Senate File 645 - Reprinted SENATE FILE 645 BY COMMITTEE ON APPROPRIATIONS (SUCCESSOR TO SSB 1236) (As Amended and Passed by the Senate May 13, 2025 ) A BILL FOR An Act relating to and making appropriations for the economic 1 development of the state, including to the economic 2 development authority, Iowa finance authority, department of 3 workforce development, and the state board of regents and 4 certain regents institutions, and extending the repeal date 5 for the housing renewal pilot program. 6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 7 SF 645 (2) 91 nls/ko/mb

S.F. 645 DIVISION I 1 FY 2025-2026 APPROPRIATIONS 2 Section 1. GOALS AND ACCOUNTABILITY —— ECONOMIC 3 DEVELOPMENT. 4 1. For the fiscal year beginning July 1, 2025, the goals 5 for the economic development authority shall be to expand and 6 stimulate the state economy, increase the wealth of Iowans, and 7 increase the population of the state. 8 2. To achieve the goals in subsection 1, the economic 9 development authority shall do all of the following for the 10 fiscal year beginning July 1, 2025: 11 a. Concentrate its efforts on programs and activities that 12 result in commercially viable products and services. 13 b. Adopt practices and services consistent with free 14 market, private sector philosophies. 15 c. Ensure economic growth and development throughout the 16 state. 17 d. Work with businesses and communities to continually 18 improve the economic development climate along with the 19 economic well-being and quality of life for Iowans. 20 e. Coordinate with other state agencies to ensure that they 21 are attentive to the needs of an entrepreneurial culture. 22 f. Establish a strong and aggressive marketing image to 23 showcase Iowa’s workforce, existing industry, and potential. 24 A priority shall be placed on recruiting new businesses, 25 business expansion, and retaining existing Iowa businesses. 26 Emphasis shall be placed on entrepreneurial development through 27 helping entrepreneurs secure capital, and developing networks 28 and a business climate conducive to entrepreneurs and small 29 businesses. 30 g. Encourage the development of communities and quality of 31 life to foster economic growth. 32 h. Prepare communities for future growth and development 33 through development, expansion, and modernization of 34 infrastructure. 35 -1- SF 645 (2) 91 nls/ko/mb 1/ 17

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

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

S.F. 645 authority may provide financial assistance to early stage 1 industry companies being established by women entrepreneurs. 2 c. From the moneys appropriated in subsection 1, the 3 authority may provide financial assistance in the form of 4 grants, loans, or forgivable loans for advanced research and 5 commercialization projects involving value-added agriculture, 6 advanced technology, or biotechnology. 7 d. The authority shall not use any moneys appropriated in 8 subsection 1 for purposes of providing financial assistance 9 for any program or project that involves the installation of 10 geothermal systems for melting snow and ice from streets or 11 sidewalks. 12 4. WORLD FOOD PRIZE 13 In lieu of the standing appropriation in section 15.368 , 14 there is appropriated from the general fund of the state to the 15 economic development authority for the fiscal year beginning 16 July 1, 2025, and ending June 30, 2026, the following amount 17 for the world food prize: 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 19 5. COUNCILS OF GOVERNMENTS —— ASSISTANCE 20 There is appropriated from the general fund of the state 21 to the economic development authority for the fiscal year 22 beginning July 1, 2025, and ending June 30, 2026, the following 23 amount to be used for the purposes of providing financial 24 assistance to Iowa’s councils of governments: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 350,000 26 6. TOURISM OFFICE 27 a. There is appropriated from the general fund of the state 28 to the economic development authority for the fiscal year 29 beginning July 1, 2025, and ending June 30, 2026, the following 30 amount for the tourism office to be used for advertising, 31 promoting, placement, and implementation of the economic 32 development authority’s strategic plan for tourism and travel: 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,050,000 34 b. Notwithstanding section 8.33 , moneys appropriated in 35 -4- SF 645 (2) 91 nls/ko/mb 4/ 17

S.F. 645 this subsection that remain unencumbered or unobligated at the 1 close of the fiscal year shall not revert but shall remain 2 available for expenditure for the purposes designated until the 3 close of the succeeding fiscal year. 4 c. The economic development authority shall submit an 5 annual report on or before January 15 to the general assembly 6 regarding the tourism office’s activities funded with moneys 7 appropriated under this subsection. The report shall be 8 provided in an electronic format and shall include metrics 9 and criteria that allow the general assembly to quantify 10 and evaluate the effectiveness and economic impact of the 11 tourism office’s activities related to advertising, promoting, 12 placement, and implementation of the economic development 13 authority’s strategic plan for tourism and travel. 14 7. CULTURAL AFFAIRS ACTIVITIES 15 a. There is appropriated from the general fund of the state 16 to the economic development authority for the fiscal year 17 beginning July 1, 2025, and ending June 30, 2026, the following 18 amount, or so much thereof as is necessary, to be used for the 19 purposes designated: 20 For support of the Iowa arts council: 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,771,800 22 b. Of the moneys appropriated in paragraph “a”, the economic 23 development authority shall allocate $321,800 for deposit in 24 the arts and culture enhancement fund established in section 25 15.436, if enacted by 2025 Iowa Acts, House File 975. 26 c. Notwithstanding section 8.33, moneys appropriated in 27 this subsection 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. 3. LIMITATIONS OF STANDING APPROPRIATIONS —— FY 32 2025-2026. Notwithstanding the standing appropriations in the 33 following designated sections for the fiscal year beginning 34 July 1, 2025, and ending June 30, 2026, the amount appropriated 35 -5- SF 645 (2) 91 nls/ko/mb 5/ 17

S.F. 645 from the general fund of the state pursuant to the following 1 sections for the following purposes shall not exceed the 2 following amounts: 3 1. For the arts and culture enhancement fund under section 4 99F.11, subsection 4, paragraph “d”, subparagraph (1), as 5 amended by 2025 Iowa Acts, House File 975, if enacted: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 448,403 7 2. For the purposes of tourism marketing under section 8 99F.11, subsection 4 , paragraph “d”, subparagraph (2): 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,443,700 10 Sec. 4. FINANCIAL ASSISTANCE REPORTING —— ECONOMIC 11 DEVELOPMENT AUTHORITY. The economic development authority 12 shall submit an annual report to the general assembly no later 13 than November 1, 2025, that details the amount of every direct 14 loan, forgivable loan, tax credit, tax exemption, tax refund, 15 grant, or any other financial assistance awarded to a person 16 during the prior fiscal year by the authority under an economic 17 development program administered by the authority. The report 18 shall identify the county where the project associated with 19 each such award is located. 20 Sec. 5. INSURANCE ECONOMIC DEVELOPMENT. From the moneys 21 collected by the insurance division of the department of 22 insurance and financial services in excess of the anticipated 23 gross revenues under section 505.7, subsection 3 , during 24 the fiscal year beginning July 1, 2025, $100,000 shall be 25 transferred to the economic development authority for insurance 26 economic development and international insurance economic 27 development. 28 Sec. 6. IOWA FINANCE AUTHORITY. 29 1. There is appropriated from the general fund of the state 30 to the Iowa finance authority for the fiscal year beginning 31 July 1, 2025, and ending June 30, 2026, the following amounts, 32 or so much thereof as is necessary, to be used for the purposes 33 designated: 34 a. Rent subsidy program 35 -6- SF 645 (2) 91 nls/ko/mb 6/ 17

S.F. 645 (1) To provide reimbursement for rent expenses to eligible 1 persons under the home and community-based services rent 2 subsidy program established in section 16.55: 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 873,000 4 (2) Of the moneys appropriated in this paragraph, not more 5 than $35,000 may be used for administrative costs. 6 b. Housing renewal pilot program 7 To provide housing renewal moneys to a nonprofit Iowa 8 affiliate to award grants to eligible communities for a housing 9 renewal pilot program: 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 550,000 11 2. Notwithstanding section 8.33, moneys appropriated in 12 this section 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 Sec. 7. IOWA FINANCE AUTHORITY AUDIT. The auditor of state 17 is requested to review the audit of the Iowa finance authority 18 performed by the auditor hired by the authority. 19 Sec. 8. DEPARTMENT OF WORKFORCE DEVELOPMENT. There 20 is appropriated from the general fund of the state to the 21 department of workforce development for the fiscal year 22 beginning July 1, 2025, and ending June 30, 2026, the following 23 amounts, or so much thereof as is necessary, to be used for the 24 purposes designated: 25 1. WORKFORCE DEVELOPMENT OPERATIONS 26 a. For the operation of field offices and the workforce 27 development board, and for not more than the following 28 full-time equivalent positions: 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,902,636 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 167.45 31 b. Of the moneys appropriated in paragraph “a”, the 32 department shall allocate $150,000 to the state library for the 33 purpose of licensing an online resource which prepares persons 34 to succeed in the workplace through programs which improve job 35 -7- SF 645 (2) 91 nls/ko/mb 7/ 17

S.F. 645 skills and vocational test-taking abilities. 1 2. OFFENDER REENTRY PROGRAM 2 a. For the development and administration of an offender 3 reentry program to provide offenders with employment skills, 4 and for not more than the following full-time equivalent 5 positions: 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 387,158 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 5.00 8 b. The department of workforce development shall partner 9 with the department of corrections to provide staff within 10 the correctional facilities resources to improve offenders’ 11 abilities to find and retain productive employment. 12 3. INTEGRATED INFORMATION FOR IOWA SYSTEM 13 For the payment of services provided by the department of 14 administrative services related to the integrated information 15 for Iowa system: 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 228,822 17 4. WORKPLACE INJURY AND SAFETY SURVEYS 18 For the operation of workplace safety surveys and workplace 19 data collection and analysis, including salaries, support, 20 maintenance, and miscellaneous purposes, and for not more than 21 the following full-time equivalent positions: 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 125,555 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 2.55 24 5. SUMMER YOUTH INTERN PILOT PROGRAM 25 For the funding of a summer youth intern pilot program that 26 helps young people at risk of not graduating from high school 27 to explore and prepare for high-demand careers through summer 28 work experience, including the development of soft skills: 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 250,000 30 6. VOCATIONAL REHABILITATION SERVICES DIVISION 31 a. For salaries, support, maintenance, and miscellaneous 32 purposes, and for not more than the following full-time 33 equivalent positions: 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,226,739 35 -8- SF 645 (2) 91 nls/ko/mb 8/ 17

S.F. 645 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 251.00 1 For purposes of optimizing the job placement of individuals 2 with disabilities, the division shall make its best efforts 3 to work with community rehabilitation program providers for 4 job placement and retention services for individuals with 5 significant disabilities and most significant disabilities. By 6 January 15, 2026, the division shall submit a written report to 7 the general assembly regarding the division’s outreach efforts 8 with community rehabilitation program providers. 9 b. For matching moneys for programs to enable persons 10 with severe physical or mental disabilities to function more 11 independently, including salaries and support, and for not more 12 than the following full-time equivalent positions: 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 84,804 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 1.00 15 c. For the entrepreneurs with disabilities program 16 established pursuant to section 84H.4: 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 138,506 18 d. For costs associated with centers for independent 19 living: 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 86,547 21 7. 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 8. REGISTERED APPRENTICESHIP DEVELOPMENT PROGRAMS 35 -9- SF 645 (2) 91 nls/ko/mb 9/ 17

S.F. 645 For the funding of the registered apprenticeship development 1 programs under chapter 84F to encourage small to midsize 2 businesses to start or grow registered apprenticeships: 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 760,000 4 Notwithstanding section 8.33 , moneys appropriated in this 5 section that remain unencumbered or unobligated at the close of 6 the fiscal year shall not revert but shall remain available for 7 expenditure for the purposes designated until the close of the 8 succeeding fiscal year. 9 Sec. 9. DEPARTMENT OF WORKFORCE DEVELOPMENT —— EMPLOYEE 10 MISCLASSIFICATION PROGRAM. There is appropriated from the 11 general fund of the state to the department of workforce 12 development for the fiscal year beginning July 1, 2025, and 13 ending June 30, 2026, the following amount, or so much thereof 14 as is necessary, to be used for the purposes designated: 15 For enhancing efforts to investigate employers that 16 misclassify workers, and for not more than the following 17 full-time equivalent positions: 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 379,631 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 4.00 20 Sec. 10. DEPARTMENT OF WORKFORCE DEVELOPMENT —— SPECIAL 21 EMPLOYMENT SECURITY CONTINGENCY FUND. 22 1. There is appropriated from the special employment 23 security contingency fund created in section 96.13 to the 24 department of workforce development for the fiscal year 25 beginning July 1, 2025, and ending June 30, 2026, the following 26 amount, or so much thereof as is necessary, to be used for 27 field offices: 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,616,084 29 2. Any remaining additional penalty and interest revenue 30 collected by the department of workforce development is 31 appropriated to the department for the fiscal year beginning 32 July 1, 2025, and ending June 30, 2026, to accomplish the 33 mission of the department. 34 Sec. 11. IOWA SKILLED WORKER AND JOB CREATION FUND. 35 -10- SF 645 (2) 91 nls/ko/mb 10/ 17

S.F. 645 1. There is appropriated from the Iowa skilled worker and 1 job creation fund created in section 8.57J to the following 2 departments, agencies, and institutions for the fiscal year 3 beginning July 1, 2025, and ending June 30, 2026, the following 4 amounts, or so much thereof as is necessary, to be used for the 5 purposes designated: 6 a. ECONOMIC DEVELOPMENT AUTHORITY 7 (1) For the purposes of providing assistance as described in 8 section 15.335B for the high quality jobs program: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 11,700,000 10 (a) From the moneys appropriated in this subparagraph 11 (1), the economic development authority may use not more than 12 $1,000,000 for purposes of providing infrastructure grants to 13 main street communities under the main street Iowa program. 14 (b) As a condition of receiving moneys appropriated in this 15 subparagraph (1), an entity shall testify upon the request of 16 the joint appropriations subcommittee on economic development 17 regarding the expenditure of such moneys. 18 (2) For support of the manufacturing 4.0 technology 19 investment program established in section 15.371: 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,016,675 21 (3) For the empower rural Iowa program: 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 700,000 23 b. STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS 24 (1) STATE BOARD OF REGENTS. For capacity building 25 infrastructure in areas related to technology 26 commercialization, marketing and business development 27 efforts in areas related to technology commercialization, 28 entrepreneurship, and business growth, and infrastructure 29 projects and programs needed to assist in implementation of 30 activities under chapter 262B: 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 32 (a) Of the moneys appropriated pursuant to this 33 subparagraph (1), 35 percent shall be allocated for Iowa state 34 university of science and technology, 35 percent shall be 35 -11- SF 645 (2) 91 nls/ko/mb 11/ 17

S.F. 645 allocated for the state university of Iowa, and 30 percent 1 shall be allocated for the university of northern Iowa. 2 (b) The institutions shall provide a one-to-one match 3 of additional moneys for the activities funded with moneys 4 appropriated under this subparagraph (1). 5 (c) The state board of regents shall submit a report by 6 January 15, 2026, to the governor and the general assembly 7 regarding the activities, projects, and programs funded with 8 moneys appropriated under this subparagraph (1), The report 9 shall be provided in an electronic format and shall include a 10 list of metrics and criteria mutually agreed to in advance by 11 the board of regents and the economic development authority. 12 The metrics and criteria shall allow the governor's office and 13 the general assembly to quantify and evaluate the progress 14 of the board of regents institutions with regard to their 15 activities, projects, and programs in the areas of technology 16 commercialization, entrepreneurship, regional development, and 17 market research. 18 (2) IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY. For 19 small business development centers, the research park, and the 20 center for industrial research and service, and for not more 21 than the following full-time equivalent positions: 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,424,302 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 50.94 24 (a) Of the moneys appropriated in this subparagraph (2), 25 Iowa state university of science and technology shall allocate 26 at least $735,728 for purposes of funding small business 27 development centers. Iowa state university of science and 28 technology may allocate the appropriated moneys to the various 29 small business development centers in any manner necessary to 30 achieve the purposes of this subparagraph. 31 (b) Iowa state university of science and technology shall 32 do all of the following: 33 (i) Direct expenditures for research toward projects that 34 will provide economic stimulus for Iowa. 35 -12- SF 645 (2) 91 nls/ko/mb 12/ 17

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

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

S.F. 645 formula established in section 260C.18C. 1 (b) From the moneys appropriated in this numbered 2 subparagraph, not more than $150,000 shall be used by the 3 department of workforce development for implementation of adult 4 education and literacy programs pursuant to section 84A.19. 5 (c) From the moneys appropriated in this numbered 6 subparagraph, not more than $1,257,000 shall be distributed 7 as grants to community colleges for the purpose of adult 8 basic education programs for students requiring instruction 9 in English as a second language. The department of workforce 10 development shall establish an application process and criteria 11 to award grants pursuant to this subparagraph division to 12 community colleges. The criteria shall be based on need for 13 instruction in English as a second language in the region 14 served by each community college as determined by factors 15 including data from the latest federal decennial census and 16 outreach efforts to determine regional needs. 17 (d) From the moneys appropriated in this numbered 18 subparagraph, $210,000 shall be transferred to the department 19 of health and human services for purposes of administering a 20 program to provide access to international resources to Iowans 21 and new Iowans to provide economic and leadership development 22 resulting in Iowa being a more welcoming place to live, work, 23 and raise a family. The program shall provide supplemental 24 support services for international refugees to improve 25 learning, English literacy, life skills, cultural competencies, 26 and integration in a county with a population over 350,000 27 as determined by the 2020 federal decennial census. The 28 department of health and human services shall utilize a request 29 for proposals process to identify the entity best qualified to 30 implement the program. 31 (3) For the funding of internships for students studying in 32 the fields of science, technology, engineering, and mathematics 33 with eligible Iowa employers as provided in section 84A.21, 34 subsection 2, paragraph “c”: 35 -15- SF 645 (2) 91 nls/ko/mb 15/ 17

S.F. 645 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 633,325 1 2. Notwithstanding section 8.33 , moneys appropriated in 2 this section that remain unencumbered or unobligated at the 3 close of the fiscal year shall not revert but shall remain 4 available for expenditure for the purposes designated until the 5 close of the succeeding fiscal year. 6 Sec. 12. GENERAL FUND —— CERTAIN REGENTS INSTITUTIONS. 7 1. There is appropriated from the general fund of the state 8 to the following institutions for the fiscal year beginning 9 July 1, 2025, and ending June 30, 2026, the following amounts, 10 or so much thereof as is necessary, to be used for the purposes 11 designated: 12 a. IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY 13 In cooperation with the economic development authority, for 14 support of a biosciences innovation ecosystem, to strengthen 15 Iowa’s leadership positions in the area of bio-based chemicals, 16 digital agriculture, vaccines, and medical devices, including 17 salaries, support, maintenance, and miscellaneous purposes, and 18 for not more than the following full-time equivalent positions: 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,963,995 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 9.18 21 b. STATE UNIVERSITY OF IOWA 22 In cooperation with the economic development authority, for 23 support of a biosciences innovation ecosystem, to strengthen 24 Iowa’s leadership positions in the area of bio-based chemicals, 25 digital agriculture, vaccines, and medical devices, including 26 salaries, support, maintenance, and miscellaneous purposes, and 27 for not more than the following full-time equivalent positions: 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,000,000 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 4.35 30 c. UNIVERSITY OF NORTHERN IOWA 31 For equipment and technology to expand the university’s 32 additive manufacturing capabilities related to investment 33 castings technology and industry support, including salaries, 34 support, maintenance, and miscellaneous purposes, and for not 35 -16- SF 645 (2) 91 nls/ko/mb 16/ 17