Senate File 645 - Introduced SENATE FILE 645 BY COMMITTEE ON APPROPRIATIONS (SUCCESSOR TO SSB 1236) 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, Iowa finance authority, department of 3 workforce development, and the state board of regents and 4 certain regents institutions. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 6 TLSB 1002SV (1) 91 nls/ko

S.F. 645 DIVISION I 1 FY 2025-2026 APPROPRIATIONS 2 Section 1. GOALS AND ACCOUNTABILITY —— ECONOMIC 3 DEVELOPMENT. 4 1. For the fiscal year beginning July 1, 2025, 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, 2025: 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 1002SV (1) 91 nls/ko 1/ 18

S.F. 645 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 Sec. 2. ECONOMIC DEVELOPMENT AUTHORITY. 5 1. APPROPRIATION 6 a. There is appropriated from the general fund of the state 7 to the economic development authority for the fiscal year 8 beginning July 1, 2025, and ending June 30, 2026, the following 9 amount, or so much thereof as is necessary, to be used for the 10 purposes designated in this subsection, and for not more than 11 the following full-time equivalent positions: 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 12,921,510 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 112.50 14 b. (1) For salaries, support, miscellaneous purposes, 15 programs, marketing, administration, business development, 16 community development, small business development, and any 17 divisions the authority may organize. 18 (2) For business development operations and programs, 19 international trade, export assistance, workforce recruitment, 20 and the partner state program. 21 (3) For transfer to a fund created pursuant to section 22 15.313 for purposes of financing strategic infrastructure 23 projects. 24 (4) For community economic development programs, tourism 25 operations, community assistance, and the community development 26 block grant. 27 (5) For achieving the goals and accountability, and 28 fulfilling the requirements and duties required under this Act. 29 (6) The full-time equivalent positions authorized under 30 this subsection are funded, in whole or in part, by the moneys 31 appropriated under this subsection or by other moneys received 32 by the authority, including certain federal moneys. 33 c. Notwithstanding section 8.33 , moneys appropriated in 34 this subsection that remain unencumbered or unobligated at the 35 -2- LSB 1002SV (1) 91 nls/ko 2/ 18

S.F. 645 close of the fiscal year shall not revert but shall remain 1 available for expenditure for the purposes designated in this 2 subsection until the close of the succeeding fiscal year. 3 2. FINANCIAL ASSISTANCE RESTRICTIONS 4 a. A business creating jobs through moneys appropriated in 5 subsection 1 shall be subject to contract provisions requiring 6 new and retained jobs to be filled by individuals who are 7 citizens of the United States who reside within the United 8 States, or any person authorized to work in the United States 9 pursuant to federal law, including legal resident aliens 10 residing in the United States. 11 b. Any vendor who receives moneys appropriated in 12 subsection 1 shall adhere to such contract provisions and 13 provide periodic assurances as the state shall require that the 14 jobs are filled solely by citizens of the United States who 15 reside within the United States, or any person authorized to 16 work in the United States, pursuant to federal law, including 17 legal resident aliens residing in the United States. 18 c. A business that receives financial assistance from 19 the authority from moneys appropriated in subsection 1 shall 20 only employ individuals legally authorized to work in this 21 state. In addition to all other applicable penalties provided 22 by current law, all or a portion of the assistance received 23 by a business which is found to knowingly employ individuals 24 not legally authorized to work in this state is subject to 25 recapture by the authority. 26 3. USES OF APPROPRIATIONS 27 a. From the moneys appropriated in subsection 1, the 28 authority may provide financial assistance in the form of a 29 grant to a community economic development entity for conducting 30 a local workforce recruitment effort designed to recruit 31 former citizens of the state, and former students at colleges 32 and universities in the state, to meet the needs of local 33 employers. 34 b. From the moneys appropriated in subsection 1, the 35 -3- LSB 1002SV (1) 91 nls/ko 3/ 18

S.F. 645 authority may provide financial assistance to early stage 1 industry companies being established by women entrepreneurs. 2 c. From the moneys appropriated in subsection 1, the 3 authority may provide financial assistance in the form of 4 grants, loans, or forgivable loans for advanced research and 5 commercialization projects involving value-added agriculture, 6 advanced technology, or biotechnology. 7 d. The authority shall not use any moneys appropriated in 8 subsection 1 for purposes of providing financial assistance 9 for any program or project that involves the installation of 10 geothermal systems for melting snow and ice from streets or 11 sidewalks. 12 4. WORLD FOOD PRIZE 13 In lieu of the standing appropriation in section 15.368 , 14 there is appropriated from the general fund of the state to the 15 economic development authority for the fiscal year beginning 16 July 1, 2025, and ending June 30, 2026, the following amount 17 for the world food prize: 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 19 5. COUNCILS OF GOVERNMENTS —— ASSISTANCE 20 There is appropriated from the general fund of the state 21 to the economic development authority for the fiscal year 22 beginning July 1, 2025, and ending June 30, 2026, the following 23 amount to be used for the purposes of providing financial 24 assistance to Iowa’s councils of governments: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 150,000 26 6. TOURISM OFFICE 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, 2025, and ending June 30, 2026, the following 30 amount for the tourism office to be used for advertising, 31 promoting, placement, and implementation of the economic 32 development authority’s strategic plan for tourism and travel: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,100,000 34 b. Notwithstanding section 8.33 , moneys appropriated in 35 -4- LSB 1002SV (1) 91 nls/ko 4/ 18

S.F. 645 this subsection that remain unencumbered or unobligated at the 1 close of the fiscal year shall not revert but shall remain 2 available for expenditure for the purposes designated until the 3 close of the succeeding fiscal year. 4 c. The economic development authority shall submit an 5 annual report on or before January 15 to the general assembly 6 regarding the tourism office’s activities funded with moneys 7 appropriated under this subsection. The report shall be 8 provided in an electronic format and shall include metrics 9 and criteria that allow the general assembly to quantify 10 and evaluate the effectiveness and economic impact of the 11 tourism office’s activities related to advertising, promoting, 12 placement, and implementation of the economic development 13 authority’s strategic plan for tourism and travel. 14 7. CULTURAL AFFAIRS ACTIVITIES 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, 2025, and ending June 30, 2026, the following 18 amount, or so much thereof as is necessary, to be used for the 19 purposes designated: 20 For support of the Iowa arts council: 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,771,800 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 Sec. 3. LIMITATION OF STANDING APPROPRIATION —— FY 28 2025-2026. Notwithstanding the standing appropriation in the 29 following designated section for the fiscal year beginning July 30 1, 2025, and ending June 30, 2026, the amount appropriated from 31 the general fund of the state pursuant to the following section 32 for the following purpose shall not exceed the following 33 amount: 34 For the purposes of tourism marketing under section 99F.11, 35 -5- LSB 1002SV (1) 91 nls/ko 5/ 18

S.F. 645 subsection 4 , paragraph “d”, subparagraph (2): 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,443,700 2 Sec. 4. FINANCIAL ASSISTANCE REPORTING —— ECONOMIC 3 DEVELOPMENT AUTHORITY. The economic development authority 4 shall submit an annual report to the general assembly no later 5 than November 1, 2025, that details the amount of every direct 6 loan, forgivable loan, tax credit, tax exemption, tax refund, 7 grant, or any other financial assistance awarded to a person 8 during the prior fiscal year by the authority under an economic 9 development program administered by the authority. The report 10 shall identify the county where the project associated with 11 each such award is located. 12 Sec. 5. INSURANCE ECONOMIC DEVELOPMENT. From the moneys 13 collected by the insurance division of the department of 14 insurance and financial services in excess of the anticipated 15 gross revenues under section 505.7, subsection 3 , during 16 the fiscal year beginning July 1, 2025, $100,000 shall be 17 transferred to the economic development authority for insurance 18 economic development and international insurance economic 19 development. 20 Sec. 6. IOWA FINANCE AUTHORITY. 21 1. There is appropriated from the general fund of the state 22 to the Iowa finance authority for the fiscal year beginning 23 July 1, 2025, and ending June 30, 2026, the following amounts, 24 or so much thereof as is necessary, to be used for the purposes 25 designated: 26 a. Rent subsidy program 27 (1) To provide reimbursement for rent expenses to eligible 28 persons under the home and community-based services rent 29 subsidy program established in section 16.55: 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 873,000 31 (2) Of the moneys appropriated in this paragraph, not more 32 than $35,000 may be used for administrative costs. 33 b. Housing renewal pilot program 34 To provide housing renewal moneys to a nonprofit Iowa 35 -6- LSB 1002SV (1) 91 nls/ko 6/ 18

S.F. 645 affiliate to award grants to eligible communities for a housing 1 renewal pilot program: 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 550,000 3 2. Notwithstanding section 8.33, moneys appropriated in 4 this section that remain unencumbered or unobligated at the 5 close of the fiscal year shall not revert but shall remain 6 available for expenditure for the purposes designated until the 7 close of the succeeding fiscal year. 8 Sec. 7. IOWA FINANCE AUTHORITY AUDIT. The auditor of state 9 is requested to review the audit of the Iowa finance authority 10 performed by the auditor hired by the authority. 11 Sec. 8. DEPARTMENT OF WORKFORCE DEVELOPMENT. There 12 is appropriated from the general fund of the state to the 13 department of workforce development for the fiscal year 14 beginning July 1, 2025, and ending June 30, 2026, the following 15 amounts, or so much thereof as is necessary, to be used for the 16 purposes designated: 17 1. WORKFORCE DEVELOPMENT OPERATIONS 18 a. For the operation of field offices and the workforce 19 development board, and for not more than the following 20 full-time equivalent positions: 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,902,636 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 166.41 23 b. Of the moneys appropriated in paragraph “a”, the 24 department shall allocate $150,000 to the state library for the 25 purpose of licensing an online resource which prepares persons 26 to succeed in the workplace through programs which improve job 27 skills and vocational test-taking abilities. 28 2. OFFENDER REENTRY PROGRAM 29 a. For the development and administration of an offender 30 reentry program to provide offenders with employment skills, 31 and for not more than the following full-time equivalent 32 positions: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 387,158 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 5.00 35 -7- LSB 1002SV (1) 91 nls/ko 7/ 18

S.F. 645 b. The department of workforce development shall partner 1 with the department of corrections to provide staff within 2 the correctional facilities resources to improve offenders’ 3 abilities to find and retain productive employment. 4 3. INTEGRATED INFORMATION FOR IOWA SYSTEM 5 For the payment of services provided by the department of 6 administrative services related to the integrated information 7 for Iowa system: 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 228,822 9 4. WORKPLACE INJURY AND SAFETY SURVEYS 10 For the operation of workplace safety surveys and workplace 11 data collection and analysis, including salaries, support, 12 maintenance, and miscellaneous purposes, and for not more than 13 the following full-time equivalent positions: 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 125,555 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 3.00 16 5. SUMMER YOUTH INTERN PILOT PROGRAM 17 For the funding of a summer youth intern pilot program that 18 helps young people at risk of not graduating from high school 19 to explore and prepare for high-demand careers through summer 20 work experience, including the development of soft skills: 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 250,000 22 6. VOCATIONAL REHABILITATION SERVICES DIVISION 23 a. For salaries, support, maintenance, and miscellaneous 24 purposes, and for not more than the following full-time 25 equivalent positions: 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,226,739 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 248.00 28 For purposes of optimizing the job placement of individuals 29 with disabilities, the division shall make its best efforts 30 to work with community rehabilitation program providers for 31 job placement and retention services for individuals with 32 significant disabilities and most significant disabilities. By 33 January 15, 2026, the division shall submit a written report to 34 the general assembly regarding the division’s outreach efforts 35 -8- LSB 1002SV (1) 91 nls/ko 8/ 18

S.F. 645 with community rehabilitation program providers. 1 b. For matching moneys for programs to enable persons 2 with severe physical or mental disabilities to function more 3 independently, including salaries and support, and for not more 4 than the following full-time equivalent positions: 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 84,804 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 1.00 7 c. For the entrepreneurs with disabilities program 8 established pursuant to section 84H.4: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 138,506 10 d. For costs associated with centers for independent 11 living: 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 86,547 13 7. ADULT EDUCATION AND LITERACY PROGRAMS 14 For distribution as grants to community colleges for 15 the purpose of adult basic education programs for students 16 requiring instruction in English as a second language: 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 18 In issuing grants under this subsection, the department of 19 workforce development shall use the same application process 20 and criteria as are used for purposes of awarding grants to 21 community colleges for the purpose of adult basic education 22 programs for students requiring instruction in English as a 23 second language using moneys that are appropriated to the 24 department from the Iowa skilled worker and job creation fund 25 created in section 8.57J. 26 8. REGISTERED APPRENTICESHIP DEVELOPMENT PROGRAMS 27 For the funding of the registered apprenticeship development 28 programs under chapter 84F to encourage small to midsize 29 businesses to start or grow registered 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 -9- LSB 1002SV (1) 91 nls/ko 9/ 18

S.F. 645 succeeding fiscal year. 1 Sec. 9. DEPARTMENT OF WORKFORCE DEVELOPMENT —— EMPLOYEE 2 MISCLASSIFICATION PROGRAM. There is appropriated from the 3 general fund of the state to the department of workforce 4 development for the fiscal year beginning July 1, 2025, and 5 ending June 30, 2026, the following amount, or so much thereof 6 as is necessary, to be 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. 10. DEPARTMENT OF WORKFORCE DEVELOPMENT —— SPECIAL 13 EMPLOYMENT SECURITY CONTINGENCY FUND. 14 1. There is appropriated from the special employment 15 security contingency fund created in section 96.13 to the 16 department of workforce development for the fiscal year 17 beginning July 1, 2025, and ending June 30, 2026, the following 18 amount, or so much thereof as is necessary, to be used for 19 field offices: 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,616,084 21 2. Any remaining additional penalty and interest revenue 22 collected by the department of workforce development is 23 appropriated to the department for the fiscal year beginning 24 July 1, 2025, and ending June 30, 2026, to accomplish the 25 mission of the department. 26 Sec. 11. 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 8.57J to the following 29 departments, agencies, and institutions for the fiscal year 30 beginning July 1, 2025, and ending June 30, 2026, 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 -10- LSB 1002SV (1) 91 nls/ko 10/ 18

S.F. 645 section 15.335B for the high quality jobs program: 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 11,700,000 2 (a) From the moneys appropriated in this subparagraph 3 (1), the economic development authority may use not more than 4 $1,000,000 for purposes of providing infrastructure grants to 5 main street communities under the main street Iowa program. 6 (b) As a condition of receiving moneys appropriated in this 7 subparagraph (1), an entity shall testify upon the request of 8 the joint appropriations subcommittee on economic development 9 regarding the expenditure of such moneys. 10 (2) For support of the manufacturing 4.0 technology 11 investment program established in section 15.371: 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,016,675 13 (3) For the empower rural Iowa program: 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 700,000 15 b. STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS 16 (1) STATE BOARD OF REGENTS. For capacity building 17 infrastructure in areas related to technology 18 commercialization, marketing and business development 19 efforts in areas related to technology commercialization, 20 entrepreneurship, and business growth, and infrastructure 21 projects and programs needed to assist in implementation of 22 activities under chapter 262B: 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 24 (a) Of the moneys appropriated pursuant to this 25 subparagraph (1), 35 percent shall be allocated for Iowa state 26 university of science and technology, 35 percent shall be 27 allocated for the state university of Iowa, and 30 percent 28 shall be allocated for the university of northern Iowa. 29 (b) The moneys allocated to the university of northern 30 Iowa under subparagraph division (a) may be used to offer 31 undergraduate students from the states contiguous to Iowa the 32 same rate of tuition and mandatory fees that are charged to 33 resident undergraduate students. 34 (c) The institutions shall provide a one-to-one match 35 -11- LSB 1002SV (1) 91 nls/ko 11/ 18

S.F. 645 of additional moneys for the activities funded with moneys 1 appropriated under this subparagraph (1). 2 (d) The state board of regents shall submit a report by 3 January 15, 2026, to the governor and the general assembly 4 regarding the activities, projects, and programs funded with 5 moneys appropriated under this subparagraph (1), The report 6 shall be provided in an electronic format and shall include a 7 list of metrics and criteria mutually agreed to in advance by 8 the board of regents and the economic development authority. 9 The metrics and criteria shall allow the governor's office and 10 the general assembly to quantify and evaluate the progress 11 of the board of regents institutions with regard to their 12 activities, projects, and programs in the areas of technology 13 commercialization, entrepreneurship, regional development, and 14 market research. 15 (2) IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY. For 16 small business development centers, the research park, and the 17 center for industrial research and service, and for not more 18 than the following full-time equivalent positions: 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,424,302 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 50.95 21 (a) Of the moneys appropriated in this subparagraph (2), 22 Iowa state university of science and technology shall allocate 23 at least $735,728 for purposes of funding small business 24 development centers. Iowa state university of science and 25 technology may allocate the appropriated moneys to the various 26 small business development centers in any manner necessary to 27 achieve the purposes of this subparagraph. 28 (b) Iowa state university of science and technology shall 29 do all of the following: 30 (i) Direct expenditures for research toward projects that 31 will provide economic stimulus for Iowa. 32 (ii) Provide emphasis to providing services to Iowa-based 33 companies. 34 (c) It is the intent of the general assembly that the 35 -12- LSB 1002SV (1) 91 nls/ko 12/ 18

S.F. 645 industrial incentive program focus on Iowa industrial sectors 1 and seek contributions and in-kind donations from businesses, 2 industrial foundations, and trade associations, and that moneys 3 for the center for industrial research and service industrial 4 incentive program shall be allocated only for projects which 5 are matched by private sector moneys for directed contract 6 research or for nondirected research. The match required of 7 small businesses as defined in section 15.102 for directed 8 contract research or for nondirected research shall be $1 9 for each $3 of state funds. The match required for other 10 businesses for directed contract research or for nondirected 11 research shall be $1 for each $1 of state funds. The match 12 required of industrial foundations or trade associations shall 13 be $1 for each $1 of state funds. 14 (d) Iowa state university of science and technology shall 15 report annually to the general assembly the total amount of 16 private contributions, the proportion of contributions from 17 small businesses and other businesses, and the proportion for 18 directed contract research and nondirected research of benefit 19 to Iowa businesses and industrial sectors. 20 (3) STATE UNIVERSITY OF IOWA 21 (a) For the state university of Iowa research park and for 22 university of Iowa pharmaceuticals located at the research 23 park, including salaries, support, maintenance, equipment, and 24 miscellaneous purposes, and for not more than the following 25 full-time equivalent positions: 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 209,279 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 6.00 28 The state university of Iowa shall do all of the following: 29 (i) Direct expenditures for research toward projects that 30 will provide economic stimulus for Iowa. 31 (ii) Provide emphasis to providing services to Iowa-based 32 companies. 33 (b) For the purpose of implementing the entrepreneurship 34 and economic growth initiative, and for not more than the 35 -13- LSB 1002SV (1) 91 nls/ko 13/ 18

S.F. 645 following full-time equivalent positions: 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,000,000 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 8.00 3 (4) UNIVERSITY OF NORTHERN IOWA 4 For the metal casting and foundry 4.0 centers, advance Iowa, 5 family business center, and the institute for decision making, 6 including salaries, support, maintenance, and miscellaneous 7 purposes, and for not more than the following full-time 8 equivalent positions: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,466,419 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 13.00 11 The university of northern Iowa shall do all of the 12 following: 13 (a) Direct expenditures for research toward projects that 14 will provide economic stimulus for Iowa. 15 (b) Provide emphasis to providing services to Iowa-based 16 companies. 17 (5) As a condition of receiving moneys appropriated in 18 this lettered paragraph “b”, an entity shall testify upon the 19 request of the joint appropriations subcommittee on economic 20 development regarding the expenditure of such moneys. 21 c. DEPARTMENT OF WORKFORCE DEVELOPMENT 22 (1) For staffing costs related to completing workforce 23 preparation outcome reporting in conjunction with the 24 department of education: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 125,000 26 (2) For distribution to community colleges for the purposes 27 of implementing adult education and literacy programs pursuant 28 to section 84A.19: 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5,500,000 30 (a) From the moneys appropriated in this numbered 31 subparagraph, $3,883,000 shall be allocated pursuant to the 32 formula established in section 260C.18C. 33 (b) From the moneys appropriated in this numbered 34 subparagraph, not more than $150,000 shall be used by the 35 -14- LSB 1002SV (1) 91 nls/ko 14/ 18

S.F. 645 department of workforce development for implementation of adult 1 education and literacy programs pursuant to section 84A.19. 2 (c) From the moneys appropriated in this numbered 3 subparagraph, not more than $1,275,000 shall be distributed 4 as grants to community colleges for the purpose of adult 5 basic education programs for students requiring instruction 6 in English as a second language. The department of workforce 7 development shall establish an application process and criteria 8 to award grants pursuant to this subparagraph division to 9 community colleges. The criteria shall be based on need for 10 instruction in English as a second language in the region 11 served by each community college as determined by factors 12 including data from the latest federal decennial census and 13 outreach efforts to determine regional needs. 14 (d) From the moneys appropriated in this numbered 15 subparagraph, $210,000 shall be transferred to the department 16 of health and human services for purposes of administering a 17 program to provide access to international resources to Iowans 18 and new Iowans to provide economic and leadership development 19 resulting in Iowa being a more welcoming place to live, work, 20 and raise a family. The program shall provide supplemental 21 support services for international refugees to improve 22 learning, English literacy, life skills, cultural competencies, 23 and integration in a county with a population over 350,000 24 as determined by the 2020 federal decennial census. The 25 department of health and human services shall utilize a request 26 for proposals process to identify the entity best qualified to 27 implement the program. 28 (3) For the funding of internships for students studying in 29 the fields of science, technology, engineering, and mathematics 30 with eligible Iowa employers as provided in section 84A.21, 31 subsection 2, paragraph “c”: 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 633,325 33 2. Notwithstanding section 8.33 , moneys appropriated in 34 this section that remain unencumbered or unobligated at the 35 -15- LSB 1002SV (1) 91 nls/ko 15/ 18

S.F. 645 close of the fiscal year shall not revert but shall remain 1 available for expenditure for the purposes designated until the 2 close of the succeeding fiscal year. 3 Sec. 12. GENERAL FUND —— CERTAIN REGENTS INSTITUTIONS. 4 1. There is appropriated from the general fund of the state 5 to the following institutions for the fiscal year beginning 6 July 1, 2025, and ending June 30, 2026, the following amounts, 7 or so much thereof as is necessary, to be used for the purposes 8 designated: 9 a. IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY 10 In cooperation with the economic development authority, for 11 support of a biosciences innovation ecosystem, to strengthen 12 Iowa’s leadership positions in the area of bio-based chemicals, 13 digital agriculture, vaccines, and medical devices, including 14 salaries, support, maintenance, and miscellaneous purposes, and 15 for not more than the following full-time equivalent positions: 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,963,995 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 8.40 18 b. STATE UNIVERSITY OF IOWA 19 In cooperation with the economic development authority, for 20 support of a biosciences innovation ecosystem, to strengthen 21 Iowa’s leadership positions in the area of bio-based chemicals, 22 digital agriculture, vaccines, and medical devices, including 23 salaries, support, maintenance, and miscellaneous purposes, and 24 for not more than the following full-time equivalent positions: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,000,000 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 4.35 27 c. UNIVERSITY OF NORTHERN IOWA 28 For equipment and technology to expand the university’s 29 additive manufacturing capabilities related to investment 30 castings technology and industry support, including salaries, 31 support, maintenance, and miscellaneous purposes, and for not 32 more than the following full-time equivalent positions: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 394,321 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 2.73 35 -16- LSB 1002SV (1) 91 nls/ko 16/ 18