SSB 3187 (LSB 5017XG (3) 91)

SENATE/HOUSE FILE _____

BY  (PROPOSED GOVERNOR BUDGET BILL)

A BILL FOR

An Act relating to and making appropriations from the rebuild Iowa infrastructure fund and technology reinvestment fund, and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

DIVISION I
REBUILD IOWA INFRASTRUCTURE FUND

    Section 1.  REBUILD IOWA INFRASTRUCTURE FUND —— APPROPRIATIONS.  There is appropriated from the rebuild Iowa infrastructure fund created in section 8.57 to the following departments and agencies for the fiscal year beginning July 1, 2026, and ending June 30, 2027, the following amounts, or so much thereof as is necessary, to be used for the purposes designated:
   1.  DEPARTMENT OF ADMINISTRATIVE SERVICES
   For maintenance projects at the Terrace Hill facility:
   ...................................................................... $  1,000,000

   2.  DEPARTMENT OF AGRICULTURE AND LAND STEWARDSHIP
   a.  (1)  For deposit in the water quality initiative fund created in section 466B.45 for purposes of supporting the water quality initiative administered by the division of soil conservation and water quality as provided in section 466B.42, including salaries, support, maintenance, and miscellaneous purposes, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $  8,200,000

   (2)  (a)  The moneys appropriated in this lettered paragraph shall be used to support demonstration projects in subwatersheds as designated by the department that are part of high-priority watersheds identified by the water resources coordinating council.
   (b)  The moneys appropriated in this lettered paragraph shall be used to support demonstration projects in watersheds generally, including regional watersheds, as designated by the division, and high-priority watersheds identified by the water resources coordinating council.
   (3)  In supporting projects in watersheds and subwatersheds as provided in subparagraph (2), all of the following apply:
   (a)  The demonstration projects must utilize water quality practices as described in the latest revision of the document entitled “Iowa Nutrient Reduction Strategy” initially presented in November 2012 by the department of agriculture and land stewardship, the department of natural resources, and Iowa state university of science and technology.
   (b)  The division shall implement demonstration projects as provided in subparagraph division (a) by providing for participation by persons who hold a legal interest in agricultural land used in farming. To every extent practicable, the division shall provide for collaborative participation by such persons who hold a legal interest in agricultural land located within the same subwatershed.
   (c)  The division shall implement demonstration projects on a cost-share basis as determined by the division. Except for edge-of-field practices, the state’s share of the amount shall not exceed 50 percent of the estimated cost of establishing the practice as determined by the division or 50 percent of the actual cost of establishing the practice, whichever is less.
   (d)  The demonstration projects shall be used to educate other persons about the feasibility and value of establishing similar water quality practices. The division shall promote field day events for purposes of allowing interested persons to establish water quality practices on such persons’ agricultural land.
   (e)  The division shall conduct water quality evaluations within supported subwatersheds. Within a reasonable period after accumulating information from such evaluations, the division shall create an aggregated database of water quality practices. Any information identifying a person holding a legal interest in agricultural land or specific agricultural land shall be a confidential record.
   (4)  The moneys appropriated in this lettered paragraph shall be used to support education and outreach in a manner that encourages persons who hold a legal interest in agricultural land used for farming to implement water quality practices, including the establishment of such practices in watersheds generally, and not limited to subwatersheds or high-priority watersheds.
   (5)  The moneys appropriated in this lettered paragraph may be used to contract with persons to coordinate the implementation of efforts provided in this lettered paragraph.
   (6)  The moneys appropriated in this lettered paragraph may be used by the department to support urban soil and water conservation efforts, which may include but are not limited to management practices related to bioretention, landscaping, the use of permeable or pervious pavement, and soil quality restoration. The moneys shall be allocated on a cost-share basis as provided in chapter 161A.
   (7)  Notwithstanding any other provision of law to the contrary, the department may use moneys appropriated in this lettered paragraph to carry out the provisions of this lettered paragraph on a cost-share basis in combination with other moneys available to the department from a state or federal source.
   (8)  Not more than 10 percent of the moneys appropriated in this lettered paragraph may be used for costs of administration and implementation of the water quality initiative administered by the division.
   b.  (1)  For updating the maximum return to nitrogen modeling system for fertilizer management, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $  1,000,000

   (2)  Any information received, collected, or held for purposes of this lettered paragraph is a confidential record exempt from public release if the information identifies a person who holds a legal interest in agricultural land or who has previously held a legal interest in agricultural land, a person who is involved or who was previously involved in managing the agricultural land or producing crops or livestock on the agricultural land, or the identifiable location of the agricultural land.
   3.  DEPARTMENT FOR THE BLIND
   For building repairs for the building located at 524 Fourth Street, Des Moines, Iowa:
   ...................................................................... $    250,000

   4.  DEPARTMENT OF CORRECTIONS
   For installing air conditioning at the Anamosa state penitentiary and the Mount Pleasant correctional facility:
   ...................................................................... $  8,137,500

   5.  ECONOMIC DEVELOPMENT AUTHORITY
   a.  For deposit in the community attraction and tourism fund created in section 15F.204, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $ 10,000,000

   b.  For deposit in the destination Iowa fund created in section 15.281, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $ 10,000,000

   c.  For a grant to an organization with a sports entertainment venue in a city with a population between 15,550 and 15,800 according to the 2020 federal decennial census, to be used for facility enhancement:
   ...................................................................... $  7,000,000

   d.  For grants to nonprofit organizations committed to strengthening communities through youth development, healthy living, and social responsibility for costs associated with the renovation and maintenance of facility infrastructure at facilities located in cities with a population of less than 28,000 according to the 2020 federal decennial census:
   ...................................................................... $    250,000

   e.  For deposit in the strategic infrastructure program fund described in section 15.313, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $ 10,000,000

   f.  For deposit in the local government shared-services grant fund established in section 28E.20, if enacted by 2026 Iowa Acts, Senate Study Bill 3034, section 95, 2026 Iowa Acts, House Study Bill 563, section 95, or successor legislation, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $ 10,000,000

   g.  For a grant to a nonprofit organization located in a city with a population between 2,000 and 3,000 according to the 2020 federal decennial census, for the creation of an interactive museum exhibit at a presidential library, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $  3,000,000

   6.  DEPARTMENT OF EDUCATION
   For repairing the roof of the Giangreco building:
   ...................................................................... $ 11,527,569

   7.  IOWA LAW ENFORCEMENT ACADEMY
   For the construction of a firearms range at Camp Dodge:
   ...................................................................... $  3,700,000

   8.  DEPARTMENT OF NATURAL RESOURCES
   a.  For implementation of lake projects that have established watershed improvement initiatives and community support in accordance with the department’s annual lake restoration plan and report, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $  9,600,000

   b.  For state park infrastructure improvements:
   ...................................................................... $  5,000,000

   c.  For water trails and low head dam safety grants, including grants for projects relating to eligible water bodies, as defined in section 456A.33C, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $  1,500,000

   d.  For providing funding assistance to eligible communities, as described in section 455E.11, subsection 2, paragraph “a”, subparagraph (1), subparagraph division (d), to address abandoned buildings by promoting waste abatement, diversion, selective dismantlement of building components, and recycling, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $  1,000,000

   9.  DEPARTMENT OF PUBLIC DEFENSE
   a.  For major maintenance projects at national guard armories and facilities:
   ...................................................................... $  2,100,000

   b.  For improvement projects for Iowa national guard installations and readiness centers to support operations and training requirements:
   ...................................................................... $  2,100,000

   c.  For construction improvement projects at the Camp Dodge facility:
   ...................................................................... $    550,000

   d.  The department of public defense shall report to the general assembly by December 15, 2026, regarding the projects the department has funded or intends to fund from moneys appropriated to the department pursuant to this subsection.
   10.  DEPARTMENT OF PUBLIC SAFETY
   For payments and other costs due under a financing agreement entered into by the treasurer of state for building the statewide interoperable communications system pursuant to section 29C.23, subsection 2, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $  2,846,011

   11.  BOARD OF REGENTS
   a.  For allocation by the state board of regents to the state university of Iowa, Iowa state university of science and technology, and the university of northern Iowa to reimburse the institutions for deficiencies in the operating funds resulting from the pledging of tuition, student fees and charges, and institutional income to finance the cost of providing academic and administrative buildings and facilities and utility services at the institutions:
   ...................................................................... $ 25,000,000

   b.  For the renovation and construction of the public policy center at the commons at the university of northern Iowa:
   ...................................................................... $  6,000,000

   c.  For the renovation and construction of the nursing simulation laboratory at the state university of Iowa:
   ...................................................................... $  7,000,000

   12.  DEPARTMENT OF TRANSPORTATION
   a.  For acquiring, constructing, and improving recreational trails within the state:
   ...................................................................... $  2,500,000

   b.  For deposit in the public transit infrastructure grant fund created in section 324A.6A, for projects that meet the definition of vertical infrastructure in section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $  1,200,000

   c.  For deposit in the railroad revolving loan and grant fund created in section 327H.20A, notwithstanding section 8.57, subsection 3, paragraph “c”:
   ...................................................................... $  2,000,000

   d.  For vertical infrastructure improvements at commercial service airports within the state:
   ...................................................................... $  1,900,000

   e.  For vertical infrastructure improvements at general aviation airports within the state:
   ...................................................................... $  1,000,000

   13.  TREASURER OF STATE
   For distribution in accordance with chapter 174 to qualified fairs that belong to the association of Iowa fairs for county fair vertical infrastructure improvements:
   ...................................................................... $  1,060,000
    Sec. 2.  REVERSION.  For purposes of section 8.33, unless specifically provided otherwise, unencumbered or unobligated moneys from an appropriation made in this division of this Act shall not revert but shall remain available for expenditure for the purposes designated until the close of the fiscal year that ends two years after the end of the fiscal year for which the appropriation is made. However, if the project or projects for which such appropriation was made are completed in an earlier fiscal year, unencumbered or unobligated moneys shall revert at the close of that same fiscal year.
DIVISION II
TECHNOLOGY REINVESTMENT FUND

    Sec. 3.  TECHNOLOGY REINVESTMENT FUND —— APPROPRIATIONS.  There is appropriated from the technology reinvestment fund created in section 8.57C to the following departments and agencies for the fiscal year beginning July 1, 2026, and ending June 30, 2027, the following amounts, or so much thereof as is necessary, to be used for the purposes designated:
   1.  DEPARTMENT OF CORRECTIONS
   For technology projects and upgrades: 
   ...................................................................... $    697,425

   2.  DEPARTMENT OF EDUCATION
   a.  (1)  For the continued development and implementation of an educational data warehouse that will be utilized by teachers, parents, school district administrators, area education agency staff, department of education staff, and policymakers:
   ...................................................................... $    600,000

   (2)  Of the moneys appropriated in this lettered paragraph, the department may use a portion for an e-transcript data system capable of tracking students throughout the students’ education via interconnectivity with multiple schools.
   b.  For maintenance and lease costs associated with connections for part III of the Iowa communications network:
   ...................................................................... $  2,727,000

   3.  DEPARTMENT OF HEALTH AND HUMAN SERVICES
   a.  For costs associated with the design, development, and implementation of a new eligibility determination system:
   ...................................................................... $ 19,897,695

   b.  For costs associated with integrating data sources into a new eligibility determination system:
   ...................................................................... $  1,633,361

   c.  For costs associated with implementing Medicaid work requirements, new eligibility redetermination requirements, and required information technology changes pursuant to federal Pub. L. No. 119-21, commonly referred to as the One Big Beautiful Bill Act:
   ...................................................................... $  3,473,690

   d.  For technology costs associated with the state poison control center:
   ...................................................................... $     42,080

   4.  DEPARTMENT OF HOMELAND SECURITY AND EMERGENCY MANAGEMENT
   For the continuing implementation of a statewide mass notification and emergency messaging system:
   ...................................................................... $    400,000

   5.  DEPARTMENT OF MANAGEMENT
   a.  For the continued development and implementation of a searchable database that can be placed on the internet for budget and financial information:
   ...................................................................... $     45,000

   b.  For the continued development and implementation of the comprehensive electronic grant management system:
   ...................................................................... $     70,000

   c.  For the upgrade of the local government budget and property tax system:
   ...................................................................... $    120,000

   d.  For the annual licensing of a searchable database that is placed on the internet for budget and financial information:
   ...................................................................... $    358,429

   e.  For the security office of the chief information officer, including for statewide endpoint detection and response, cybersecurity incident investigation response, and miscellaneous purposes:
   ...................................................................... $  2,947,658

   f.  For the cost of equipment and computer software for the continued development and implementation of Iowa’s criminal justice information system:
   ...................................................................... $  1,400,000

   g.  For costs associated with the justice enterprise data warehouse:
   ...................................................................... $    282,664

   h.  For costs associated with the enterprise artificial intelligence capacity expansion:
   ...................................................................... $  2,510,000

   i.  For costs associated with the modernization of the mobile architecture and communications handling program and the traffic and criminal software program:
   ...................................................................... $  2,000,000

   6.  DEPARTMENT OF PUBLIC SAFETY
   For costs associated with a new digital evidence management system:
   ...................................................................... $    300,000

   7.  TREASURER OF STATE
   a.  For the purchase of software relating to investment tracking:
   ...................................................................... $    192,000

   b.  For the purchase of software relating to banking reconciliations:
   ...................................................................... $    228,000
    Sec. 4.  REVERSION.  For purposes of section 8.33, unless specifically provided otherwise, unencumbered or unobligated moneys from an appropriation made in this division of this Act shall not revert but shall remain available for expenditure for the purposes designated until the close of the fiscal year that ends two years after the end of the fiscal year for which the appropriation is made. However, if the project or projects for which such appropriation was made are completed in an earlier fiscal year, unencumbered or unobligated moneys shall revert at the close of that same fiscal year.
    Sec. 5.  Section 8.57C, subsection 3, Code 2026, is amended to read as follows:
   3.  a.  There is appropriated from the general fund of the state to the technology reinvestment fund for the fiscal year beginning July 1, 2026 2027, and for each fiscal year thereafter, the sum of seventeen million five hundred thousand dollars.
   b.  There is appropriated from the rebuild Iowa infrastructure fund for the fiscal year beginning July 1, 2025 2026, and ending June 30, 2026 2027, the sum of eighteen million two hundred sixty-nine thousand two hundred seventeen thirty-nine million nine hundred twenty-five thousand two dollars to the technology reinvestment fund, notwithstanding section 8.57, subsection 3, paragraph “c”.
DIVISION III
CHANGES TO PRIOR APPROPRIATIONS

    Sec. 6.  2023 Iowa Acts, chapter 118, section 2, is amended to read as follows:
   SEC. 2.  REVERSION.
   1.  For purposes of section 8.33, unless specifically provided in subsection 2 or otherwise, unencumbered or unobligated moneys from an appropriation made in this division of this Act shall not revert but shall remain available for expenditure for the purposes designated until the close of the fiscal year that ends two years after the end of the fiscal year for which the appropriation is made. However, if the project or projects for which such appropriation was made are completed in an earlier fiscal year, unencumbered or unobligated moneys shall revert at the close of that same fiscal year.
   2.  For purposes of section 8.33, unencumbered or unobligated moneys from an appropriation made in section 1, subsection 12, paragraph “f”, of this 2023 Iowa Act shall not revert but shall remain available for expenditure for the purposes designated until December 31, 2026.
    Sec. 7.  2024 Iowa Acts, chapter 1155, section 2, is amended to read as follows:
   SEC. 2.  REVERSION.
   1.  For purposes of section 8.33, unless specifically provided in subsection 2 or otherwise, unencumbered or unobligated moneys from an appropriation made in this division of this Act shall not revert but shall remain available for expenditure for the purposes designated until the close of the fiscal year that ends two years after the end of the fiscal year for which the appropriation is made. However, if the project or projects for which such appropriation was made are completed in an earlier fiscal year, unencumbered or unobligated moneys shall revert at the close of that same fiscal year.
   2.  For purposes of section 8.33, unencumbered or unobligated moneys from an appropriation made in section 1, subsection 5, paragraph “e”, of this 2024 Iowa Act shall not revert but shall remain available for expenditure for the purposes designated until the close of the fiscal year that ends three years after the end of the fiscal year for which the appropriation was made, or until the project for which the appropriation was made is completed, whichever is earlier.
    Sec. 8.  EFFECTIVE DATE.  This division of this Act, being deemed of immediate importance, takes effect upon enactment.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill relates to and makes appropriations from the rebuild Iowa infrastructure fund (RIIF) and the technology reinvestment fund (TRF).
   REBUILD IOWA INFRASTRUCTURE FUND. The bill appropriates project funding for FY 2026-2027 from RIIF for projects for the departments of administrative services, agriculture and land stewardship, the blind, corrections, education, natural resources, public defense, public safety, and transportation, and for the economic development authority, Iowa law enforcement academy, board of regents, and treasurer of state.
   TECHNOLOGY REINVESTMENT FUND. The bill appropriates project funding for FY 2026-2027 from TRF for projects for the departments of corrections, education, health and human services, homeland security and emergency management, management, and public safety, and for the treasurer of state. Code section 8.57C (TRF) is amended to provide that the standing appropriation to TRF from the general fund for fiscal years beginning on or after July 1, 2026, is changed to fiscal years beginning on or after July 1, 2027, and to provide for an appropriation to TRF from RIIF for FY 2026-2027.
   CHANGES TO PRIOR APPROPRIATIONS. The bill delays the reversion of an FY 2023-2024 appropriation from RIIF to the department of transportation for vertical infrastructure improvements at commercial service airports within the state and FY 2024-2025 and FY 2025-2026 appropriations from RIIF to the department of health and human services for tunnel decentralization for the state resource center at Woodward. These provisions take effect upon enactment.