House File 2458 - Reprinted HOUSE FILE 2458 BY COMMITTEE ON COMMERCE (SUCCESSOR TO HSB 602) (COMPANION TO LSB 5471SV BY COMMITTEE ON COMMERCE) (As Amended and Passed by the House March 13, 2018 ) A BILL FOR An Act creating a future ready Iowa Act to strengthen workforce 1 development by establishing a registered apprenticeship 2 development program, a volunteer mentoring program, a summer 3 youth intern program, summer postsecondary courses for high 4 school students that are aligned with high-demand career 5 pathways, an employer innovation fund, and future ready Iowa 6 skilled workforce scholarship and grant programs and funds, 7 and including effective date provisions. 8 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 9 HF 2458 (3) 87 kh/rj/md

H.F. 2458 DIVISION I 1 TITLE OF ACT 2 Section 1. TITLE OF ACT. This Act shall be known and may be 3 cited as the “Future Ready Iowa Act”. 4 DIVISION II 5 ECONOMIC DEVELOPMENT AUTHORITY —— FUTURE READY IOWA REGISTERED 6 APPRENTICESHIP DEVELOPMENT PROGRAM 7 Sec. 2. Section 15.106A, subsection 2, paragraph a, Code 8 2018, is amended to read as follows: 9 a. That through this section and section 15.106B , the 10 authority has been granted broad general powers and specific 11 program powers over all of the authority’s statutory programs, 12 including but not limited to the programs created pursuant to 13 chapters 15 , 15A , 15B , 15C, 15E , and 15J . 14 Sec. 3. Section 15B.4, Code 2018, is amended by adding the 15 following new subsection: 16 NEW SUBSECTION . 5. An apprenticeship sponsor receiving 17 financial assistance under this chapter is ineligible for 18 financial assistance under section 15C.1 during the same fiscal 19 year. 20 Sec. 4. NEW SECTION . 15C.1 Future ready Iowa registered 21 apprenticeship development program. 22 1. Definitions. For purposes of this section, unless the 23 context otherwise requires: 24 a. “Applicant” means a new or existing apprenticeship 25 sponsor located in Iowa that has established an apprenticeship 26 program involving an eligible apprenticeable occupation that is 27 located in Iowa and approved by the United States department of 28 labor, office of apprenticeship. 29 b. “Apprentice” means a person who is at least sixteen 30 years of age, except where a higher minimum age is required by 31 law, who is employed in an apprenticeable occupation, and is 32 registered in Iowa with the United States department of labor, 33 office of apprenticeship. 34 c. “Apprenticeable occupation” means an occupation approved 35 -1- HF 2458 (3) 87 kh/rj/md 1/ 21

H.F. 2458 for apprenticeship by the United States department of labor, 1 office of apprenticeship. 2 d. “Apprenticeship program” means a program registered 3 with the United States department of labor, office of 4 apprenticeship, which includes terms and conditions for the 5 qualification, recruitment, selection, employment, and training 6 of apprentices, including the requirement for a written 7 apprenticeship agreement. 8 e. “Apprenticeship sponsor” means an entity operating 9 an apprenticeship program or an entity in whose name an 10 apprenticeship program is being operated, which is registered 11 with or approved by the United States department of labor, 12 office of apprenticeship. 13 f. “Authority” means the economic development authority 14 created in section 15.105. 15 g. “Eligible apprenticeable occupation” means an 16 apprenticeable occupation identified by the workforce 17 development board or a community college pursuant to 18 section 84A.1B, subsection 13A, as a high-demand job, after 19 consultation with the authority. 20 h. “Financial assistance” means assistance provided only 21 from the funds, rights, and assets legally available to the 22 authority and includes but is not limited to assistance in the 23 form of a reimbursement grant to support the costs associated 24 with establishing a new eligible apprenticeable occupation 25 or an additional eligible apprenticeable occupation in an 26 applicant’s apprenticeship program. 27 2. Program created. Subject to an appropriation of funds 28 by the general assembly for this purpose, a future ready Iowa 29 registered apprenticeship development program is created which 30 shall be administered by the authority. The purpose of the 31 program is to provide financial assistance to incentivize 32 small and medium-sized apprenticeship sponsors to establish 33 new or additional eligible apprenticeable occupations in the 34 apprenticeship sponsor’s apprenticeship program in order to 35 -2- HF 2458 (3) 87 kh/rj/md 2/ 21

H.F. 2458 support the growth of apprenticeship programs and expand 1 high-quality work-based learning experiences in high-demand 2 fields and careers for persons who are employed in eligible 3 apprenticeable occupations in Iowa. 4 3. Application requirements —— restriction. An 5 apprenticeship sponsor may apply to the authority, on 6 forms provided by the authority and in accordance with the 7 authority’s instructions, to receive financial assistance under 8 the program. The authority shall provide upon request and on 9 the authority’s internet site information about the program, 10 the application, application instructions, and the application 11 period established each year for funding available under the 12 program. The application shall include a description of how 13 the financial assistance awarded under this section would be 14 used to establish an apprenticeship program or add new or 15 additional apprenticeable occupations to the apprenticeship 16 sponsor’s apprenticeship program and the anticipated program 17 expenses identified by the applicant. 18 a. An apprenticeship sponsor is eligible to apply for 19 financial assistance for a new or additional eligible 20 apprenticeable occupation, in addition to existing 21 apprenticeship occupations in the apprenticeship sponsor’s 22 apprenticeship program, if all of the following conditions are 23 met: 24 (1) Twenty or fewer apprentices are registered in the 25 existing apprenticeship program as of December 31 of the 26 calendar year prior to the date the authority receives the 27 apprenticeship sponsor’s application. 28 (2) More than seventy percent of the applicant’s 29 apprentices shall be residents of Iowa, and the remainder 30 of the applicant’s apprentices shall be residents of states 31 contiguous to Iowa. In determining the number of apprentices 32 in an applicant’s apprenticeship program, the authority may 33 calculate the average number of apprentices in the program 34 within the most recent two-year period. 35 -3- HF 2458 (3) 87 kh/rj/md 3/ 21

H.F. 2458 b. An apprenticeship sponsor receiving financial assistance 1 under chapter 15B is ineligible for financial assistance under 2 this section during the same fiscal year. 3 4. Rules. The authority shall adopt rules pursuant to 4 chapter 17A establishing a staff review and application 5 approval process, application scoring criteria, the minimum 6 score necessary for approval of financial assistance, 7 procedures for notification of an award of financial 8 assistance, the terms of agreement between the apprenticeship 9 sponsor and the authority, and any other rules deemed necessary 10 for the implementation and administration of this section. 11 5. Agreement. Prior to distributing financial assistance 12 under this section, the authority shall enter into an agreement 13 with the apprenticeship sponsor awarded financial assistance 14 in accordance with this section, and the financial assistance 15 recipient shall confirm the expenses for establishing the 16 program or adding the additional occupations as identified in 17 the approved application, and shall meet all terms established 18 by the authority for receipt of financial assistance under this 19 section. 20 6. Use of moneys appropriated —— administration. 21 a. The annual administrative expenditures as a percent of 22 the moneys appropriated for a fiscal year for purposes of this 23 section shall not exceed two percent. 24 b. Notwithstanding section 8.33, moneys appropriated to 25 the authority by the general assembly for purposes of this 26 section that remain unencumbered or unobligated at the end of 27 the fiscal year shall not revert to the general fund but shall 28 remain available for expenditure for the purposes designated in 29 subsequent fiscal years. 30 DIVISION III 31 FUTURE READY IOWA —— VARIOUS PROGRAMS 32 Sec. 5. Section 15H.1A, Code 2018, is amended by adding the 33 following new subsection: 34 NEW SUBSECTION . 1A. “Commission” means the Iowa commission 35 -4- HF 2458 (3) 87 kh/rj/md 4/ 21

H.F. 2458 on volunteer service created in section 15H.2. 1 Sec. 6. NEW SECTION . 15H.9 Volunteer mentor program. 2 1. Subject to an appropriation of funds by the general 3 assembly for this purpose, the commission shall establish a 4 volunteer mentor program to support implementation of the 5 future ready Iowa skilled workforce last-dollar scholarship 6 and the future ready Iowa skilled workforce grant programs 7 created in sections 261.131 and 261.132. The commission, in 8 collaboration with the department of workforce development and 9 the college student aid commission, shall adopt rules pursuant 10 to chapter 17A to implement and administer the volunteer 11 mentor program, and shall establish standards, guidelines, and 12 expectations for a productive and appropriate relationship 13 between mentors and mentees, including helping students 14 meet the future ready Iowa skilled workforce last-dollar 15 scholarship program or future ready Iowa skilled workforce 16 grant requirements, as appropriate; identify work-based 17 learning opportunities; and make career-related connections 18 that are advantageous to persons participating in the volunteer 19 mentor program. 20 2. The prospective volunteer mentor shall have successfully 21 passed a background investigation conducted by the division of 22 criminal investigation of the department of public safety and a 23 check of the national sex offender registry. 24 3. The commission shall enter into written agreements with 25 prospective mentors and mentees under the program. Under such 26 an agreement, prospective mentors and mentees agree to abide by 27 the standards, guidelines, and expectations established by the 28 commission pursuant to subsection 1. 29 4. The commission, in collaboration with the department of 30 workforce development and the college student aid commission, 31 and in cooperation with an eligible institution as defined 32 in section 261.131 or 261.132, as appropriate, shall assign 33 a student, who is a recipient of a future ready Iowa skilled 34 workforce last-dollar scholarship under section 261.131 or 35 -5- HF 2458 (3) 87 kh/rj/md 5/ 21

H.F. 2458 a future ready Iowa skilled workforce grant under section 1 261.132, who requests the assignment of a mentor, and who 2 enters into an agreement under subsection 3, to a mentor 3 appropriate to the prospective mentee’s field of study whenever 4 possible. 5 5. The commission shall maintain, and regularly update, 6 a list of the mentor and mentee pairings and the dates of 7 inception of the mentor and mentee pairings. 8 6. Notwithstanding section 8.33, moneys appropriated to the 9 economic development authority for allocation to the commission 10 for purposes of this section that remain unencumbered or 11 unobligated at the close of a fiscal year shall not revert but 12 shall remain available to be used for the purposes designated 13 in this section until the close of the succeeding fiscal year. 14 Sec. 7. Section 84A.1B, Code 2018, is amended by adding the 15 following new subsections: 16 NEW SUBSECTION . 13A. Create, and update as necessary, a 17 list of high-demand jobs statewide for purposes of the future 18 ready Iowa registered apprenticeship development program 19 created in section 15C.1, the summer youth intern pilot 20 program established under section 84A.12, the Iowa employer 21 innovation program established under section 84A.13, the 22 future ready Iowa skilled workforce last-dollar scholarship 23 program established under section 261.131, the future ready 24 Iowa skilled workforce grant program established under section 25 261.132, and postsecondary summer classes for high school 26 students as provided under section 261E.8, subsection 7A. In 27 addition to the list created by the workforce development 28 board under this subsection, each community college, in 29 consultation with regional career and technical education 30 planning partnerships, and with the approval of the board of 31 directors of the community college, may identify and maintain 32 a list of not more than five regional high-demand jobs in the 33 community college region, and shall share the lists with the 34 workforce development board. The lists submitted by community 35 -6- HF 2458 (3) 87 kh/rj/md 6/ 21

H.F. 2458 colleges under the subsection may be used in that community 1 college region for purposes of programs identified under this 2 subsection. The workforce development board shall have full 3 discretion to select and prioritize statewide high-demand jobs 4 after consulting with business and education stakeholders, 5 as appropriate, and seeking public comment. For purposes of 6 this subsection, “high-demand job” means a job in the state for 7 which the board, or a community college in accordance with this 8 subsection, determines work opportunities are available and 9 qualified applicants are lacking. 10 NEW SUBSECTION . 13B. Compile an annual report, in an 11 aggregate form to protect the confidentiality of each eligible 12 program’s participants, that includes the number of students 13 receiving scholarships under section 261.131, the number of 14 students receiving grants under section 261.132, the number 15 of scholarship and grant recipients completing a program 16 of study or major annually and in the prescribed timeframe 17 under sections 261.131 and 261.132, the number of eligible 18 institutions participating in the scholarship and grant 19 programs established under sections 261.131 and 261.132, the 20 number of written agreements entered into by the volunteer 21 mentor program under section 15H.9, statistics on employment 22 outcomes for future ready Iowa skilled workforce last-dollar 23 scholarship and future ready Iowa skilled workforce grant 24 program participants by industry, and other data as may be 25 deemed pertinent by the department or the college student aid 26 commission. The department shall submit the initial report by 27 January 15, 2021, and by January 15 annually thereafter, to the 28 governor and the general assembly. 29 Sec. 8. Section 84A.5, subsection 7, Code 2018, is amended 30 by adding the following new paragraph: 31 NEW PARAGRAPH . 0d. The Iowa employer innovation program 32 established under section 84A.13. 33 Sec. 9. Section 84A.6, subsection 4, Code 2018, is amended 34 by striking the subsection. 35 -7- HF 2458 (3) 87 kh/rj/md 7/ 21

H.F. 2458 Sec. 10. NEW SECTION . 84A.12 Summer youth intern pilot 1 program. 2 1. A summer youth intern pilot program is established 3 within the department of workforce development to provide 4 youths who are at risk of not graduating from high school, 5 who are from low-income households, who are from communities 6 underrepresented in the Iowa workforce, or who otherwise face 7 barriers to success and upward mobility in the labor market, 8 with internship opportunities that allow these youths to 9 explore and prepare for high-demand careers, to gain work 10 experience, and to develop personal attributes necessary to 11 succeed in the workplace. 12 2. Subject to an appropriation of funds by the general 13 assembly for this purpose, the department of workforce 14 development shall award grants for summer youth intern 15 pilot projects on a competitive basis as provided in this 16 section. The department shall work with employers, nonprofit 17 organizations, and educational institutions to place youth in 18 internships primarily in high-demand career fields. 19 3. The department of workforce development shall annually 20 issue a request for proposals to the public, specifying the 21 expectations and requirements for summer youth intern pilot 22 project grant qualification, including but not limited to the 23 provision of facilities, programming, staffing, and outcomes. 24 4. The department of workforce development shall give 25 full and fair consideration to each proposal submitted under 26 subsection 3, and shall award grants after considering, at a 27 minimum, the following: 28 a. The bidder’s history and experience in the community. 29 b. The capacity to serve a substantial number of youth. 30 c. The suitability of the available facilities. 31 d. The bidder’s contacts and partnerships in the community 32 that can be leveraged to maximize opportunity for project 33 participants. 34 e. The capacity to provide employability skills, including 35 -8- HF 2458 (3) 87 kh/rj/md 8/ 21

H.F. 2458 but not limited to training relating to soft skills, financial 1 literacy, and career development. 2 Sec. 11. NEW SECTION . 84A.13 Iowa employer innovation 3 program —— fund. 4 1. For purposes of this section, “high-demand job” means 5 a job identified by the workforce development board or a 6 community college pursuant to section 84A.1B, subsection 13A, 7 as a high-demand job. 8 2. Subject to an appropriation of funds by the general 9 assembly for this purpose, the Iowa employer innovation program 10 is established in the department of workforce development. 11 The department shall administer the program in consultation 12 with the workforce development board. The purpose of the 13 Iowa employer innovation program is to expand opportunities 14 for credit and noncredit education and training leading to 15 high-demand jobs for the residents of Iowa and to encourage 16 Iowa employers, community leaders, and others to provide 17 leadership and support for regional workforce talent pools 18 throughout the state. 19 3. The department of workforce development shall adopt 20 rules under chapter 17A establishing a program application and 21 award process to match employer moneys and the criteria for 22 the allocation of moneys in the fund established pursuant to 23 subsection 4. An employer, employer consortium, community 24 organization, or other entity seeking matching moneys shall 25 submit an application and a proposal to the department. In 26 awarding matching moneys, the department shall take into 27 account various factors, including but not limited to all of 28 the following: 29 a. The range of high-demand jobs, innovative measures, and 30 geographic fairness and equity included in the proposal. 31 b. Whether the proposal increases the number of eligible 32 students receiving financial assistance under the future ready 33 Iowa skilled workforce last-dollar scholarship or future 34 ready Iowa skilled workforce grant programs established under 35 -9- HF 2458 (3) 87 kh/rj/md 9/ 21

H.F. 2458 sections 261.131 and 261.132; or increases the donation of 1 books, transportation, child care, and other wrap-around 2 support to assist eligible students receiving financial 3 assistance under section 261.131 or 261.132. 4 c. Whether the proposal includes performance-based 5 bonuses paid when high school students earn national 6 industry-recognized credentials aligned with high-demand jobs 7 that meet regional workforce needs. 8 d. Whether the proposal expands internships leading to 9 high-demand jobs. 10 e. Whether the proposal offers innovative ways of expanding 11 opportunities for credit and noncredit education and training 12 leading to high-demand jobs. 13 f. Whether the proposal addresses areas of workforce need 14 throughout the region. 15 4. An Iowa employer innovation fund is created in the 16 state treasury as a separate fund under the control of the 17 department of workforce development, in consultation with the 18 workforce development board. The fund shall consist of any 19 moneys appropriated by the general assembly and any other 20 moneys available to and obtained or accepted by the department 21 from the federal government. The assets of the fund shall be 22 used by the department only for purposes of this section. All 23 moneys deposited or paid into the fund are appropriated and 24 made available to the board to be used for purposes of this 25 section. Notwithstanding section 8.33, any balance in the fund 26 on June 30 of each fiscal year shall not revert to the general 27 fund of the state, but shall be available for purposes of this 28 section in subsequent fiscal years. 29 Sec. 12. NEW SECTION . 261.131 Future ready Iowa skilled 30 workforce last-dollar scholarship program. 31 1. Definitions. As used in this section, unless the context 32 otherwise requires: 33 a. “Commission” means the college student aid commission. 34 b. “Credential” means a postsecondary certificate, diploma, 35 -10- HF 2458 (3) 87 kh/rj/md 10/ 21

H.F. 2458 or degree, conferring no more than an associate degree, awarded 1 by an eligible institution and earned in a program of study 2 that leads to a high-demand job and is authorized for federal 3 student aid under Tit. IV of the federal Higher Education Act 4 of 1965, as amended. 5 c. “Eligible institution” means a community college as 6 defined in section 260C.2 or an accredited private institution 7 as defined in section 261.9, that meets all of the following 8 criteria: 9 (1) Applies to and is approved by the commission to 10 participate in the future ready Iowa skilled workforce 11 last-dollar scholarship program. 12 (2) Requires eligible students to complete and file 13 application forms required by the commission, apply for 14 all available state and federal financial aid, apply to the 15 eligible institution to participate in the program, attend 16 orientation in person or virtually, register for classes 17 with the assistance of an academic advisor, and participate 18 in academic and career advising sessions offered under the 19 program. 20 (3) Facilitates, in collaboration with the commission on 21 volunteer service created in section 15H.2, the assignment 22 of a volunteer mentor to each eligible student, based on the 23 eligible student’s interest. The volunteer mentor shall have 24 successfully passed a background investigation and a check of 25 the national sex offender registry as required under section 26 15H.9, subsection 2, and both the eligible student and the 27 volunteer mentor shall have entered into a written agreement as 28 provided in section 15H.9, subsection 3. 29 (4) Facilitates connections through campus career centers 30 and services to internships and similar local, state, and 31 federal programs. 32 (5) Markets the eligible institution’s future ready Iowa 33 program of study and optional incentives, which may include 34 but not be limited to credit for military experience, on the 35 -11- HF 2458 (3) 87 kh/rj/md 11/ 21

H.F. 2458 eligible institution’s internet site and to other relevant 1 agencies and organizations as recommended by the college 2 student aid commission, the commission on volunteer service, or 3 the department of workforce development. 4 (6) Submits annually information and data regarding the 5 eligible program operated by the eligible institution, the 6 students and volunteer mentors participating in the eligible 7 program, scholarship recipient eligible program completion 8 results, and statistics on employment outcomes for eligible 9 program participants by industry, to the commission in the 10 manner required by the commission. 11 d. “Eligible program” means a program of study or an 12 academic major jointly approved by the commission and the 13 department of workforce development, in consultation with an 14 eligible institution, that leads to a credential aligned with a 15 high-demand job designated by the workforce development board 16 or community college pursuant to section 84A.1B, subsection 17 13A. If the board or a community college removes a high-demand 18 job from a list created under section 84A.1B, subsection 13A, 19 an eligible student who received a scholarship for a program 20 based on that high-demand job shall continue to receive the 21 scholarship until achieving a postsecondary credential, up to 22 an associate degree, as long as the student continues to meet 23 all other eligibility requirements. 24 e. “Eligible student” means an Iowa resident who meets all 25 of the following requirements: 26 (1) Is either a new graduate of an Iowa high school who 27 enrolls full-time in an eligible program at an eligible 28 institution by the fall semester, or the equivalent, 29 following graduation from high school or completion of private 30 instruction under chapter 299A; or is an adult learner who has 31 received a high school diploma or a high school equivalency 32 diploma, who enrolls in an eligible program in an eligible 33 institution as a full-time or part-time student. 34 (2) Completes and submits application forms required by the 35 -12- HF 2458 (3) 87 kh/rj/md 12/ 21

H.F. 2458 commission, including the free application for federal student 1 aid; applies for all available state and federal financial 2 aid; attends orientation in person or virtually; registers 3 for classes with the assistance of an academic advisor; 4 and participates in academic and career advising sessions 5 required under the eligible program. To receive a renewal of 6 a scholarship awarded under this section, an eligible student 7 must annually submit a new application to the commission for 8 reevaluation of eligibility. 9 (3) Is making satisfactory academic progress as defined by 10 the eligible institution. 11 (4) Remains continuously enrolled unless granted a leave of 12 absence by the eligible institution based on criteria adopted 13 by rule by the commission. 14 f. “Full-time” means enrollment in at least twelve semester 15 hours or the equivalent. 16 g. “Part-time” means enrollment in at least six but less 17 than twelve semester hours or the equivalent. 18 2. Allowable activities. An eligible student may work 19 with an assigned volunteer mentor to help the student meet the 20 requirements of this section or the requirements of an eligible 21 program, identify and participate in work-based learning 22 opportunities with the approval of the eligible institution, 23 and make other career-related connections. 24 3. Scholarship limitations —— requirements. 25 a. For an eligible student who is attending an eligible 26 institution that is a community college during the fall, 27 spring, or summer term of enrollment, and is pursuing a 28 postsecondary credential up to an associate degree, the annual 29 amount of a future ready Iowa skilled workforce last-dollar 30 scholarship, when combined with other state and federal 31 nonrepayable student aid, shall not exceed an amount equivalent 32 to the tuition and any mandatory institution-wide fees charged 33 by the community college for the eligible program. For an 34 eligible student pursuing a postsecondary credential up to 35 -13- HF 2458 (3) 87 kh/rj/md 13/ 21

H.F. 2458 an associate degree at an eligible institution that is an 1 accredited private institution during the fall, spring, or 2 summer term of enrollment, the annual amount of a future ready 3 Iowa skilled workforce last-dollar scholarship, when combined 4 with other state and federal nonrepayable student aid, shall 5 not exceed an amount equivalent to the average tuition rate 6 plus the average institution-wide mandatory fees charged during 7 the same term of enrollment by the eligible institutions that 8 are community colleges. 9 b. If an eligible student receives nonrepayable financial 10 aid under any other state or federal program, the full amount 11 of that aid shall be considered part of the student’s available 12 financial resources before determining the amount of the 13 student’s future ready Iowa skilled workforce last-dollar 14 scholarship for the same period during which the student 15 receives other state or federal financial aid. However, each 16 eligible student enrolled full-time in an eligible program 17 shall receive at least five hundred dollars annually, and the 18 amount received by each eligible part-time student shall be 19 the same amount prorated by the commission based on the number 20 of semester hours, or the equivalent, for which the part-time 21 student is enrolled. 22 c. A full-time eligible student may receive a future 23 ready Iowa skilled workforce last-dollar scholarship for 24 not more than five semesters, or the equivalent, or until 25 the eligible student earns the credential sought, up to an 26 associate degree, under the program, whichever occurs first. 27 A part-time eligible student may receive the scholarship for 28 not more than eight semesters, or the equivalent, on a prorated 29 basis, or until the eligible student earns the credential 30 sought, up to an associate degree, under the eligible program, 31 whichever occurs first. All classes identified by an eligible 32 institution as required for completion of the eligible program 33 by the eligible student shall be considered required under the 34 eligible program for purposes of this section. 35 -14- HF 2458 (3) 87 kh/rj/md 14/ 21

H.F. 2458 d. A future ready Iowa skilled workforce last-dollar 1 scholarship shall be awarded on an annual basis, requiring 2 reapplication by an eligible student each year. Scholarship 3 payments shall be allocated equally among the semesters, or 4 the equivalent, and paid upon certification by the eligible 5 institution that the student meets the requirements of 6 subsection 1, paragraph “e” . 7 e. If a scholarship recipient discontinues attendance before 8 the end of any semester, or the equivalent, after receiving 9 scholarship payments, the entire amount of any refund due 10 that recipient, up to the full amount of all of the annual 11 scholarship payments made, shall be paid by the eligible 12 institution to the commission. A scholarship recipient, 13 who is not approved for a leave of absence by the eligible 14 institution, who discontinues attendance before the end of a 15 semester, or the equivalent, is ineligible to receive future 16 scholarships under this section. 17 4. Commission’s duties and responsibilities. Subject to an 18 appropriation of funds by the general assembly for purposes of 19 this section, the commission shall administer the future ready 20 Iowa skilled workforce last-dollar scholarship program and 21 shall do all of the following: 22 a. Provide application forms for distribution to students by 23 high schools and eligible institutions. 24 b. Adopt rules under chapter 17A, in collaboration with 25 the department of workforce development, for administration of 26 this section, including but not limited to establishing the 27 duties and responsibilities of eligible institutions under the 28 program; defining residence and satisfactory academic progress 29 for purposes of the program; and establishing procedures 30 for scholarship application, processing, and approval. The 31 rules shall provide for determining the priority awarding of 32 scholarships if funds available for purposes of this section 33 are insufficient to pay all eligible students. Priority shall 34 be given to fully awarding each eligible student approved for a 35 -15- HF 2458 (3) 87 kh/rj/md 15/ 21

H.F. 2458 scholarship rather than to prorating scholarship awards among 1 all eligible students. 2 c. Approve and award future ready Iowa skilled workforce 3 last-dollar scholarships on an annual basis. 4 d. Transmit to the department of workforce development the 5 compilation of information, data, and statistics submitted in 6 accordance with subsection 1, paragraph “c” , subparagraph (6), 7 for the annual report required under section 84A.1B. 8 5. Fund created. A future ready Iowa skilled workforce 9 last-dollar scholarship fund is created in the state treasury 10 as a separate fund under the control of the commission. All 11 moneys deposited or paid into the fund are appropriated and 12 made available to the commission to be used for scholarships 13 awarded as provided under this section. Notwithstanding 14 section 8.33, any balance in the fund on June 30 of each fiscal 15 year shall not revert to the general fund of the state, but 16 shall be available for purposes of this section in subsequent 17 fiscal years. 18 Sec. 13. NEW SECTION . 261.132 Future ready Iowa skilled 19 workforce grant program. 20 1. Definitions. As used in this section, unless the context 21 otherwise requires: 22 a. “Commission” means the college student aid commission. 23 b. “Eligible institution” means an institution of higher 24 learning governed by the state board of regents or an 25 accredited private institution as defined in section 261.9, 26 that meets all of the following criteria: 27 (1) Applies to and is approved by the commission to 28 participate in the future ready Iowa skilled workforce grant 29 program. 30 (2) Requires eligible students to complete and file 31 application forms required by the commission, apply for 32 all available state and federal financial aid, apply to the 33 eligible institution to participate in the program, attend 34 orientation in person or virtually, register for classes 35 -16- HF 2458 (3) 87 kh/rj/md 16/ 21

H.F. 2458 with the assistance of an academic advisor, and participate 1 in academic and career advising sessions required under the 2 program. 3 (3) Certifies that prior to participating in the program 4 an eligible student has earned at least half of the credits 5 necessary for a bachelor’s degree and is able to complete a 6 bachelor’s degree in an eligible program of study or academic 7 major leading to a designated high-demand job in the prescribed 8 grant time frame. 9 (4) Facilitates the assignment of a volunteer mentor to each 10 eligible student based on the eligible student’s interest. The 11 volunteer mentor shall have successfully passed a background 12 investigation and a check of the national sex offender 13 registry as required under section 15H.9, subsection 2, and 14 both the eligible student and the volunteer mentor shall have 15 entered into a written agreement as provided in section 15H.9, 16 subsection 3. 17 (5) Facilitates connections through campus career centers 18 and services to internships and similar local, state, and 19 federal programs. 20 (6) Markets the eligible institution’s eligible program and 21 optional incentives, which may include but not be limited to 22 credit for military experience, on the eligible institution’s 23 internet site and to other relevant agencies and organizations 24 as recommended by the college student aid commission, the 25 commission on volunteer service, or the department of workforce 26 development. 27 (7) Submits annually information and data regarding the 28 eligible program operated by the eligible institution, the 29 students and volunteer mentors participating in the eligible 30 program, and statistics on employment outcomes for eligible 31 program participants by industry, to the commission in the 32 manner required by the commission. 33 c. “Eligible program” means a program of study or an 34 academic major jointly approved by the commission and the 35 -17- HF 2458 (3) 87 kh/rj/md 17/ 21

H.F. 2458 department of workforce development, in consultation with the 1 eligible institution, that leads to a bachelor’s degree aligned 2 with a high-demand job designated by the workforce development 3 board pursuant to section 84A.1B, subsection 13A. If the 4 department removes a high-demand job from the list created 5 under section 84A.1B, subsection 13A, an eligible student 6 who received a grant for a program based on that high-demand 7 job shall continue to receive the grant until achieving a 8 bachelor’s degree as long as the student continues to meet all 9 other eligibility requirements. 10 d. “Eligible student” means an Iowa resident who meets all 11 of the following requirements: 12 (1) Has earned at least half of the credits necessary for a 13 bachelor’s degree and is able to complete a bachelor’s degree 14 in an eligible program of study or academic major leading to a 15 designated high-demand job in the prescribed grant time frame. 16 (2) Completes and submits application forms required by the 17 commission, including the free application for federal student 18 aid; applies for all available state and federal financial 19 aid; attends orientation in person or virtually; registers 20 for classes with the assistance of an academic advisor; and 21 participates in academic and career advising sessions required 22 under the eligible program. To receive a renewal of a grant 23 awarded under this section, an eligible student must annually 24 submit a new application to the commission for reevaluation of 25 eligibility. 26 (3) Has not been enrolled in postsecondary education 27 during the twenty-four months preceding the date on which the 28 commission receives the individual’s application to participate 29 in the program. 30 (4) Enrolls in at least six semester hours, or the 31 equivalent, in an eligible program. However, an eligible 32 student may enroll in fewer than six semester hours, or the 33 equivalent, if the eligible student needs fewer than six 34 semester hours of credit, or the equivalent, to achieve a 35 -18- HF 2458 (3) 87 kh/rj/md 18/ 21

H.F. 2458 bachelor’s degree under the eligible program. 1 (5) Is making satisfactory academic progress as defined by 2 the eligible institution. 3 (6) Remains continuously enrolled unless granted a leave of 4 absence by the eligible institution based on criteria adopted 5 by rule by the commission. 6 e. “Full-time” means enrollment in at least twelve semester 7 hours or the equivalent. 8 f. “Part-time” means enrollment in at least six but less 9 than twelve semester hours or the equivalent. 10 2. Allowable activities. An eligible student may work 11 with an assigned volunteer mentor to help the student meet the 12 requirements of this section or the requirements of an eligible 13 program, identify and participate in work-based learning 14 opportunities with the approval of the eligible institution, 15 and make other career-related connections. 16 3. Grant limitations —— requirements. 17 a. A full-time eligible student may receive a future ready 18 Iowa skilled workforce grant annually for not more than four 19 semesters, or the equivalent, or until the eligible student 20 earns a bachelor’s degree under the program, whichever occurs 21 first. A part-time eligible student may receive the grant for 22 not more than eight semesters, or the equivalent, on a prorated 23 basis, or until the eligible student earns a bachelor’s degree 24 under the eligible program, whichever occurs first. 25 b. The amount of a future ready Iowa skilled workforce grant 26 to a full-time eligible student shall be at least one thousand 27 dollars annually. The amount of a future ready Iowa skilled 28 workforce grant to a part-time eligible student shall be equal 29 to the amount that would be awarded to a full-time student 30 except that the commission shall prorate the amount based on 31 the recipient student’s semester hour or equivalent enrollment. 32 c. A future ready Iowa skilled workforce grant shall be 33 awarded on an annual basis, requiring reapplication by an 34 eligible student each year. Payments under the grant shall be 35 -19- HF 2458 (3) 87 kh/rj/md 19/ 21

H.F. 2458 allocated equally among the semesters, or the equivalent, and 1 paid upon certification by the eligible institution that the 2 student meets the requirements of subsection 1, paragraph “d” . 3 d. If a grant recipient discontinues attendance before the 4 end of any semester, or the equivalent, after receiving grant 5 payments, the entire amount of any refund due that recipient, 6 up to the full amount of grant payments made during that 7 semester, or the equivalent, shall be paid by the eligible 8 institution to the commission. 9 4. Commission’s duties and responsibilities. Subject to an 10 appropriation of funds by the general assembly for purposes of 11 this section, the commission shall administer the future ready 12 Iowa skilled workforce grant program and shall do all of the 13 following: 14 a. Provide application forms for distribution to students by 15 eligible institutions. 16 b. Adopt rules under chapter 17A, in collaboration with 17 the department of workforce development, for administration of 18 this section, including but not limited to establishing the 19 duties and responsibilities of eligible institutions under the 20 program; defining residence and satisfactory academic progress 21 for purposes of the program; and establishing procedures for 22 grant application, processing, and approval. The rules shall 23 provide for determining the priority awarding of grants if 24 funds available for purposes of this section are insufficient 25 to pay all eligible students. Priority shall be given to fully 26 awarding eligible students approved for grants based on the 27 date of application, rather than prorating grant awards among 28 all eligible students. 29 c. Approve and award grants on an annual basis. 30 d. Transmit to the department of workforce development the 31 compilation of information, data, and statistics submitted in 32 accordance with subsection 1, paragraph “b” , subparagraph (7), 33 for the annual report required under section 84A.1B. 34 5. Fund created. A future ready Iowa skilled workforce 35 -20- HF 2458 (3) 87 kh/rj/md 20/ 21