SSB 3121 – IEDA Investment tax credits and Strategic Infrastructure Program
COMMITTEE ACTION:
SSB 3121makes several changes to programs administered by the Iowa Economic Development Authority (IEDA). The bill modifies investment tax credits for community-based seed capital funds and qualifying business. The bill eliminates the three-year waiting period for an investor to claim a credit that has been awarded for investing in a qualifying business, and makes other changes regarding timing, dates and requirements o f investments. Also, the bill allows for moneys transferred from the Targeted Small Business Financial Assistance Program to be used to establish a program to assist private entities in increasing the number of female entrepreneurs in the state.
The bill establishes a Strategic Infrastructure Fund to provide financial assistance for relocation or expansion projects for existing businesses, as well as financial assistance for new businesses. The financial assistance would be used for infrastructure needs. The bill requires that recaptures or repayments of the Iowa Values Fund will be transferred to the new infrastructure fund.
As amended in committee, the bill also requires the Innovation Council to review and recommend the applications for approval for the infrastructure fund. The IEDA Board will then award projects. The amendment also makes changes to the Endow Iowa Program. Currently, to be an Endow Iowa qualified community foundation, the foundation must substantially comply with national standards. The amendment strikes “substantially complies” and requires “attains” national standards. [2/11: short form (Bertrand, Chelgren, Hatch excused)]