposits 29 expected to be paid from the fund. Interest Notwithstanding 30 section 12C.7, subsection 2, interest and other income earned 31 by the fund shall be deposited in the fund. However, beginning 32 with the fiscal year beginning July 1, 1998, all fines and 33 fees attributable to commercial vehicle violation citations 34 issued after July 1, 1998, shall be deposited as provided 35 -1- LSB 2968HV (1) 91 as/ns 1/ 5

H.F. 1047 in section 602.8108, subsection 8 . The moneys in the fund 1 are appropriated and shall have priority and precedence for 2 the purpose of paying the principal of, premium, if any, 3 and interest on bonds issued by the Iowa finance authority 4 under section 16.177 . Any remaining moneys not otherwise 5 appropriated for purposes of paying the principal, premium, 6 and interest on the bonds issued by the Iowa finance authority 7 pursuant to section 16.177 shall be available and appropriated 8 to the treasurer of state pursuant to section 12.80 . Except as 9 otherwise provided in subsection 2 , amounts in the funds fund 10 shall not be subject to appropriation for any purpose by the 11 general assembly, but shall be used only for the purposes set 12 forth in this section . The treasurer of state shall act as 13 custodian of the fund and disburse amounts contained in it the 14 fund as directed by the department of corrections including the 15 automatic disbursement of funds moneys pursuant to the terms 16 of bond indentures and documents and security provisions to 17 trustees and custodians. The treasurer of state is authorized 18 to invest the funds moneys deposited in the fund subject to 19 any limitations contained in any applicable bond proceedings. 20 Any amounts remaining in the fund at the end of each fiscal 21 year , other than moneys in the new prison construction account 22 created in subsection 2, shall be transferred to the general 23 fund of the state. 24 2. If the treasurer of state determines that bonds cannot be 25 issued pursuant to this section and sections 12.80 and 16.177 26 or if there are any remaining moneys at the end of a fiscal 27 year after the appropriations are paid pursuant to sections 28 12.80 and 16.177 , the treasurer of state shall deposit the 29 moneys in the prison infrastructure fund into the general fund 30 of the state. A new prison construction account is created 31 within the Iowa prison infrastructure fund. For the fiscal 32 year beginning July 1, 2025, and each fiscal year thereafter, 33 if bonds pertaining to prison infrastructure financing for the 34 Iowa state penitentiary are paid off, an amount equal to the 35 -2- LSB 2968HV (1) 91 as/ns 2/ 5

H.F. 1047 amounts paid on such bonds for the fiscal year beginning July 1 1, 2024, shall be deposited in the new prison construction 2 account from the Iowa prison infrastructure fund and shall 3 only be used pursuant to an appropriation made by the general 4 assembly for the construction of new prisons or the replacement 5 of infrastructure at existing prisons. Notwithstanding 6 section 8.33, moneys in the account that remain unencumbered 7 or unobligated at the close of a fiscal year shall not revert 8 but shall remain available for expenditure for the purposes 9 designated. Notwithstanding section 12C.7, subsection 2, 10 interest or earnings on moneys in the account shall be credited 11 to the account. 12 Sec. 3. NEW SECTION . 904.115A Infrastructure report by 13 department. 14 Annually, on or before January 15 of each year, the 15 department shall report to the general assembly and the 16 department of management the status of all infrastructure 17 projects completed or in progress. The report must include 18 a description of the project, the work completed, the total 19 estimated cost of the project, a list of all revenue sources 20 being used to fund the project, the amount of moneys expended, 21 the amount of moneys obligated, and the date the project was 22 completed or an estimated completion date of the project, where 23 applicable. 24 Sec. 4. REPEAL. Section 12.79, Code 2025, is repealed. 25 Sec. 5. LEGISLATIVE INTERIM STUDY COMMITTEE —— CONSTRUCTION 26 AND OPERATION OF ADDITIONAL PRISON IN THE STATE. 27 1. The legislative council is requested to establish an 28 interim study committee to meet during the 2025 legislative 29 interim to explore and consider issues involving prison 30 capacity and the feasibility of an additional prison or other 31 prison housing options. The interim study committee shall 32 consider all of the following: 33 a. Need. 34 b. Geographic locations. 35 -3- LSB 2968HV (1) 91 as/ns 3/ 5

H.F. 1047 c. Existing state infrastructure that could be converted to 1 a prison. 2 d. The level of security classification most needed in the 3 current system. 4 e. The possibility of adding additional units to existing 5 prisons. 6 f. The feasibility of a new prison operation, public or 7 otherwise, or the expansion of the current state operation. 8 g. Advancements in prison technology that increase prison 9 efficiency. 10 h. Staffing needs. 11 2. a. The interim study committee shall include all of the 12 following members: 13 (1) Two senators appointed by the majority leader of the 14 senate. 15 (2) One senator appointed by the minority leader of the 16 senate. 17 (3) Two representatives appointed by the speaker of the 18 house of representatives. 19 (4) One representative appointed by the minority leader of 20 the house of representatives. 21 b. The interim study committee shall elect one of its 22 members as chairperson. 23 3. On or before December 18, 2025, the interim study 24 committee shall submit a report to the general assembly and the 25 governor. 26 EXPLANATION 27 The inclusion of this explanation does not constitute agreement with 28 the explanation’s substance by the members of the general assembly. 29 This bill creates a new prison construction account within 30 the Iowa prison infrastructure (IPI) fund. 31 Under current law, the treasurer of state is authorized to 32 issue bonds to provide prison infrastructure financing (Code 33 section 12.80) and the Iowa finance authority is authorized 34 to issue bonds to provide prison infrastructure financing for 35 -4- LSB 2968HV (1) 91 as/ns 4/ 5

H.F. 1047 projects approved for financing by the general assembly (Code 1 section 16.177). In either case, the bonds may be paid from 2 moneys in the IPI fund (Code section 602.8108A), which receives 3 moneys each fiscal year from fines, fees, costs, and forfeited 4 bail collected by the clerks of the district court in criminal 5 cases. 6 The bill provides that for FY 2025-2026, and each fiscal 7 year thereafter, if infrastructure financing bonds pertaining 8 to the Iowa state penitentiary (Fort Madison, Iowa) are paid 9 off, an amount equal to the amounts paid on such bonds for FY 10 2024-2025 shall be deposited into the new prison construction 11 account from the IPI fund and shall only be used pursuant to an 12 appropriation made by the general assembly for the construction 13 of new prisons or the replacement of infrastructure at existing 14 prisons. Moneys in the account do not revert and are not 15 deposited in the general fund of the state at the end of each 16 fiscal year (unlike the other moneys in the IPI fund). 17 The bill repeals the FY 2009 prison bonding fund (Code 18 section 12.79) and moves the infrastructure project reporting 19 requirement for the department of corrections in that Code 20 section to Code chapter 904 (department of corrections). 21 The bill requests that the legislative council establish 22 an interim study committee to explore and consider issues 23 involving prison capacity and the feasibility of an additional 24 prison or other prison housing options. The interim study 25 committee is directed to consider factors set forth in the 26 bill. The bill requires the interim study committee to, on 27 or before December 18, 2025, submit a report to the general 28 assembly and the governor. 29 -5- LSB 2968HV (1) 91 as/ns 5/ 5