Bill Text: IA SF2410 | 2017-2018 | 87th General Assembly | Introduced
Bill Title: A bill for an act making appropriations to the department of cultural affairs, the economic development authority, the Iowa finance authority, the public employment relations board, the department of workforce development, the state board of regents and certain regents institutions, and the insurance division, providing for properly related matters, and including effective date and retroactive applicability provisions. (Formerly SSB 3217.)
Spectrum: Committee Bill
Status: (Introduced - Dead) 2018-05-02 - Withdrawn. S.J. 1034. [SF2410 Detail]
Download: Iowa-2017-SF2410-Introduced.html
Senate File 2410 - Introduced SENATE FILE BY COMMITTEE ON APPROPRIATIONS (SUCCESSOR TO SSB 3217) A BILL FOR 1 An Act making appropriations to the department of cultural 2 affairs, the economic development authority, the Iowa 3 finance authority, the public employment relations board, 4 the department of workforce development, the state board of 5 regents and certain regents institutions, and the insurance 6 division, providing for properly related matters, and 7 including effective date and retroactive applicability 8 provisions. 9 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 5029SV (1) 87 ko/tm PAG LIN 1 1 DIVISION I 1 2 FY 2018=2019 1 3 Section 1. 2017 Iowa Acts, chapter 169, section 18, is 1 4 amended to read as follows: 1 5 SEC. 18. DEPARTMENT OF CULTURAL AFFAIRS. 1 6 1. There is appropriated from the general fund of the state 1 7 to the department of cultural affairs for the fiscal year 1 8 beginning July 1, 2018, and ending June 30, 2019, the following 1 9 amounts, or so much thereof as is necessary, to be used for the 1 10 purposes designated: 1 11 a. ADMINISTRATION 1 12 For salaries, support, maintenance, and miscellaneous 1 13 purposes, and for not more than the following full=time 1 14 equivalent positions for the department: 1 15 .................................................. $84,3181 16 168,637 1 17 ............................................... FTEs 56.50 1 18 The department of cultural affairs shall coordinate 1 19 activities with the tourism office of the economic development 1 20 authority to promote attendance at the state historical 1 21 building and at this state's historic sites. 1 22 Full=time equivalent positions authorized under this 1 23 paragraph are funded, in full or in part, using moneys 1 24 appropriated under this paragraph and paragraphs "c" through 1 25 "g". 1 26 b. COMMUNITY CULTURAL GRANTS 1 27 For planning and programming for the community cultural 1 28 grants program established under section 303.3: 1 29 .................................................. $86,0451 30 172,090 1 31 c. HISTORICAL DIVISION 1 32 For the support of the historical division: 1 33 .................................................. $1,488,8981 34 3,017,797 1 35 d. HISTORIC SITES 2 1 For the administration and support of historic sites: 2 2 .................................................. $213,1992 3 426,398 2 4 e. ARTS DIVISION 2 5 For the support of the arts division: 2 6 .................................................. $596,0942 7 1,212,188 2 8 Of the moneys appropriated in this paragraph, the department 2 9 shall allocate$150,000$300,000 for purposes of the film 2 10 office. 2 11 f. IOWA GREAT PLACES 2 12 For the Iowa great places program established under section 2 13 303.3C: 2 14 .................................................. $75,0002 15 150,000 2 16 g. RECORDS CENTER RENT 2 17 For payment of rent for the state records center: 2 18 .................................................. $113,6212 19 227,243 2 20 h. CULTURAL TRUST GRANTS 2 21 For grant programs administered by the Iowa arts council 2 22 including but not limited to those programs supporting the 2 23 long=term financial stability and sustainability of nonprofit 2 24 cultural organizations: 2 25 .................................................. $12,5002 26 65,000 2 27 2. Notwithstanding section 8.33, moneys appropriated in 2 28 this section that remain unencumbered or unobligated at the 2 29 close of the fiscal year shall not revert but shall remain 2 30 available for expenditure for the purposes designated until the 2 31 close of the succeeding fiscal year. 2 32 Sec. 2. 2017 Iowa Acts, chapter 169, section 20, is amended 2 33 to read as follows: 2 34 SEC. 20. ECONOMIC DEVELOPMENT AUTHORITY. 2 35 1. APPROPRIATION 3 1 a. There is appropriated from the general fund of the state 3 2 to the economic development authority for the fiscal year 3 3 beginning July 1, 2018, and ending June 30, 2019, the following 3 4 amount, or so much thereof as is necessary, to be used for the 3 5 purposes designated in this subsection, and for not more than 3 6 the following full=time equivalent positions: 3 7 .................................................. $6,700,0003 8 13,362,040 3 9 ............................................... FTEs 147.45 3 10 b. (1) For salaries, support, miscellaneous purposes, 3 11 programs, marketing, and the maintenance of an administration 3 12 division, a business development division, a community 3 13 development division, a small business development division, 3 14 and other divisions the authority may organize. 3 15 (2) The full=time equivalent positions authorized under 3 16 this section are funded, in whole or in part, by the moneys 3 17 appropriated under this subsection or by other moneys received 3 18 by the authority, including certain federal moneys. 3 19 (3) For business development operations and programs, 3 20 international trade, export assistance, workforce recruitment, 3 21 and the partner state program. 3 22 (4) For transfer to a fund created pursuant to section 3 23 15.313 for purposes of financing strategic infrastructure 3 24 projects. 3 25 (5) For community economic development programs, tourism 3 26 operations, community assistance, plans for Iowa green corps 3 27 and summer youth programs, the mainstreet and rural mainstreet 3 28 programs, the school=to=career program, the community 3 29 development block grant, and housing and shelter=related 3 30 programs. 3 31 (6) For achieving the goals and accountability, and 3 32 fulfilling the requirements and duties required under this Act. 3 33 c. Notwithstanding section 8.33, moneys appropriated in 3 34 this subsection that remain unencumbered or unobligated at the 3 35 close of the fiscal year shall not revert but shall remain 4 1 available for expenditure for the purposes designated in this 4 2 subsection until the close of the succeeding fiscal year. 4 3 2. FINANCIAL ASSISTANCE RESTRICTIONS 4 4 a. A business creating jobs through moneys appropriated in 4 5 subsection 1 shall be subject to contract provisions requiring 4 6 new and retained jobs to be filled by individuals who are 4 7 citizens of the United States who reside within the United 4 8 States or any person authorized to work in the United States 4 9 pursuant to federal law, including legal resident aliens in the 4 10 United States. 4 11 b. Any vendor who receives moneys appropriated in 4 12 subsection 1 shall adhere to such contract provisions and 4 13 provide periodic assurances as the state shall require that the 4 14 jobs are filled solely by citizens of the United States who 4 15 reside within the United States or any person authorized to 4 16 work in the United States pursuant to federal law, including 4 17 legal resident aliens in the United States. 4 18 c. A business that receives financial assistance from 4 19 the authority from moneys appropriated in subsection 1 shall 4 20 only employ individuals legally authorized to work in this 4 21 state. In addition to all other applicable penalties provided 4 22 by current law, all or a portion of the assistance received 4 23 by a business which is found to knowingly employ individuals 4 24 not legally authorized to work in this state is subject to 4 25 recapture by the authority. 4 26 3. USES OF APPROPRIATIONS 4 27 a. From the moneys appropriated in subsection 1, the 4 28 authority may provide financial assistance in the form of a 4 29 grant to a community economic development entity for conducting 4 30 a local workforce recruitment effort designed to recruit former 4 31 citizens of the state and former students at colleges and 4 32 universities in the state to meet the needs of local employers. 4 33 b. From the moneys appropriated in subsection 1, the 4 34 authority may provide financial assistance to early stage 4 35 industry companies being established by women entrepreneurs. 5 1 c. From the moneys appropriated in subsection 1, the 5 2 authority may provide financial assistance in the form of 5 3 grants, loans, or forgivable loans for advanced research and 5 4 commercialization projects involving value=added agriculture, 5 5 advanced technology, or biotechnology. 5 6 d. The authority shall not use any moneys appropriated in 5 7 subsection 1 for purposes of providing financial assistance for 5 8 the Iowa green streets pilot project or for any other program 5 9 or project that involves the installation of geothermal systems 5 10 for melting snow and ice from streets or sidewalks. 5 11 4. WORLD FOOD PRIZE 5 12 There is appropriated from the general fund of the state 5 13 to the economic development authority for the fiscal year 5 14 beginning July 1, 2018, and ending June 30, 2019, the following 5 15 amount for the world food prize and in lieu of the standing 5 16 appropriation in section 15.368: 5 17 .................................................. $200,0005 18 400,000 5 19 5. IOWA COMMISSION ON VOLUNTEER SERVICE 5 20 There is appropriated from the general fund of the state 5 21 to the economic development authority for the fiscal year 5 22 beginning July 1, 2018, and ending June 30, 2019, the following 5 23 amount for allocation to the Iowa commission on volunteer 5 24 service for purposes of the Iowa state commission grant 5 25 program, the Iowa's promise and Iowa mentoring partnership 5 26 programs, and for not more than the following full=time 5 27 equivalent positions: 5 28 .................................................. $84,1005 29 168,201 5 30 ............................................... FTEs 7.00 5 31 Of the moneys appropriated in this subsection, the authority 5 32 shall allocate$37,500$75,000 for purposes of the Iowa state 5 33 commission grant program and$46,600$93,201 for purposes of 5 34 the Iowa's promise and Iowa mentoring partnership programs. 5 35 Notwithstanding section 8.33, moneys appropriated in this 6 1 subsection that remain unencumbered or unobligated at the close 6 2 of the fiscal year shall not revert but shall remain available 6 3 for expenditure for the purposes designated until the close of 6 4 the succeeding fiscal year. 6 5 6. COUNCILS OF GOVERNMENTS ==== ASSISTANCE 6 6 There is appropriated from the general fund of the state 6 7 to the economic development authority for the fiscal year 6 8 beginning July 1, 2018, and ending June 30, 2019, the following 6 9 amount to be used for the purposes of providing financial 6 10 assistance to Iowa's councils of governments: 6 11 .................................................. $87,5006 12 185,000 6 13 6A. REGISTERED APPRENTICESHIP PROGRAM 6 14 For the funding of a registered apprenticeship development 6 15 program designed to encourage small to midsize businesses to 6 16 start or grow registered apprenticeships: 6 17 .................................................. $ 1,000,000 6 18 7. SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS 6 19 INTERNSHIPS 6 20 a. There is appropriated from the Iowa skilled worker and 6 21 job creation fund created in section 8.75 to the Iowa economic 6 22 development authority for the fiscal year beginning July 1, 6 23 2018, and ending June 30, 2019, the following amount, or so 6 24 much thereof as is necessary, for the purposes designated: 6 25 For the funding of internships for students studying in the 6 26 fields of science, technology, engineering, and mathematics 6 27 with eligible Iowa employers as provided in section 15.411, 6 28 subsection 3, paragraph "c": 6 29 .................................................. $500,0006 30 1,000,000 6 31 b. No more than 3 percent of the moneys appropriated in this 6 32 subsection may be used by the authority for costs associated 6 33 with administration of the internship program. 6 34 c. Notwithstanding section 8.33, moneys appropriated in 6 35 this subsection which remain unencumbered or unobligated at 7 1 the end of the fiscal year shall not revert but shall remain 7 2 available for expenditure for the purposes designated in 7 3 subsequent fiscal years. 7 4 Sec. 3. 2017 Iowa Acts, chapter 169, section 21, is amended 7 5 to read as follows: 7 6 SEC. 21. LIMITATIONS OF STANDING APPROPRIATIONS ==== FY 7 7 2018=2019. Notwithstanding the standing appropriations 7 8 in the following designated sections for the fiscal year 7 9 beginning July 1, 2018, and ending June 30, 2019, the amounts 7 10 appropriated from the general fund of the state pursuant to 7 11 these sections for the following purposes shall not exceed the 7 12 following amounts: 7 13 1. For operational support grants and community cultural 7 14 grants under section 99F.11, subsection 3, paragraph "d", 7 15 subparagraph (1): 7 16 .................................................. $208,3517 17 416,702 7 18 2. For the purposes of regional tourism marketing under 7 19 section 99F.11, subsection 3, paragraph "d", subparagraph (2): 7 20 .................................................. $450,0007 21 900,000 7 22 Sec. 4. 2017 Iowa Acts, chapter 169, section 22, is amended 7 23 to read as follows: 7 24 SEC. 22. INSURANCE ECONOMIC DEVELOPMENT. From the moneys 7 25 collected by the division of insurance in excess of the 7 26 anticipated gross revenues under section 505.7, subsection 3, 7 27 during the fiscal year beginning July 1, 2018,$50,000$100,000 7 28 shall be transferred to the economic development authority for 7 29 insurance economic development and international insurance 7 30 economic development. 7 31 Sec. 5. 2017 Iowa Acts, chapter 169, section 23, is amended 7 32 to read as follows: 7 33 SEC. 23. IOWA FINANCE AUTHORITY. 7 34 1. There is appropriated from the general fund of the state 7 35 to the Iowa finance authority for the fiscal year beginning 8 1 July 1, 2018, and ending June 30, 2019, the following amount, 8 2 or so much thereof as is necessary, to be used to provide 8 3 reimbursement for rent expenses to eligible persons under 8 4 the home and community=based services rent subsidy program 8 5 established in section 16.55: 8 6 .................................................. $329,0008 7 658,000 8 8 2.If the Iowa finance authority utilizes a waiting list, 8 9 the authority shall give priority to a person participating 8 10 in the state's money follows the person partnership for 8 11 community integration project who has been assigned to work 8 12 with a transition specialist.Of the moneys appropriated in 8 13 this section, not more than$17,500$35,000 may be used for 8 14 administrative costs. 8 15 Sec. 6. 2017 Iowa Acts, chapter 169, section 25, is amended 8 16 to read as follows: 8 17 SEC. 25. PUBLIC EMPLOYMENT RELATIONS BOARD. 8 18 1. There is appropriated from the general fund of the state 8 19 to the public employment relations board for the fiscal year 8 20 beginning July 1, 2018, and ending June 30, 2019, the following 8 21 amount, or so much thereof as is necessary, for the purposes 8 22 designated: 8 23 For salaries, support, maintenance, and miscellaneous 8 24 purposes, and for not more than the following full=time 8 25 equivalent positions: 8 26 .................................................. $671,2268 27 1,442,452 8 28 ............................................... FTEs10.008 29 11.00 8 30 2. Of the moneys appropriated in this section, the board 8 31 shall allocate$7,500$15,000 for maintaining an internet site 8 32 that allows searchable access to a database of collective 8 33 bargaining information. 8 34 Sec. 7. 2017 Iowa Acts, chapter 169, section 26, is amended 8 35 to read as follows: 9 1 SEC. 26. DEPARTMENT OF WORKFORCE DEVELOPMENT. There 9 2 is appropriated from the general fund of the state to the 9 3 department of workforce development for the fiscal year 9 4 beginning July 1, 2018, and ending June 30, 2019, the following 9 5 amounts, or so much thereof as is necessary, for the purposes 9 6 designated: 9 7 1. DIVISION OF LABOR SERVICES 9 8 a. For the division of labor services, including salaries, 9 9 support, maintenance, and miscellaneous purposes, and for not 9 10 more than the following full=time equivalent positions: 9 11 .................................................. $1,745,6269 12 3,491,252 9 13 ............................................... FTEs 61.12 9 14 b. From the contractor registration fees, the division of 9 15 labor services shall reimburse the department of inspections 9 16 and appeals for all costs associated with hearings under 9 17 chapter 91C, relating to contractor registration. 9 18 2. DIVISION OF WORKERS' COMPENSATION 9 19 a. For the division of workers' compensation, including 9 20 salaries, support, maintenance, and miscellaneous purposes, and 9 21 for not more than the following full=time equivalent positions: 9 22 .................................................. $1,629,5229 23 3,309,044 9 24 ............................................... FTEs 27.20 9 25 b. The division of workers' compensation shall charge a 9 26 $100 filing fee for workers' compensation cases. The filing 9 27 fee shall be paid by the petitioner of a claim. However, the 9 28 fee can be taxed as a cost and paid by the losing party, except 9 29 in cases where it would impose an undue hardship or be unjust 9 30 under the circumstances. The moneys generated by the filing 9 31 fee allowed under this subsection are appropriated to the 9 32 department of workforce development to be used for purposes of 9 33 administering the division of workers' compensation. 9 34 3. WORKFORCE DEVELOPMENT OPERATIONS 9 35 a. For the operation of field offices, the workforce 10 1 development board, and for not more than the following 10 2 full=time equivalent positions: 10 3 .................................................. $3,972,82510 4 7,848,690 10 5 ............................................... FTEs 187.75 10 6 b. Of the moneys appropriated in paragraph "a" of this 10 7 subsection, the department shall allocate$75,000$150,000 10 8 to the state library for the purpose of licensing an online 10 9 resource which prepares persons to succeed in the workplace 10 10 through programs which improve job skills and vocational 10 11 test=taking abilities. 10 12 4. OFFENDER REENTRY PROGRAM 10 13 a. For the development and administration of an offender 10 14 reentry program to provide offenders with employment skills, 10 15 and for not more than the following full=time equivalent 10 16 positions: 10 17 .................................................. $143,57910 18 337,158 10 19 ............................................... FTEs4.0010 20 5.00 10 21 b. The department of workforce development shall partner 10 22 with the department of corrections to provide staff within the 10 23 correctional facilities to improve offenders' abilities to find 10 24 and retain productive employment. 10 25 5. INTEGRATED INFORMATION FOR IOWA SYSTEM 10 26 For the payment of services provided by the department of 10 27 administrative services related to the integrated information 10 28 for Iowa system: 10 29 .................................................. $114,41110 30 228,822 10 31 5A. SUMMER YOUTH INTERN PILOT PROGRAM 10 32 For the funding for a summer youth intern pilot program that 10 33 will help young people at risk of not graduating from high 10 34 school to explore and prepare for high=demand careers through 10 35 summer work experience, including the development of soft 11 1 skills: 11 2 .................................................. $ 250,000 11 3 5B. FUTURE READY IOWA COORDINATOR 11 4 For the funding of a future ready Iowa coordinator in the 11 5 department, and for not more than the following full=time 11 6 equivalent positions: 11 7 .................................................. $ 150,000 11 8 ............................................... FTEs 1.00 11 9 5C. FUTURE READY IOWA MARKETING 11 10 For funding for future ready Iowa marketing: 11 11 .................................................. $ 250,000 11 12 6. NONREVERSION 11 13 Notwithstanding section 8.33, moneys appropriated in this 11 14 section that remain unencumbered or unobligated at the close of 11 15 the fiscal year shall not revert but shall remain available for 11 16 expenditure for the purposes designated until the close of the 11 17 succeeding fiscal year. 11 18 Sec. 8. 2017 Iowa Acts, chapter 169, section 27, is amended 11 19 to read as follows: 11 20 SEC. 27. GENERAL FUND ==== EMPLOYEE MISCLASSIFICATION 11 21 PROGRAM. There is appropriated from the general fund of the 11 22 state to the department of workforce development for the fiscal 11 23 year beginning July 1, 2018, and ending June 30, 2019, the 11 24 following amount, or so much thereof as is necessary, to be 11 25 used for the purposes designated: 11 26 For enhancing efforts to investigate employers that 11 27 misclassify workers and for not more than the following 11 28 full=time equivalent positions: 11 29 .................................................. $214,81511 30 379,631 11 31 ............................................... FTEs 5.00 11 32 Sec. 9. 2017 Iowa Acts, chapter 169, section 28, is amended 11 33 to read as follows: 11 34 SEC. 28. SPECIAL EMPLOYMENT SECURITY CONTINGENCY FUND. 11 35 1. There is appropriated from the special employment 12 1 security contingency fund to the department of workforce 12 2 development for the fiscal year beginning July 1, 2018, and 12 3 ending June 30, 2019, the following amount, or so much thereof 12 4 as is necessary, to be used for field offices: 12 5 .................................................. $883,04212 6 1,766,084 12 7 1A. There is appropriated from the special employment 12 8 security contingency fund to the insurance division of the 12 9 department of commerce for the fiscal year beginning July 1, 12 10 2018, and ending June 30, 2019, the following amount, or so 12 11 much thereof as is necessary, to be used by the insurance fraud 12 12 bureau established in section 507E.2: 12 13 For the investigation and prosecution of workers' 12 14 compensation fraud: 12 15 .................................................. $ 200,000 12 16 2. Any remaining additional penalty and interest revenue 12 17 collected by the department of workforce development is 12 18 appropriated to the department for the fiscal year beginning 12 19 July 1, 2018, and ending June 30, 2019, to accomplish the 12 20 mission of the department. 12 21 Sec. 10. 2017 Iowa Acts, chapter 169, section 29, is amended 12 22 to read as follows: 12 23 SEC. 29. UNEMPLOYMENT COMPENSATION RESERVE FUND ==== 12 24 FIELD OFFICES. Notwithstanding section 96.9, subsection 8, 12 25 paragraph "e", there is appropriated from interest earned on 12 26 the unemployment compensation reserve fund to the department 12 27 of workforce development for the fiscal year beginning July 1, 12 28 2018, and ending June 30, 2019, the following amount, or so 12 29 much thereof as is necessary, for the purposes designated: 12 30 For the operation of field offices: 12 31 .................................................. $530,00012 32 1,600,000 12 33 Sec. 11. 2017 Iowa Acts, chapter 169, section 32, is amended 12 34 to read as follows: 12 35 SEC. 32. IOWA SKILLED WORKER AND JOB CREATION FUND. 13 1 1. There is appropriated from the Iowa skilled worker and 13 2 job creation fund created in section 8.75 to the following 13 3 departments, agencies, and institutions for the fiscal year 13 4 beginning July 1, 2018, and ending June 30, 2019, the following 13 5 amounts, or so much thereof as is necessary, to be used for the 13 6 purposes designated: 13 7 a. ECONOMIC DEVELOPMENT AUTHORITY 13 8 (1) For the purposes of providing assistance under the high 13 9 quality jobs program as described in section 15.335B: 13 10 .................................................. $7,950,00013 11 15,900,000 13 12 (2) From the moneys appropriated in this lettered paragraph 13 13 "a", the economic development authority may use not more than 13 14$500,000$1,000,000 for purposes of providing infrastructure 13 15 grants to mainstreet communities under the main street Iowa 13 16 program. 13 17 (3) As a condition of receiving moneys appropriated in 13 18 this lettered paragraph "a", an entity shall testify upon the 13 19 request of the joint appropriations subcommittee on economic 13 20 development regarding the expenditure of such moneys. 13 21 b. STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS 13 22 (1) STATE BOARD OF REGENTS. For capacity building 13 23 infrastructure in areas related to technology 13 24 commercialization, marketing and business development 13 25 efforts in areas related to technology commercialization, 13 26 entrepreneurship, and business growth, and infrastructure 13 27 projects and programs needed to assist in implementation of 13 28 activities under chapter 262B: 13 29 .................................................. $1,500,00013 30 3,000,000 13 31 Of the moneys appropriated pursuant to this subparagraph 13 32 (1), 35 percent shall be allocated for Iowa state university of 13 33 science and technology, 35 percent shall be allocated for the 13 34 state university of Iowa, and 30 percent shall be allocated for 13 35 the university of northern Iowa. 14 1 (a) The institutions shall provide a one=to=one match 14 2 of additional moneys for the activities funded with moneys 14 3 appropriated under this subparagraph (1). 14 4 (b) The state board of regents shall annually submit a 14 5 report by January 15 to the governor, the general assembly, 14 6 and the legislative services agency regarding the activities, 14 7 projects, and programs funded with moneys appropriated under 14 8 this subparagraph (1). The report shall be provided in an 14 9 electronic format and shall include a list of metrics and 14 10 criteria mutually agreed to in advance by the board of regents 14 11 and the economic development authority. The metrics and 14 12 criteria shall allow the governor's office and the general 14 13 assembly to quantify and evaluate the progress of the board of 14 14 regents institutions with regard to their activities, projects, 14 15 and programs in the areas of technology commercialization, 14 16 entrepreneurship, regional development, and market research. 14 17 (2) IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY. For 14 18 small business development centers, the science and technology 14 19 research park, and the center for industrial research and 14 20 service, and for not more than the following full=time 14 21 equivalent positions: 14 22 .................................................. $1,212,15114 23 2,424,302 14 24 ............................................... FTEs 56.63 14 25 (a) Of the moneys appropriated in this subparagraph 14 26 (2), Iowa state university of science and technology shall 14 27 allocate at least$367,864$735,728 for purposes of funding 14 28 small business development centers. Iowa state university of 14 29 science and technology may allocate the appropriated moneys to 14 30 the various small business development centers in any manner 14 31 necessary to achieve the purposes of this subparagraph. 14 32 (b) Iowa state university of science and technology shall 14 33 do all of the following: 14 34 (i) Direct expenditures for research toward projects that 14 35 will provide economic stimulus for Iowa. 15 1 (ii) Provide emphasis to providing services to Iowa=based 15 2 companies. 15 3 (c) It is the intent of the general assembly that the 15 4 industrial incentive program focus on Iowa industrial sectors 15 5 and seek contributions and in=kind donations from businesses, 15 6 industrial foundations, and trade associations, and that moneys 15 7 for the center for industrial research and service industrial 15 8 incentive program shall be allocated only for projects which 15 9 are matched by private sector moneys for directed contract 15 10 research or for nondirected research. The match required of 15 11 small businesses as defined in section 15.102, subsection 8, 15 12 for directed contract research or for nondirected research 15 13 shall be $1 for each $3 of state funds. The match required 15 14 for other businesses for directed contract research or 15 15 for nondirected research shall be $1 for each $1 of state 15 16 funds. The match required of industrial foundations or trade 15 17 associations shall be $1 for each $1 of state funds. 15 18 Iowa state university of science and technology shall 15 19 report annually to the joint appropriations subcommittee on 15 20 economic development and the legislative services agency the 15 21 total amount of private contributions, the proportion of 15 22 contributions from small businesses and other businesses, and 15 23 the proportion for directed contract research and nondirected 15 24 research of benefit to Iowa businesses and industrial sectors. 15 25 (3) STATE UNIVERSITY OF IOWA. For the state university 15 26 of Iowa research park and for the advanced drug development 15 27 program at the Oakdale research park, including salaries, 15 28 support, maintenance, equipment, and miscellaneous purposes, 15 29 and for not more than the following full=time equivalent 15 30 positions: 15 31 .................................................. $104,63915 32 209,279 15 33 ............................................... FTEs 6.00 15 34 The state university of Iowa shall do all of the following: 15 35 (a) Direct expenditures for research toward projects that 16 1 will provide economic stimulus for Iowa. 16 2 (b) Provide emphasis to providing services to Iowa=based 16 3 companies. 16 4 (4) STATE UNIVERSITY OF IOWA. For the purpose of 16 5 implementing the entrepreneurship and economic growth 16 6 initiative, and for not more than the following full=time 16 7 equivalent positions: 16 8 .................................................. $1,000,00016 9 2,000,000 16 10 ............................................... FTEs 8.00 16 11 (5) UNIVERSITY OF NORTHERN IOWA. For the metal casting 16 12institutecenter, the MyEntreNet internet application, and the 16 13 instituteoffor decision making, including salaries, support, 16 14 maintenance, and miscellaneous purposes, and for not more than 16 15 the following full=time equivalent positions: 16 16 .................................................. $533,20916 17 1,066,419 16 18 ............................................... FTEs 8.12 16 19 (a) Of the moneys appropriated pursuant to this 16 20 subparagraph (5), the university of northern Iowa shall 16 21 allocate at least$308,819$617,638 for purposes of support 16 22 of entrepreneurs through the university's center for business 16 23 growth and innovation and advance Iowa program. 16 24 (b) The university of northern Iowa shall do all of the 16 25 following: 16 26 (i) Direct expenditures for research toward projects that 16 27 will provide economic stimulus for Iowa. 16 28 (ii) Provide emphasis to providing services to Iowa=based 16 29 companies. 16 30 (6) As a condition of receiving moneys appropriated in 16 31 this lettered paragraph "b", an entity shall testify upon the 16 32 request of the joint appropriations subcommittee on economic 16 33 development regarding the expenditure of such moneys. 16 34 c. DEPARTMENT OF WORKFORCE DEVELOPMENT 16 35 To develop a long=term sustained program to train unemployed 17 1 and underemployed central Iowans with skills necessary to 17 2 advance to higher=paying jobs with full benefits: 17 3 .................................................. $50,00017 4 100,000 17 5 (1) The department of workforce development shall begin 17 6 a request for proposals process, issued for purposes of this 17 7 lettered paragraph "c", no later than September 1, 2018. 17 8 (2) As a condition of receiving moneys appropriated under 17 9 this lettered paragraph "c", an entity shall testify upon the 17 10 request of the joint appropriations subcommittee on economic 17 11 development regarding the expenditure of such moneys. 17 12 2. Notwithstanding section 8.33, moneys appropriated 17 13 in this section of this Act that remain unencumbered or 17 14 unobligated at the close of the fiscal year shall not revert 17 15 but shall remain available for expenditure for the purposes 17 16 designated until the close of the succeeding fiscal year. 17 17 DIVISION II 17 18 UNEMPLOYMENT INSURANCE SYSTEMS MODERNIZATION 17 19 Sec. 12. AUTHORIZATION OF USE OF FUNDS ==== UNEMPLOYMENT 17 20 INSURANCE SYSTEMS MODERNIZATION. Incentive payment funds 17 21 made to the state pursuant to the federal Assistance for 17 22 Unemployed Workers and Struggling Families Act, Pub. L. 17 23 No. 111=5, enacted February 17, 2009, as a special transfer 17 24 under section 903 of the Social Security Act, may be used 17 25 up to $39,200,000, or so much thereof as may be necessary, 17 26 by the department of workforce development, for the purpose 17 27 of unemployment insurance systems modernization and for the 17 28 acquisition of programming, software, and equipment required 17 29 to provide an administrative system for the Iowa unemployment 17 30 insurance program. Notwithstanding chapters 8A and 8B and 17 31 the rules adopted pursuant thereto, the department may enter 17 32 into a contract relating to unemployment insurance systems 17 33 modernization for a term of not more than ten years. 17 34 Sec. 13. REPEAL. 2017 Iowa Acts, chapter 169, section 15, 17 35 is repealed. 18 1 Sec. 14. EFFECTIVE DATE. This division of this Act, being 18 2 deemed of immediate importance, takes effect upon enactment. 18 3 Sec. 15. RETROACTIVE APPLICABILITY. The following applies 18 4 retroactively to July 1, 2017: 18 5 The section of this division of this Act relating to 18 6 unemployment insurance systems modernization. 18 7 DIVISION III 18 8 MISCELLANEOUS 18 9 Sec. 16. Section 8A.311, subsection 10, paragraph a, Code 18 10 2018, is amended to read as follows: 18 11 a. The director shall adopt rules providing that any state 18 12 agency may, upon request and approval by the department, 18 13 purchase directly from a vendor if the direct purchasing is 18 14 more economical than purchasing through the department, if 18 15 the agency shows that direct purchasing by the state agency 18 16 would be in the best interests of the state due to an immediate 18 17 or emergency need, or if the purchase will not exceedten 18 18twenty=five thousand dollars and the purchase would contribute 18 19 to the agency complying with the targeted small business 18 20 procurement goals under sections 73.15 through 73.21. 18 21 Sec. 17. Section 15E.52, subsection 8, Code 2018, is amended 18 22 to read as follows: 18 23 8. The board shall not certify an innovation fund after June 18 24 30,20182023. 18 25 Sec. 18. Section 96.5, Code 2018, is amended by adding the 18 26 following new subsection: 18 27 NEW SUBSECTION. 13. Overpayment resulting in 18 28 disqualification. If the department finds that an individual 18 29 has received benefits by reason of misrepresentation pursuant 18 30 to section 96.16, such individual shall be disqualified for 18 31 benefits until the balance of the benefits received by the 18 32 individual due to misrepresentation, including all penalties, 18 33 interest, and lien fees, is paid in full. 18 34 Sec. 19. NEW SECTION. 507E.2A Definition of insurer ==== 18 35 workers' compensation. 19 1 As used in this chapter, unless the context otherwise 19 2 requires: 19 3 a. "Insurance" means any and all contracts, arrangements, 19 4 and agreements by or through which one party, for compensation, 19 5 assumes risks of another party and promises to pay the second 19 6 party or the second party's nominee a certain or ascertainable 19 7 sum of money on the occurrence of a specified contingency. 19 8 "Insurance" includes any and all contracts, arrangements, or 19 9 agreements contemplated by, falling within, and coming under 19 10 section 87.11. Without limiting the foregoing, "insurance" 19 11 includes any contract of insurance, indemnity, subscription, 19 12 membership, suretyship, or annuity that has been issued, is 19 13 proposed for issuance, or is intended for issuance by any 19 14 person or entity. 19 15 b. "Insurer" includes an insurer that issues a policy of 19 16 workers' compensation, a self=insured business for purposes of 19 17 workers' compensation liability, or a group or self=insured 19 18 plan as described in section 87.4. 19 19 Sec. 20. Section 507E.6, Code 2018, is amended to read as 19 20 follows: 19 21 507E.6 Duties of insurer and fraud bureau. 19 22 1. An insurer which believes that a claim or application 19 23 for insurance coverage is being made which is a violation of 19 24 section 507E.3 or believes that a violation of section 507E.3A 19 25 has occurred, shall provide, within sixty daysof the receipt 19 26 of such claim or applicationbecoming aware of a possible 19 27 violation, written notification to the bureau of theclaim or 19 28 applicationsuspected violation on a form prescribed by the 19 29 bureau, including any additional information requested by the 19 30 bureau related to the claim or application or the party making 19 31 the claim or application. 19 32 2. The fraud bureau shall review each notification and 19 33 determine whether further investigation is warranted. 19 34 3. If the bureau determines that further investigation 19 35 is warranted, the bureau shall conduct an independent 20 1 investigation of the facts surrounding theclaim or application 20 2 for insurance coveragenotification to determine the extent, 20 3 if any, to which fraud occurredin the submission of the claim 20 4 or application. 20 5 4. The bureau shall report any alleged violation of law 20 6 disclosed by the investigation to the appropriate licensing 20 7 agency or prosecuting authority having jurisdiction with 20 8 respect to such violation. 20 9 5. Fifty percent of the criminal penalties collected 20 10 for workers' compensation fraud under section 507E.3 shall 20 11 be deposited in the special employment security contingency 20 12 fund created in section 96.13, subsection 3. The remaining 20 13 fifty percent of the criminal penalties collected for workers' 20 14 compensation fraud under section 507E.3 shall be deposited 20 15 pursuant to section 602.8108. 20 16 Sec. 21. NEW SECTION. 507E.9 Rulemaking authority. 20 17 The commissioner of insurance may adopt rules pursuant to 20 18 chapter 17A to administer this chapter. 20 19 Sec. 22. Section 904.804, Code 2018, is amended to read as 20 20 follows: 20 21 904.804 Duties of industries board. 20 22 The industries board's principal duties shall be to 20 23 promulgate and adopt rules and to advise the state director 20 24 regarding the management of Iowa state industries so as to 20 25 further the intent stated by section 904.801. The industries 20 26 board shall also review and approve any new program determined 20 27 by the state director under section 904.805, subsection 1, 20 28 to be needed or desired by the potential purchasers of Iowa 20 29 state industries products, services, or programs that meet 20 30 the objectives in section 904.801 of preparing inmates for 20 31 meaningful jobs. 20 32 Sec. 23. Section 904.805, Code 2018, is amended by adding 20 33 the following new subsection: 20 34 NEW SUBSECTION. 7. Submit an annual report to the general 20 35 assembly by January 15 of each year concerning the operation 21 1 of Iowa state industries during the prior fiscal year. The 21 2 annual report shall include but not be limited to information 21 3 on the number of inmates participating in work programs at a 21 4 correctional facility and in the private sector; total revenues 21 5 generated and the allocation of such revenues to the general 21 6 fund, to Iowa state industries, and for the support of inmates; 21 7 total profit and loss from Iowa state industries programs; 21 8 financial information concerning the Iowa state industries 21 9 revolving fund established in section 904.813, including any 21 10 revenues, interest, and expenditures related to the fund; any 21 11 new equipment purchased; any changes in products offered; 21 12 any waivers requested, accepted, or rejected according to 21 13 section 904.808, subsection 1, paragraph "b"; and the products, 21 14 quantities, and dollar amounts of goods approved to be 21 15 purchased by contractors involved in construction, renovation, 21 16 and remodeling projects when the products will be sold to a 21 17 public entity. 21 18 Sec. 24. Section 904.807, Code 2018, is amended to read as 21 19 follows: 21 20 904.807 Price lists to public officials. 21 21 The state director shall cause to be prepared from time 21 22 to time classified and itemized price lists of the products 21 23 manufactured by Iowa state industries and shall publish the 21 24 lists on the Iowa state industries' internet site. Such 21 25 lists shall be furnished to all boards of supervisors, boards 21 26 of directors of school corporations, city councils, and all 21 27 other state, county, city and school departments and officials 21 28 empowered to purchase supplies and equipment for public 21 29 purposes. In addition, Iowa state industries shall furnish the 21 30 lists to any Iowa business upon request. 21 31 Sec. 25. NEW SECTION. 904.810 Iowa homes corporation. 21 32 1. A council of government, as described in chapter 28H, 21 33 in consultation with the state director and industries board, 21 34 shall establish the Iowa homes corporation as a nonprofit 21 35 corporation organized under chapter 504 and qualifying 22 1 under section 501(c)(3) of the Internal Revenue Code as 22 2 an organization exempt from taxation. Unless otherwise 22 3 provided in this subchapter, the corporation is subject to 22 4 the provisions of chapter 504. The corporation shall be 22 5 established for the purpose of operating the affordable home 22 6 building program as provided in section 904.811. 22 7 2. The corporation shall collaborate with the state 22 8 director and industries board but the corporation shall not 22 9 be considered, in whole or in part, an agency, department, or 22 10 administrative unit of the state. 22 11 a. The corporation shall not receive appropriations from the 22 12 state. 22 13 b. The corporation shall not be required to comply with 22 14 any requirements that apply to a state agency, department, or 22 15 administrative unit and shall not exercise any sovereign power 22 16 of the state. 22 17 c. The corporation does not have authority to pledge the 22 18 credit of the state, and the state shall not be liable for 22 19 the debts or obligations of the corporation. All debts and 22 20 obligations of the corporation shall be payable solely from the 22 21 corporation's funds. 22 22 3. a. The corporation shall be established so that 22 23 donations and bequests to it qualify as tax deductible under 22 24 state income tax laws and under section 501(c)(3) of the 22 25 Internal Revenue Code. 22 26 b. The corporation shall be established for the purpose of 22 27 operating the affordable home building program as provided in 22 28 section 904.811. 22 29 4. The articles of the corporation shall provide for its 22 30 governance and its efficient management. In providing for its 22 31 governance, the articles of the corporation shall address the 22 32 following: 22 33 a. A board of directors to govern the corporation which 22 34 shall be appointed to staggered terms of four years and 22 35 shall consist of at least the following members appointed as 23 1 determined by the articles of the corporation: 23 2 (1) One member representing general homebuilding or 23 3 residential contractors. 23 4 (2) One member representing a nonprofit housing 23 5 organization. 23 6 (3) One member representing trade labor organizations. 23 7 (4) One member representing councils of governments. 23 8 (5) One member representing agencies, groups and 23 9 individuals in this state, such as apprenticeship programs, 23 10 community colleges, workforce development regions, or similar 23 11 entities, which plan and maintain programs of vocational and 23 12 technical education oriented to the development of marketable 23 13 skills. 23 14 (6) One member representing the Iowa finance authority. 23 15 (7) One non=voting member representing the department. 23 16 b. The appointment of a chief executive officer by the board 23 17 of directors to manage the corporation's daily operations. 23 18 c. The delegation of such powers and responsibilities 23 19 to the chief executive officer as may be necessary for the 23 20 corporation's efficient operation. 23 21 d. The employment of personnel necessary for the efficient 23 22 performance of the duties assigned to the corporation. All 23 23 such personnel shall be considered employees of the private, 23 24 nonprofit corporation and shall be exempt from the personnel 23 25 requirements imposed on state agencies, departments, and 23 26 administrative units. 23 27 e. The financial operations of the corporation including the 23 28 authority to receive and expend moneys from public and private 23 29 sources and to use its property, moneys, or other resources for 23 30 the purpose of the corporation. 23 31 5. The board of directors and the chief executive officer 23 32 shall act to ensure all of the following: 23 33 a. That the corporation reviews and, at the board of 23 34 director's direction, implements the requirements of the 23 35 affordable home building program as provided in section 24 1 904.811. 24 2 b. That the corporation prepares an annual budget that 24 3 includes funding levels for the corporation's activities and 24 4 that shows sufficient moneys are available to support those 24 5 activities. 24 6 c. That the corporation annually completes and files an 24 7 information return as described in section 422.15 and that the 24 8 information return is submitted to the general assembly. 24 9 6. a. The corporation shall submit an annual report to 24 10 the governor, the general assembly, and the auditor of state 24 11 by January 15. The report shall include the corporation's 24 12 finances, operations, and activities during the prior fiscal 24 13 year relative to the affordable home building program as 24 14 provided in section 904.811. 24 15 b. An annual audit of the corporation performed by a 24 16 certified public accountant in accordance with generally 24 17 accepted accounting principles shall be filed with the office 24 18 of auditor of state and made available to the public. 24 19 Sec. 26. NEW SECTION. 904.811 Affordable home building 24 20 program. 24 21 1. The Iowa homes corporation, established pursuant to 24 22 section 904.810, in cooperation with the state director and 24 23 industries board, shall operate an affordable home building 24 24 program for the purposes of manufacturing affordable housing 24 25 through the use of inmate labor within state correctional 24 26 institutions subject to the requirements of this section. 24 27 The objectives of the program are to provide meaningful work 24 28 opportunities to inmates as described in section 904.801, to 24 29 provide marketable skills to inmates that can lead directly to 24 30 gainful employment and reduced recidivism rates upon release 24 31 from a correctional institution, to provide a new source of 24 32 skilled workers in the home building and construction sectors, 24 33 and to provide affordable housing for rural and urban areas of 24 34 the state. 24 35 2. The Iowa homes corporation shall establish guidelines 25 1 regarding the production and purchase of homes manufactured 25 2 under the program subject to the following requirements: 25 3 a. The Iowa homes corporation shall enter into an agreement 25 4 with the state director who shall provide an inmate workforce 25 5 for the program consistent with the objectives of section 25 6 904.801. The state director shall provide inmate training 25 7 and apprenticeships in partnership with community colleges 25 8 and relevant groups, organizations, individuals, or state or 25 9 federal departments to implement training and apprenticeship 25 10 opportunities for inmates. 25 11 b. The Iowa homes corporation shall coordinate with councils 25 12 of governments for the sale of homes manufactured under the 25 13 program. The sale price to purchasers shall not exceed an 25 14 amount in excess of ten percent more than the delivered home 25 15 unit purchase price set by the corporation. 25 16 c. Homes purchased under the program shall be for the 25 17 sole purpose of providing a primary residence for an eligible 25 18 homebuyer and the purchased homes shall maintain at least a 25 19 three=year affordability period secured by a deed restriction. 25 20 For purposes of this section, an eligible homebuyer shall 25 21 be a person whose median family income is at or below the 25 22 median family income of the state, according to the household 25 23 size as published by United States department of housing and 25 24 urban development or an eligible service member, as defined in 25 25 section 16.54. 25 26 d. Homes purchased under the program may be resold at any 25 27 time by a purchaser after completion of initial development. 25 28 All sales are governed by the applicable affordability 25 29 period, which begins on the first date occupied by an eligible 25 30 homebuyer, secured by a recorded deed restriction. 25 31 e. Each home constructed shall comply with applicable 25 32 building codes and shall be subject to the planning, zoning, 25 33 sanitary, and building laws, ordinances, and regulations 25 34 applicable to the locality in which the home will be situated. 25 35 f. Preparation of the site for the location of a 26 1 home manufactured under this program shall be the sole 26 2 responsibility of the purchaser, purchaser's agent, purchaser's 26 3 developer, or other party developing a site for home 26 4 development. The Iowa home corporation shall develop required 26 5 site characteristics of the home site to be met before home 26 6 delivery is completed. 26 7 g. The Iowa home corporation shall manufacture no more than 26 8 two hundred homes each fiscal year under the program. However, 26 9 the state director may authorize the manufacture of more than 26 10 two hundred homes in a fiscal year for good cause upon request 26 11 of the Iowa home corporation. 26 12 EXPLANATION 26 13 The inclusion of this explanation does not constitute agreement with 26 14 the explanation's substance by the members of the general assembly. 26 15 This bill makes appropriations and transfers for FY 26 16 2018=2019 from the general fund of the state and other funds to 26 17 the department of cultural affairs, the economic development 26 18 authority, the Iowa finance authority, the public employment 26 19 relations board, the department of workforce development, the 26 20 board of regents, the state university of Iowa, the university 26 21 of northern Iowa, and Iowa state university of science and 26 22 technology. 26 23 FY 2018=2019. The bill appropriates moneys from the special 26 24 employment security contingency fund to the department of 26 25 workforce development for field offices. 26 26 The bill appropriates interest earned on the unemployment 26 27 compensation reserve fund to the department of workforce 26 28 development for the operation of field offices. 26 29 The bill appropriates moneys from the special employment 26 30 security contingency fund to the insurance division of the 26 31 department of commerce for investigation and prosecution of 26 32 workers' compensation fraud. 26 33 The bill appropriates moneys from the Iowa skilled worker 26 34 and job creation fund to the economic development authority and 26 35 the board of regents and certain regents institutions. 27 1 The bill limits standing appropriations, established 27 2 in Code, for certain operational support grants, community 27 3 cultural grants, regional tourism marketing, and the world food 27 4 prize. 27 5 UNEMPLOYMENT INSURANCE SYSTEMS MODERNIZATION. The bill 27 6 repeals 2017 Iowa Acts, chapter 169, section 15, as the use 27 7 of funds authorization for unemployment insurance systems 27 8 modernization is included in section 12 of the bill. The 27 9 bill allows the department of workforce development to enter 27 10 into a contract relating to unemployment insurance systems 27 11 modernization for a term of not more than 10 years. This 27 12 division takes effect upon enactment. Section 12 of the 27 13 division applies retroactively to July 1, 2017. 27 14 MISCELLANEOUS. The bill increases the authorization for 27 15 direct purchasing from a vendor by a state agency from $10,000 27 16 to $25,000. 27 17 The bill allows the economic development authority to 27 18 certify innovation funds until June 30, 2023. Currently, the 27 19 certification period is through June 30, 2018. 27 20 The bill disqualifies an individual from receiving 27 21 unemployment benefits until full repayment has been made for 27 22 any benefits the individual received due to misrepresentation. 27 23 The bill defines "insurance" and "insurer" for purposes of 27 24 insurance fraud and establishes the duties of an insurer and 27 25 the insurance fraud bureau for workers' compensation fraud. 27 26 The bill directs that 50 percent of the penalties collected for 27 27 workers' compensation fraud pursuant to Code section 507E.3 27 28 shall be deposited into the special security contingency fund 27 29 and 50 percent is to be distributed pursuant to Code section 27 30 602.8108. 27 31 The bill establishes a home building program through the 27 32 department of corrections. LSB 5029SV (1) 87 ko/tm
