Iowa 2025-2026 Regular Session

Iowa House Bill HSB336 Latest Draft

Bill / Introduced Version Filed 04/29/2025

                            House Study Bill 336 - Introduced   HOUSE FILE _____   BY (PROPOSED COMMITTEE ON   APPROPRIATIONS BILL BY   CHAIRPERSON MOHR)   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 eliminating the repeal of 5   the housing renewal pilot program. 6   BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 7   TLSB 1002YC (11) 91   nls/ko

H.F. _____   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 Iowas 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-   LSB 1002YC (11) 91   nls/ko 1/ 18

H.F. _____   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   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 12,999,646 13   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 104.65 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-   LSB 1002YC (11) 91   nls/ko 2/ 18

H.F. _____   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 the 19   authority from moneys appropriated in subsection 1 shall only 20   employ individuals legally authorized to work in this state. 21   In addition to all other applicable penalties provided by 22   current law, all or a portion of the assistance received by a 23   business which is found to knowingly employ individuals not 24   legally authorized to work in this state shall be 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-   LSB 1002YC (11) 91   nls/ko 3/ 18

H.F. _____   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   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 650,000 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 Iowas 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 authoritys strategic plan for tourism and travel: 33   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,016,783 34   b. Notwithstanding section 8.33 , moneys appropriated in 35   -4-   LSB 1002YC (11) 91   nls/ko 4/ 18

H.F. _____   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 offices 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 offices activities related to advertising, promoting, 12   placement, and implementation of the economic development 13   authoritys 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   amounts, or so much thereof as is necessary, to be used for the 19   purposes designated: 20   For support of the Iowa arts council: 21   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,779,321 22   Of the moneys appropriated in this paragraph, the authority 23   shall allocate $300,000 for purposes of the film office. 24   b. Notwithstanding section 8.33, moneys appropriated in 25   this subsection that remain unencumbered or unobligated at the 26   close of the fiscal year shall not revert but shall remain 27   available for expenditure for the purposes designated until the 28   close of the succeeding fiscal year. 29   Sec. 3. LIMITATION OF STANDING APPROPRIATION  FY   30   2025-2026. Notwithstanding the standing appropriation in the 31   following designated section for the fiscal year beginning July 32   1, 2025, and ending June 30, 2026, the amount appropriated from 33   the general fund of the state pursuant to that section for the 34   following purposes shall not exceed the following amount: 35   -5-   LSB 1002YC (11) 91   nls/ko 5/ 18

H.F. _____   For the purposes of tourism marketing under section 99F.11, 1   subsection 4 , paragraph d, subparagraph (2): 2   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,443,700 3   Sec. 4. FINANCIAL ASSISTANCE REPORTING  ECONOMIC 4   DEVELOPMENT AUTHORITY. The economic development authority 5   shall submit an annual report to the general assembly no later 6   than November 1, 2025, that details the amount of every direct 7   loan, forgivable loan, tax credit, tax exemption, tax refund, 8   grant, or any other financial assistance awarded to a person 9   during the prior fiscal year by the authority under an economic 10   development program administered by the authority. The report 11   shall identify the county where the project associated with 12   each such award is located. 13   Sec. 5. INSURANCE ECONOMIC DEVELOPMENT. From the moneys 14   collected by the insurance division of the department of 15   insurance and financial services in excess of the anticipated 16   gross revenues under section 505.7, subsection 3 , during 17   the fiscal year beginning July 1, 2025, $100,000 shall be 18   transferred to the economic development authority for insurance 19   economic development and international insurance economic 20   development. 21   Sec. 6. IOWA FINANCE AUTHORITY. 22   1. There is appropriated from the general fund of the state 23   to the Iowa finance authority for the fiscal year beginning 24   July 1, 2025, and ending June 30, 2026, the following amounts, 25   or so much thereof as is necessary, to be used for the purposes 26   designated: 27   a. Rent subsidy program 28   (1) To provide reimbursement for rent expenses to eligible 29   persons under the home and community-based services rent 30   subsidy program established in section 16.55: 31   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 873,000 32   (2) Of the moneys appropriated in this paragraph, not more 33   than $35,000 may be used for administrative costs. 34   b. Housing renewal pilot program 35   -6-   LSB 1002YC (11) 91   nls/ko 6/ 18

H.F. _____   To provide housing renewal moneys to a nonprofit Iowa 1   affiliate to award grants to eligible communities under the 2   housing renewal pilot program created in 2022 Iowa Acts, 3   chapter 1148, section 20: 4   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 550,000 5   2. Notwithstanding section 8.33, moneys appropriated in 6   this section that remain unencumbered or unobligated at the 7   close of the fiscal year shall not revert but shall remain 8   available for expenditure for the purposes designated until the 9   close of the succeeding fiscal year. 10   Sec. 7. IOWA FINANCE AUTHORITY AUDIT. The auditor of state 11   is requested to review the audit of the Iowa finance authority 12   performed by the auditor hired by the authority. 13   Sec. 8. DEPARTMENT OF WORKFORCE DEVELOPMENT. There 14   is appropriated from the general fund of the state to the 15   department of workforce development for the fiscal year 16   beginning July 1, 2025, and ending June 30, 2026, the following 17   amounts, or so much thereof as is necessary, to be used for the 18   purposes designated: 19   1. WORKFORCE DEVELOPMENT OPERATIONS 20   a. For the operation of field offices and the workforce 21   development board, and for not more than the following 22   full-time equivalent positions: 23   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,902,636 24   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 167.43 25   b. Of the moneys appropriated in paragraph a, the 26   department shall allocate $150,000 to the state library for the 27   purpose of licensing an online resource which prepares persons 28   to succeed in the workplace through programs which improve job 29   skills and vocational test-taking abilities. 30   2. OFFENDER REENTRY PROGRAM 31   a. For the development and administration of an offender 32   reentry program to provide offenders with employment skills, 33   and for not more than the following full-time equivalent 34   positions: 35   -7-   LSB 1002YC (11) 91   nls/ko 7/ 18

H.F. _____   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 393,424 1   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 5.00 2   b. The department of workforce development shall partner 3   with the department of corrections to provide staff within 4   the correctional facilities resources to improve offenders 5   abilities to find and retain productive employment. 6   3. INTEGRATED INFORMATION FOR IOWA SYSTEM 7   For the payment of services provided by the department of 8   administrative services related to the integrated information 9   for Iowa system: 10   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 228,822 11   4. WORKPLACE INJURY AND SAFETY SURVEYS 12   For the operation of workplace safety surveys and workplace 13   data collection and analysis, including salaries, support, 14   maintenance, and miscellaneous purposes, and for not more than 15   the following full-time equivalent positions: 16   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 127,314 17   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 2.55 18   5. SUMMER YOUTH INTERN PILOT PROGRAM 19   For the funding of a summer youth intern pilot program that 20   helps young people at risk of not graduating from high school 21   to explore and prepare for high-demand careers through summer 22   work experience, including the development of soft skills: 23   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 250,000 24   6. VOCATIONAL REHABILITATION SERVICES DIVISION 25   a. For salaries, support, maintenance, and miscellaneous 26   purposes, and for not more than the following full-time 27   equivalent positions: 28   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,308,429 29   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 251.00   30   For purposes of optimizing the job placement of individuals 31   with disabilities, the division shall make its best efforts 32   to work with community rehabilitation program providers for 33   job placement and retention services for individuals with 34   significant disabilities and most significant disabilities. By 35   -8-   LSB 1002YC (11) 91   nls/ko 8/ 18

H.F. _____   January 15, 2026, the division shall submit a written report to 1   the general assembly regarding the divisions outreach efforts 2   with community rehabilitation program providers. 3   b. For matching moneys for programs to enable persons 4   with severe physical or mental disabilities to function more 5   independently, including salaries and support, and for not more 6   than the following full-time equivalent positions: 7   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 84,804 8   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 1.00 9   c. For the entrepreneurs with disabilities program 10   established pursuant to section 84H.4: 11   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 143,297 12   d. For costs associated with centers for independent 13   living: 14   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 86,547 15   7. ADULT EDUCATION AND LITERACY PROGRAMS 16   For distribution as grants to community colleges for 17   the purpose of adult basic education programs for students 18   requiring instruction in English as a second language: 19   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 500,000 20   In issuing grants under this subsection, the department of 21   workforce development shall use the same application process 22   and criteria as are used for purposes of awarding grants to 23   community colleges for the purpose of adult basic education 24   programs for students requiring instruction in English as a 25   second language using moneys that are appropriated to the 26   department from the Iowa skilled worker and job creation fund 27   created in section 8.57J. 28   8. REGISTERED APPRENTICESHIP DEVELOPMENT PROGRAMS 29   For the funding of the registered apprenticeship development 30   programs under chapter 84F to encourage small to midsize 31   businesses to start or grow registered apprenticeships: 32   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 760,000 33   Notwithstanding section 8.33 , moneys appropriated in this 34   section that remain unencumbered or unobligated at the close of 35   -9-   LSB 1002YC (11) 91   nls/ko 9/ 18

H.F. _____   the fiscal year shall not revert but shall remain available for 1   expenditure for the purposes designated until the close of the 2   succeeding fiscal year. 3   Sec. 9. DEPARTMENT OF WORKFORCE DEVELOPMENT  EMPLOYEE 4   MISCLASSIFICATION PROGRAM. There is appropriated from the 5   general fund of the state to the department of workforce 6   development for the fiscal year beginning July 1, 2025, and 7   ending June 30, 2026, the following amount, or so much thereof 8   as is necessary, to be used for the purposes designated: 9   For enhancing efforts to investigate employers that 10   misclassify workers, and for not more than the following 11   full-time equivalent positions: 12   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 382,685 13   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 4.00 14   Sec. 10. DEPARTMENT OF WORKFORCE DEVELOPMENT  SPECIAL 15   EMPLOYMENT SECURITY CONTINGENCY FUND. 16   1. There is appropriated from the special employment 17   security contingency fund created in section 96.13 to the 18   department of workforce development for the fiscal year 19   beginning July 1, 2025, and ending June 30, 2026, the following 20   amount, or so much thereof as is necessary, to be used for 21   field offices: 22   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,616,084 23   2. Any remaining additional penalty and interest revenue 24   collected by the department of workforce development is 25   appropriated to the department for the fiscal year beginning 26   July 1, 2025, and ending June 30, 2026, to accomplish the 27   mission of the department. 28   Sec. 11. IOWA SKILLED WORKER AND JOB CREATION FUND.   29   1. There is appropriated from the Iowa skilled worker and 30   job creation fund created in section 8.57J to the following 31   departments, agencies, and institutions for the fiscal year 32   beginning July 1, 2025, and ending June 30, 2026, the following 33   amounts, or so much thereof as is necessary, to be used for the 34   purposes designated: 35   -10-   LSB 1002YC (11) 91   nls/ko 10/ 18

H.F. _____   a. ECONOMIC DEVELOPMENT AUTHORITY 1   (1) For the purposes of providing assistance as described in 2   section 15.335B for the high quality jobs program: 3   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 11,700,000 4   (a) From the moneys appropriated in this subparagraph 5   (1), the economic development authority may use not more than 6   $1,000,000 for purposes of providing infrastructure grants to 7   main street communities under the main street Iowa program. 8   (b) As a condition of receiving moneys appropriated in this 9   subparagraph (1), an entity shall testify upon the request of 10   the joint appropriations subcommittee on economic development 11   regarding the expenditure of such moneys. 12   (2) For support of the manufacturing 4.0 technology 13   investment program established in section 15.371: 14   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,016,675 15   (3) For the empower rural Iowa program: 16   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 700,000 17   b. STATE BOARD OF REGENTS AND REGENTS INSTITUTIONS 18   (1) STATE BOARD OF REGENTS. For capacity building 19   infrastructure in areas related to technology 20   commercialization, marketing and business development 21   efforts in areas related to technology commercialization, 22   entrepreneurship, and business growth, and infrastructure 23   projects and programs needed to assist in implementation of 24   activities under chapter 262B : 25   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 26   (a) Of the moneys appropriated pursuant to this 27   subparagraph (1), 35 percent shall be allocated for Iowa state 28   university of science and technology, 35 percent shall be 29   allocated for the state university of Iowa, and 30 percent 30   shall be allocated for the university of northern Iowa. 31   (b) The institutions shall provide a one-to-one match 32   of additional moneys for the activities funded with moneys 33   appropriated under this subparagraph (1). 34   (c) The state board of regents shall submit a report by 35   -11-   LSB 1002YC (11) 91   nls/ko 11/ 18

H.F. _____   January 15, 2026, to the governor and the general assembly 1   regarding the activities, projects, and programs funded with 2   moneys appropriated under this subparagraph (1). The report 3   shall be provided in an electronic format and shall include a 4   list of metrics and criteria mutually agreed to in advance by 5   the board of regents and the economic development authority. 6   The metrics and criteria shall allow the governors office and 7   the general assembly to quantify and evaluate the progress 8   of the board of regents institutions with regard to their 9   activities, projects, and programs in the areas of technology 10   commercialization, entrepreneurship, regional development, and 11   market research. 12   (2) IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY. For 13   small business development centers, the research park, and the 14   center for industrial research and service, and for not more 15   than the following full-time equivalent positions: 16   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,424,302 17   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 50.94 18   (a) Of the moneys appropriated in this subparagraph (2), 19   Iowa state university of science and technology shall allocate 20   at least $735,728 for purposes of funding small business 21   development centers. Iowa state university of science and 22   technology may allocate the appropriated moneys to the various 23   small business development centers in any manner necessary to 24   achieve the purposes of this subparagraph. 25   (b) Iowa state university of science and technology shall 26   do all of the following: 27   (i) Direct expenditures for research toward projects that 28   will provide economic stimulus for Iowa. 29   (ii) Provide emphasis on providing services to Iowa-based 30   companies. 31   (c) It is the intent of the general assembly that the 32   industrial incentive program focus on Iowa industrial sectors 33   and seek contributions and in-kind donations from businesses,   34   industrial foundations, and trade associations, and that moneys 35   -12-   LSB 1002YC (11) 91   nls/ko 12/ 18

H.F. _____   for the center for industrial research and service industrial 1   incentive program shall be allocated only for projects which 2   are matched by private sector moneys for directed contract 3   research or for nondirected research. The match required of 4   small businesses as defined in section 15.102 for directed 5   contract research or for nondirected research shall be $1 6   for each $3 of state funds. The match required for other 7   businesses for directed contract research or for nondirected 8   research shall be $1 for each $1 of state funds. The match 9   required of industrial foundations or trade associations shall 10   be $1 for each $1 of state funds. 11   (d) Iowa state university of science and technology shall 12   report annually to the general assembly the total amount of 13   private contributions, the proportion of contributions from 14   small businesses and other businesses, and the proportion for 15   directed contract research and nondirected research of benefit 16   to Iowa businesses and industrial sectors. 17   (3) STATE UNIVERSITY OF IOWA 18   (a) For the state university of Iowa research park and for 19   university of Iowa pharmaceuticals located at the research 20   park, including salaries, support, maintenance, equipment, and 21   miscellaneous purposes, and for not more than the following 22   full-time equivalent positions: 23   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 209,279 24   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 6.00 25   The state university of Iowa shall do all of the following: 26   (i) Direct expenditures for research toward projects that 27   will provide economic stimulus for Iowa. 28   (ii) Provide emphasis on providing services to Iowa-based 29   companies. 30   (b) For the purpose of implementing the entrepreneurship 31   and economic growth initiative, and for not more than the 32   following full-time equivalent positions: 33   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,000,000 34   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 8.00 35   -13-   LSB 1002YC (11) 91   nls/ko 13/ 18

H.F. _____   (4) UNIVERSITY OF NORTHERN IOWA. For the metal casting and 1   foundry 4.0 centers, advance Iowa, family business center, and 2   the institute for decision making, including salaries, support, 3   maintenance, and miscellaneous purposes, and for not more than 4   the following full-time equivalent positions: 5   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,466,419 6   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 13.00 7   The university of northern Iowa shall do all of the 8   following: 9   (a) Direct expenditures for research toward projects that 10   will provide economic stimulus for Iowa. 11   (b) Provide emphasis on providing services to Iowa-based 12   companies. 13   (5) CONDITIONS. As a condition of receiving moneys 14   appropriated in this lettered paragraph b, an entity 15   shall testify upon the request of the joint appropriations 16   subcommittee on economic development regarding the expenditure 17   of such moneys. 18   c. DEPARTMENT OF WORKFORCE DEVELOPMENT 19   (1) For staffing costs related to completing workforce 20   preparation outcome reporting in conjunction with the 21   department of education: 22   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 125,000 23   (2) For distribution to community colleges for the purposes 24   of implementing adult education and literacy programs pursuant 25   to section 84A.19: 26   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5,500,000 27   (a) From the moneys appropriated in this numbered 28   subparagraph, $3,883,000 shall be allocated pursuant to the 29   distribution formula established in section 260C.18C.   30   (b) From the moneys appropriated in this numbered 31   subparagraph, not more than $150,000 shall be used by the 32   department of workforce development for implementation of adult 33   education and literacy programs pursuant to section 84A.19. 34   (c) From the moneys appropriated in this numbered 35   -14-   LSB 1002YC (11) 91   nls/ko 14/ 18

H.F. _____   subparagraph, not more than $1,257,000 shall be distributed 1   as grants to community colleges for the purpose of adult 2   basic education programs for students requiring instruction 3   in English as a second language. The department of workforce 4   development shall establish an application process and criteria 5   to award grants pursuant to this subparagraph division to 6   community colleges. The criteria shall be based on need for 7   instruction in English as a second language in the region 8   served by each community college as determined by factors 9   including data from the latest federal decennial census and 10   outreach efforts to determine regional needs. 11   (d) From the moneys appropriated in this numbered 12   subparagraph, $210,000 shall be transferred to the department 13   of health and human services for purposes of administering a 14   program to provide access to international resources to Iowans 15   and new Iowans to provide economic and leadership development 16   resulting in Iowa being a more welcoming place to live, work, 17   and raise a family. The program shall provide supplemental 18   support services for international refugees to improve 19   learning, English literacy, life skills, cultural competencies, 20   and integration in a county with a population over 350,000 21   as determined by the 2020 federal decennial census. The 22   department of health and human services shall utilize a request 23   for proposals process to identify the entity best qualified to 24   implement the program. 25   (3) For the funding of internships for students studying in 26   the fields of science, technology, engineering, and mathematics 27   with eligible Iowa employers as provided in section 84A.21, 28   subsection 2, paragraph c: 29   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 633,325 30   2. Notwithstanding section 8.33 , moneys appropriated in 31   this section that remain unencumbered or unobligated at the 32   close of the fiscal year shall not revert but shall remain 33   available for expenditure for the purposes designated until the 34   close of the succeeding fiscal year. 35   -15-   LSB 1002YC (11) 91   nls/ko 15/ 18

H.F. _____   Sec. 12. GENERAL FUND  CERTAIN REGENTS INSTITUTIONS. 1   1. There is appropriated from the general fund of the state 2   to the following institutions for the fiscal year beginning 3   July 1, 2025, and ending June 30, 2026, the following amounts, 4   or so much thereof as is necessary, to be used for the purposes 5   designated: 6   a. IOWA STATE UNIVERSITY OF SCIENCE AND TECHNOLOGY 7   In cooperation with the economic development authority, for 8   support of a biosciences innovation ecosystem, to strengthen 9   Iowas leadership positions in the area of bio-based chemicals, 10   digital agriculture, vaccines, and medical devices, including 11   salaries, support, maintenance, and miscellaneous purposes, and 12   for not more than the following full-time equivalent positions: 13   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,963,995 14   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 9.18 15   b. STATE UNIVERSITY OF IOWA 16   In cooperation with the economic development authority, for 17   support of a biosciences innovation ecosystem, to strengthen 18   Iowas leadership positions in the area of bio-based chemicals, 19   digital agriculture, vaccines, and medical devices, including 20   salaries, support, maintenance, and miscellaneous purposes, and 21   for not more than the following full-time equivalent positions: 22   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,000,000 23   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 4.35 24   c. UNIVERSITY OF NORTHERN IOWA 25   For equipment and technology to expand the universitys 26   additive manufacturing capabilities related to investment 27   castings technology and industry support, including salaries, 28   support, maintenance, and miscellaneous purposes, and for not 29   more than the following full-time equivalent positions: 30   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 394,321 31   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FTEs 2.73 32   The university of northern Iowa shall make a good-faith 33   effort to coordinate with private entities to seek moneys to 34   supplement this appropriation to support the expansion of the 35   -16-   LSB 1002YC (11) 91   nls/ko 16/ 18

H.F. _____   universitys additive manufacturing capabilities. 1   2. Notwithstanding section 8.33 , moneys appropriated in 2   subsection 1, paragraphs a and b, that remain unencumbered 3   or unobligated at the close of the fiscal year shall not revert 4   but shall remain available for expenditure for the purposes 5   designated until the close of the succeeding fiscal year. 6   DIVISION II 7   FY 2025-2026 CONTINGENT APPROPRIATION 8   Sec. 13. ECONOMIC DEVELOPMENT AUTHORITY. There is 9   appropriated from the grow Iowa values fund created in section 10   15G.108, Code 2009, to the economic development authority for 11   the fiscal year beginning July 1, 2025, and ending June 30, 12   2026, the following amount, or so much thereof as is necessary, 13   to be used for the purposes designated: 14   For deposit in the grocer reinvestment and local food 15   processing fund created in section 15.415, if enacted by 2025 16   Iowa Acts, House File 1032: 17   . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,250,000 18   DIVISION III 19   HOUSING RENEWAL PILOT PROGRAM 20   Sec. 14. 2023 Iowa Acts, chapter 110, section 18, subsection 21   9, is amended by striking the subsection. 22   DIVISION IV 23   GAMBLING GAMES TAX RECEIPTS APPROPRIATION 24   Sec. 15. Section 99F.11, subsection 4, paragraph d, 25   subparagraph (1), Code 2025, is amended to read as follows: 26   (1) Five hundred twenty thousand   Four hundred forty-eight 27   thousand four hundred three dollars is appropriated each fiscal 28   year to the economic development authority with one-half of 29   the moneys allocated for operational support grants and the 30   remaining one-half allocated for the community cultural grants 31   program established under section 15.436 . 32   EXPLANATION 33   The inclusion of this explanation does not constitute agreement with 34   the explanations substance by the members of the general assembly. 35   -17-   LSB 1002YC (11) 91   nls/ko 17/ 18

H.F. _____   DIVISION I  FY 2025-2026 APPROPRIATIONS. This bill 1   appropriates moneys for FY 2025-2026 from the general fund of 2   the state to the economic development authority (IEDA), Iowa 3   finance authority (IFA), department of workforce development 4   (IWD), Iowa state university of science and technology (ISU), 5   state university of Iowa, and university of northern Iowa. 6   The bill appropriates moneys for FY 2025-2026 from the Iowa 7   skilled worker and job creation fund to IEDA, the state board 8   of regents and institutions under the control of the board, and 9   IWD. 10   For FY 2025-2026, the bill limits standing appropriations to 11   IEDA for the world food prize and tourism marketing. 12   The bill transfers certain moneys collected by the insurance 13   division in excess of the anticipated gross revenues under Code 14   section 505.7 to IEDA. 15   The bill also appropriates moneys for FY 2025-2026 from the 16   special employment security contingency fund to IWD. 17   The auditor of state is requested to review the audit of IFA 18   performed by the auditor hired by IFA. 19   The bill requires IEDA, the vocational rehabilitation 20   services division, the state board of regents, and ISU to 21   submit various reports to the general assembly. 22   DIVISION II  FY 2025-2026 CONTINGENT APPROPRIATION. For 23   FY 2025-2026, the bill appropriates moneys from the grow Iowa 24   values fund to IEDA for deposit in the grocer reinvestment and 25   local food processing fund, if enacted by the general assembly. 26   DIVISION III  HOUSING RENEWAL PILOT PROGRAM. Under   27   current law, the housing renewal pilot program is repealed July 28   1, 2025. The bill strikes the repeal date and continues the 29   housing renewal pilot program. 30   DIVISION IV  GAMBLING GAMES TAX RECEIPTS APPROPRIATION.   31   The bill decreases the standing appropriation to IEDA from the 32   tax on adjusted gross receipts from gambling games. 33   -18-   LSB 1002YC (11) 91   nls/ko 18/ 18