Senate File 559 - Reprinted SENATE FILE 559 BY COMMITTEE ON APPROPRIATIONS (SUCCESSOR TO SSB 1211) (As Amended and Passed by the Senate May 2, 2023 ) A BILL FOR An Act relating to and making appropriations for the economic 1 development of the state, including to the economic 2 development authority, the Iowa finance authority, the 3 public employment relations board, the department of 4 workforce development, and the state board of regents and 5 certain regents institutions, and modifying the housing 6 renewal pilot program and provisions related to regional 7 industry sector partnerships, the apprenticeship training 8 program, and new jobs training agreements. 9 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 10 SF 559 (2) 90 ko/ns/mb

S.F. 559 DIVISION I 1 FY 2023-2024 APPROPRIATIONS 2 Section 1. GOALS AND ACCOUNTABILITY —— ECONOMIC 3 DEVELOPMENT. 4 1. For the fiscal year beginning July 1, 2023, the goals 5 for the economic development authority shall be to expand and 6 stimulate the state economy, increase the wealth of Iowans, and 7 increase the population of the state. 8 2. To achieve the goals in subsection 1, the economic 9 development authority shall do all of the following for the 10 fiscal year beginning July 1, 2023: 11 a. Concentrate its efforts on programs and activities that 12 result in commercially viable products and services. 13 b. Adopt practices and services consistent with free 14 market, private sector philosophies. 15 c. Ensure economic growth and development throughout the 16 state. 17 d. Work with businesses and communities to continually 18 improve the economic development climate along with the 19 economic well-being and quality of life for Iowans. 20 e. Coordinate with other state agencies to ensure that they 21 are attentive to the needs of an entrepreneurial culture. 22 f. Establish a strong and aggressive marketing image to 23 showcase Iowa’s workforce, existing industry, and potential. 24 A priority shall be placed on recruiting new businesses, 25 business expansion, and retaining existing Iowa businesses. 26 Emphasis shall be placed on entrepreneurial development through 27 helping entrepreneurs secure capital, and developing networks 28 and a business climate conducive to entrepreneurs and small 29 businesses. 30 g. Encourage the development of communities and quality of 31 life to foster economic growth. 32 h. Prepare communities for future growth and development 33 through development, expansion, and modernization of 34 infrastructure. 35 -1- SF 559 (2) 90 ko/ns/mb 1/ 25

S.F. 559 i. Develop public-private partnerships with Iowa businesses 1 in the tourism industry, Iowa tour groups, Iowa tourism 2 organizations, and political subdivisions in this state to 3 assist in the development of advertising efforts. 4 j. Develop, to the fullest extent possible, cooperative 5 efforts for advertising with contributions from other sources. 6 Sec. 2. ECONOMIC DEVELOPMENT AUTHORITY. 7 1. APPROPRIATION 8 a. There is appropriated from the general fund of the state 9 to the economic development authority for the fiscal year 10 beginning July 1, 2023, and ending June 30, 2024, the following 11 amount, or so much thereof as is necessary, to be used for the 12 purposes designated in this subsection, and for not more than 13 the following full-time equivalent positions: 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 12,807,359 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 112.50 16 b. (1) For salaries, support, miscellaneous purposes, 17 programs, marketing, and the maintenance of an administration 18 division, a business development division, a community 19 development division, a small business development division, 20 and other divisions the authority may organize. 21 (2) For business development operations and programs, 22 international trade, export assistance, workforce recruitment, 23 and the partner state program. 24 (3) For transfer to a fund created pursuant to section 25 15.313 for purposes of financing strategic infrastructure 26 projects. 27 (4) For community economic development programs, tourism 28 operations, community assistance, plans for Iowa green corps 29 and summer youth programs, the main street and rural main 30 street programs, the school-to-career program, the community 31 development block grant, and housing and shelter-related 32 programs. 33 (5) For achieving the goals and accountability, and 34 fulfilling the requirements and duties required under this Act. 35 -2- SF 559 (2) 90 ko/ns/mb 2/ 25

S.F. 559 (6) The full-time equivalent positions authorized under 1 this section are funded, in whole or in part, by the moneys 2 appropriated under this subsection or by other moneys received 3 by the authority, including certain federal moneys. 4 c. Notwithstanding section 8.33 , moneys appropriated in 5 this subsection that remain unencumbered or unobligated at the 6 close of the fiscal year shall not revert but shall remain 7 available for expenditure for the purposes designated in this 8 subsection until the close of the succeeding fiscal year. 9 2. FINANCIAL ASSISTANCE RESTRICTIONS 10 a. A business creating jobs through moneys appropriated in 11 subsection 1 shall be subject to contract provisions requiring 12 new and retained jobs to be filled by individuals who are 13 citizens of the United States who reside within the United 14 States, or any person authorized to work in the United States 15 pursuant to federal law, including legal resident aliens 16 residing in the United States. 17 b. Any vendor who receives moneys appropriated in 18 subsection 1 shall adhere to such contract provisions and 19 provide periodic assurances as the state shall require that the 20 jobs are filled solely by citizens of the United States who 21 reside within the United States, or any person authorized to 22 work in the United States, pursuant to federal law, including 23 legal resident aliens residing in the United States. 24 c. A business that receives financial assistance from 25 the authority from moneys appropriated in subsection 1 shall 26 only employ individuals legally authorized to work in this 27 state. In addition to all other applicable penalties provided 28 by current law, all or a portion of the assistance received 29 by a business which is found to knowingly employ individuals 30 not legally authorized to work in this state is subject to 31 recapture by the authority. 32 3. USES OF APPROPRIATIONS 33 a. From the moneys appropriated in subsection 1, the 34 authority may provide financial assistance in the form of a 35 -3- SF 559 (2) 90 ko/ns/mb 3/ 25

S.F. 559 grant to a community economic development entity for conducting 1 a local workforce recruitment effort designed to recruit former 2 citizens of the state and former students at colleges and 3 universities in the state to meet the needs of local employers. 4 b. From the moneys appropriated in subsection 1, the 5 authority may provide financial assistance to early stage 6 industry companies being established by women entrepreneurs. 7 c. From the moneys appropriated in subsection 1, the 8 authority may provide financial assistance in the form of 9 grants, loans, or forgivable loans for advanced research and 10 commercialization projects involving value-added agriculture, 11 advanced technology, or biotechnology. 12 d. The authority shall not use any moneys appropriated in 13 subsection 1 for purposes of providing financial assistance for 14 the Iowa green streets pilot project or for any other program 15 or project that involves the installation of geothermal systems 16 for melting snow and ice from streets or sidewalks. 17 4. WORLD FOOD PRIZE 18 In lieu of the standing appropriation in section 15.368 , 19 there is appropriated from the general fund of the state to the 20 economic development authority for the fiscal year beginning 21 July 1, 2023, and ending June 30, 2024, the following amount 22 for the world food prize: 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 24 5. COUNCILS OF GOVERNMENTS —— ASSISTANCE 25 There is appropriated from the general fund of the state 26 to the economic development authority for the fiscal year 27 beginning July 1, 2023, and ending June 30, 2024, the following 28 amount to be used for the purposes of providing financial 29 assistance to Iowa’s councils of governments: 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 250,000 31 6. BUTCHERY INNOVATION AND REVITALIZATION PROGRAM 32 a. There is appropriated from the general fund of the state 33 to the economic development authority for the fiscal year 34 beginning July 1, 2023, and ending June 30, 2024, the following 35 -4- SF 559 (2) 90 ko/ns/mb 4/ 25

S.F. 559 amount, or so much thereof as is necessary, to be used for the 1 purposes designated: 2 For support of the butchery innovation and revitalization 3 program established in section 15E.370 : 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 633,325 5 b. There is appropriated from the Iowa skilled worker and 6 job creation fund created in section 8.75 to the economic 7 development authority for the fiscal year beginning July 1, 8 2023, and ending June 30, 2024, the following amount, or so 9 much thereof as is necessary, to be used for the purposes 10 designated: 11 For support of the butchery innovation and revitalization 12 program established in section 15E.370 : 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 366,675 14 7. TOURISM OFFICE 15 a. There is appropriated from the general fund of the state 16 to the economic development authority for the fiscal year 17 beginning July 1, 2023, and ending June 30, 2024, the following 18 amount for the tourism office to be used for advertising, 19 promoting, placement, and implementation of the economic 20 development authority’s strategic plan for tourism and travel: 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,100,000 22 b. Notwithstanding section 8.33 , moneys appropriated in 23 this subsection that remain unencumbered or unobligated at the 24 close of the fiscal year shall not revert but shall remain 25 available for expenditure for the purposes designated until the 26 close of the succeeding fiscal year. 27 c. The economic development authority shall submit an 28 annual report on or before January 15 to the general assembly 29 regarding the tourism office’s activities funded with moneys 30 appropriated under this subsection. The report shall be 31 provided in an electronic format and shall include metrics 32 and criteria that allow the general assembly to quantify 33 and evaluate the effectiveness and economic impact of the 34 tourism office’s activities related to advertising, promoting, 35 -5- SF 559 (2) 90 ko/ns/mb 5/ 25

S.F. 559 placement, and implementation of the economic development 1 authority’s strategic plan for tourism and travel. 2 8. EMPOWER RURAL IOWA 3 a. There is appropriated from the Iowa skilled worker and 4 job creation fund created in section 8.75 to the economic 5 development authority for the fiscal year beginning July 1, 6 2023, and ending June 30, 2024, the following amount, or so 7 much thereof as is necessary, to be used for the purposes 8 designated: 9 Empower rural Iowa program: 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 700,000 11 b. Notwithstanding section 8.33 , moneys appropriated in 12 this subsection that remain unencumbered or unobligated at the 13 close of the fiscal year shall not revert but shall remain 14 available for expenditure for the purposes designated until the 15 close of the succeeding fiscal year. 16 c. The authority shall adopt rules pursuant to chapter 17 17A to establish criteria for the distribution of the moneys 18 appropriated in this subsection. 19 9. CULTURAL AFFAIRS ACTIVITIES 20 a. There is appropriated from the general fund of the state 21 to the economic development authority for the fiscal year 22 beginning July 1, 2023, and ending June 30, 2024, the following 23 amounts, or so much thereof as is necessary, to be used for the 24 purposes designated: 25 (1) For planning and programming for the community cultural 26 grants program established under section 303.3, as amended by 27 2023 Iowa Acts, Senate File 514: 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 172,090 29 (2) For support of the Iowa arts council: 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,400,000 31 Of the moneys appropriated in this subparagraph, the 32 authority shall allocate $300,000 for purposes of the film 33 office. 34 (3) For the Iowa great places program established under 35 -6- SF 559 (2) 90 ko/ns/mb 6/ 25

S.F. 559 section 303.3C, as amended by 2023 Iowa Acts, Senate File 514: 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 149,710 2 (4) For grant programs administered by the Iowa arts 3 council including those programs supporting the long-term 4 financial stability and sustainability of nonprofit cultural 5 organizations: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 150,000 7 b. Notwithstanding section 8.33, moneys appropriated in 8 this subsection that remain unencumbered or unobligated at the 9 close of the fiscal year shall not revert but shall remain 10 available for expenditure for the purposes designated until the 11 close of the succeeding fiscal year. 12 Sec. 3. LIMITATIONS OF STANDING APPROPRIATIONS —— FY 13 2023-2024. Notwithstanding the standing appropriations 14 in the following designated sections for the fiscal year 15 beginning July 1, 2023, and ending June 30, 2024, the amounts 16 appropriated from the general fund of the state pursuant to 17 those sections for the following purposes shall not exceed the 18 following amounts: 19 1. For operational support grants and community cultural 20 grants under section 99F.11, subsection 4 , paragraph “d”, 21 subparagraph (1): 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 448,403 23 2. For the purposes of regional tourism marketing under 24 section 99F.11, subsection 4 , paragraph “d”, subparagraph (2): 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,443,700 26 Sec. 4. FINANCIAL ASSISTANCE REPORTING —— ECONOMIC 27 DEVELOPMENT AUTHORITY. The economic development authority 28 shall submit an annual report to the general assembly no later 29 than November 1, 2023, that details the amount of every direct 30 loan, forgivable loan, tax credit, tax exemption, tax refund, 31 grant, or any other financial assistance awarded to a person 32 during the prior fiscal year by the authority under an economic 33 development program administered by the authority. The report 34 shall identify the county where the project associated with 35 -7- SF 559 (2) 90 ko/ns/mb 7/ 25

S.F. 559 each such award is located. 1 Sec. 5. INSURANCE ECONOMIC DEVELOPMENT. From the 2 moneys collected by the insurance division in excess of the 3 anticipated gross revenues under section 505.7, subsection 4 3 , during the fiscal year beginning July 1, 2023, $100,000 5 shall be transferred to the economic development authority for 6 insurance economic development and international insurance 7 economic development. 8 Sec. 6. IOWA FINANCE AUTHORITY. 9 1. There is appropriated from the general fund of the state 10 to the Iowa finance authority for the fiscal year beginning 11 July 1, 2023, and ending June 30, 2024, the following amounts, 12 or so much thereof as is necessary, to be used for the purposes 13 designated: 14 a. Rent subsidy program 15 (1) To provide reimbursement for rent expenses to eligible 16 persons under the home and community-based services rent 17 subsidy program established in section 16.55: 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 873,000 19 (2) Of the moneys appropriated in this paragraph, not more 20 than $35,000 may be used for administrative costs. 21 b. Housing renewal pilot program 22 To provide housing renewal moneys to a nonprofit Iowa 23 affiliate to award grants to eligible communities for a housing 24 renewal pilot program: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 26 2. Notwithstanding section 8.33, moneys appropriated in 27 this section that remain unencumbered or unobligated at the 28 close of the fiscal year shall not revert but shall remain 29 available for expenditure for the purposes designated until the 30 close of the succeeding fiscal year. 31 Sec. 7. IOWA FINANCE AUTHORITY AUDIT. The auditor of state 32 is requested to review the audit of the Iowa finance authority 33 performed by the auditor hired by the authority. 34 Sec. 8. PUBLIC EMPLOYMENT RELATIONS BOARD. 35 -8- SF 559 (2) 90 ko/ns/mb 8/ 25

S.F. 559 1. There is appropriated from the general fund of the state 1 to the public employment relations board for the fiscal year 2 beginning July 1, 2023, and ending June 30, 2024, the following 3 amount, or so much thereof as is necessary, to be used for the 4 purposes designated: 5 For salaries, support, maintenance, and miscellaneous 6 purposes, and for not more than the following full-time 7 equivalent positions: 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,290,230 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 9.00 10 2. Of the moneys appropriated in this section, the board 11 shall allocate $15,000 for maintaining an internet site that 12 allows access to a searchable database of collective bargaining 13 information. 14 Sec. 9. DEPARTMENT OF WORKFORCE DEVELOPMENT. There 15 is appropriated from the general fund of the state to the 16 department of workforce development for the fiscal year 17 beginning July 1, 2023, and ending June 30, 2024, the following 18 amounts, or so much thereof as is necessary, to be used for the 19 purposes designated: 20 1. WORKFORCE DEVELOPMENT OPERATIONS 21 a. For the operation of field offices and the workforce 22 development board, and for not more than the following 23 full-time equivalent positions: 24 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,675,650 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 166.41 26 b. Of the moneys appropriated in paragraph “a”, the 27 department shall allocate $150,000 to the state library for the 28 purpose of licensing an online resource which prepares persons 29 to succeed in the workplace through programs which improve job 30 skills and vocational test-taking abilities. 31 2. OFFENDER REENTRY PROGRAM 32 a. For the development and administration of an offender 33 reentry program to provide offenders with employment skills, 34 and for not more than the following full-time equivalent 35 -9- SF 559 (2) 90 ko/ns/mb 9/ 25

S.F. 559 positions: 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 387,158 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 5.00 3 b. The department of workforce development shall partner 4 with the department of corrections to provide staff within 5 the correctional facilities resources to improve offenders’ 6 abilities to find and retain productive employment. 7 3. INTEGRATED INFORMATION FOR IOWA SYSTEM 8 For the payment of services provided by the department of 9 administrative services related to the integrated information 10 for Iowa system: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 228,822 12 4. WORKPLACE INJURY AND SAFETY SURVEYS 13 For the operation of workplace safety surveys and workplace 14 data collection and analysis, including salaries, support, 15 maintenance, and miscellaneous purposes, and for not more than 16 the following full-time equivalent positions: 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 125,555 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 3.00 19 5. SUMMER YOUTH INTERN PILOT PROGRAM 20 For the funding of a summer youth intern pilot program that 21 will help young people at risk of not graduating from high 22 school to explore and prepare for high-demand careers through 23 summer work experience, including the development of soft 24 skills: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 250,000 26 6. VOCATIONAL REHABILITATION SERVICES DIVISION 27 a. For salaries, support, maintenance, and miscellaneous 28 purposes, and for not more than the following full-time 29 equivalent positions: 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,106,732 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 248.00 32 For purposes of optimizing the job placement of individuals 33 with disabilities, the division shall make its best efforts 34 to work with community rehabilitation program providers for 35 -10- SF 559 (2) 90 ko/ns/mb 10/ 25

S.F. 559 job placement and retention services for individuals with 1 significant disabilities and most significant disabilities. By 2 January 15, 2024, the division shall submit a written report to 3 the general assembly regarding the division’s outreach efforts 4 with community rehabilitation program providers. 5 b. For matching moneys for programs to enable persons 6 with severe physical or mental disabilities to function more 7 independently, including salaries and support, and for not more 8 than the following full-time equivalent positions: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 84,804 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 1.00 11 c. For the entrepreneurs with disabilities program 12 established pursuant to section 259.4, as amended by 2023 Iowa 13 Acts, Senate File 514: 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 138,506 15 d. For costs associated with centers for independent 16 living: 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 86,547 18 7. ADULT EDUCATION AND LITERACY PROGRAMS 19 For distribution as grants to community colleges for 20 the purpose of adult basic education programs for students 21 requiring instruction in English as a second language: 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 23 In issuing grants under this subsection, the department of 24 workforce development shall use the same application process 25 and criteria as are used for purposes of awarding grants to 26 community colleges for the purpose of adult basic education 27 programs for students requiring instruction in English as a 28 second language using moneys that are appropriated to the 29 department from the Iowa skilled worker and job creation fund. 30 8. FUTURE READY IOWA REGISTERED APPRENTICESHIP DEVELOPMENT 31 PROGRAM 32 For the funding of the future ready Iowa registered 33 apprenticeship development program under chapter 15C, as 34 amended by 2023 Iowa Acts, Senate File 514, to encourage 35 -11- SF 559 (2) 90 ko/ns/mb 11/ 25

S.F. 559 small to midsize businesses to start or grow registered 1 apprenticeships: 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 760,000 3 Notwithstanding section 8.33 , moneys appropriated in this 4 section that remain unencumbered or unobligated at the close of 5 the fiscal year shall not revert but shall remain available for 6 expenditure for the purposes designated until the close of the 7 succeeding fiscal year. 8 Sec. 10. GENERAL FUND —— EMPLOYEE MISCLASSIFICATION 9 PROGRAM. There is appropriated from the general fund of the 10 state to the department of workforce development for the fiscal 11 year beginning July 1, 2023, and ending June 30, 2024, the 12 following amount, or so much thereof as is necessary, to be 13 used for the purposes designated: 14 For enhancing efforts to investigate employers that 15 misclassify workers, and for not more than the following 16 full-time equivalent positions: 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 379,631 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 3.00 19 Sec. 11. SPECIAL EMPLOYMENT SECURITY CONTINGENCY FUND. 20 1. There is appropriated from the special employment 21 security contingency fund created in section 96.13 to the 22 department of workforce development for the fiscal year 23 beginning July 1, 2023, and ending June 30, 2024, the following 24 amount, or so much thereof as is necessary, to be used for 25 field offices: 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,416,084 27 2. Any remaining additional penalty and interest revenue 28 collected by the department of workforce development is 29 appropriated to the department for the fiscal year beginning 30 July 1, 2023, and ending June 30, 2024, to accomplish the 31 mission of the department. 32 Sec. 12. UNEMPLOYMENT COMPENSATION RESERVE FUND —— FIELD 33 OFFICES. Notwithstanding section 96.9, subsection 8 , paragraph 34 “e”, there is appropriated from interest earned on the 35 -12- SF 559 (2) 90 ko/ns/mb 12/ 25

S.F. 559 unemployment compensation reserve fund created in section 96.9 1 to the department of workforce development for the fiscal year 2 beginning July 1, 2023, and ending June 30, 2024, the following 3 amount, or so much thereof as is necessary, to be used for the 4 purposes designated: 5 For the operation of field offices: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,200,000 7 Sec. 13. VIRTUAL ACCESS WORKFORCE DEVELOPMENT OFFICES. The 8 department of workforce development shall require a unique 9 identification login for all users of workforce development 10 centers operated through electronic means. 11 Sec. 14. UNEMPLOYMENT COMPENSATION PROGRAM. 12 1. Notwithstanding section 96.9, subsection 4 , paragraph 13 “a”, moneys credited to the state by the secretary of the 14 treasury of the United States pursuant to section 903 of the 15 federal Social Security Act are appropriated to the department 16 of workforce development and shall be used by the department 17 for the administration of the unemployment compensation program 18 only. This appropriation shall not apply to any fiscal year 19 beginning after December 31, 2023. 20 2. Notwithstanding subsection 1, up to $800,000, or 21 so much thereof as may be necessary, of the unemployment 22 compensation modernization incentive payments made to the 23 state’s unemployment trust fund account as a special transfer 24 under section 903 of the federal Social Security Act, pursuant 25 to the federal Assistance for Unemployed Workers and Struggling 26 Families Act, of the American Recovery and Reinvestment Act of 27 2009, Pub. L. No. 111-5, are appropriated to the department of 28 workforce development for the fiscal year beginning July 1, 29 2023, and ending June 30, 2024, for the purpose of modification 30 of space for unemployment insurance administrative law judge 31 offices and conference rooms in which to hold unemployment 32 insurance appeal hearings. 33 Sec. 15. IOWA SKILLED WORKER AND JOB CREATION FUND. 34 1. There is appropriated from the Iowa skilled worker and 35 -13- SF 559 (2) 90 ko/ns/mb 13/ 25

S.F. 559 job creation fund created in section 8.75 to the following 1 departments, agencies, and institutions for the fiscal year 2 beginning July 1, 2023, and ending June 30, 2024, the following 3 amounts, or so much thereof as is necessary, to be used for the 4 purposes designated: 5 a. ECONOMIC DEVELOPMENT AUTHORITY 6 (1) For the purposes of providing assistance as described in 7 section 15.335B for the high quality jobs program: 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 11,700,000 9 From the moneys appropriated in this subparagraph, the 10 economic development authority may use not more than $1,000,000 11 for purposes of providing infrastructure grants to main street 12 communities under the main street Iowa program and may allocate 13 not more than $300,000 for the purposes of supporting statewide 14 worker education and quality preapprenticeship programs. 15 (2) As a condition of receiving moneys appropriated in 16 this lettered paragraph “a”, an entity shall testify upon the 17 request of the joint appropriations subcommittee on economic 18 development regarding the expenditure of such moneys. 19 b. STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS 20 (1) STATE BOARD OF REGENTS. For capacity building 21 infrastructure in areas related to technology 22 commercialization, marketing and business development 23 efforts in areas related to technology commercialization, 24 entrepreneurship, and business growth, and infrastructure 25 projects and programs needed to assist in implementation of 26 activities under chapter 262B : 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 28 (a) Of the moneys appropriated pursuant to this 29 subparagraph (1), 35 percent shall be allocated for Iowa state 30 university of science and technology, 35 percent shall be 31 allocated for the state university of Iowa, and 30 percent 32 shall be allocated for the university of northern Iowa. 33 (b) The institutions shall provide a one-to-one match 34 of additional moneys for the activities funded with moneys 35 -14- SF 559 (2) 90 ko/ns/mb 14/ 25

S.F. 559 appropriated under this subparagraph (1). 1 (c) The state board of regents shall submit a report by 2 January 15, 2024, to the governor and the general assembly 3 regarding the activities, projects, and programs funded with 4 moneys appropriated under this subparagraph (1). The report 5 shall be provided in an electronic format and shall include a 6 list of metrics and criteria mutually agreed to in advance by 7 the board of regents and the economic development authority. 8 The metrics and criteria shall allow the governor’s office and 9 the general assembly to quantify and evaluate the progress 10 of the board of regents institutions with regard to their 11 activities, projects, and programs in the areas of technology 12 commercialization, entrepreneurship, regional development, and 13 market research. 14 (2) IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY. For 15 small business development centers, the research park, and the 16 center for industrial research and service, and for not more 17 than the following full-time equivalent positions: 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,424,302 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 50.95 20 (a) Of the moneys appropriated in this subparagraph (2), 21 Iowa state university of science and technology shall allocate 22 at least $735,728 for purposes of funding small business 23 development centers. Iowa state university of science and 24 technology may allocate the appropriated moneys to the various 25 small business development centers in any manner necessary to 26 achieve the purposes of this subparagraph. 27 (b) Iowa state university of science and technology shall 28 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 (c) It is the intent of the general assembly that the 34 industrial incentive program focus on Iowa industrial sectors 35 -15- SF 559 (2) 90 ko/ns/mb 15/ 25

S.F. 559 and seek contributions and in-kind donations from businesses, 1 industrial foundations, and trade associations, and that moneys 2 for the center for industrial research and service industrial 3 incentive program shall be allocated only for projects which 4 are matched by private sector moneys for directed contract 5 research or for nondirected research. The match required of 6 small businesses as defined in section 15.102 for directed 7 contract research or for nondirected research shall be $1 8 for each $3 of state funds. The match required for other 9 businesses for directed contract research or for nondirected 10 research shall be $1 for each $1 of state funds. The match 11 required of industrial foundations or trade associations shall 12 be $1 for each $1 of state funds. 13 (d) Iowa state university of science and technology shall 14 report annually to the general assembly the total amount of 15 private contributions, the proportion of contributions from 16 small businesses and other businesses, and the proportion for 17 directed contract research and nondirected research of benefit 18 to Iowa businesses and industrial sectors. 19 (3) STATE UNIVERSITY OF IOWA 20 (a) For the state university of Iowa research park and for 21 university of Iowa pharmaceuticals located at the research 22 park, including salaries, support, maintenance, equipment, and 23 miscellaneous purposes, and for not more than the following 24 full-time equivalent positions: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 209,279 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 6.00 27 The state university of Iowa shall do all of the following: 28 (i) Direct expenditures for research toward projects that 29 will provide economic stimulus for Iowa. 30 (ii) Provide emphasis to providing services to Iowa-based 31 companies. 32 (b) For the purpose of implementing the entrepreneurship 33 and economic growth initiative, and for not more than the 34 following full-time equivalent positions: 35 -16- SF 559 (2) 90 ko/ns/mb 16/ 25