House File 2772 - Reprinted HOUSE FILE 2772 BY COMMITTEE ON APPROPRIATIONS (SUCCESSOR TO HSB 773) (As Amended and Passed by the House April 28, 2026 ) A BILL FOR An Act relating to and making appropriations for the economic 1 development of the state, including to the economic 2 development authority, Iowa finance authority, department 3 of workforce development, and state board of regents and 4 certain regents institutions, and codifying the housing 5 renewal program. 6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 7 HF 2772 (3) 91 nls/ko/md

H.F. 2772 DIVISION I 1 FY 2026-2027 APPROPRIATIONS 2 Section 1. GOALS AND ACCOUNTABILITY —— ECONOMIC 3 DEVELOPMENT. 4 1. For the fiscal year beginning July 1, 2026, 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, 2026: 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. Establish a strong and aggressive marketing image to 21 showcase Iowa’s workforce, existing industry, and potential. 22 The authority shall prioritize recruitment of new businesses, 23 business expansion, and retention of existing Iowa businesses. 24 In addition, the authority shall emphasize entrepreneurial 25 development through helping entrepreneurs secure capital, 26 and developing networks and a business climate conducive to 27 entrepreneurs and small businesses. 28 f. Encourage the development of communities and quality of 29 life to foster economic growth. 30 g. Prepare communities for future growth and development 31 through development, expansion, and modernization of 32 infrastructure. 33 h. Develop public-private partnerships with Iowa businesses 34 in the tourism industry, Iowa tour groups, Iowa tourism 35 -1- HF 2772 (3) 91 nls/ko/md 1/ 18

H.F. 2772 organizations, and political subdivisions in this state to 1 assist in the development of advertising efforts. 2 Sec. 2. ECONOMIC DEVELOPMENT AUTHORITY. 3 1. APPROPRIATION 4 a. There is appropriated from the general fund of the state 5 to the economic development authority for the fiscal year 6 beginning July 1, 2026, and ending June 30, 2027, the following 7 amount, or so much thereof as is necessary, to be used for the 8 purposes designated in this subsection, and for not more than 9 the following full-time equivalent positions: 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 12,903,510 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 111.50 12 b. (1) For salaries, support, miscellaneous purposes, 13 programs, marketing, administration, business development, 14 community development, small business development, and any 15 divisions the authority may organize. 16 (2) For business development operations and programs, 17 international trade, export assistance, workforce recruitment, 18 and the partner state program. 19 (3) For transfer to a fund created pursuant to section 20 15.313 for purposes of financing strategic infrastructure 21 projects. 22 (4) For community economic development programs, tourism 23 operations, community assistance, and the community development 24 block grant. 25 (5) For achieving the goals and accountability, and 26 fulfilling the requirements and duties required under this Act. 27 (6) The full-time equivalent positions authorized under 28 this subsection are funded, in whole or in part, by the moneys 29 appropriated under this subsection or by other moneys received 30 by the authority, including certain federal moneys. 31 c. Notwithstanding section 8.33 , moneys appropriated in 32 this subsection that remain unencumbered or unobligated at the 33 close of the fiscal year shall not revert but shall remain 34 available for expenditure for the purposes designated in this 35 -2- HF 2772 (3) 91 nls/ko/md 2/ 18

H.F. 2772 subsection until the close of the succeeding fiscal year. 1 2. FINANCIAL ASSISTANCE RESTRICTIONS 2 a. A business creating jobs through moneys appropriated in 3 subsection 1 shall be subject to contract provisions requiring 4 new and retained jobs to be filled by individuals who are 5 citizens of the United States who reside within the United 6 States, or individuals authorized to work in the United States 7 pursuant to federal law, including legal resident aliens 8 residing in the United States. 9 b. Any vendor who receives moneys appropriated in 10 subsection 1 shall adhere to such contract provisions and 11 provide periodic assurances as the state shall require that the 12 jobs are filled solely by citizens of the United States who 13 reside within the United States, or individuals authorized to 14 work in the United States pursuant to federal law, including 15 legal resident aliens residing in the United States. 16 c. A business that receives financial assistance from 17 the authority from moneys appropriated in subsection 1 shall 18 only employ individuals legally authorized to work in this 19 state. In addition to all other applicable penalties provided 20 by current law, all or a portion of the assistance received 21 by a business which is found to knowingly employ individuals 22 not legally authorized to work in this state is subject to 23 recapture by the authority. 24 3. USES OF APPROPRIATIONS 25 a. From the moneys appropriated in subsection 1, the 26 authority may provide financial assistance in the form of 27 grants, loans, or forgivable loans for advanced research and 28 commercialization projects involving value-added agriculture, 29 advanced technology, or biotechnology. 30 b. The authority shall not use any moneys appropriated in 31 subsection 1 for purposes of providing financial assistance 32 for any program or project that involves the installation of 33 geothermal systems for melting snow and ice from streets or 34 sidewalks. 35 -3- HF 2772 (3) 91 nls/ko/md 3/ 18

H.F. 2772 4. WORLD FOOD PRIZE 1 In lieu of the standing appropriation in section 15.368 , 2 there is appropriated from the general fund of the state to the 3 economic development authority for the fiscal year beginning 4 July 1, 2026, and ending June 30, 2027, the following amount to 5 be used for support of the world food prize: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 450,000 7 5. TOURISM OFFICE 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, 2026, and ending June 30, 2027, the following 11 amount, or so much thereof as is necessary, to be used for the 12 tourism office for the advertisement, promotion, placement, 13 and implementation of the economic development authority’s 14 strategic plan for tourism and travel: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,050,000 16 b. Notwithstanding section 8.33 , moneys appropriated in 17 this subsection that remain unencumbered or unobligated at the 18 close of the fiscal year shall not revert but shall remain 19 available for expenditure for the purposes designated until the 20 close of the succeeding fiscal year. 21 c. The economic development authority shall submit an 22 annual report on or before January 15 to the general assembly 23 regarding the tourism office’s activities funded with moneys 24 appropriated under this subsection. The report must be 25 provided in an electronic format and must include metrics 26 and criteria that allow the general assembly to quantify and 27 evaluate the effectiveness and economic impact of the tourism 28 office’s activities related to the advertisement, promotion, 29 placement, and implementation of the economic development 30 authority’s strategic plan for tourism and travel. 31 6. CULTURAL AFFAIRS ACTIVITIES 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, 2026, and ending June 30, 2027, the following 35 -4- HF 2772 (3) 91 nls/ko/md 4/ 18

H.F. 2772 amount, or so much thereof as is necessary, to be used for 1 support of the Iowa arts council: 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,601,800 3 b. Of the moneys appropriated in paragraph “a”, the economic 4 development authority shall allocate $321,800 for deposit in 5 the arts and culture enhancement fund established in section 6 15.436 . 7 c. 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 2026-2027. Notwithstanding the standing appropriations in the 14 following designated sections for the fiscal year beginning 15 July 1, 2026, and ending June 30, 2027, the amount appropriated 16 from the general fund of the state pursuant to the following 17 sections for the following purposes shall not exceed the 18 following amounts: 19 1. For the arts and culture enhancement fund under section 20 99F.11, subsection 4 , paragraph “d”, subparagraph (1): 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 448,403 22 2. For the purposes of tourism marketing under section 23 99F.11, subsection 4 , paragraph “d”, subparagraph (2): 24 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,443,700 25 Sec. 4. FINANCIAL ASSISTANCE REPORTING —— ECONOMIC 26 DEVELOPMENT AUTHORITY. The economic development authority 27 shall submit an annual report to the general assembly no later 28 than November 1, 2026, that details the amount of every direct 29 loan, forgivable loan, tax credit, tax exemption, tax refund, 30 grant, or any other financial assistance awarded to a person 31 during the prior fiscal year by the authority under an economic 32 development program administered by the authority. The report 33 must identify the county where the project associated with each 34 such award is located. 35 -5- HF 2772 (3) 91 nls/ko/md 5/ 18

H.F. 2772 Sec. 5. INSURANCE ECONOMIC DEVELOPMENT. From the moneys 1 collected by the insurance division of the department of 2 insurance and financial services in excess of the anticipated 3 gross revenues under section 505.7, subsection 3 , during 4 the fiscal year beginning July 1, 2026, $100,000 shall be 5 transferred to the economic development authority for insurance 6 economic development and international insurance economic 7 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, 2026, and ending June 30, 2027, 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 program 22 To provide housing renewal moneys to the nonprofit Iowa 23 affiliate to award grants to eligible communities for the 24 housing renewal program created in section 16.52, as enacted in 25 Division II of this Act: 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 550,000 27 2. Notwithstanding section 8.33 , moneys appropriated in 28 this section that remain unencumbered or unobligated at the 29 close of the fiscal year shall not revert but shall remain 30 available for expenditure for the purposes designated until the 31 close of the succeeding fiscal year. 32 Sec. 7. IOWA FINANCE AUTHORITY AUDIT. The auditor of state 33 is requested to review the audit of the Iowa finance authority 34 performed by the auditor hired by the authority. 35 -6- HF 2772 (3) 91 nls/ko/md 6/ 18

H.F. 2772 Sec. 8. DEPARTMENT OF WORKFORCE DEVELOPMENT. There 1 is appropriated from the general fund of the state to the 2 department of workforce development for the fiscal year 3 beginning July 1, 2026, and ending June 30, 2027, the following 4 amounts, or so much thereof as is necessary, to be used for the 5 purposes designated: 6 1. WORKFORCE DEVELOPMENT OPERATIONS 7 a. For the operation of field offices and the workforce 8 development board, and for not more than the following 9 full-time equivalent positions: 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,902,636 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 157.09 12 b. Of the moneys appropriated in paragraph “a”, the 13 department shall allocate $150,000 to the state library for 14 the purpose of licensing an online resource which prepares 15 individuals to succeed in the workplace through programs which 16 improve job skills and vocational test-taking abilities. 17 2. OFFENDER REENTRY PROGRAM 18 a. For the development and administration of an offender 19 reentry program to provide offenders with employment skills, 20 and for not more than the following full-time equivalent 21 positions: 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 387,158 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 4.00 24 b. The department of workforce development shall partner 25 with the department of corrections to provide staff within 26 the correctional facilities resources to improve offenders’ 27 abilities to find and retain productive employment. 28 3. STATE ACCOUNTING SYSTEM 29 For the payment of services provided by the department of 30 administrative services related to the state accounting system: 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 228,822 32 4. WORKPLACE INJURY AND SAFETY SURVEYS 33 For the operation of workplace safety surveys and workplace 34 data collection and analysis, including salaries, support, 35 -7- HF 2772 (3) 91 nls/ko/md 7/ 18

H.F. 2772 maintenance, and miscellaneous purposes, and for not more than 1 the following full-time equivalent positions: 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 125,555 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 1.90 4 5. VOCATIONAL REHABILITATION SERVICES DIVISION 5 a. For salaries, support, maintenance, and miscellaneous 6 purposes, and for not more than the following full-time 7 equivalent positions: 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,226,739 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 233.00 10 For purposes of optimizing the job placement of individuals 11 with disabilities, the division shall make its best efforts 12 to work with community rehabilitation program providers for 13 job placement and retention services for individuals with 14 significant disabilities and most significant disabilities. By 15 January 15, 2027, the division shall submit a written report to 16 the general assembly regarding the division’s outreach efforts 17 with community rehabilitation program providers. 18 b. For the entrepreneurs with disabilities program 19 described in section 84H.4 : 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 138,506 21 6. ADULT EDUCATION AND LITERACY PROGRAMS 22 For distribution as grants to community colleges for 23 the purpose of adult basic education programs for students 24 requiring instruction in English as a second language: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 26 In issuing grants under this subsection, the department of 27 workforce development shall use the same application process 28 and criteria as are used for purposes of awarding grants to 29 community colleges for the purpose of adult basic education 30 programs for students requiring instruction in English as a 31 second language using moneys that are appropriated to the 32 department from the Iowa skilled worker and job creation fund 33 created in section 8.57J . 34 7. REGISTERED APPRENTICESHIP PROGRAMS 35 -8- HF 2772 (3) 91 nls/ko/md 8/ 18

H.F. 2772 For the funding of the registered apprenticeship programs 1 under chapter 84F to encourage small to midsize businesses to 2 start or grow registered apprenticeships: 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 760,000 4 8. REVERSION 5 Notwithstanding section 8.33 , moneys appropriated in this 6 section that remain unencumbered or unobligated at the close of 7 the fiscal year shall not revert but shall remain available for 8 expenditure for the purposes designated until the close of the 9 succeeding fiscal year. 10 Sec. 9. DEPARTMENT OF WORKFORCE DEVELOPMENT —— SPECIAL 11 EMPLOYMENT SECURITY CONTINGENCY FUND. 12 1. There is appropriated from the special employment 13 security contingency fund created in section 96.13 to the 14 department of workforce development for the fiscal year 15 beginning July 1, 2026, and ending June 30, 2027, the following 16 amount, or so much thereof as is necessary, to be used for 17 field offices: 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,616,084 19 2. Any remaining additional penalty and interest revenue 20 collected by the department of workforce development is 21 appropriated to the department for the fiscal year beginning 22 July 1, 2026, and ending June 30, 2027, to accomplish the 23 mission of the department. 24 Sec. 10. IOWA SKILLED WORKER AND JOB CREATION FUND. 25 1. There is appropriated from the Iowa skilled worker and 26 job creation fund created in section 8.57J to the following 27 departments, agencies, and institutions for the fiscal year 28 beginning July 1, 2026, and ending June 30, 2027, the following 29 amounts, or so much thereof as is necessary, to be used for the 30 purposes designated: 31 a. ECONOMIC DEVELOPMENT AUTHORITY 32 (1) For providing financial assistance to eligible 33 businesses for the business incentives for growth program 34 pursuant to chapter 15, subchapter II, part 33: 35 -9- HF 2772 (3) 91 nls/ko/md 9/ 18

H.F. 2772 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 11,700,000 1 (a) Of the moneys appropriated in this subparagraph (1), 2 not more than $1,000,000 may be used for purposes of providing 3 infrastructure grants to main street communities under the main 4 street Iowa program. 5 (b) As a condition of receiving moneys appropriated in this 6 subparagraph (1), an entity shall testify upon the request of 7 the joint appropriations subcommittee on economic development 8 regarding the expenditure of such moneys. 9 (2) For support of the manufacturing 4.0 technology 10 investment program established in section 15.371 : 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,350,000 12 (3) For the empower rural Iowa program: 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 700,000 14 b. STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS 15 (1) STATE BOARD OF REGENTS 16 For capacity building infrastructure in areas related 17 to technology commercialization, marketing and business 18 development efforts in areas related to technology 19 commercialization, entrepreneurship, and business growth, 20 and infrastructure projects and programs needed to assist in 21 implementation of activities under chapter 262B : 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 23 (a) Of the moneys appropriated pursuant to this 24 subparagraph (1), 35 percent shall be allocated for Iowa state 25 university of science and technology, 35 percent shall be 26 allocated for the state university of Iowa, and 30 percent 27 shall be allocated for the university of northern Iowa. 28 (b) The institutions shall provide a one-to-one match 29 of additional moneys for the activities funded with moneys 30 appropriated under this subparagraph (1). 31 (c) The state board of regents shall submit a report by 32 January 15, 2027, to the governor and the general assembly 33 regarding the activities, projects, and programs funded with 34 moneys appropriated under this subparagraph (1). The report 35 -10- HF 2772 (3) 91 nls/ko/md 10/ 18

H.F. 2772 must be provided in an electronic format and must include a 1 list of metrics and criteria mutually agreed to in advance by 2 the board of regents and the economic development authority. 3 The metrics and criteria must allow the governor’s office and 4 the general assembly to quantify and evaluate the progress 5 of the board of regents institutions with regard to their 6 activities, projects, and programs in the areas of technology 7 commercialization, entrepreneurship, regional development, and 8 market research. 9 (2) IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY 10 For small business development centers, the research park, 11 and the center for industrial research and service, and for not 12 more than the following full-time equivalent positions: 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,424,302 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 50.94 15 (a) Of the moneys appropriated in this subparagraph (2), 16 Iowa state university of science and technology shall allocate 17 at least $735,728 for purposes of funding small business 18 development centers. Iowa state university of science and 19 technology may allocate the appropriated moneys to the various 20 small business development centers in any manner necessary to 21 achieve the purposes of this subparagraph (2). 22 (b) Iowa state university of science and technology shall 23 do all of the following: 24 (i) Direct expenditures for research toward projects that 25 will provide economic stimulus for Iowa. 26 (ii) Emphasize providing services to Iowa-based companies. 27 (c) It is the intent of the general assembly that the 28 center for industrial research and service industrial incentive 29 program focus on Iowa industrial sectors and seek contributions 30 and in-kind donations from businesses, industrial foundations, 31 and trade associations, and that moneys for the program shall 32 be allocated only for projects which are matched by private 33 sector moneys for directed contract research or for nondirected 34 research. The match required of small businesses as defined 35 -11- HF 2772 (3) 91 nls/ko/md 11/ 18

H.F. 2772 in section 15.102 for directed contract research or for 1 nondirected research shall be $1 for each $3 of state funds. 2 The match required for other businesses for directed contract 3 research or for nondirected research shall be $1 for each $1 of 4 state funds. The match required of industrial foundations or 5 trade associations shall be $1 for each $1 of state funds. 6 (d) Iowa state university of science and technology shall 7 report annually to the general assembly the total amount of 8 private contributions, the proportion of contributions from 9 small businesses and other businesses, and the proportion for 10 directed contract research and nondirected research of benefit 11 to Iowa businesses and industrial sectors. 12 (3) STATE UNIVERSITY OF IOWA 13 (a) For the state university of Iowa research park and for 14 university of Iowa pharmaceuticals located at the research 15 park, including salaries, support, maintenance, equipment, and 16 miscellaneous purposes, and for not more than the following 17 full-time equivalent positions: 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 209,279 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 6.00 20 The state university of Iowa shall do all of the following: 21 (i) Direct expenditures for research toward projects that 22 will provide economic stimulus for Iowa. 23 (ii) Emphasize providing services to Iowa-based companies. 24 (b) For the purpose of implementing the entrepreneurship 25 and economic growth initiative, and for not more than the 26 following full-time equivalent positions: 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,000,000 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 8.00 29 (4) UNIVERSITY OF NORTHERN IOWA 30 (a) For the metal casting and foundry 4.0 centers, 31 advance Iowa, family business center, and the institute for 32 decision making, including salaries, support, maintenance, and 33 miscellaneous purposes, and for not more than the following 34 full-time equivalent positions: 35 -12- HF 2772 (3) 91 nls/ko/md 12/ 18

H.F. 2772 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,466,419 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 13.00 2 The university of northern Iowa shall do all of the 3 following: 4 (i) Direct expenditures for research toward projects that 5 will provide economic stimulus for Iowa. 6 (ii) Emphasize providing services to Iowa-based companies. 7 (b) For the purpose of providing in-state undergraduate 8 tuition and undergraduate mandatory fees to individuals 9 who reside in a state contiguous to Iowa, who enroll in an 10 undergraduate program offered by the university of northern 11 Iowa, and who are classified as residents of this state for 12 purposes of undergraduate tuition and undergraduate mandatory 13 fees: 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,000,000 15 (c) For the purpose of expanding the nursing program: 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 600,000 17 (5) DUTY TO TESTIFY 18 As a condition of receiving moneys appropriated in this 19 lettered paragraph “b”, an entity shall testify upon the 20 request of the joint appropriations subcommittee on economic 21 development regarding the expenditure of such moneys. 22 c. DEPARTMENT OF WORKFORCE DEVELOPMENT 23 (1) For staffing costs related to completing workforce 24 preparation outcome reporting in conjunction with the 25 department of education: 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 125,000 27 (2) For distribution to community colleges for the purposes 28 of implementing adult education and literacy programs pursuant 29 to section 84A.19 : 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,500,000 31 (a) From the moneys appropriated in this numbered 32 subparagraph, $3,125,000 shall be allocated pursuant to the 33 formula established in section 260C.18C . 34 (b) From the moneys appropriated in this numbered 35 -13- HF 2772 (3) 91 nls/ko/md 13/ 18

H.F. 2772 subparagraph, not more than $150,000 shall be used by the 1 department of workforce development for implementation of adult 2 education and literacy programs pursuant to section 84A.19 . 3 (c) From the moneys appropriated in this numbered 4 subparagraph, not more than $1,015,000 shall be distributed 5 as grants to community colleges for the purpose of adult 6 basic education programs for students requiring instruction 7 in English as a second language. The department of workforce 8 development shall establish an application process and criteria 9 to award grants pursuant to this subparagraph division to 10 community colleges. The criteria must be based on need for 11 instruction in English as a second language in the region 12 served by each community college as determined by factors 13 including data from the latest federal decennial census and 14 outreach efforts to determine regional needs. 15 (d) From the moneys appropriated in this numbered 16 subparagraph, $210,000 shall be transferred to the department 17 of health and human services for purposes of administering 18 a program to provide access to international resources to 19 Iowans and new Iowans to provide economic and leadership 20 development resulting in Iowa being a more welcoming place 21 to live, work, and raise a family. The program must provide 22 supplemental support services for international refugees to 23 improve learning, English literacy, life skills, cultural 24 competencies, and integration in a county with a population 25 over 350,000 as determined by the 2020 federal decennial 26 census. The department of health and human services shall 27 utilize a request-for-proposals process to identify the entity 28 best qualified to implement the program. 29 2. Notwithstanding section 8.33 , moneys appropriated in 30 this section that remain unencumbered or unobligated at the 31 close of the fiscal year shall not revert but shall remain 32 available for expenditure for the purposes designated until the 33 close of the succeeding fiscal year. 34 Sec. 11. GENERAL FUND —— CERTAIN REGENTS INSTITUTIONS. 35 -14- HF 2772 (3) 91 nls/ko/md 14/ 18

H.F. 2772 1. There is appropriated from the general fund of the state 1 to the following institutions for the fiscal year beginning 2 July 1, 2026, and ending June 30, 2027, the following amounts, 3 or so much thereof as is necessary, to be used for the purposes 4 designated: 5 a. IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY 6 In cooperation with the economic development authority, for 7 support of a biosciences innovation ecosystem, to strengthen 8 Iowa’s leadership positions in the area of bio-based chemicals, 9 digital agriculture, vaccines, and medical devices, including 10 salaries, support, maintenance, and miscellaneous purposes, and 11 for not more than the following full-time equivalent positions: 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,963,995 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 14.81 14 b. STATE UNIVERSITY OF IOWA 15 In cooperation with the economic development authority, for 16 support of a biosciences innovation ecosystem, to strengthen 17 Iowa’s leadership positions in the area of bio-based chemicals, 18 digital agriculture, vaccines, and medical devices, including 19 salaries, support, maintenance, and miscellaneous purposes, and 20 for not more than the following full-time equivalent positions: 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,000,000 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 4.35 23 c. UNIVERSITY OF NORTHERN IOWA 24 For equipment and technology to expand the university’s 25 additive manufacturing capabilities related to investment 26 castings technology and industry support, including salaries, 27 support, maintenance, and miscellaneous purposes, and for not 28 more than the following full-time equivalent positions: 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 394,321 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 2.73 31 The university of northern Iowa shall make a good-faith 32 effort to coordinate with private entities to seek moneys to 33 supplement this appropriation to support the expansion of the 34 university’s additive manufacturing capabilities. 35 -15- HF 2772 (3) 91 nls/ko/md 15/ 18

H.F. 2772 2. Notwithstanding section 8.33 , moneys appropriated in 1 subsection 1, paragraphs “a” and “b”, that remain unencumbered 2 or unobligated at the close of the fiscal year shall not revert 3 but shall remain available for expenditure for the purposes 4 designated until the close of the succeeding fiscal year. 5 DIVISION II 6 HOUSING RENEWAL PROGRAM 7 Sec. 12. NEW SECTION . 16.52 Housing renewal program. 8 1. For purposes of this section: 9 a. “Eligible participant” includes cities, counties, 10 consortiums of local governments, and organizations exempt from 11 taxation pursuant to section 501(c)(3) of the Internal Revenue 12 Code. 13 b. “Nonprofit Iowa affiliate” means a nonprofit Iowa 14 affiliate of a nonprofit international organization whose 15 primary activity is the promotion of the construction, 16 remodeling, or rehabilitation of one-family or two-family 17 dwellings for use by low-income families. 18 2. a. A housing renewal program fund is created in the 19 state treasury under the control of the authority. The fund 20 shall consist of moneys appropriated to or deposited in the 21 fund. Moneys in the fund are appropriated to the authority to 22 administer the housing renewal program. 23 b. Notwithstanding section 8.33, moneys appropriated to 24 the housing renewal program fund that remain unencumbered or 25 unobligated at the close of a fiscal year shall not revert 26 but shall remain available for expenditure for the purposes 27 designated until the close of the succeeding fiscal year. 28 c. Notwithstanding section 12C.7, subsection 2, interest or 29 earnings on moneys in the housing renewal program fund shall be 30 credited to the fund. Payment of interest, income generated 31 from the sale of an ownership unit pursuant to subsection 6, 32 recaptures of financial assistance awards, and other repayments 33 under the housing renewal program shall be retained by the 34 nonprofit Iowa affiliate for the purpose of awarding financial 35 -16- HF 2772 (3) 91 nls/ko/md 16/ 18